Kenya: Fuel Supply Cut Looms As Marketers Demand US$542.3Million Debt
Kenya could soon go back to the fuel shortage last witnessed in May if the government of the East African nation does not clear the rising debt owed to suppliers.
According to a report filed by Kenya Star, a top official of one of the major oil suppliers in the country has said oil suppliers were considering holding stock pending clearance of almost Sh11 billion (US$91,784,000) they are seeking from the government.
“The business is not making sense anymore. Arrears arising from the subsidy plan are unsustainable. We are forced to borrow to sustain operations,” the top official said as quoted by Kenya Star.
The top official is said to have added that arrears have been accumulating since June and efforts to follow up on payments were complicated by the recent general elections.
“We fear that the transition, following the election of the new government, will worsen the situation to our disadvantage,” he added.
On Friday, the Petroleum Outlets Association of Kenya (POAK), a body that brings together all operators in the sector, hinted at supply disruption, indicating that suppliers have run out of funds.
“The Petroleum Industry is owed more today than ever…a bill of Sh65 billion (US$542,360,000). This is a sizable percentage of the industry’s market cap and large enough to cause supply disruption,” POAK said in a tweet.
The lobby added that suppliers are in extreme dilemma fueled by government transition, product availability and cost.
“Both the National Treasury, the Ministry of Energy and the Energy and Petroleum Regulatory Authority (EPRA) did not respond to our inquiries about the status of the subsidy plan and repayments to suppliers.”
The government and fuel suppliers have been in a hot and cold relationship since the introduction of the fuel subsidy plan, leading to a countrywide shortage in April.
Delays in the payment of subsidies to the companies by the government pushed up prices in the wholesale market where oil majors resold fuel to the smaller independent fuel retailers who control 40 per cent of the market.
This saw the small retailers hesitate to buy the costly fuel, with the increased supply of oil majors unable to plug the deficit.
The oil majors are also cautious to increase supply, uncertain about whether the state would compensate them for fuel not used to calculate the monthly price adjustments.
Both the government and international bodies like the International Monetary Fund (IMF) have questioned the sustainability of the oil subsidy.
Source: https://energynewsafrica.com
Ghana: VRA Boosts Solar Power Generation With 13MW In Kaleo In Upper West
Ghana’s largest state power generation company, Volta River Authority (VRA), will, on Tuesday, August 23, 2022, commission a 13MW peak solar plant in Kaleo in the Upper West Region to boost electricity generation in the West African nation.
This will add to the company’s 6.5MW peak at Lawra, 2.5MW solar in Navrongo in Upper East Region and 80kW rooftop solar at its headquarters in Accra.
President Akufo-Addo, who is touring the Upper West Region, will commission the project as part of his tour of the region.
In 2020, VRA commissioned a 6.5MW peak solar power plant in Lawra in the Upper West Region.
Both the Lawra and Kaleo projects were executed by Elecnor S.A. from Spain, with Tractebel Engineering of Germany acting as the Project Consultant.
The projects were funded by KfW, a German Development Bank, through a Loan Agreement between the Government of Germany, represented by KfW, and the Government of Ghana, represented by the Ministry of Finance and the VRA for a facility of 22.8 million Euros.
The projects would boost VRA’s power generation capacity, reduce VRA’s carbon footprint by increasing non-fossil fuel generation and also stabilise the voltage levels and power supply in the Upper West Region, as well as provide additional power for the consumption of 32,200 households (estimated annual average consumption per household of 976kWh).
VRA has set a goal to command, at least, 70 per cent of the renewable space in Ghana in line with its 5-10-year Renewable Energy Development Programme.
The move is in line with the Government of Ghana’s policy to promote the development and utilisation of Renewable Energy (RE).
“In 2019, the Authority completed its first 80kw rooftop solar at its headquarters in Accra, as part of its culture of working in green and smart environment.
“In future, the VRA intends to develop a pilot floating solar project on the Kpong Hydro-electric head pond at Akuse and deploy rooftop solar system in our office and residential facilities at Akosombo, Akuse and Aboadze,” Ing Emmanuel Antwi-Darkwa, CEO of VRA, said as captured in the company’s 2019 Sustainability Report.
The VRA is, also, venturing into wind power production and looks forward to developing about 150MW wind power projects to be located in Anloga and West Ada Districts of the Volta and Greater Accra Regions respectively, in the short to medium term.
The 2019 Sustainability Report said feasibility studies and the Environmental and Social Impact Assessment Studies had been concluded for the first 76MW Wind Power Project at Anloga, Srogbe and Anyanui in the Volta Region, as well as the second 76.5MW project in Wokumagbe and Goi in the Greater Accra Region.
The projects would boost VRA’s power generation capacity, reduce VRA’s carbon footprint by increasing non-fossil fuel generation and also stabilise the voltage levels and power supply in the Upper West Region, as well as provide additional power for the consumption of 32,200 households (estimated annual average consumption per household of 976kWh).
VRA has set a goal to command, at least, 70 per cent of the renewable space in Ghana in line with its 5-10-year Renewable Energy Development Programme.
The move is in line with the Government of Ghana’s policy to promote the development and utilisation of Renewable Energy (RE).
“In 2019, the Authority completed its first 80kw rooftop solar at its headquarters in Accra, as part of its culture of working in green and smart environment.
