Value for Money Analysis of Oil Funded Agriculture Projects: A Case Study of Tono Irrigation Dam and Fisheries College Anomabo
Transparency, accountability and equity are some of the principles that reduce corruption and enhance value for money in executing oil related projects. It is in this regard that several laws and regulations have been passed to enhance value for money and prevent Ghana’s oil revenues from going down the drain. One of such legislation is the Petroleum Revenue Management Act 2011 (Act 815) which provides the framework for distributing petroleum revenues to the National oil Company, the annual budget of the government known as Annual Budget Funding Amount (ABFA) and the Ghana Petroleum Funds. Section 21 (2) of the Act states that - The use of the annual allocation of the ABFA shall be:
- to maximize the rate of economic development;
- to promote equality of economic opportunity to ensure the well-being of citizens; and
- to undertake even and balanced development of the regions.
These objectives are unlikely to be met if revenues are not invested efficiently. ACEP’s value-for-money project involves monitoring projects funded with ABFA to assess the appropriateness of project selection, transparency in procurement processes, value assessment and the benefit levels to communities where projects are located. In addition, the project will also examine the extent of social and community rights protections such as human rights, environmental rights and community participation in decision-making and monitoring the projects.