Cabinet approves Downstream Petroleum policy; more jobs and revenues to follow

The Cabinet of the Republic of Ghana, last Thursday march 14th, approved a Policy on Ghanaian content and Participation in the Downstream Petroleum Industry in Ghana.

The Policy is intended to ensure a Ghanaian-driven and Ghanaian owned petroleum downstream industry capable of attracting increased local value-added investments and enhanced Job opportunities as well as indigenous knowledge, expertise and technology in the industry for overall benefit of Ghanaians.

The new policy framework covers areas such as;
Trading, shipping and bulk distribution of petroleum products
Infrastructure development in the petroleum sector such as construction of port discharge facilities, processing and petrochemical plants
Supply of petroleum to strategic sectors of the economy
As well as general procurement of goods and services for the downstream industry.

Though there has been significant progress in the role and participation of Ghanaians in some of the downstream activities the government believes there is still lots more space for Ghanaian participation

Retention of profits and hard currency
Development of skills and expertise
Increased job creation locally

The policy provides for a grace period for building local capacity as well as on boarding best practices from other jurisdictions where this is being practiced.

Energy Minister Peter Amewu will in the coming days provide more details on the Policy nuances per activity.
A petroleum downstream Ghanaian content committee is to consequently be established under the NPA to supervise, coordinate, administer and monitor and manage the development of local content in the downstream industry.

Government believes efforts such as these will assist in strengthening the Ghanaian economy as well as ensure that Ghanaian capital is bolstered.