“In future, the VRA intends to develop a pilot floating solar project on the Kpong Hydro-electric head pond at Akuse and deploy rooftop solar system in our office and residential facilities at Akosombo, Akuse and Aboadze,” Ing Emmanuel Antwi-Darkwa, CEO of VRA, said as captured in the company’s 2019 Sustainability Report.
The VRA is, also, venturing into wind power production and looks forward to developing about 150MW wind power projects to be located in Anloga and West Ada Districts of the Volta and Greater Accra Regions respectively, in the short to medium term.
The 2019 Sustainability Report said feasibility studies and the Environmental and Social Impact Assessment Studies had been concluded for the first 76MW Wind Power Project at Anloga, Srogbe and Anyanui in the Volta Region, as well as the second 76.5MW project in Wokumagbe and Goi in the Greater Accra Region. Ghana: Military Personnel Assisting ECG To Install Prepaid Meters Flog Nuaso Residents
Military personnel from the 49 Engineering Regiment of the Ghana Armed Forces who are assisting the staff of ECG to install prepaid meters in Yilo and Manya Krobo Municipalities in the Eastern Region, on Monday, whipped some residents of Nuaso in the Lower Manya Krobo Municipality.
According to sources, the attacks on the residents by the military personnel were unprovoked.
In a video sighted by energynewsafrica.com, a man believed to be over 50 years said he and others were relaxing in their vicinity when the military approached them and started beating them.
He said the military personnel also beat his wife, bruising her hand.
Several other residents were also brutalised, with some victims captured in the video with bruises all over their bodies.
However, a brief statement from the Tema Regional Public Relations Officer of ECG, Sakyiwaa Mensah, stated otherwise.
The statement explained that there was resistance at Nuaso Old Town, where one woman threatened to pour hot oil on the ECG staff and the military personnel.
“A crowd started massing around one ECG team. The military was able to snatch a cutlass from one of the crowd massing around the ECG people,” the statement said.
The statement noted that there have been reports of constant verbal abuses and attacks on the person doing the installation at Nuaso Old Town.
“The team has withdrawn from Nuaso Old Town,” the statement said.
ECG condemned these attacks, describing them as unfortunate situations.
“We keep calling for peace and calm so we can discharge our duties peacefully,” the statement concluded.
The entire Kroboland was disconnected from the national grid for about three weeks, following a series of protests by residents regarding the installation of prepaid meters in the area.
After several engagements by stakeholders, led by national security, the power supply was restored last Friday.
Source: https://energynewsafrica.com
“A crowd started massing around one ECG team. The military was able to snatch a cutlass from one of the crowd massing around the ECG people,” the statement said.
The statement noted that there have been reports of constant verbal abuses and attacks on the person doing the installation at Nuaso Old Town.
“The team has withdrawn from Nuaso Old Town,” the statement said.
ECG condemned these attacks, describing them as unfortunate situations.
“We keep calling for peace and calm so we can discharge our duties peacefully,” the statement concluded.
The entire Kroboland was disconnected from the national grid for about three weeks, following a series of protests by residents regarding the installation of prepaid meters in the area.
After several engagements by stakeholders, led by national security, the power supply was restored last Friday.
Source: https://energynewsafrica.com
AEC Congratulates H.E. Abdirizak Mohamed For His Appointment As Minister Of Petroleum & Mineral Resources Of Somalia
The African Energy Chamber (AEC) congratulates H.E. Abdirizak Mohamed for his appointment as Minister of Petroleum and Mineral Resources of the Federal Republic of Somalia. While this role may present challenges, the AEC firmly believes in the capability of H.E. Minister Mohamed as he drives the country into a new era of energy and economic growth.
Representing one of the final frontiers for oil and gas exploration globally, Somalia is rich with opportunities across the entire energy spectrum and value chain. Despite its proximity to hydrocarbon-rich countries, exploration has been slow in Somalia owing largely to political instability and the lack of adequate investment.
Now, with his appointment, H.E. Mohamed may focus on promoting an enabling environment and accelerating investment in frontier oil and gas activities. Much of the country’s offshore basins have yet to be explored, and with previously attained seismic data revealing high potential prospects, opportunities for establishing the country as a top producer while making high returns on investment are high.
In 2022, the country has made steady progress towards stability, owing largely to recent regulatory reforms and political cooperation, and as global demand for African oil and gas increases, Somalia has emerged as a highly attractive investment destination. Under a mandate to position the country as a top hydrocarbon producer, H.E. Abdirizak Mohamed is set to transform the sector while making a strong case for foreign investment and international player participation. Recently, the government has put statutory bodies in place to negotiate oil exploration and production deals, with the new ministry set to use these bodies to drive participation in 2022 and beyond.
Oil represents the backbone of most industrialized economies, and yet, Somalia relies predominantly on imports to sustain its economy. To change this trend, creating a viable domestic market in Somalia, H.E. Mohamed will be prioritizing exploration, infrastructure development and regional cooperation. First on the agenda will be the return of global energy majors, specifically including Shell and ExxonMobil, both of which declared force majeure but paid $1.7 million to lease offshore blocks for the next 30 years. The return of these majors will be key for unlocking a new era of hydrocarbon exploration in Somalia.
