PIAC flags shoddy oil-funded projects in Eastern, Northern regions

By Praisebell Rosemond Larbi

The Public Interest and Accountability Committee (PIAC) has raised concerns over the progress and quality of several petroleum-funded infrastructure projects in the Eastern and Northern Regions, citing poor supervision, contractor delays and substandard work as key challenges undermining value-for-money delivery.

The findings were contained in a press statement released after a week-long inspection tour carried out by the Committee between 22 and 27 June 2025.

The exercise formed part of PIAC’s statutory mandate under the Petroleum Revenue Management Act (PRMA), 2011 (Act 815) as amended, which empowers the Committee to independently monitor and evaluate the use of petroleum revenues.

In the Eastern Region, the team inspected a rural market project in the Upper Manya Krobo District, funded with GHS169,516.27 from the Annual Budget Funding Amount (ABFA) in 2024.

While the market sheds and warehouse had been completed, the mechanised borehole had not been constructed.

Inspectors noted visible leakages and signs of algae on the sheds, raising health and safety concerns as traders had already begun using the facility.

Another project assessed was the Mensah-Dawa Apimsu-Asesewa Feeder Road, which received GHS1 million from the ABFA in 2024.

PIAC reported that only concrete drains had been completed, with no evidence of road surfacing. The team drove along the rough terrain to understand the challenges faced by commuters and noted that the contractor was absent during the inspection.

In contrast, the Kwanyako-Asuogyaman CHPS Compound, funded between 2020 and 2023 with GHS2,617,000, was completed and in use, with staff accommodation ready for occupation.

PIAC commended the government for delivering the facility to the required standard.

The Akosombo-Adumasa-Gyakiti Road, supported with GHS2,337,000 from the ABFA in 2024, showed signs of intermittent work due to delayed payments and seasonal rainfall. At the time of inspection, grading was underway and the contractor was present on site.

In the Northern Region, PIAC highlighted discrepancies in the Gamandze-Paansiya Link Road Project in the Yendi Municipality, funded from 2019 to 2023 with GHS993,000.

Although government records indicated that earthworks, gravel surfacing and culverts had been completed, inspectors confirmed that only earthworks had been carried out. Community members reported frequent flooding during the rainy season, disrupting transportation and posing safety risks.

A similar situation was observed on the Yendi-Saboba Road, which received GHS4,460,000 from the ABFA between 2022 and 2023.

The road showed serious deterioration, with potholes and cracks evident. Residents of Wambu told inspectors that the contractor had abandoned the site since 2019.

In the Mion District, the Committee visited two small dam projects at Nanvili and Sakoya, funded with GHS6,267,000 from the ABFA in 2019. Both dams had structural weaknesses, including low embankments and poor excavation. The Sakoya dam, a vital source of water for domestic use and irrigation, was particularly affected by erosion and poor water retention.

The inspection also covered the Manyini and Sambu dams, which received GHS558,000 from 2019 to 2020. Residents informed the team that the Sambu dam had originally been built by the community over 50 years ago.

The contractor only undertook minor levelling and a rock barrier, which failed to address the dam’s core deficiencies. As a result, water overflow continues to threaten nearby communities during the rainy season.

The Committee expressed concern over the health, safety and livelihood risks created by these shortfalls, including unsafe market environments, poor road conditions affecting commuters and defective dams undermining irrigation and water supply.

Despite the challenges, PIAC commended some completed projects, such as the Asuogyaman CHPS compound, as proof that petroleum revenues can make a meaningful impact when managed effectively.

The Committee reaffirmed its dedication to promoting transparency and accountability in the use of Ghana’s oil funds.

“We will continue to report on the use and impact of these funds through statutory reports and public engagements. Petroleum revenues must deliver sustainable development outcomes for all citizens,” PIAC stated.

It further called on government agencies, contractors and local authorities to take urgent steps to address identified deficiencies, ensure contractors return to abandoned sites and put in place stronger monitoring systems to safeguard investments made with petroleum funds.

PIAC concluded that while the Annual Budget Funding Amount remains a critical tool for financing development, its impact is being undermined by poor execution and weak oversight.

The Committee also pledged to intensify future inspections to ensure that petroleum revenues are used effectively and in line with Ghana’s development priorities.