Ghana's Oil and Gas Index 2017 (4th Quarter)

Key findings from the monitoring report indicate revenue management and local content  as topical issues  with revenue management issues dominating coverage of Ghana’s oil and gas sector.
Also, highlighted in the media monitoring report was the fact that Ghana recorded incidents of untimely disbursements of oil funds to projects. In addition to this, some projects that were funded by revenues from the oil and gas sector were poorly executed. Some did not actually exist and those that existed were abandoned.

 Investigations carried out by some news sources into the use of some GH¢83million from Ghana’s petroleum revenues by the Scholarship Secretariat in 2016 revealed that the oil funds were misused. Questions such as how to ensure value for money for oil-funded projects dominated. On the local content front, citizens became particular on the quantum of locally produced materials, personnel, financing, goods and services rendered in the petroleum industry value chain accrued to Ghanaians.
Despite the existence of Ghana’s Petroleum Revenue Management Act, 2011 (Act 815) that lays down the key parameters for collection, disbursement and management of Ghana’s oil and gas revenues, revenue management issues dominated the sector over the period of the study.

Key policy recommendations proffered to duty bearers from the findings include:
Ensuring value for money of oil funded projects by ensuring timely funds disbursements, corruption free contract award processes and quality supervision by oversight institutions.
Enhance skills, capacity of individuals and SMEs to ensure significant local participation in the oil and gas sector.
Increase nation’s take of oil wealth through better future negotiations and where possible, renegotiate existing contracts that do not benefit the country.
Promote backwards and forward linkages of oil and gas production with other sectors of the Ghanaian economy to enhance high developmental impact of this resource.