“The AEC would like to commend H.E. Mohamed on his appointment as Minister of Petroleum and Mineral Resources of Somalia. This represents a great accomplishment and the AEC believes that he will take on his new role with drive, innovation and resilience. In 2022, with global market trends constantly fluctuating, and international destinations urgently looking for new oil and gas deposits, unlocking the true potential of Somalia’s hydrocarbon sector will be key, not just for the country itself but the entire continent. The AEC looks forwards to seeing what H.E. Mohamed will accomplish in his new position and offers our support throughout his term,” states NJ Ayuk, Executive Chairman of the AEC.
As the former minister, H.E. Abdirashid Mohamed Ahmed, steps down, the AEC would like to extend their congratulations for a job well done. Despite global market and domestic economic challenges, the former minister made progress towards bringing investment back into the country. For that, he must be commended.
Ghana: We Are Committed To Safe Use Of Nuclear Power—Dr Yamoah
The Executive Director for Nuclear Power Ghana (NPG), Dr Stephen Yamoah, has assured Ghanaians that his outfit is committed to strict compliance with the requirements and rules in the safe application of nuclear technology, and the safety of the people and the environment.
He said NPG would continue to actively engage and provide information on its activities to industry players, stakeholders and the public in general.
Dr. Stephen Yamoah gave the assurance at the opening of the Ghana Industrial Summit and Exhibition organised by the Association of Ghana in Accra.
“We believe in cooperation and will sustain our partnership with the industry,” Dr Yamoah told the business community.
Nuclear Power Ghana is the entity which will be the owner and operator of the yet-to-be-established first nuclear power plant in the West African nation.
The country is about eight years away from boosting its energy generation with the addition of nuclear power.
Providing an update on Ghana’s nuclear project at the Ghana Industrial Summit, Dr Yamoah explained that his outfit issued a Request for Information (RFI) to vendor countries through the Ministry of Energy last year and received 15 responses consisting of information on six large reactors and nine Small Modular Reactors (SMRs).
He said these responses have been evaluated by the Technical Committee and the report submitted to the Ministry of Energy for Cabinet’s attention.
“We are hopeful that the government would decide on the most suitable technology and the Vendor/Strategic partner for Ghana by the end of this year,” Dr Yamoah stated.
NPG has also completed the analysis of field and historical data and ranking of the four candidate sites that were identified in Phase 1.
According to Dr Yamoah, NPG is currently drafting the Preferred Site Report for submission to the Nuclear Regulatory Authority by the end of the year for review and approval.
“As we progress towards the end of our Phase 2, our siting activities will be focused on the preferred site for detailed site characterisation, including physical protection and security assessment, Environmental Impact Assessment (EIA), Emergency Preparedness and Response Plan (EPRP), etc., all of which will lead to another report to the NRA for a construction permit to start construction.”
He stressed that NPG continues to make great strides with stakeholders’ engagements, candidate sites communities outreach, local schools involvement and education programmes.
He added, “We have also had fruitful engagements with some universities for the nurturing and development of the right human capital for the Nuclear Power Project.”
Dr. Yamoah explained that these academic learning institutions will begin Foundational courses for both technical and non-technical persons to support the Nuclear Power Programme / Project.
He further said his outfit continues to partner with and equip media professionals with the needed information to accelerate the public social acceptance licence.
Source: https://energynewsafrica.com
Energy Partnerships In Africa Must Benefit Society Especially Women And Children Through Localization
By: Phumzile Mlambo-Ngcuka
Africa’s capability has grasped the world’s attention in recent times as conflict in Eastern Europe and rising energy costs have highlighted the globe’s precarious energy position.
Recent discoveries of oil and gas across the continent serve as a reminder that Africa has the potential to be an international energy supplier.
Africa nevertheless also must also be focused on increased production of clean energy as part of the just transition and fight against climate change.
Additionally, investment in future projects must ensure full benefits and upliftment of women and children of our continent writes Phumzile Mlambo-Ngcuka the former Director of UN Women and South Africa’s first female deputy president.
Having served both the United Nations and the South African Government, I am of the view that Africa must ensure both consistent and diverse energy supply to its people and the world while also tackling some of the most challenging socio-economic issues it faces. The upliftment of women and ensuring equality will contribute positively development and growth of countries. Diversified energy sources used together with rich energy reserves could act as a force multiplier for growth, economic upliftment, poverty reduction and improved health.
Worryingly, UN Women (https://bit.ly/3dG4A6e) statistics indicate that women in Sub-Saharan Africa collectively spend over 40-billion hours a year collecting water. Rural communities that do not have access to efficient energy sources continue to rely on open fires and burn wood and crop waste to survive. Research also shows that when more income is put into the hands of women, education, children nutrition and health also improve. African countries must be careful of the well documented industry behaviour which has continued to exploit the resources and the local people and African governments that have failed to stand up for their country’s developmental needs.
Later this year, heads of state, industry leaders and multinational oil and gas companies will convene for the annual Africa Oil Week (https://bit.ly/3c0pXPe) conference in Cape Town from October 3rd to 7th. This is Africa’s premium energy event and a key opportunity to outline the benefits of localization. It is also a key moment to present the climate change imperatives which must guide the way forward.
An inclusive approach that benefits locals would boost local skills development, lower supply chain costs, encourage responsive & good governance, enhance infrastructure, develop sustainable local content all in enhanced localization approach and strategies.
Conclusion
It is my sincere hope that, as energy leaders come together for AOW (https://Africa-OilWeek.com) in October, the opportunities that can put Africa on a successful and sustainable energy path are considered with the seriousness they deserve and with the spirit of Ubuntu – the understanding that we are interdependent and coexist as a partnership.
We must grapple with the historic curse of resources that has beleaguered many countries who remain unequal and poor despite growth in exports and foreign earnings from energy resources. Climate change constrains must also continue to guide our choices of energy mix, money gained from fossil fuels must also be used to invest in clean energy and for the development of our people. We must combine our strengths, resources, and knowledge to ensure that no woman or child is left behind as we advance together.
Phumzile Mlambo-Ngcuka is a former Director of UN Women and South Africa’s first female deputy president.
Ukraine: Russia Plans To Switch Off Zaporizhzhya Nuclear Plant From Grid
Russia, which controls the Zaporizhzhya nuclear plant in the southeastern Ukraine, is preparing to disconnect the operating blocks of the plant from the power grid, Ukrainian state nuclear firm Energoatom said on Friday as tensions around the plant have escalated in recent days.
Energoatom believes that Russia was preparing to stage a “large-scale provocation” at Zaporizhzhya, the largest nuclear plant in Europe, the Ukrainian company said in a statement carried by Reuters.
Zaporizhzhya has been occupied by Russian forces since the early days of the Russian invasion of Ukraine. In the early days of the invasion of Ukraine, Russia shelled the Zaporizhzhya power plant, creating concerns about a nuclear disaster ten times bigger than Chernobyl.
Ukrainian staff is still operating the Zaporizhzhya power plant, but there are Russian occupying forces on the ground.
In recent days, tensions have escalated, and last week Antonio Guterres, the Secretary-General of the United Nations, called on Ukraine and Russia to halt fighting in the area of the Zaporizhzhya nuclear power plant and institute a demilitarized zone around it.
Earlier this week, Russia rejected a proposal by Guterres to demilitarize the area around Zaporizhzhya.
Turkish President Recep Tayyip Erdogan discussed the issue with Zaporizhzhya with Guterres and Ukrainian President Volodymyr Zelensky on Thursday, warning about “another Chernobyl” disaster, AFP reported.
Upon his return to Turkey, Erdogan said the situation at Zaporizhzhya was “a threat for the world” and that he plans to discuss the issue with Russian President Vladimir Putin.
“We will discuss this issue with Mr. Putin, and we will ask him specifically for this so that Russia does its part in this regard as an important step for world peace. [Russians] need to take this step. Ukraine has both its own technical staff and its own military forces in Zaporizhzhya. And they are capable of securing safety with their technical staff and soldiers there,” Erdogan said, as carried by Radio Free Europe.
Source:Oilprice.com
Nigeria: NUEE Strike Action Was A Sabotage-Adetayo Claims
The Convener and Executive Director of PowerUp Nigeria, an electric power consumer rights and power sector policy advocacy organisation, has charged Nigerians to stand up against the Nigerian Union of Electricity Employees (NUEE) for plunging the country into darkness last Wednesday.
Adetayo Adegbemle, who condemned the action of the Union, argued that the Union’s action “is simply a sabotage of the Nigerian economy.”
He could not fathom why few people continue to hold Africa’s most populous nation to ransom, without consequences.
“This is probably the only country in the world where such impunity is allowed to pass, without punishment,’’ he fumed in a piece he wrote and copied to energynewsafrica.com.
Although there is no data to show how much the nation lost due to the 10hrs nationwide blackout on Wednesday occasioned by the Union’s strike action, Adetayo noted that a newspaper report puts the loss for those circa 10hrs at N2.3 billion.
Adetayo expressed doubt that the country would be able to quantify the loss as a result of the deliberate action by the Union.
“We will never know how much the nation has lost. Again, no retribution for the sabotage and unnecessary flexing”, he argued.
Nigeria was plunged into darkness by the staff Transmission Company of Nigeria under the aegis of the Nigeria Union of Electricity Employees (NUEE) after they shut down all substations in protest of unresolved grievances.
The Union kicked against the decision of the TCN Board asking all Principal Managers to be interviewed before promotion to Assistant Managers.
They were also not happy about a circular from the Head of Service allegedly “stigmatizing” former NEPA staff who were trying to work in other areas of the power sector, and were also angry about the non-payment of December 2019 ‘entitlement’ of ex-PHCN staff.
Following their threat of a strike in a statement issued by the General Secretary of NUEE, Joe Ajaero, Mr Adetayo noted that the Managing Director of TCN responded immediately by calling off the promotion interviews.
Interestingly, the Minister for State for Power, Jeddy Agba, also issued a letter asking the Union to give them two weeks for frank discussion and resolution.
Sadly, the Union never heeded the Minister’s appeal and instead, threw the whole country into blackout, crippling businesses and households.
After meeting with Chris Ngige, the Minister for Labour, and some Federal Government, the Union agreed to call off the strike for two weeks to enable the parties to discuss and resolve their grievances.
