Gas from the Tweneboah, Enyenra and Ntomme (TEN) field is being flared due to pipeline infrastructure delays that characterised the evacuation of gas from the Jubilee Field.

Meanwhile, an estimated $952 million is required this year to purchase light crude oil, natural gas, heavy fuel oil and diesel to run thermal plants based on a projected thermal generation of 9,937.48 GWh, according to the Ghana Grid Company.

About $295 million will be required by the VRA and about $657 million will be required by private power generators.

The Public Interest and Accountability Committee (PIAC) reports in its 2016 annual report, released last week, that since the TEN field came on stream in August last year, as much as 71 percent of the gas produced has been flared , ‘while there is such a high demand for lean gas and other derivatives on shore.”

The remainder is being reinjected, the committee indicated, saying it was “unhappy” and could not fathom why the construction of the $100 million, approximately 30 kilometre, gas pipeline with first oil in August 2016,

As it stands now, it is not clear when the pipeline will be ready to enable the evacuation of gas from the field which produced some 5.32 million barrels of oil in 2016.

At the earliest, first associated gas from the field is not due  until August this year, whilst non-associated gas is also not expected until next year.

“It is unclear how quickly gas exports could be fast-tracked to bring the much-needed resource onshore,” PIAC said.

Some 30 million standard cubic feet of gas per day is expected from TEN field at the beginning and up to 60 million at peak.

Whilst current gas supply from both the jubilee field and Nigeria is below 100MMSCFD demand is around 400 MMSCFD.

The government of Ghana estimates that in the next decade, thermal generation will constitute 80% of the country’s sources of power, making gas a must-have fuel.