Ghana secured US$6.55 billion in petroleum receipts from 2011 to 2020 – PIAC report
File photo of rigmen on an oil rig
Ghana pumped first commercial oil in 2010
Read full articleABFA receives highest amount of oil revenue allocation – Report
PIAC releases 10-year assessment report of petroleum management
The Public Interest Accountability Committee (PIAC) has said Ghana earned an amount of US$6.55 billion from petroleum receipts between 2011 to 2020.
This, according to PIAC's 10-year assessment report, represents 9.97 percent of 2020 Gross Domestic Product with the generation comprising both entitlements due to the contracting parties and the Ghana Group.
“The achieved selling prices of the Ghana Group’s crude entitlement was closely aligned to traded Brent prices, reflecting a continuous and commendable effort to generate value for the country. The Ghana Group has earned US$6.55 billion in total petroleum receipts between 2011 and 2020, equivalent to (9.97% of 2020 GDP),” key finding from PIAC’s report read.
In addition, PIAC said an amount of US$31.22 billion in value has been generated from three producing oil fields in Ghana between 2011 and 2022.
Regarding the breakdown of petroleum receipts by fiscal instrument, PIAC said it discovered that Carried and Participating Interest (CAPI) has by far generated the highest share for Ghana, accounting for 58 percent or US$3.81 billion of the total US$6.55 billion revenue earned.
“This is followed by royalties at 25 percent (US$1.64 billion) and then corporate income tax at 17% or US$1.08 billion,” it added.
On the allocation of petroleum revenue inflows, PIAC said the Annual Budget Funding Amount (ABFA) received the highest amount of US$2.6 billion (40%) over the period.
This is followed by Ghana National Petroleum Corporation (GNPC) receiving US$2.0 billion (30%) while the Ghana Stabilisation Fund (GSF) received US$1.39 billion (21%) of total revenues.
In addition, PIAC said the Ghana Heritage Fund (GHF) received US$586 million (9%) of the total allocation.
“These allocations are broadly consistent with the Petroleum Revenue Management Act as amended,” PIAC pointed out.
PIAC was first established in 2011 by Section 51 of the Petroleum Revenue Management Act, 2011 (Act 815) as amended and inaugurated to serve as an independent statutory body mandated to promote transparency and accountability in the management of petroleum revenues in Ghana.
See PIAC's 10-year assessment report below:
