Ghana’s petroleum revenue climbed to $1.36 billion in 2024, marking a 28% increase from the previous year and the second-highest annual total since records began, according to the Public Interest and Accountability Committee (PIAC).
The surge, driven by higher global oil prices, follows the peak of $1.42 billion recorded in 2022. However, the report flagged unresolved accountability issues, including $488.79 million in unpaid revenues and lingering surface rental debts.
A significant concern centers on $145 million from GNPC Explorco’s 2024 oil liftings, which were not deposited into the Petroleum Holding Fund (PHF), a statutory account for managing petroleum revenues. GNPC maintains that Explorco’s earnings are exempt from PHF requirements, but PIAC disputes this, arguing that the funds represent indirect state participation and must be channeled into the fund. The cumulative unpaid balance linked to GNPC Explorco and its predecessor, Jubilee Oil Holding Limited, now stands at $488.79 million.
Separately, surface rental arrears owed by international oil companies (IOCs) totaled $2.89 million as of December 2024, with 60% tied to three firms whose petroleum agreements were terminated in 2021. PIAC urged the Ghana Revenue Authority, Petroleum Commission, and Ministry of Energy to intensify efforts to recover these debts, emphasizing the need for stricter enforcement of fiscal terms.
The revenue growth underscores Ghana’s continued reliance on oil exports amid volatile global markets. Brent crude averaged $82 per barrel in 2024, up from $76 in 2023, boosting earnings for the country, which produces approximately 170,000 barrels per day. However, the unresolved financial discrepancies highlight systemic challenges in revenue management, complicating efforts to allocate resources for infrastructure and social programs.
Ghana’s petroleum revenue framework, established under the Petroleum Revenue Management Act (PRMA), mandates transparency in PHF inflows to ensure equitable distribution. The GNPC-PIAC dispute tests this framework, raising questions about oversight mechanisms for state-linked entities. Meanwhile, unrecovered surface rentals reflect broader inefficiencies in enforcing fiscal compliance, a recurring issue in resource-dependent economies.
As oil prices remain a critical revenue driver, Ghana faces mounting pressure to address accountability gaps while balancing exploration incentives. The PIAC report serves as a reminder that revenue gains alone cannot guarantee sustainable development without robust governance to safeguard public funds. Resolving these disputes will be pivotal to maintaining investor confidence and ensuring petroleum wealth benefits broader economic priorities.
