The Public Interest and Accountability Committee (PIAC) has raised serious concerns over the failure of the Ghana National Petroleum Corporation’s (GNPC) subsidiary, GNPC Explorco, to pay petroleum lifting proceeds of over $145.6 million into the Petroleum Holding Fund (PHF) in 2024.

The revelation is detailed in the 2024 Annual PIAC Report, which also warns of persistent gaps in accountability and resource governance across Ghana’s oil and gas sector.

According to the report, GNPC Explorco retained $145,681,117 from crude oil liftings during the 2024 fiscal year without transferring the amount into the PHF, as mandated by the Petroleum Revenue Management Act (PRMA).

“This brings the cumulative proceeds of unpaid revenue into the PHF, held by JOHL and subsequently GNPC Explorco, to $488,790,044.88 as at the end of 2024.”
PIAC 2024 Annual Report

GNPC has defended its position, arguing that proceeds from GNPC Explorco’s liftings do not qualify as payments due into the PHF, as the company operates under a commercial mandate, separate from the Corporation’s traditional role.

However, PIAC strongly refuted GNPC’s argument, asserting that all revenues derived from the State’s indirect participation in petroleum activities—whether through GNPC or its subsidiaries—must be deposited into the Petroleum Holding Fund.

“Our position remains unchanged: proceeds from liftings by GNPC Explorco constitute indirect participation of the State and therefore must be paid into the PHF.”
PIAC 2024 Annual Report

This recurring dispute over the classification of GNPC Explorco’s revenue adds to growing concerns about transparency and proper oversight of oil revenues in Ghana.

PIAC warned that bypassing the PHF undermines the principles of the PRMA, which was enacted to ensure transparent and accountable use of petroleum income.

PIAC Cites Oil Revenue Management Concerns

The report also flags another longstanding issue: Surface Rental arrears owed by International Oil Companies (IOCs), which now total $2.89 million as of the end of 2024.

Notably, 60 percent of these arrears are linked to three companies whose Petroleum Agreements were terminated in 2021.

“The Ghana Revenue Authority, the Petroleum Commission, the Bank of Ghana and the Ministry of Energy should collaborate to recover the Surface Rental arrears.”
PIAC 2024 Annual Report

Surface rentals are annual payments by oil companies for the acreage they hold under Petroleum Agreements.

These funds form part of the country’s non-tax petroleum revenues and are essential for regulatory operations and sector development.

PIAC has consistently highlighted non-compliance with these payments in its past reports, calling for stronger enforcement and coordinated inter-agency recovery mechanisms.

Another critical finding in the 2024 report is Ghana’s inability to recover 1,186.81 MMSCF of Make-Up Gas (MUG) from the SGN Field, which the government had already paid for.

The lost volume of raw gas represents a waste of valuable energy resources and has raised questions about the adequacy of the country’s gas offtake and infrastructure planning.

To avoid future losses, PIAC has urged the government to expedite expansion of gas infrastructure, allowing for greater offtake and utilisation of produced gas.

Current limitations in storage, transportation, and processing capacity mean that valuable gas is sometimes wasted or sold under unfavourable terms.

The 2024 PIAC report paints a mixed picture: while Ghana continues to benefit from petroleum revenues, growing governance issues—such as unremitted funds, non-compliance with fiscal obligations, and infrastructure bottlenecks—pose serious threats to long-term sector integrity.

PIAC’s findings come at a time when Ghana is increasingly reliant on petroleum revenues for budget support, infrastructure, and social investment.

The Committee has reiterated its call for Parliament, civil society, and oversight bodies to play more active roles in ensuring that all revenue due the State is properly accounted for and utilized.