Mr Adetayo believes the Union just wanted to sabotage the country, saying if not why would they reject the two weeks request by the Minister for State for Power and accepted the same after plunging the country into darkness?
He said, “The action of the union calls into question the Power Sector Reform model that we have opted to implement in Nigeria and the rationality of continuing with a single grid/power market.
“This unnecessary flexing of few people in the name of Union further strengthens the call to break down the grid. We have examples of Canada, Brazil, Mexico, India and the USA to follow.
“The Regulators, only in June, announced a contract-based evacuation of power generated by the generating company, and while we are waiting for the gas suppliers to get us to a regular 5000MW, the Union strikes. What, then, is the essence of the contract? he quizzed.
Source: https://energynewsafrica.com
Understanding Nigerian Oil’s New Dawn (Article)
The recent passing into law of Nigeria’s Petroleum Industry Act (PIA) and the establishment of the Upstream Petroleum Regulatory Commission (NUPRC) marks the beginning of an exciting new era for the energy sector in Nigeria, West Africa and the continent at large.
Policy and regulatory clarity are essential to the development of Africa’s energy resources, and the oil sector in particular. The new Act confirms that Africa is taking control of its own resources and setting the agenda for how they will be deployed.
The passing of the act follows decades of work to evolve the sector in line with the needs of the energy business in the industry, the communities impacted, and the Nigerian economy at large. However, the act is complicated, its language ambiguous, and its workings yet to be fully understood.
Global oil industry investors will have an opportunity to inspect the granular detail of the act and how they can get involved at the forthcoming Africa Oil Week, where NUPRC CEO Gbenga Komolafe and other senior Nigerian oil officials will engage with stakeholders on the new dispensation.
The Nigerian oil industry has grown significantly, and the energy landscape has changed enormously – hence the need for a new approach.
Nigeria remains Africa’s leading oil producer, with production of 86.9 metric tons (https://bit.ly/3QFxEca) during 2020. At the same time, oil plays a significant part in Nigeria’s domestic economy, with the oil and gas sector accounting for about 5.8% of the country’s GDP (https://brook.gs/3AqpBdN) and 95% of its foreign-exchange earnings in 2019.
The passage of the Act has come with a renewed assertiveness in the Nigerian oil sector, with underdeveloped assets being reallocated (https://bit.ly/3QxbU2p) and NUPRC CEO Komolafe signalling (https://bit.ly/3SZKc06) a commitment to building synergy and smooth industry operations in the national interest.
“The Commission is very deliberate in identifying and promoting new projects and new field developments to boost the national oil production” says Mr. Komolafe. “We will continue to work with all stakeholders on these strategic areas.”
The new PIA dispensation will allow for the more efficient and sustainable allocation of Nigeria’s oil assets in the best interests of Nigerians and African people at large.
That said, the new environment is deeply complex, and the ambit of the new regulations is vast.
The NUPRC, for instance, is tasked with ensuring compliance to petroleum laws, regulations and guidelines, as well as monitoring operations at drilling sites, wells, production platforms and flow stations, crude oil export terminals, refineries, storage depots, pump stations, retail outlets and pipelines.
It must also supervise all petroleum operations carried out under licences in the country, monitor operations to ensure they are in line with national goals; ensure health, safety and environmental compliance; maintain records on petroleum reserves, production, licences and leases; advise government on technical and policy matters, process licence applications; collect government revenues and maintain and administer the National Data Repository (NDR).
Besides the NUPRC, the Petroleum Act also established the Nigerian Midstream and Downstream Petroleum Regulatory Authority, (NMDPRA).
Together, these authorities are responsible for the technical and commercial regulation of petroleum operations in their respective sectors, and have the power to acquire, hold, and dispose of property.
The Act provides for the Nigerian National Petroleum Company to be run as a quasi-commercial enterprise, with its shares jointly held by the ministries of finance and petroleum.
The Act also establishes the Host Community Development Trust Fund (HCDTF), which is geared to providing social and economic benefits for host communities where petroleum resources are located, and to enhance peaceful coexistence between licensees or lessees and host communities.
The PIA also establishes a hydrocarbons tax, to be levied on income from oil companies’ onshore resources such as crude oil, condensates, and natural gas liquids.
The wide-ranging area of responsibility covered by the PIA, and the use of terms that have yet to be clarified in court, makes for a complicated piece of legislation that bears further explanation.
Energy players will have an opportunity to unpack the regulations and have them explained by the authorities tasked with implementing them at the forthcoming Africa Oil Week event, to be held in Cape Town in October.
“Nigeria is to be congratulated on the progress it has made in codifying the terms for the exploitation of its oil assets,” says Paul Sinclair, AOW Vice-President of Energy and Director of Government Relations.
“However, the global oil industry is clamouring for the chance to gain further clarity on the new laws. We look forward to doing just that, at Africa Oil Week.”
Source: Africa Oil Week
Ghana: Vivo Energy Ghana Renovates St Peter’s Primary School Block to Facilitate Quality Education
Vivo Energy Ghana, the exclusive marketer, and distributor of Shell branded fuels and lubricants has renovated a three-unit classroom block for the St Peter’s Primary School, at Poasi-New Takoradi, in the Sekondi-Takoradi Metropolis, of the Western Region.
