The Public Utilities Regulatory Commission, PURC, says Ghana Gas requires further investment to sustain reliable gas supply and support stability in Ghana’s power sector.
The Commission made the observation during a tour of Ghana Gas’ operational facilities, including the Takoradi Distribution Station at Aboadze.
The visit to the Takoradi Distribution Station was aimed at giving the economic regulator a first-hand understanding of Ghana Gas’ operations, infrastructure and investment requirements as the company positions itself for its next phase of growth.
PURC Executive Secretary, Dr. Shafic Suleman, said the company still requires significant investment to maintain reliable services and support stability in the power sector.
He noted that while consumers may be concerned about the cost of utilities, maintaining quality and reliability in the energy value chain requires sustained investment.
“You say you are paying more for utility, see, I keep saying that, high quality of service, stability of power comes with high cost,” Dr. Suleman said.
According to him, Ghana Gas has demonstrated strong performance over the past one-and-a-half years, with its reported profitability serving as an indication of the company’s improved performance.
He commended management and encouraged the company to maintain its profitability while expanding its activities to cover more sectors of the economy.
Dr. Suleman believes continued investment in Ghana Gas could, in the long term, contribute to lowering the cost of utility provision.
“I’m sure if they keep on investing, it will end up reducing the cost of utility provision,” he said.
For Ghana Gas, however, profitability is only the beginning.
Chief Executive Officer Judith Adjobah Blay said the company’s focus is now on reinvesting in its operations to improve efficiency, reliability and the availability of gas for power generation and industrial use.
“When a company does well and posts such high profits, you ask yourself what next. So for us at Ghana Gas, what next? What next is expansion,” she said.
“Beyond profit is expansion and reinvestment into Ghana Gas.”
Madam Blay explained that the company needs to invest in its infrastructure to ensure more reliable gas supply and strengthen its capacity to serve both the power generation and industrial sectors.
As part of efforts to improve reliability, Ghana Gas is also preparing to construct a third compressor at its facility.
Madam Blay said the additional compressor will provide the redundancy required in a gas processing operation, ensuring that the system can continue operating more efficiently when one unit is unavailable.
“We are almost close to starting the construction of our third compressor,” she said.
She added that the company expects to announce the commencement of the project by the end of September.
“Hopefully, by the end of September, we will come and announce that we have begun or cut sod for construction of the third compressor to create that redundancy needed for efficient operations.”
Source: www.kumasimail.com
