The lifting and installation of the Molten Salt Receiver (MSR) on top of the world’s tallest solar power tower is complete.
The 262.44 metre high tower stands at the Mohammed bin Rashid Al Maktoum Solar Park in Dubai, the largest Concentrated Solar Power (CSP) project in the world.
The CSP project is part of the 4th phase of the solar park. The 950MW 4th phase is based on the Independent Power Producer (IPP) model with investments totalling AED 15.78 billion ($4.3 billion).
The Managing Director & CEO of Dubai Electricity and Water Authority (DEWA), Saeed Mohammed Al Tayer said the project is UAE’s contribution towards the building of future of the world with environment-friendly solutions for sustainable development.
Al Tayer stated that the smoothness and continuity of construction work over the past period for this strategic project, despite the coronavirus pandemic. It has taken one and a half years to complete 60% of the CSP tower and without injuries.
The concrete part of the solar power tower is now complete at a height of 222 metres. The MSR was built and assembled while the tower was being built.
Abdul Hamid Al Muhaidib, Executive Managing Director of Noor Energy 1, briefed His Highness on the progress and installation of the MSR. Noor Energy 1 is owned by DEWA, the Silk Road Fund, which is owned by the Chinese Government and ACWA Power from Saudi Arabia.
“ACWA Power is proud to partner with DEWA and Silk Road Fund and support all efforts to make the Dubai Clean Energy Strategy 2050 a reality. Today, we reached another significant milestone in the world’s largest CSP plant, Noor Energy 1. We have completed the lifting of the Molten Salt Receiver in a record time, keeping the highest standards of safety despite the impact of the COVID-19 pandemic and many other challenges. This is yet another demonstration of ACWA Power’s commitment in to the solar industry and the endeavours made in the region to achieve a clean energy future,” said Mohammad Abunayyan, Chairman of ACWA Power.
The MSR is the centre and the most important part of the CSP plant. It receives solar radiation and turns it into thermal energy. Up to 50% of the overall project’s first phase has been completed. This includes the solar power tower, the parabolic basin complex, and the photovoltaic solar panels.
The fourth phase of the solar park combines CSP and photovoltaic technology and is rated for 950MW. It will use 700MW of CSP, 600MW from a parabolic basin complex, 100MW from the solar power tower and 250MW from photovoltaic solar panels.
On its completion, the project will have the largest thermal storage capacity in the world of 15 hours, allowing for energy availability around the clock.
The fourth phase will provide clean energy for 320,000 residences, will reduce 1.6 million tonnes of carbon emissions a year and covers 44 square kilometres.
The Mohammed bin Rashid Al Maktoum Solar Park is the largest single-site solar park in the world based on the IPP model, with a planned capacity of 5,000MW by 2030 and investments of up to AED 50 billion ($13.6 billion).
A Power Purchase Agreement was signed in March 2020 for the 900MW photovoltaic fifth phase based on the IPP model. It will become operational in stages starting in the third quarter of 2021.
A total of 129 yellow jerrycans of fuel said to have been packed in a temporary structure erected along the Ghana-Togo borderline purposely for smuggling into the Republic of Togo have been intercepted by security agencies.
According to MyNewsGh.com, which first broke the story, the illegal activity was detected by police officers, led by Assistant Inspector Sumaila Safo, deployed on patrol duties.
The police surveillance team was said to have placed a distress call upon chancing on the information and got reinforcement and together, the team intercepted the fuel and conveyed it to the main border in the two service patrol pick-up vehicles with registration numbers GI 75 and GI 202 driven by Senior Inspector Samuel Amoako and ICO Emmanuel Ganyo respectively.
The police, upon further intelligence, retrieved twelve (12) additional yellow jerricans of fuel from the same location.
The police said all efforts made by the GIS patrol team to arrest the suspects proved futile.
However, the Command is still making efforts to trace and apprehend the said owner(s) of the fuel.
Currently, the one hundred and forty-one (141) intercepted yellow jerrycans of fuel are in the custody of the GIS, Aflao Command pending further investigations and directives.
