Nigeria and Ghana are set to pioneer a groundbreaking regional gas transformation initiative through an innovative barter agreement designed to boost energy cooperation in West Africa.

Under the proposed arrangement, Nigeria will supply natural gas to Ghana, which will convert it into electricity and export power back to Africa’s most populous nation. The plan, revealed by Ghana’s Minister of Energy John Abdulai Jinapor at the Future Energy Conference in Accra, is seen as a model for regional integration and energy security.

“We believe we can work together. Ghana takes gas from Nigeria, generates power, and re-exports. We are in discussions to see if we can create a barter arrangement where we take their gas, convert it into power, and supply electricity back to Nigeria,” Jinapor explained.

The agreement aims to leverage Nigeria’s abundant natural gas reserves and Ghana’s advanced power generation capabilities, offering a mutually beneficial solution to critical energy challenges in both countries. While Nigeria continues to battle chronic electricity shortages despite its vast gas resources, Ghana seeks stable fuel supplies to sustain its growing generation capacity.

Ghana has already positioned itself as a regional power hub, supplying electricity to Togo, Burkina Faso, Côte d’Ivoire, and Benin through investments in generation infrastructure and cross-border transmission lines. This new partnership could further solidify Ghana’s role in West Africa’s energy landscape.

For Nigeria, the deal offers a practical solution to systemic challenges, including inadequate generation capacity, transmission bottlenecks, and distribution losses. By converting its gas into electricity through Ghana’s facilities, Nigeria could secure reliable power imports while reducing gas flaring and maximizing resource utilization.

Energy experts view the proposed arrangement as a transformative step toward economic integration in West Africa. A stable and coordinated power supply could accelerate industrial growth, reduce energy poverty, and strengthen regional self-sufficiency amid global energy market volatility and climate change pressures.

The initiative aligns with ECOWAS objectives for regional power pooling and integrated energy markets, reinforcing the case for collaborative energy strategies over isolated national approaches. Implementation will require significant infrastructure investment, regulatory harmonization, and private sector participation to ensure success.

Discussions at the Future Energy Conference, organized by the Africa Centre for Energy Policy, emphasized the need for innovative financing models to address Africa’s energy poverty and fund large-scale cross-border projects. If successful, the Ghana-Nigeria energy swap could serve as a blueprint for similar partnerships across the continent, promoting sustainable growth and energy security.