In addition to the renovation, the energy company furnished the school block with dual classroom desks, teachers’ desks, bookshelves, white boards, and ceiling fans. Other existing classroom blocks were also repainted to give the school a face-lift.
The company believes the new classroom block will provide a safe shelter and a conducive environment for academic excellence to thrive.
In line with the company’s environmental sustainability programme dubbed ‘Cyclean,’ Vivo Energy Ghana donated waste bins to encourage waste segregation in the school and inculcate the habit of recycling amongst the school children.
Speaking at the handing over ceremony, the Commercial Manager of Vivo Energy Ghana, Mr. Bernard Bosompem who spoke on behalf of the Managing Director, said “the company’s commitment to invest in communities where it operates goes beyond its corporate strategy to playing its role as a responsible corporate entity in complementing the government’s efforts towards achieving the Sustainable Development Goal (SDG) Four of ensuring equitable education for all.”
Commenting on the rationale for the renovation, Mr. Bosompem explained that, Vivo Energy Ghana operates a Bitumen plant within New Takoradi, and the gesture is a demonstration of the company’s commitment to the development of its communities and more importantly, the joy and smile it brings to the faces of the pupils, parents and the community as a whole. He also stated that the company takes pride in the impact of the initiative knowing that the facility will be used to educate younger ones who will grow to become responsible citizens of Ghana and beyond. 
The Western Regional Minister, Mr. Kwabena Okyere Darko-Mensah in his remarks commended the long-standing relationship between the company and Poasi- New Takoradi community. He recalled how Shell has been in the community for the past 70 years and continues to extend its support to them. “The effort of Vivo Energy Ghana towards the growth of the educational sector is exemplary and appealed to other companies operating in Poasi-New Takoradi community to emulate the initiative by the company.
The Metropolitan Director of Education, Mrs. Selly Nelly Coleman, reiterated the government’s commitment towards the provision of educational infrastructure to facilitate access to quality education. She also called on the management of the school to make good use of the facility.
Madam Felicia Odoom, the Assembly Member for Upper New Takoradi expressed her appreciation to Vivo Energy Ghana for the quick response to support the community.
The Chief of Poasi-New Takoradi, Nana Assifuah Kuma IV, commended Vivo Energy Ghana for contributing to the development of education in the community and assured the company of good maintenance of the school for the benefit of future generations.
Source: https://energynewsafrica.com
The Western Regional Minister, Mr. Kwabena Okyere Darko-Mensah in his remarks commended the long-standing relationship between the company and Poasi- New Takoradi community. He recalled how Shell has been in the community for the past 70 years and continues to extend its support to them. “The effort of Vivo Energy Ghana towards the growth of the educational sector is exemplary and appealed to other companies operating in Poasi-New Takoradi community to emulate the initiative by the company.
The Metropolitan Director of Education, Mrs. Selly Nelly Coleman, reiterated the government’s commitment towards the provision of educational infrastructure to facilitate access to quality education. She also called on the management of the school to make good use of the facility.
Madam Felicia Odoom, the Assembly Member for Upper New Takoradi expressed her appreciation to Vivo Energy Ghana for the quick response to support the community.
The Chief of Poasi-New Takoradi, Nana Assifuah Kuma IV, commended Vivo Energy Ghana for contributing to the development of education in the community and assured the company of good maintenance of the school for the benefit of future generations.
Source: https://energynewsafrica.com
Ghana: GOIL MD Inspects Buipe BOST Terminal
The Group Chief Executive Officer and Managing Director of GOIL, Mr. Kwame Osei Prempeh, has paid a working visit to the Bulk Storage and Transportation (BOST) Company Limited Terminal at Buipe in the Savanna Region.
The visit was to acquaint himself with the operations of the terminal facility.
The depot, which has a total storage capacity 50,000 cubic meters of fuel, currently supplies Gasoil to serve the northern part of the country.
Mr. Osei Prempeh encouraged the terminal team to always ensure safety of their operations.
The Terminal Manager, Chris Osanebi, expressed gratitude to Mr. Osei- Prempeh for the visit.
Mr. Osei Prempeh was accompanied by GOIL’s Head of Fuels Marketing, Mr. Augustine Boateng, Acting Head of Corporate Affairs and PR Manager, Mr. Robert Kyere, as well as the company’s Depot Supply Officer, Mr. Michael Anning.
Source: https://energynewsafrica.com
Mr. Osei Prempeh was accompanied by GOIL’s Head of Fuels Marketing, Mr. Augustine Boateng, Acting Head of Corporate Affairs and PR Manager, Mr. Robert Kyere, as well as the company’s Depot Supply Officer, Mr. Michael Anning.
Source: https://energynewsafrica.com
Ghana: ECG Finally Restores Power Supply To Krobo After Three Weeks Blackout
The Electricity Company of Ghana has restored power supply to the Yilo and Manya Krobo Municipalities in the Eastern Region after three weeks of disconnecting the area from the national grid.
Power supply was restored at about 5pm Friday but few minutes later there was power supply cut after ECG transformer in Somanya reportedly went up in flames as a result of power surge.
According to Tema Regional ECG Public Relations Officer, Sakyiwaa Mensah, ECG’s team quickly responded to the situation and has since fixed the problem.
She added that power supply was restored at about 9pm.