Source:www.energynewsafrica.com
Norwegian industrial investment company Aker Capital ASA has entered into an agreement with compatriot shipowner Ocean Yield ASA for co-ownership of oil tankers.
Per the agreement Aker will acquire from Ocean Yield 50 per cent of seven tankers with long-term charters.
The joint venture (JV) will own four LR2 product tankers with long-term charter to the Navig8 Group and three Suezmax tankers with long-term charter to Nordic American Tankers Ltd.
Aker will pay $10.2 million for 50 per cent of the shares in two new holding companies, which is equal to the book values.
The investment satisfies Aker’s return requirements, the company said.
Separately, Ocean Yield said it will continue to guarantee the senior secured bank debt against a guarantee fee.
“The JV will be accounted for as an investment in an associated company and will strengthen Ocean Yield’s equity ratio with more than 2 per cent points as the JV’s bank debt will no longer be consolidated. Due to the low amount of new capital raised in the transaction, the impact on net profit will be limited,” according to the shipowner.
The transaction is subject to final documentation.
Ghana’s President Nana Akufo-Addo is wondering why oil rich country Nigeria is not importing salt from Ghana for its petrochemical industry but imports salt from far away Brazil.
The Head of state of the West African nation believes it is about time Nigeria turned to Ghana for the supply of salt for the country’s petrochemical industry.
Ghana’s salt industry has a potential production capacity of 2.2 million tonnes, but can only manage a maximum of 250,000 tonnes, representing 10 per cent of what nature offers on the coast.
Ada, one of the salt mining towns in Ghana, area alone can boast of over half the capacity of the national production.
The potential salt production capacity in the Ada area, that is Songor Salt Project and Solar Salt, is about 1.4 million tons out of which only 100,000 metric tons is being produced.
The area is losing about 135 million annually due to low levels of production. It is for this reason that four land owners of Ada have come together to seek the help of the government in developing the industry.
“It brings a lot of benefit to the country in terms of the contribution it makes to the petrochemical industry.
“As you all know, salt is a special ingredient in the petrochemical products that we are hoping now to develop over our oil fields, the source of foreign exchange earnings.
“We also know what the huge market there is in our neighbouring Nigeria. They are having to buy salt all the way from Brazil when we are just next door,” President Akufo-Addo said when a delegation of chiefs from the Ada Traditional Council paid a courtesy call on him at the Jubilee House, the seat of government.
President Akufo-Addo assured his guests of the government’s determination to develop the salt industry in the area.
He said the industry has the potential of developing the petro-chemical industry and serves as a foreign exchange earner for the country.
The visit to the seat of government was to, among other things, inform the President of the decision made by the chiefs in Ada to do away with factions in the salt industry.
President Akufo-Addo noted that generation after generation has given talk about the potential of the salt industry for the country, especially the salt industry based in Ada but very little had been done about the growth of the industry.
“I think the time has come for all of us to put our heads together and find a way forward. It will bring a lot of benefits to the country in terms of the contribution it will make to the petrochemical industry. As you all know, salt is a crucial ingredient in all the petrochemical products that we are hoping now to develop out of our oil fields,” President Akufo-Addo stated.
President Akufo-Addo was delighted about the chiefs’ decision to seek the government’s intervention in developing the industry.
He said now that there has been consensus, the government would vigorously develop the salt industry in Ada.
The Mankralo of the Ada Traditional Area and Spokesperson of the chiefs, Nene Obikyere Agudey appealed to President Akufo-Addo to intervene in developing the Industry.
He noted that the four land owners of Ada Traditional Area have come together and “we say we are ready.
“All the impediments…all the problems that we had that militated against this take off, we, the people of Ada, will forever remember you that you are the single person, who through your tenure, have been able to bring salt production to its maximum,” the Ada Paramount Chief added.
Source:www.energynewsafrica.com
The Nigerian National Petroleum Corporation (NNPC) has raised an alarm over prevalent low grade and contaminated AGO, otherwise called, diesel offered at discounted prices in parts of the Country.
