September 6, 2026
Finance Minister Ato Forson says Ghana is developing a 1,200MW state-owned gas-fired power plant in the Central Region to improve power supply and reduce electricity costs.

Ghana is developing a 1,200-megawatt state-owned gas-fired power plant that, if completed as planned, will have a higher installed generation capacity than the 1,020MW Akosombo Hydroelectric Power Station.

Finance Minister Dr Cassiel Ato Forson announced the project on August 26, 2026, while speaking at the Future of Energy Conference 2026 organised by the Africa Centre for Energy Policy (ACEP). He said the facility is intended to provide more reliable and affordable electricity to support Ghana’s industrial ambitions.

The announcement provides a fresh update on a project the government first outlined in its 2026 Budget and subsequently detailed during the 2026 Mid-Year Fiscal Policy Review.

The 1,200MW power station is intended to be a government-owned combined-cycle gas-fired installation located at Kafodzidzi-Abrobeano in the Komenda-Edina-Eguafo-Abrem Municipality of the Central Region.

The Mahama-led administration noted that the feasibility analyzes have validated the project’s potential, as environmental evaluations, engineering tasks, and permitting procedures are advancing.

The initiative is anticipated to be executed in stages. The initial stage, possessing a capacity of 600MW, is slated for activation in 2028.

Key details of the 1,200MW power plant

The planned facility will use natural gas to generate electricity and forms part of the government’s broader move towards a gas-to-power system.

According to information presented by the Finance Ministry, the government has secured gas turbines directly from GE Vernova. Dr Forson said the arrangement is expected to reduce procurement costs by between 35% and 45% compared with third-party procurement.

The government also expects the project to lower electricity generation costs and contribute to a potential reduction in electricity tariffs of between 10% and 20%.

More than 2,000 direct and indirect jobs are projected during the first phase, according to the Finance Minister’s earlier announcement.

The plant is also being linked to Ghana’s efforts to increase the use of domestically produced natural gas instead of more expensive fuel sources for power generation.

At 1,200MW, its installed capacity would exceed the 1,020MW capacity of the Akosombo Hydroelectric Power Station, making it the largest individual power-generation facility in Ghana by installed capacity if completed as announced. GhanaFact previously independently assessed the comparison and found the 1,200MW figure is higher than Akosombo’s 1,020MW installed capacity.

The government’s stated objective is to provide dependable power for households and businesses while creating the energy base needed for industrial growth.

That focus was also central to Dr Forson’s remarks at the Future of Energy Conference, where he argued that reliable and affordable energy is essential to Africa’s industrialisation.

At the energy conference, He called for mechanisms including guarantees, blended finance, local-currency funding, stronger capital markets and credible public-private partnerships to help finance energy infrastructure.

The government’s current plan is for the first 600MW phase to be commissioned in 2028. The full 1,200MW capacity would then be developed as the project progresses.

If completed as planned, the facility would mark a major addition to Ghana’s power-generation infrastructure and would exceed Akosombo in installed capacity.