Parliament approves over One Billion Cedis for Energy and Green Transition Ministry

Parliament has approved a total of One Billion, Two Hundred and Eighty Million, Nine Hundred and Five Thousand, Three Hundred and Thirty-Five Cedis (GHC 1,280,905,335.00) for the activities of the Ministry of Energy for the 2025 Financial Year.

After a comprehensive review of the Annual Budget Estimates of the Ministry and its agencies for the 2025 financial year, the Committee observed that the budget allocations to the Ministry are well justified.

However, the Committee recommended an increase in budgetary provisions for the National Petroleum Authority (NPA) to enhance its operational capacity, specifically in the areas of Goods and Services and Capital Expenditure (CAPEX). Additionally, the Committee advised an upward adjustment in the allocation for the NPA to strengthen its activities specifically for managing the Data Centre under Goods and Services, ensuring the effective execution of its mandate.

The Committee again emphasized the urgent need for ECG to fulfill its statutory obligations in full and recommends enhanced parliamentary ‘oversight to ensure the timely and consistent transfer of funds for the intended electrification projects.

On the issue of non-compliance by ECG, the Committee noted with concern that the Electricity Company of Ghana (ECG} has not been remitting 50% of the levies collected under the Energy Sector Levies Act (ESLA) to the Ministry of Energy, as mandated by law stressing the point that “these funds are critical for advancing rural electrification projects, particularly as the government aims to increase electricity access to 90% by 2025”.

In response to the Committee’s inquiry, the Sector Minister acknowledged ECG’s non-compliance and informed the Committee that he had issued a directive for strict adherence to the remittance requirements, “while ECG has begun making partial payments, full compliance remains a challenge.

Source: fmnewsonline.com