The warning was contained in a report by NNPC Retail Limited Managing Director, Sir Billy Okoye, admonishing motorists to be wary of the off-spec products.
Sir Okoye stated that the warning became necessary because the low grade, contaminated diesel is harmful to machines and environment, explaining that NNPC Retail Limited as a market leader considered it incumbent upon it to alert the public on the subject.
He assured consumers that NNPC Retail Limited deals only in premium, high-quality products in the interest of Nigerian motorists and users, urging consumers to patronize the company’s stations where the quality of their products is assured.
As a deregulated product, diesel is also imported by other major and independent marketers in the Country.
The Akufo-Addo administration in the Republic of Ghana has challenged claims by the largest opposition party, NDC that it managed the West African nation’s strategic oil company, BOST, better and more efficiently than what the current administration is doing.
The opposition NDC at a press conference addressed by its National Communication Officer, Sammy Gyamfi said it is worthy of note that under the leadership of the visionary John Dramani Mahama, BOST was so efficiently managed such that, for the first time in the history of the company, it was able to trade with major international oil companies including British Petroleum (BP), Vitol, Trafigura amongst others, on an open credit supply system, a situation that helped to drive local fuel prices down in the year 2015 & 2016 even when world market prices dictated upward adjustments in fuel prices.
“The erstwhile NDC-Mahama government restructured BOST’s operations from zero imports in 2013 to running a minimum of five out of the six fully functionally and profitable petroleum terminals across the country.
“We established a petroleum-trading department in the company and within 24 months, the company traded petroleum products of mainly gasoline, gasoil, LPG and crude oil in the West African market to the tune of USD1.5 billion.
“Also, at the time of exiting office in 2017, the NDC-Mahama government bequeathed to the Akufo-Addo government, 200,000 metric tonnes of refined products valued at about GHS1 billion and 2 million barrels of crude (1 million barrels from the TEN fields and 1 million barrels of Qua-Iboe crude from Nigeria) valued at over US$100 million.
“So well did the NDC-Mahama government improve the finances of BOST through prudent management that after reducing the BOST Margin from 10 pesewas to 3 pesewas in the year 2015, we indicated in our 2016 supplementary budget that we were going to totally scrap the 3 pesewas BOST margin on the prices of petroleum products to reduce the cost of fuel products and provide some respite to Ghanaian petroleum consumers.
“It is sad to note today, that as a result of the thievery and plundering of the resources of BOST in the last three and half years, the once profitable and buoyant state asset, which was a partner to several reputable multinational oil companies under the erstwhile NDC-Mahama government has been completely run down by the Akufo-Addo government such that today, the company (BOST) has no strategic stocks of its own and is virtually borrowing to pay its workers,” Sammy Gyamfi said.
However, a statement issued by the current Management of BOST laughed off NDC’s claims.
Contrary to what the opposition NDC claims was the picture of BOST when they left office, the response of the current management of BOST was that the company was in sordid state when they took over.
The statement gave a detailed state of BOST when the NPP took over.
“As of January 2017, the state of BOST, as company, was as follows: A trade debt of $624 million dollars, Legacy debts of GHS 273 million, 2 years operations with unaudited financial statements (2015-2016), Non-operational marine assets, Non-operational petroleum pipelines resulting in 100% reliance on BRVs for products haulage, $10 million of BOST finances locked up in TOR debt through Sahara oil among others.”
The question then is: “Is this the efficiency being referred to?” it quizzed.
The statement explained that the company’s $624 million dollar debt has been reduced to $57 million dollars as at January 2020.
It added that BOST, under the current administration, has settled the entire GHS 273 million legacy debt and revamping of BOST’s marine facilities.
“Two barges and tug boat have been refurbished and operational and currently generating revenue for the company, both of the company’s major pipelines from Tema to Akosombo, as well as from Buipe to Bolgatanga, are currently being refurbished and are expected to be operational in the third quarter of 2020,” it concluded.
