Channel Oil Revenue Funds Towards Strategic Projects

Story By: Nartey Solomon Tetteh

Economic analyst Emmanuel Boateng has called for greater transparency and accountability in Ghana’s oil contracts, emphasizing that these issues are critical to strengthening the country’s oil sector and ensuring sustainable national development.

The Petroleum Revenue Management Act (PRMA), 2011 (Act 815) was enacted to promote transparent and accountable management of Ghana’s petroleum revenues. The law provides a framework for collecting, allocating, and utilizing oil and gas revenues. However, despite efforts to improve disclosure, many oil contracts still lack full transparency, particularly regarding fiscal arrangements and beneficial ownership.

While Ghana has made strides in ensuring some level of accountability in its oil sector, gaps remain. Reports of misuse of oil revenues persist, with funds often allocated to projects that lack proper oversight and long-term impact.

Speaking on the Business Breakfast Show on Zed, Mr. Boateng criticized the scattered use of oil revenue, arguing that funds should be directed toward strategic, high-impact projects that drive sustainable economic growth.

“Oil revenue has been used for scattered projects with little long-term impact, Channrather than transformative initiatives,” he stressed.

He urged policymakers and regulatory bodies to strengthen transparency measures and ensure that Ghana’s oil wealth benefits the nation as a whole.

Mr. Boateng also highlighted issues with implementation, noting that even when funds are allocated for specific purposes, execution often falls short.

He further urged the government to invest oil revenues in growth-enhancing sectors, emphasizing their potential to generate substantial income for the country.

“Oil funds must be invested in productive sectors because those are the sectors that can regenerate income,” he stated.

Additionally, Mr. Boateng acknowledged the positive impact of oil revenues on infrastructure and public services, particularly in the energy sector.

“Oil revenue has helped reduce our dependency on imported gas for power generation,” he noted. As Ghana continues to develop its oil and gas sector, calls for stronger governance, contract disclosure, and improved revenue management remain crucial to maximizing the benefits of the country’s natural resources.