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Saltpond Oilfield ‘wasting’ petroleum revenue – PIAC

Dr. Steve Manteaw - Chairman, PIAC
Dr. Steve Manteaw - Chairman, PIAC

The Public Interest and Accountability Committee, PIAC, wants the Ghana National Petroleum Corporation (GNPC) to expedite processes to decommission the Saltpond Oil Production Company Limited.

PIAC is alarmed at how the non functioning oilfield is still draining the nation’s meager oil resources and impeding other investments.

The need to decommission the Saltpond oilfield forms part of ten themes on the status of implementation of previous recommendations by PIAC.

According to PIAC, there is the need to speed up the process of ceasing operations on the oilfields to save the national purse.

For instance, for last year (2017) alone, GNPC spent 170,539.83 dollars on the oilfield which virtually yields no resource.

Currently, a Project Management Consultant, PAP Energy Limited has been contracted for Phase 1 of the Saltpond Field Decommissioning Project.

PIAC believes this must be expedited.

Another concern is the delay in the passage of the regulations to guide with the implementation of the Petroleum Revenue Management Act (PRMA).

Though the Ministry of Finance says it has completed the regulations, it is yet to be laid before Parliament for deliberation and subsequent passage.

A further delay is said to be impacting on the determination of how communities impacted by petroleum activities can access compensation as stated in Section 24 (3) of the PRMA.

The section states that, “Where petroleum operations affect a community, appropriate compensation shall be paid for the benefit of the community in accordance with the relevant laws.”

Other issues borders on the GRA’s inability to track 67,400 dollars in income taxes from Stone/Oranto energy since February 2013.

Meanwhile PIAC has noted adverse claims being made by the Togolese authorities concerning its maritime boundary with Ghana in respect of the East Keta Ultra Deep Block and urges Government to initiate urgent steps to delineate Ghana’s maritime border with Togo.

By: Pius Amihere Eduku/citibusinessnews.com/Ghana

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