Govt to review upstream petroleum policies - Energy Minister

The Minister for Energy and Green Transition, Mr. John Abdulai Jinapor has disclosed the government’s plans to review Ghana’s upstream petroleum policies and regulatory framework.

The review is to ensure fairness, consistency and transparency in the petroleum sector.

He said this at a round table meeting with the Ghana Upstream Petroleum Chamber last Thursday in Accra.

He acknowledged the challenges facing the sector, including declining crude oil production, regulatory failures and diminishing investor confidence, adding that the policy review would help address these challenges.

Mr Jinapor emphasised the importance of the upstream industry to the country's economy, noting that crude oil accounted for around 35% of Ghana's foreign exchange exports and 20% of domestic revenue in 2022.

He noted that Ghana spends over $1 billion annually on liquid fuels and explained the cost-saving benefits of switching entirely to gas-powered energy generation.

“The hard truth is that the upstream sector faces imminent collapse if the current trend is not reversed. We must create an enabling environment for investment through policy consistency, transparency, and effective regulation,” he added.

He assured stakeholders of the government’s commitment to resolving key industry disputes, including the ongoing ENI unitization issue, which has affected Ghana’s international reputation.

Speaking on behalf of the Ghana Petroleum Upstream Chamber, the Chief Executive, Mr David Ampofo assured the minister of the Chamber's support and commitment to addressing pertinent issues in the sector.