The Yilo and Manya Krobo Municipalities have been without power since July 27 amid a dispute over the installation of prepaid meters.
Residents in the area owe ECG an unpaid electricity bills of about Ghs168 million for a period of five years.
To stop the continuous accumulation of unpaid electricity bills ECG embarked on installation of pre-payment meters but the residents opposed the initiative through a series of protests and touched some of their installations.
This compelled the power distribution company to cut power supply to the area.
Speaking on TV3 on Friday night, the Municipal Chief Executive for Yilo Krobo, Simon Kweku Tetteh said there are few areas which are yet to have their supply restored.
He said ECG had promised to restore power to the affected areas on Saturday.
He commended the ECG, Ministry of Energy, Traditional Authorities and the national security for the role they all played to ensure that power supply was restored to the area.
Source: https://energynewsafrica.com
Ghana: TotalEnergies Adjust Fuel Prices By 20 pesewas
TotalEnergies, one of the leading oil marketing companies in the Republic of Ghana, has adjusted its fuel prices upward by 20 pesewas at the pump.
A litre of petrol (super) is now sold at Gh¢11.15 from Gh¢10.95 while diesel is sold at Gh¢13.50 from Gh¢13.30.
Star oil has also adjusted its pump prices with dieseling selling at Gh¢12.98 per litre while petrol is sold at Gh¢10.67 per litre.
As of Thursday, energynewsafrica.com’s checks revealed that only TotalEnergies and Star Oil had adjusted their pump prices.
Leading oil marketing companies, GOIl and Shell, and several others are still selling diesel and petrol at the prices set for the first pricing window which commenced from 1st to 15th August.
Prices of diesel and petrol are reviewed every two weeks in the West African nation.
Although crude oil prices have fallen below $100 per barrel, the Ghanaian currency, the cedis, keeps depreciating against the major international currencies notably the US Dollars, Euros and Pounds.
Some forex trading companies are quoting Ghc9.99 as the exchange rate for a dollar.
Apart from the weak Ghanaian currency, there appear to be shortages of forex in the country, making it difficult for banks to supply oil to importers.
Source: https://energynewsafrica.com
Ghana: There Are Inherent Challenges In Ghana’s Oil And Gas Sector – GNPC Boss
The Acting Chief Executive Officer for the Ghana National Petroleum Corporation (GNPC), Opoku-Ahweneeh Danquah, has explained that there are inherent challenges in Ghana’s oil and gas sector which require the immediate attention of all stakeholders.
He said, “the challenges to the oil and gas industry should not be dismissed as future threats because they are real and present”.
The CEO made the observation at the launch of Ghana’s Upstream Petroleum Chamber report, which was held in Accra.
The chamber, which has dual priorities, focuses on providing its members with a committed platform for promoting, protecting and enhancing their common interest whilst seeking to ensure high standards, best practices and supportive legislation within the upstream industry.
Notable attendees at the event were senior officials from Tullow PLC, Kosmos, ENI, and Petroleum Commission.
Mr. Danquah touched on three key areas, which to him constitute the current challenges facing the oil and gas industry in Ghana.
The three areas are incentivizing exploration; expediting the appraisal to the development process and optimising domestic gas utilization in the context of the energy transition.
Expressing his views on “incentivizing exploration in Ghana”, Mr. Danquah said, “Ghana’s industry is facing the realities of reserves depletion and production decline”.
He continued that the nation remains reliant on its three producing fields, the Greater Jubilee, TEN and the Sankofa Gye Nyame, with another asset at the pre-development stage, and expected to begin production within the medium term”.
He, therefore, indicated that Ghana faces a strong imperative to both increase petroleum production and replace and grow reserves to avoid prolonged production decline.
The CEO also stressed the need to continue engaging key stakeholders at a wider level to re-invigorate exploration by way of encouraging deep-water exploration and drilling of unexplored areas through fiscal incentives.
This is especially true in the wake of a slowdown in exploratory drilling since 2012 – only six (6) exploratory wells were drilled between 2013 and 2021, compared to thirty-seven (37) between 2007 and 2012 around the height of Jubilee field discovery and development,” he alluded.
Again, he underscored the need to come up with initiatives to attract the right international oil companies through enticing licensing rounds and direct negotiations under provisions in section 10 of the Petroleum (Exploration and Production) Act 2016 (Act 919).
In addition, he posited the need to actively engage upstream players and encourage them at every stage of the development and production process, and finally to contribute positively to a responsive regulatory and institutional framework.
Speaking on the subject of “expediting the appraisal to development process”, Mr. Danquah noted that several of the post-Jubilee discoveries can be classified as marginal fields.
He explained that Ghana’s latest commercial discovery to be brought into production was the Sankofa Gye-Nyame fields in 2017.
“This demonstrates a need to speed up and encourage the progression of appraisal stage projects through development and into production” he alluded.
The two key incentives being endorsed in the Ghana context are the tie-in development concept and fiscal incentives for marginal field development.
He eluded that as a best practice, Ghana encourages the tie-in of marginal fields to existing infrastructure to drive down the overall cost of development and production.
As a precedent, he reiterated the development concept behind the Deep Water Tano – Cape Three Points Pecan development which incorporated the tying of idle assets like Beech, Almond, and others into the main Pecan development area.
