"It Might Never Be Constructed"
After nearly four decades of selling it as the panacea for the nation's irrigation and electricity woes, the controversial Bui Dam may never be constructed after all.
The bombshell came from Dr. Charles Wereko-Brobby, Chief Executive of the Volta River Authority, who barely one week ago shocked electricity consumers by suggesting a nearly 220 percent hike in electricity tariffs, ostensibly to pay for $50million dollar debt owed to the electricity company of Cote D'Ivoire.
Every government since the Nkrumah regime in the 1960's had toyed with the idea of building a second dam on the Black Volta to augment electricity supply in the country and to irrigate the flat lands of the Northern and Upper Regions to boost agriculture.
The Kufuor Administration raised people's hope in the dam when Finance Minister Yaw Osafo-Maafo made a firm commitment to construct the Bui Dam in the Government's first Budget, to augment electricity supply.
At a briefing with the media in Accra last week, however, Dr Wereko-Brobby who has moved from Energy Adviser to VRA Chairman and then Chief Executive in the nine -month rule of the New patriotic Party Government, said constructing the dam might be a very expensive venture.
The economics of hydro dams, he said, has changed tremendously over the years.
"One can no longer assume that hydro power generation is cheaper anymore," he said, stressing: "If you are running thermal with gas, you can run it half the cost of hydro power from Bui."
He said although VRA has made appreciable progress in efforts to implement the Bui Hydro project, the country's need for immediate electricity supply calls for something that can be implemented at a cheaper cost and also quickly.
The $600m Bui dam should it be constructed will be completed by 2006.
VRA has also initiated the building of a thermal plant at Tema and is currently searching for funds to pay 16.38 percent of the equity interest in the construction of the West Africa Gas Pipeline project which amounts to 500 million dollars.
The gas according to Dr.Wereko-Brobby will save Ghana between 30 to 50 percent as against the use of crude oil.
Dr. Wereko-Brobby's new position is contrary to his government's promise earlier in the year.
Minister for Finance Yaw Osafo-Maafo in this year's budget said "to further augment power generating capacity and in line with the pledge contained in the government's agenda for positive change, government will proceed with the Bui dam project."
"During the year 2001, due diligence including environmental impact studies will be completed and the needed guarantee agreements will be signed between VRA and the consortium of developers," Osafo -Maafo said.
However, last March, the Deputy Chief Executive in charge of Corporate Planning and Finance of VRA, Eric Yankah gave the first indication on the organisation's reluctance to carry on with the Bui project.
"VRA will consider building the dam after determining the cost effectiveness of the project since the days of cheap hydro power are gone," Yankah told newsmen when he took them round the Aboadze thermal plant.
"We are still considering the site of the project and other relevant matters before venturing into it."
But environmentalist are happy with the new decisison since they clashed with the previous government on the proposed dam on several occasions. However, Dr. Wereko- Brobby denies environmental concerns have anything to do with VRA's decision.
"I don't want environmentalists to score points," he said adding "if we do not build Bui, it would not be as a result of environmental concerns," he said.
Dr.Wereko Brobby argued that all kinds of power generations have their related environmental hazards citing the other option of thermal as a main source of carbon di-oxide generation which environmentalists critically oppose.
In whatever we do we must make choices, if you want power then you have to cope with the environmental problems, he said.
Construction work on the Bui Hydro-electric Power project was expected to commence early in 2001 depending on the results of initial tasks outlined in a Memorandum of Understanding (MOU) signed between the Volta River Authority (VRA) and a number of foreign companies.
A campaign dubbed "Save the Bui park campaign" which was led by Mike Anane, President of the League of Environmental Journalists argued against the construction saying the proposed project runs through a national park which houses some of Ghana's rare animals and plants.
"There is no point in building a dam in the Bui National Park because it is the natural habitat for some of the rarest species and plants which are being protected worldwide." Anane said stressing "the survival of these species are linked to the survival of humans," a fact which the principles of agenda 21 which Ghana is a signatory seeks to drum home.
Anane said people have been promised jobs but history makes it clear that dams have never provided jobs for people.
"What it rather does is to destroy large tracts of arable land, and a decrease in the fish population,." Anane said at the time.
Anane was of the view that the Bui National park which is a home to 150 endangered black African hippos, other animals and insects would be destroyed, others felt it is time the government invested in more reliable sources of energy other than hydro
The past government promised that a detailed environmental impact assessment, topographic and geo-technical studies, legal issues, technical designs, financing agreement and the development of a business plan would be pursued before the commencement of the project .
Critics of the dam also contended that with tourism being one the main foreign exchange earner for the country, a treasure like the Bui park should not be sacrificed for hydro power.
They said studies have revealed that a greater portion of the park would be submerged under water when constructed. In addition the park is a home to species of animals and birds and butterflies who are rather on the verge of extinction.
Anane also said at the time that dam would lead to the upsurge of diseases such as bilharzia and Malaria as a result of the stagnant pool that would be created. He said out of the 440km square lake that would be formed after the construction of the dam, 383km will be in the Bui national park.
In addition about 30,000 people would be affected in one way or the other while 2,500 will need resettlement.
Again it was estimated that about 17,800 to 68,500 hectares of land would be affected depending on the final decision taken on the dam's elevation.
