Minister for Energy and Green Transition, Hon. John Abdulai Jinapor, has admonished the newly appointed governing board of the Volta River Authority (VRA) to improve the Authority's operations.

At the inauguration of the new board on Tuesday, June 24, the Energy Minister indicated that VRA must position itself as the leader in Ghana’s power generation sector.

“The fortunes of VRA have stagnated and dwindled over the years as a result of government policies. We will provide strategic guidance and direction to bring VRA back as the lead power generator in the sub-region and Africa.”

“This board has been entrusted with the task of improving VRA’s operations, optimising hydro and thermal assets, and firmly anchoring renewable initiatives within the Authority’s core mandate. VRA must work to be the lead institution when it comes to power generation,” he said.

He warned the board against letting down President John Dramani Mahama and assured them of the government’s full backing to ensure the successful execution of their duties.

“The Ministry will give you the needed support to deliver on your mandate. His Excellency the President has absolute confidence in the capabilities of the members of this board. As a board, you should lead VRA to champion the reforms in the power sector.”

The members of the new governing board are Ing. Jabesh Amissah-Arthur (Chairman), Ing. Edward Ekow Obeng-Kenzo (Ag. Chief Executive), Dr. Lawrence Ofosu Adjare, Hon. Collins Dauda, Hon. Fred Kwesi Agbenyo, Lawyer Wonder Victor Kutor, Awulai Attibrukusu III, and Lawyer Peggy Addo.

The VRA, which was established in 1961 under the Volta River Development Act, is responsible for the generation, transmission, and distribution of electricity in Ghana.

Its core mission is to power economies and improve living standards by providing reliable and environmentally responsible energy services.

It is confronted with significant challenges such as increasing debt, limited cash flow, and the need for improved operational efficiency.

The Ghana National Gas Company Limited (GNGLC) is facing a debt crisis, and this is due to the inability of the Volta River Authority to meet its debt service obligations. GNGLC’s debt to the Ghana National Petroleum Corporation (GNPC) as of June 30, 2024, was over $626 million from an excess of $559 million in the same period two years ago.

Contributing to its financial strain are delayed remittances from power distributors, costly and inefficient power purchase deals, as well as surging operational expenses.

The Authority also drew sharp criticism following the 2023 Akosombo Dam spillage, which led to major flooding and the displacement of thousands across affected communities.

The flood, which began mid-September and lasted over six weeks, displaced approximately 38,624 residents and wreaked havoc on properties, schools, health centres, and farmlands in communities such as North, Central, and South Tongu, Ada, and Kpong. Nearly 1,247 homes, 94 schools, and 17 health facilities were destroyed, while agricultural losses were estimated at $78 million.

President Mahama tasked a five-member committee to investigate the 2023 Akosombo Dam spillage. The committee concluded its probe with a report highlighting how poor preparedness and communication by the Volta River Authority (VRA), the National Disaster Management Organisation (NADMO), and local authorities intensified the devastating impact of the disaster.