Acep's Statement on GNPC Work Programme 2019
The Ghana National Petroleum Corporation (GNPC) has submitted its annual program of expenditures to the Parliament of Ghana for approval. This is a legal requirement of the state Corporation to receive expenditure clearance and account for public investment through its activities. This paper analyses the expenditure priorities of the Corporation in 2018, as well as proposed expenditure in 2019, through the lens of value for money and corporate accountability in accordance with the Petroleum Revenue Management Act (PRMA), 2011 (Act 815) as amended. The PRMA has restricted allocations to the Corporation from the proceeds of Carried and Participating Interest (CAPI) of producing fields to ensure that some revenue would still be available for supporting the national budget while the Corporation focuses on its core mandate to support the development of the oil industry. Between 2011 and September 2018, a total of $716.4 million has been given to the Corporation as its share of net CAPI to finance its core operations and development of its competence as a commercial player in the industry. This paper does not cover detailed analysis of the Corporation’s expenditure over the period. 1
This analysis is presented as a guide to Parliament for its scrutiny of GNPC’s summary expenditures of 2018, and the work program for 2019 as presented by the Corporation. To that extent, the table below represents a comparison of the broad expenditure areasfor both years.