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in Extractives/Energy

Ghana Pushes Energy Efficiency as Shield Against Rising Energy Costs

Ivy Opoku Mintahby Ivy Opoku Mintah
July 3, 2026
Reading Time: 6 mins read
Deputy Minister for Energy and Green Transition, Richard Gyan-Mensah, speaking during the 11th International Energy Agency (IEA) Annual Global Conference on Energy Efficiency held in Montreal, Canada

Deputy Minister for Energy and Green Transition, Richard Gyan-Mensah, speaking during the 11th International Energy Agency (IEA) Annual Global Conference on Energy Efficiency held in Montreal, Canada

At a global energy conference in Canada, Ghana outlined how improving efficiency across the power sector could help protect consumers, strengthen energy security and support a more resilient energy transition.

As governments around the world search for ways to cushion households and businesses from volatile energy prices, Ghana is placing greater emphasis on energy efficiency as a long-term strategy for making electricity more affordable while strengthening the country’s energy security.

That commitment was reaffirmed by Deputy Minister for Energy and Green Transition, Richard Gyan-Mensah, during the 11th International Energy Agency (IEA) Annual Global Conference on Energy Efficiency held in Montreal, Canada.

The conference, which brought together ministers, policymakers, industry leaders and energy experts, focused on the theme “Sheltering Consumers from Energy Shocks,” reflecting growing global concern over the impact of volatile fuel prices, supply disruptions and rising electricity costs on economies and households.

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Deputy Minister for Energy and Green Transition, Richard Gyan-Mensah, speaking during the 11th International Energy Agency (IEA) Annual Global Conference on Energy Efficiency held in Montreal, Canada

For Ghana, the discussions come at a time when energy affordability remains a key issue for both consumers and businesses, particularly following recent adjustments to electricity tariffs and ongoing efforts to improve the financial sustainability of the power sector.

“Energy efficiency goes beyond saving energy. Ghana remains committed to building an energy sector that delivers affordability, reliability, and sustainable growth for all”.

Richard Gyan-Mensah, Deputy Minister for Energy and Green Transition

Making Energy Efficiency Work for Consumers

Rather than viewing energy efficiency simply as encouraging people to consume less electricity, Ghana is positioning it as a broader strategy to reduce costs across the electricity value chain.

According to Mr. Gyan-Mensah, government policies are increasingly focused on ensuring that electricity is produced, transmitted and consumed more efficiently.

These measures include expanding the use of natural gas as a transition fuel, increasing renewable energy deployment, improving electricity generation, reducing technical and commercial losses within the power distribution network and encouraging the use of energy-efficient appliances.

Collectively, these interventions are intended to improve the reliability of electricity supply while helping consumers avoid unnecessary energy costs. For households, greater efficiency can translate into lower electricity consumption and more stable power supply.

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For businesses, particularly manufacturers whose production costs are heavily influenced by electricity prices, improvements in system efficiency could help reduce operational costs over the long term.

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Deputy Minister for Energy and Green Transition, Richard Gyan-Mensah, at the 11th International Energy Agency (IEA) Annual Global Conference on Energy Efficiency held in Montreal, Canada

Why Efficiency Matters Beyond Electricity Bills

Energy experts have increasingly argued that expanding electricity generation alone is no longer enough to guarantee energy security. Equally important is ensuring that the electricity already generated is used efficiently and that losses across transmission and distribution systems are minimised.

Ghana has for years faced challenges associated with technical losses, illegal connections and ageing infrastructure, all of which increase the overall cost of supplying electricity.

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Reducing those losses enables utilities to recover more revenue without relying solely on tariff adjustments, while also improving the financial health of the sector.

This has become particularly relevant as government continues implementing reforms aimed at strengthening the country’s power sector and attracting investment into both conventional and renewable energy.

Supporting Ghana’s Energy Transition

The Deputy Minister’s remarks also reinforce Ghana’s broader energy transition agenda.

Although renewable energy continues to receive increasing policy attention, natural gas remains an important component of the country’s transition strategy because it provides reliable electricity generation while producing fewer emissions than many conventional fuels.

Dep EM 3
Deputy Minister for Energy and Green Transition, Richard Gyan-Mensah, speaking during the 11th International Energy Agency (IEA) Annual Global Conference on Energy Efficiency held in Montreal, Canada

At the same time, expanding renewable energy and promoting energy-efficient technologies are expected to gradually reduce dependence on fossil fuels while supporting Ghana’s climate commitments.

Officials have consistently maintained that achieving a successful energy transition requires balancing environmental objectives with affordability, reliability and energy access.

That balance remains particularly important for developing economies where electricity demand continues to grow alongside industrialisation and urbanisation.

Building Resilience Against Global Energy Shocks

The discussions in Montreal also reflected lessons from recent global energy market disruptions.

Events such as geopolitical conflicts, supply chain disruptions and fluctuations in international fuel prices have demonstrated how external shocks can quickly affect electricity and fuel costs, particularly in countries that depend on imported petroleum products.

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Deputy Minister for Energy and Green Transition, Richard Gyan-Mensah, at the 11th International Energy Agency (IEA) Annual Global Conference on Energy Efficiency held in Montreal, Canada

For Ghana, improving efficiency across the energy sector is increasingly viewed as one way of reducing exposure to those external pressures.

By lowering system losses, improving operational performance and encouraging more efficient energy use, policymakers believe the country can build a power sector that is better able to withstand global market volatility.

That objective aligns with recent efforts by the Ministry of Energy and Green Transition to strengthen coordination among sector agencies, improve infrastructure and enhance long-term energy security.

Efficiency Becoming a Policy Priority

Ghana’s participation in the IEA conference highlights how energy efficiency is gradually moving from being a technical policy issue to becoming a central component of economic planning.

For consumers, the benefits extend beyond lower electricity consumption. A more efficient energy system has the potential to improve service reliability, strengthen the financial sustainability of utilities and reduce some of the pressures that ultimately feed into electricity tariffs.

Dep EM 5
Deputy Minister for Energy and Green Transition, Richard Gyan-Mensah, in a picture with Global leaders at the 11th International Energy Agency (IEA) Annual Global Conference on Energy Efficiency held in Montreal, Canada

While significant investment and policy reforms will still be required, government officials say improving efficiency across the entire electricity value chain remains one of the practical steps toward delivering an energy sector that is more affordable, resilient and capable of supporting Ghana’s long-term development ambitions.

READ ALSO: Government Cuts Study Leave Wait for Rural Teachers, Announces 20% Allowance

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Tags: 11th International Energy Agency (IEA) Annual Global ConferenceCanadaDeputy Minister for Energy and Green TransitionEnergy EfficiencyRichard Gyan-MensahRising Energy Costs
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