Source:www.energynewsafrica.com
The Director-General of the Ghana Broadcasting Corporation (GBC), Professor Amin Alhassan, has paid a working visit to the Ghana Grid Company Limited (GRIDCo).
This was disclosed by the power transmission company, GRIDCo, in a tweet on the company’s official twitter handle.
According to GRIDCo, Professor Amin Alhassan spent a considerable time during the visit, interacting with GRIDCo Chief Executive, Ing. Jonathan Amoako-Baah, and Director of System Operations at the company, Mark Baah.
The visit included some key presentations during which the Marketing team of the broadcasting house shared the strategy of the media house and areas of potential collaboration between GBC and the power transmission company.
The GBC team also visited the Systems Control Center (SCC) and were taken through the operational processes of the company and how it delivers power from generating companies such as the Volta River Authority (VRA) to distributing companies including the Electricity Company of Ghana.
The Arab Petroleum Investments Corporation (APICORP), a multilateral development financial institution, has announced that it has provided USD40 million in financing to the Kingdom of Saudi Arabia’s first Independent Sewage Treatment Plant (ISTP) sponsored by the private sector – out of a total project finance facility worth USD160 million.
Financing for the facility was provided in collaboration with The National Commercial Bank (NCB) and Sumitomo Mitsui Banking Corporation Europe Limited (SMBC).
The total cost of the project stands at approximately USD245 million, and is in line with the Saudi Vision 2030 reform plan goal for the optimal use of water resources and to encourage private sector participation in economic development initiatives
Located in Dammam, the Dammam ISTP was awarded to a consortium which comprises Metito, Mowah Company CJSC, and Orascom Construction – who each own 40%, 40% and 20% respectively – by the Saudi Ministry of Environment, Water and Agriculture (MEWA) acting through the Saudi Water Partnership Company (SWPC).
The USD160 million financing facility, which has a tenor of 27 years, will be used for the overall development, engineering, construction, operation and maintenance of the Dammam ISTP.
Dr. Ahmed Ali Attiga, Chief Executive Officer of APICORP, said: “As a trusted financial partner to the region’s energy sector, we are pleased to play our part in supporting the first independent sewage treatment plant in Saudi Arabia. By utilizing world-class facilities and technologies, the project will upgrade the existing infrastructure and enable it to effectively recycle waste water. Partnerships between the private and public sectors in financing sustainable energy projects is key and remains a strategic focus for APICORP now more than ever. We are pleased to contribute to the Kingdom’s Vision 2030 through this initiative that enhance the sustainability of the Kingdom’s utilities network.”
On behalf of the Consortium, Rami Ghandour, Metito Managing Director, said: ‘While the world is navigating unprecedented and testing times due to the evolving COVID-19 pandemic, we are delighted to achieve a strategic milestone for the water and wastewater industry in the region with the successful financial closing of the Dammam ISTP. The financial structure for this pioneering project and the backup received from reputable local and international banks and financial institutions is a clear testament to its importance, impact and to the confidence of all stakeholders in its sustainable success.”
The construction of the ISTP has already begun, with commercial operations scheduled to begin in July 2022. The project has a design capacity of up to 350,000 cubic meters per day and an average daily flow treatment capacity of 200,000 cubic meters per day.
The Dammam ISTP will boast world-class and energy efficient facilities including inlet works, an inlet balancing tank, a treatment plant, pumping facilities, final effluent discharge and ISTP outfall pumping station, an electrical sub-station and connections as well as sludge treatment beneficial use facilities.
Source:www.energynewsafrica.com
Africa Oil & Power (AOP), the continent’s energy investment platform, has announced that it will host the first ever Mozambique Gas & Power Conference & Exhibition, on 8-9 March 2021, in Maputo.
It will be under the theme: “Leveraging LNG: Building A Prosperous Mozambique’.
The Mozambique Gas & Power 2021 will focus on investment, downstream diversification, local capacity building and SMEs, and empowering women through the global Equalby30 initiative, as well as how to mitigate the challenges ahead, as the nation aims to be one of the top ten LNG producers worldwide.
