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GRIDCo Advert - 2015 TARIFF PROPOSAL SUMMARY

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GHANA GRID COMPANY LIMITED (GRIDCo)
PROPOSED TRANSMISSION SERVICE CHARGE FOR 2015 MAJOR TARIFF REVIEW


1.0 Request
In accordance with the Public Utilities Regulatory Commission (PURC) Act, 1997, Act 538, (Sections 16, 17 and 20), the Ghana Grid Company Limited (GRIDCo) hereby requests an upward review of the Transmission Service Charge (TSC) from GHp4.0453/kWh to GHp5.3100/kWh, an increase of 31.26% over existing TSC.


2.0 Rationale for Review of Transmission Tariff
The proposed increase in the TSC is mainly due to the following factors:
1. Increase in Transmission Assets base
2. Increase in Operations and Maintenance Costs of power transmission due to rapid expansion of the network
3. Depreciation of the Cedi
4. Financing capital works associated with the network expansion.


3.0 Utilization of 2013 Approved Tariff and Improvements since 2013
The transmission network has seen major improvements with the construction of new substations and upgrade of existing substations resulting in approximately 20% increment in transformer capacity from 3404MVA to 4059MVA and over 1100 km of high voltage transmission line additions. There has also been the injection of voltage compensators at various stations across the nation. The purpose of these additions is to achieve high reliability, meet load growth requirements and reduce transmission losses.


3.1 New Substations and Substation Upgrades
Kumasi 2nd Bulk Supply Point, Accra 3rd Bulk Supply Point, Smelter II, Wa, Tumu, Kintampo, New Abirem and Mim substations were constructed. This enabled GRIDCo to evacuate power from power plants, ensured supply to new Bulk Customers and towns as well as improve reliability.


The following substations have been upgraded by the installation of higher capacity transformers: Zebilla, Sawla, Nkawkaw, Tafo, Achimota, Winneba, Takoradi, Prestea, Tamale, Old Kpong and Sunyani. This has improved the reliability of supply to areas served from these towns.


Currently under construction and upgrades are Afienya, Kpone and Dunkwa 330kV Substations.


3.2 On-going Line Upgrades and Construction
The Northern loop is almost completed. The construction of Aboadze-Prestea-Kumasi-Kintampo-Tamale-Bolgatanga 330kV Transmission Line has commenced. Also under construction are Sunyani-Mim 161kV Line Upgrade, Achimota-Mallam 161kV Line Upgrade and Kpandu-Kejebi 161kV Line.


3.3 System Voltage Improvement
40MVar Static Var Compensator (SVC) has been installed at Tamale to improve system voltages in the Northern sector of the country. This has reduced the over reliance on Akosombo Generators for reactive power and has also reduced system losses.


3.4 Telemetering
GRIDCo is undertaking a telemetering project. When completed, the Telemetering System will enable remote reading of all meters and improve efficiency in metering and billing of all transactions within the network.


4.0 Key Challenges
Inadequate redundancy in the transmission network and lack of funding of Capital Investment Projects.

5.0 Strategies to Address Key Challenges
Pursue the 10-year Capital Investment Programme in line with our 10-year Transmission Master Plan to address inadequate network capacity, reliability improvement and reduction of transmission losses.


6.0 Addressing Stakeholder Concerns
Effective and prompt communications of planned outages, continue to create redundancies at various substations to reduce outage duration of maintenance works.

Posted: Oct 14 2015

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