Tamale: Ghana's upstream petroleum industry has reached its lowest trend in crude oil production over the past five years, as revealed by the Public Interest and Accountability Committee (PIAC). The industry is also grappling with difficulties in securing necessary investments to drive growth and sustainability.
According to Ghana News Agency, Mr. Richard Ellimah, Chairman of the Technical Subcommittee of PIAC, addressed the media in Tamale, highlighting the need for a strategic approach to revitalize the onshore petroleum exploration and production activities. He emphasized that Ghana must undertake measures to boost industry activity and attract investment, signaling a commitment to securing essential capital for development.
The media engagement, organized by PIAC in Tamale, focused on the management and utilization of petroleum revenues within the country. It aimed to equip media personnel with the knowledge required to understand, analyze, and shape the reporting on petroleum revenue management and utilization in Ghana.
Mr. Ellimah noted the importance of the ongoing review of the Petroleum Revenue Management Act (PRMA) and Act 919, essential for establishing streamlined regulatory frameworks. These frameworks are intended to benefit the state while fostering a competitive landscape for global energy market exploration and optimizing Ghana's petroleum resources for sustainable economic growth.
PIAC has made recommendations to parliament, urging the Ministry of Energy and its allied agencies to intensify efforts in securing investments for the upstream petroleum sector. The committee also insists that proceeds from the lifting by the Ghana National Petroleum Corporation (GNPC) represent indirect state participation and should be paid into the Petroleum Holding Fund.
Additionally, Mr. Ellimah advocated for collaboration between the Ghana Revenue Authority, the Petroleum Commission, the Bank of Ghana, and the Ministry of Energy to recover surface rental arrears. He stressed the need for the government to expand gas infrastructure capacity to accommodate more raw gas and determine specific programs for implementation in priority areas.
Mr. Ellimah further urged parliament to ensure that the Ministry of Finance complies with regulation eight of the L.I.2381 in setting the cap on the Ghana Stabilisation Fund (GSF). He highlighted the necessity for the government to address GNPC's rising expenditure on the ten-field compared to its revenue from the field.
