In order to reap the benefits of clean energy, lower emissions, and bolster its expanding automobile sector, Ghana has been urged to expedite the decarbonization of its transportation sector.
On Monday, January 26, the UK-Ghana Jobs and Economic Transformation (JET) Programme issued a call to commemorate the International Day of Clean Energy, stating that Ghana is well-positioned to use clean energy to boost industrial competitiveness, generate high-quality jobs, and support its goal of becoming a major West African automotive hub in accordance with Sustainable Development Goal 7.
The UK-Ghana Jet Programme encouraged Vice President Professor Jane Naana Opoku-Agyemang, in her capacity as champion of the Ghana policy in automotive development, and the Minister of Trade, Agribusiness, and Industry but not limited to Elizabeth Ofosu-Adjare to make early efforts at accelerating clean transport and energy transition.
According to the JET Programme, progress on clean energy is critical not only to Ghana’s unconditional target of reducing greenhouse gas emissions by 15 per cent by 2030 under its Nationally Determined Contribution, but also to addressing mounting public health and economic costs linked to transport emissions.
Elizabeth Ofosu-Adjare, the Minister of Trade, Agribusiness, and Industry, and the Automotive Development Policy will spearhead an early, concerted effort to promote an inclusive energy transition and expedite cleaner transportation. In addition to Ghana’s unconditional goal of reducing greenhouse gas emissions by 15% by 2030 under its Nationally Determined Contribution, the JET Programme states that advancements in clean energy are essential to addressing the growing public health and financial costs associated with transportation emissions.
Almost half of all energy-related emissions come from transportation, which is still one of the nation’s biggest sources of greenhouse gases. Between 2015 and 2023, emissions increased by nearly 15%. Dependency on fossil fuels, an aging fleet of vehicles, and rapid urbanization—factors closely associated with the automotive industry—have been the main drivers of the increase. According to the program, air pollution costs Ghana’s economy an estimated $3 billion a year, or roughly 4% of GDP, and is currently the country’s second leading cause of death after HIV, TB, and malaria put together. Terri Sarch, the Development Director at the British High Commission in Accra, emphasized the importance of the automotive sector in promoting sustainable growth while discussing the shift to clean energy.
“Ghana’s automotive industry has the potential to be a significant force behind the country’s transition to clean energy, industrial expansion, and job creation. This is a component of our partnership strategy with Ghana on mutual economic growth through investments and policies that boost local manufacturing, expedite cleaner transportation, and provide inclusive and sustainable economic opportunities,” she stated.
With an average vehicle age of 14 years, Ghana presently has an estimated 3.2 million vehicles in use. Approximately 80% of the approximately 100,000 vehicles that are imported each year are used cars, many of which are over ten years old and extremely polluting.
Even though more people are using electric cars, especially electric two- and three-wheelers, the shift to a fleet of contemporary, low-emission vehicles is still sluggish and could take decades without intentional action. According to a 2025 mid-term review of the Ghana Automotive Development Policy, which was carried out by the Ministry of Trade, Agribusiness, and Industry with assistance from the UK-Ghana JET Programme, the policy has already enabled approximately $98 million in investment from both domestic companies like Kantanka and international manufacturers like Volkswagen, Toyota, Kia, Nissan, and Hyundai.
This has been translated into seven vehicle assembly plants, which have a combined installed capacity of 140,000 units annually. However, domestic demand for new vehicles is therefore particularly far behind this capacity, and this limits the general overall sector impact.
It indicated that affordability is a major constraint to the programme, due to the absence of any structured, asset-backed vehicle financing schemes and the prevalence of cash-based purchases, thereby limiting accessibility to cleaner mobility solutions, particularly for poor households.
In addressing the challenges, the JET outlined three priority actions that would require consideration by the government. These actions include fast-tracking the approval process of the revised GADP to include electric manufacturers as well as two- and three-wheeler manufacturers, supporting asset-based vehicle financing schemes through participating financial institutions, and finally enhancing demand through government procurement of locally assembled vehicles.
Hence, as outlined by their programme, speeding up measures such as this would create a cleaner air supply, a safer road network, new and highly sought after jobs, and a stiffer manufacturing base.
Marking International Day of Clean Energy, the program noted that there is “a clear and present opportunity for leadership on clean manufacturing and sustainable transport, and it starts with scaling what’s working.”
The celebration of the International Day of Clean Energy, falling on January 26th of every year, was announced by the United Nations and aims at calling for awareness and taking action with regard to a just, equitable, and clean energy transition for the benefit of our world and its inhabitants.