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Tanzania Shuts Down Power Plants Amidst Oversupply: A Lesson for Ghana?

Tanzania's power surplus contrasts Ghana's energy struggles, urging strategic reforms, renewable investments, and modernized infrastructure for sustainable growth.

A power station in Tanzania
Solomon Boakye
Jan 11, 2025

Tanzania has shocked the continent by shutting down five power plants due to an oversupply of electricity, a scenario almost unthinkable for many African countries. This unexpected situation has highlighted Tanzania’s Power Surplus and its unique position on the continent.

This bold move signals not only Tanzania’s incredible progress in energy production but also raises a critical question: Could Ghana ever reach such a milestone, or will it remain trapped in its recurring energy crises?

For years, Ghanaians have endured the crippling effects of “dumsor,” a term that has become synonymous with the country’s erratic power supply. Businesses have been stifled, homes left in darkness, and economic growth slowed by a broken energy sector plagued by outdated infrastructure and inefficiencies.

While Tanzania celebrates an abundance of power, Ghana continues to battle with shortages that affect nearly every aspect of daily life.

Tanzania’s surplus is no accident, it’s the result of strategic energy investments, a diversified approach incorporating renewable energy like hydropower and solar, and deliberate planning to meet and exceed national demand. While shutting down power plants may seem like an overcorrection, it highlights the benefits of forward-thinking energy policies, something Ghana urgently needs to adopt.

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The contrast between Tanzania’s power surplus and Ghana’s power struggles is stark. Ghana has made attempts to expand its energy capacity, but financial inefficiencies, heavy reliance on thermal power, and inconsistent policy implementation have kept the country from keeping pace with its growing energy demands. The consequences have been devastating for industries and households alike.

While Tanzania faces the challenge of managing oversupply, Ghana remains stuck addressing the bare minimum: keeping the lights on. This disparity should serve as a wake-up call for Ghana’s policymakers to rethink how they approach the energy sector.

The possibility of Ghana achieving a surplus like Tanzania may feel like a distant dream, but with the right policies and investments, it is within reach. Experts argue that Ghana must move beyond short-term fixes and focus on long-term energy solutions. This includes investing in renewable energy sources such as solar and wind, upgrading grid technology, and implementing efficient energy storage systems.

Achieving a surplus isn’t just about producing more electricity, it’s about ensuring that every kilowatt is effectively utilized. If Ghana can modernize its infrastructure, it could join initiatives like the West African Power Pool (WAPP) to export excess energy to neighboring countries. This would not only stabilize the local grid but also create a revenue stream for the nation.

Ghana must act now to secure its energy future. Failure to address energy inefficiencies will continue to stifle economic growth and innovation, keeping the nation in the shadows of its potential.

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