"It Might Never Be Constructed"
After nearly four decades of selling it as the panacea for the nation's irrigation and electricity woes, the controversial Bui Dam may never be constructed after all.
The bombshell came from Dr. Charles Wereko-Brobby, Chief Executive of the Volta River Authority, who barely one week ago shocked electricity consumers by suggesting a nearly 220 percent hike in electricity tariffs, ostensibly to pay for $50million dollar debt owed to the electricity company of Cote D'Ivoire.
Every government since the Nkrumah regime in the 1960's had toyed with the idea of building a second dam on the Black Volta to augment electricity supply in the country and to irrigate the flat lands of the Northern and Upper Regions to boost agriculture.
The Kufuor Administration raised people's hope in the dam when Finance Minister Yaw Osafo-Maafo made a firm commitment to construct the Bui Dam in the Government's first Budget, to augment electricity supply.
At a briefing with the media in Accra last week, however, Dr Wereko-Brobby who has moved from Energy Adviser to VRA Chairman and then Chief Executive in the nine -month rule of the New patriotic Party Government, said constructing the dam might be a very expensive venture.
The economics of hydro dams, he said, has changed tremendously over the years.
"One can no longer assume that hydro power generation is cheaper anymore," he said, stressing: "If you are running thermal with gas, you can run it half the cost of hydro power from Bui."
He said although VRA has made appreciable progress in efforts to implement the Bui Hydro project, the country's need for immediate electricity supply calls for something that can be implemented at a cheaper cost and also quickly.
The $600m Bui dam should it be constructed will be completed by 2006.
VRA has also initiated the building of a thermal plant at Tema and is currently searching for funds to pay 16.38 percent of the equity interest in the construction of the West Africa Gas Pipeline project which amounts to 500 million dollars.
The gas according to Dr.Wereko-Brobby will save Ghana between 30 to 50 percent as against the use of crude oil.
Dr. Wereko-Brobby's new position is contrary to his government's promise earlier in the year.
Minister for Finance Yaw Osafo-Maafo in this year's budget said "to further augment power generating capacity and in line with the pledge contained in the government's agenda for positive change, government will proceed with the Bui dam project."
"During the year 2001, due diligence including environmental impact studies will be completed and the needed guarantee agreements will be signed between VRA and the consortium of developers," Osafo -Maafo said.
However, last March, the Deputy Chief Executive in charge of Corporate Planning and Finance of VRA, Eric Yankah gave the first indication on the organisation's reluctance to carry on with the Bui project.
"VRA will consider building the dam after determining the cost effectiveness of the project since the days of cheap hydro power are gone," Yankah told newsmen when he took them round the Aboadze thermal plant.
"We are still considering the site of the project and other relevant matters before venturing into it."
But environmentalist are happy with the new decisison since they clashed with the previous government on the proposed dam on several occasions. However, Dr. Wereko- Brobby denies environmental concerns have anything to do with VRA's decision.
"I don't want environmentalists to score points," he said adding "if we do not build Bui, it would not be as a result of environmental concerns," he said.
Dr.Wereko Brobby argued that all kinds of power generations have their related environmental hazards citing the other option of thermal as a main source of carbon di-oxide generation which environmentalists critically oppose.
In whatever we do we must make choices, if you want power then you have to cope with the environmental problems, he said.
Construction work on the Bui Hydro-electric Power project was expected to commence early in 2001 depending on the results of initial tasks outlined in a Memorandum of Understanding (MOU) signed between the Volta River Authority (VRA) and a number of foreign companies.
A campaign dubbed "Save the Bui park campaign" which was led by Mike Anane, President of the League of Environmental Journalists argued against the construction saying the proposed project runs through a national park which houses some of Ghana's rare animals and plants.
"There is no point in building a dam in the Bui National Park because it is the natural habitat for some of the rarest species and plants which are being protected worldwide." Anane said stressing "the survival of these species are linked to the survival of humans," a fact which the principles of agenda 21 which Ghana is a signatory seeks to drum home.
Anane said people have been promised jobs but history makes it clear that dams have never provided jobs for people.
"What it rather does is to destroy large tracts of arable land, and a decrease in the fish population,." Anane said at the time.
Anane was of the view that the Bui National park which is a home to 150 endangered black African hippos, other animals and insects would be destroyed, others felt it is time the government invested in more reliable sources of energy other than hydro
The past government promised that a detailed environmental impact assessment, topographic and geo-technical studies, legal issues, technical designs, financing agreement and the development of a business plan would be pursued before the commencement of the project .
Critics of the dam also contended that with tourism being one the main foreign exchange earner for the country, a treasure like the Bui park should not be sacrificed for hydro power.
They said studies have revealed that a greater portion of the park would be submerged under water when constructed. In addition the park is a home to species of animals and birds and butterflies who are rather on the verge of extinction.
Anane also said at the time that dam would lead to the upsurge of diseases such as bilharzia and Malaria as a result of the stagnant pool that would be created. He said out of the 440km square lake that would be formed after the construction of the dam, 383km will be in the Bui national park.
In addition about 30,000 people would be affected in one way or the other while 2,500 will need resettlement.
Again it was estimated that about 17,800 to 68,500 hectares of land would be affected depending on the final decision taken on the dam's elevation.
