The Ghana Chamber of Mines has called for targeted energy interventions to make local gold refining commercially viable. This move supports Ghana's goal to retain more value from its gold resources domestically. The Chamber's Chief Executive Officer, Dr. Ken Ashigbey, stated that high power costs, taxes, and other operational expenses currently make local refining expensive.
Dr. Ashigbey emphasized that government and industry must collaborate to reduce these significant costs. He noted that while local value addition is crucial, it comes with inherent expenses. All stakeholders need to contribute to the success of this national policy. The government's role includes reviewing taxes and levies affecting the gold refining sector.
This push for cheaper energy fits into Ghana's broader economic strategy to boost local content and industrialization. The government aims to process more raw materials within the country, creating jobs and increasing export value. GoldBod's directive for mandatory local refining of gold doré from September 1, 2026, underscores this commitment. This policy aligns with the Ghana Gold Board Act, 2025, which regulates gold refining and value addition.
Dr. Ken Ashigbey, CEO of the Ghana Chamber of Mines, stated, "Is it possible that in the energy mix, we will give them, you know, a lot more of the hydro that is cheaper?" He highlighted the critical need for policy decisions to provide refineries with access to more affordable power. He also mentioned plans under the 24-hour economy initiative to develop large solar plants. These plants could potentially lower energy costs to around 3 to 4 cents per kilowatt-hour, making refining more competitive.
The implications of these discussions are significant for Ghana's mining sector and overall economy. If energy costs are not addressed, the mandatory local refining policy could burden refiners and aggregators. Decision-makers will need to balance the national interest in value addition with the economic realities faced by private operators. The success of this policy hinges on effective collaboration between government and industry to create a conducive operating environment. This includes reviewing existing taxes and levies, which are currently under discussion. The mining sector is already absorbing some additional costs under current arrangements, such as the GANRAP program. This program involves a 0.55 contribution from large-scale miners, compared to a weighted average of 0.098. This demonstrates the industry's existing commitment to national initiatives. The government must ensure that the drive for local refining does not inadvertently increase operational costs to an unsustainable level. This could deter investment or reduce the competitiveness of Ghanaian gold products in global markets. The focus remains on achieving beneficiation collaboratively, ensuring all parties contribute to reducing the cost of doing business in Ghana's gold sector.