ACCRA: Ghana has finalized a $260 million agreement with the World Bank aimed at addressing the nation's energy sector inefficiencies and significant financial losses. The initiative, part of the Energy Sector Recovery Programme, seeks to mitigate the $1.2 billion shortfall currently plaguing the sector. According to Ghana News Agency, the deal encompasses a $250 million credit for metering procurement and a $10 million clean cooking grant, aligning with the World Bank's Programme for Results initiative. The agreement outlines the procurement of one million meters through competitive bidding, with an initial 20 percent of financing advanced for the clean cooking component. The program aims to optimize energy generation costs, enhance transparency in the Cash Waterfall Mechanism, and reduce revenue collection losses for the Electricity Company of Ghana (ECG). Finance Minister Dr. Mohammed Amin Adam emphasized the government's commitment to improving energy sector efficiency and financial stability. He urged the ECG to address high distribution losses and low collection rates, which have cost the government approximately GHS18 billion ($1.2 billion) in 2024 alone. Dr. Amin Adam highlighted the importance of adhering to the cash waterfall mechanism to build confidence among investors and enhance energy infrastructure. Deputy Energy Minister Collins Adomako-Mensah assured that timelines and targets for the project would be met, with a dedicated team monitoring the implementation. Dr. Robert Taliercio O'Brien, World Bank Country Director for Ghana, Liberia, and Sierra Leone, expressed concerns about the sector's financial shortfalls and underscored the necessity for compliance with the deal's objectives. World Bank's Protective Manager for West and Central Africa Energy, Mr. Asjish Khanna, highlighted the performance-based financing aspect of the agreement. He emphasized that funds would be disbursed contingent on the achievement of specific targets, such as reducing ECG's fiscal losses and improving service effic iency. This approach aims to ensure that Ghanaians benefit from accurate metering and improved energy services.