Another instance was when the Government of Ghana designed two (2) fiscal packages for the West Cape Three Points Block 2 to encourage the development of the existing marginal discoveries and at the same time promote further exploration in the block.
Touching on natural gas as the energy transition fuel in Ghana’s energy mix, Mr. Danquah commented that Ghana’s growing demand for energy will see continued dependence on natural gas.
He claimed that figures from Ghana’s fourth national communication to the United Nations Framework Convention on Climate Change (UNFCCC) suggest that US$14.2 billion was deployed between 2011 and 2019 to develop gas infrastructure in Ghana.
Mr. Danquah explained that “GNPC, in essence, does not see the Energy Transition to cleaner forms of energy as binary – all or nothing; however, we consider it as a gradual process and which cannot progress seamlessly without considering the country’s own present resources as well as its energy security blueprint in the context of eradicating energy poverty”.
“To this end, the Corporation is enabling investment in critical gas infrastructure such as the Tema City Gate project to facilitate gas utilisation in an expanding gas demand market (including non-power off-takers) and ensuring a robust gas value chain across other local gas enclaves.”, he concluded.
Lastly, Mr. Danquah clamoured for collaboration, cooperation and informed transparent decision-making among private, public and government institutions involved in Ghana’s upstream oil and gas sector.
He mentioned that it is only when these variables are in place that the upstream sector can be successful and make meaningful impacts to the economy.
Source: https://energynewsafrica.com
Notable attendees at the event were senior officials from Tullow PLC, Kosmos, ENI, and Petroleum Commission.
Mr. Danquah touched on three key areas, which to him constitute the current challenges facing the oil and gas industry in Ghana.
The three areas are incentivizing exploration; expediting the appraisal to the development process and optimising domestic gas utilization in the context of the energy transition.
Expressing his views on “incentivizing exploration in Ghana”, Mr. Danquah said, “Ghana’s industry is facing the realities of reserves depletion and production decline”.
He continued that the nation remains reliant on its three producing fields, the Greater Jubilee, TEN and the Sankofa Gye Nyame, with another asset at the pre-development stage, and expected to begin production within the medium term”.
He, therefore, indicated that Ghana faces a strong imperative to both increase petroleum production and replace and grow reserves to avoid prolonged production decline.
The CEO also stressed the need to continue engaging key stakeholders at a wider level to re-invigorate exploration by way of encouraging deep-water exploration and drilling of unexplored areas through fiscal incentives.
This is especially true in the wake of a slowdown in exploratory drilling since 2012 – only six (6) exploratory wells were drilled between 2013 and 2021, compared to thirty-seven (37) between 2007 and 2012 around the height of Jubilee field discovery and development,” he alluded.
Again, he underscored the need to come up with initiatives to attract the right international oil companies through enticing licensing rounds and direct negotiations under provisions in section 10 of the Petroleum (Exploration and Production) Act 2016 (Act 919).
In addition, he posited the need to actively engage upstream players and encourage them at every stage of the development and production process, and finally to contribute positively to a responsive regulatory and institutional framework.
Speaking on the subject of “expediting the appraisal to development process”, Mr. Danquah noted that several of the post-Jubilee discoveries can be classified as marginal fields.
He explained that Ghana’s latest commercial discovery to be brought into production was the Sankofa Gye-Nyame fields in 2017.
“This demonstrates a need to speed up and encourage the progression of appraisal stage projects through development and into production” he alluded.
The two key incentives being endorsed in the Ghana context are the tie-in development concept and fiscal incentives for marginal field development.
He eluded that as a best practice, Ghana encourages the tie-in of marginal fields to existing infrastructure to drive down the overall cost of development and production.
As a precedent, he reiterated the development concept behind the Deep Water Tano – Cape Three Points Pecan development which incorporated the tying of idle assets like Beech, Almond, and others into the main Pecan development area.
Another instance was when the Government of Ghana designed two (2) fiscal packages for the West Cape Three Points Block 2 to encourage the development of the existing marginal discoveries and at the same time promote further exploration in the block.
Touching on natural gas as the energy transition fuel in Ghana’s energy mix, Mr. Danquah commented that Ghana’s growing demand for energy will see continued dependence on natural gas.
He claimed that figures from Ghana’s fourth national communication to the United Nations Framework Convention on Climate Change (UNFCCC) suggest that US$14.2 billion was deployed between 2011 and 2019 to develop gas infrastructure in Ghana.
Mr. Danquah explained that “GNPC, in essence, does not see the Energy Transition to cleaner forms of energy as binary – all or nothing; however, we consider it as a gradual process and which cannot progress seamlessly without considering the country’s own present resources as well as its energy security blueprint in the context of eradicating energy poverty”.
“To this end, the Corporation is enabling investment in critical gas infrastructure such as the Tema City Gate project to facilitate gas utilisation in an expanding gas demand market (including non-power off-takers) and ensuring a robust gas value chain across other local gas enclaves.”, he concluded.
Lastly, Mr. Danquah clamoured for collaboration, cooperation and informed transparent decision-making among private, public and government institutions involved in Ghana’s upstream oil and gas sector.
He mentioned that it is only when these variables are in place that the upstream sector can be successful and make meaningful impacts to the economy.
Source: https://energynewsafrica.com