Siemens and Singapore-based company, Rotan Power signed a memorandum of understanding to develop and build a combined cycle power plant with a capacity of 660 megawatts (MW) at the Aboadze Power Enclave located in the western region of Ghana, German company Siemens said on Thursday.
The plant will be built in two phases, with a commercial operational date for the first phase scheduled for 2023 and the second phase planned for 2025.
The total investment volume of the plant will be more than $500 million, according to the company.
The German Export Credit Agency and Euler Hermes are set to provide financing for the project, which would be the largest plant in Ghana, the company said.
Siemens is responsible for the entire EPC turnkey scope and in addition will provide operation and maintenance for 20 years.
"Together we will provide electricity to more than five million Ghanaians unlocking the economic potential by using power as a catalyst for socio-economic development," Sabine Dall'Omo, CEO of Siemens Sub-Saharan Africa was quoted as saying.
"Together with Siemens we will power the country and further improve access to electricity for our population. Furthermore, the partnership will enable us to leverage skills transfer and training for Ghanaians," Chairman of Rotan Power Kofi Morna was quoted as saying.
The agreement was signed in the presence of the German Federal Minister of Economics and Energy Brigitte Zypries, and the Ghanaian Deputy President Dr. Mahamudu Bawumia, according to the company's statement.
By Huseyin Erdogan
Anadolu Agency
energy@aa.com.tr