Concerns over Ghana’s petroleum sector are deepening as the Public Interest and Accountability Committee (PIAC) raises fresh red flags over operational inefficiencies and weaknesses in revenue management, with implications for fiscal stability.
At a media engagement on its 2025 Annual Report, PIAC highlighted persistent underperformance in key oil assets, particularly the TEN field, where output has fallen short of initial projections. The Committee said the situation underscores the need for enhanced recovery technologies, improved field management and stronger incentives to attract new upstream investment.
Beyond production challenges, PIAC drew attention to the management of petroleum revenues, especially the Ghana Stabilisation Fund (GSF), which is designed to cushion the economy against oil price shocks.
PIAC Chairman Richard Ellimah urged the Ministry of Finance to strictly apply the capping formula under L.I. 2381, warning that maintaining the GSF cap at $100 million for 2025 departs from the regulatory framework and risks weakening Ghana’s fiscal buffers.
The Committee also examined returns on petroleum-linked investments, noting that a $30 million allocation tied to airport infrastructure generated $17.9 million in interest between 2017 and 2025. While this reflects moderate gains, PIAC stressed the need for more strategic investment decisions to maximise long-term value.
A member of the Committee, Constantine Kojo Mawuena Kudzedzi, reiterated PIAC’s mandate to ensure efficient use of petroleum revenues, promote transparency and hold institutions accountable.
He emphasised that strengthening governance frameworks remains critical to ensuring that oil revenues deliver sustained economic benefits.
The Committee’s findings come against the backdrop of a sustained decline in crude oil production, with output falling from 71.44 million barrels in 2019 to 37.3 million barrels in 2025m an average annual drop of about nine percent.
Analysts warn that the combined effect of declining production and weak revenue management could place additional strain on government finances, foreign exchange earnings and long-term energy sector sustainability.
PIAC maintains that addressing these challenges will require a coordinated policy response focused on revitalising upstream investment, tightening fiscal discipline and improving transparency to safeguard the sector’s contribution to Ghana’s economy.