The event will be held in partnership with the African Energy Chamber and Attitude HR.
“At AOP we strive to tell the African energy story and attract investment into the energy sector. We have gathered industry leaders in African countries like South Sudan, Angola, South Africa and Equatorial Guinea, and in 2021 we will bring global investors and policymakers in oil and gas and power to Mozambique. This endeavor requires close cooperation and coordination among local businesses, national governments, financial institutions, international energy firms, international energy agencies and industrial players. It is imperative that this broad range of players find a reliable and frequent forum for meeting, discussing, innovating and closing deals,” James Chester, Acting CEO of AOP said.
Workshops, training and certification programs for local businesses and entrepreneurs will be a vital component of the event and will be held on March 10. AOP will work with all actors in the Mozambican gas and power sectors, across government and private sector, to define opportunities and help new and existing investors make headway in the market.
Find out more about Mozambique’s energy industry and about the event at www.AfricaOilandPower.com.
Source:www.energynewsafrica.com
Petrol and diesel prices have become more expensive for the common man with oil marketing companies raising pump prices by 60 paise per litre on Thursday.
The auto fuel prices have now risen five days in a row with petrol prices increasing by Rs 2.74 and diesel by Rs 2.83 per litre since Sunday. In three of the last five days, the prices have risen by a sharp 60 paise per litre while it increased by around 40 and 55 percent per litre on Tuesday and Wednesday.
Sources in oil marketing companies said that price rise could continue for another week or 10 days as global crude prices are firming up with a pick up in demand following opening up of economies across the globe post Covid-19 related lockdown. Even global crude prices are on the rise and its prices have more than doubled from April levels at over $40 a barrel level.
The increase in retail prices on Thursday has been made under the dynamic pricing system for daily revision of fuel prices which OMCs resumed after over 83 days break during the lockdown period.
In the national capital, the retail price of both petrol and diesel had increased by 60 paise per litre to Rs 74 and Rs 72.22 per litre respectively on Thursday.
In other cities, the increase could vary depending on the tax structure on products.
IANS had published earlier that daily price revision may begin in June and retail prices of petrol and diesel could go up to Rs 5 a litre in phases.
Prices of transportation fuel were last revised under the dynamic pricing policy on March 16 and there were few instances of price hike only when the respective state governments hiked VAT or cess. In a bid to increase revenues during the nationwide lockdown, several state governments raised taxes imposed on transportation fuel.
Already, the gap between cost and sale price of petrol and diesel for OMCs has reached around Rs 5-6 per litre. If this has to be covered over a period of time, given there is no further increase in global prices, auto fuel prices may be increased by 40-60 paise per day for a couple of weeks to cover the losses.
The increase in retail price under daily price revision would largely depend on prevailing oil prices and global oil market at the time.
However, lockdown has also curved demand for auto fuel. This could maintain some check on prices.
Raising retail prices became important for OMCs now as the recent steep excise duty hike without resultant increase in petrol and diesel prices, had substantially brought down its marketing margins from record high level of Rs 12-18 per litre.
If it is unable to raise prices when the global crude prices are rising, it would start incurring losses that will get steeper.
By: Opeoluwa Dapo-Thomas
On Tuesday, oil prices continued dropping as investors and traders weighed oversupply prospects, dollar strengthening, and refining margins. Brent crude traded down to $39.92 a barrel, while West Texas Intermediate (WTI) fell to $37.06 during the trading sessions.
What are the issues?
Oversupply Concerns
Earlier this week, Saudi Arabia decided to end additional output cuts this month, which consequently means that in the coming months, an increase in supply in the market would be inevitable. The end of additional output cuts seems to be subscribed by other Gulf producers as they were also keen on ending further cuts.
If the OPEC+ party was successful, the after party was not. The press conference was not bullish, as the outcome of the meeting, the measures to ensure compliance for members cheating on their quotas sounded weak. The impression that suppliers would self-inspect themselves is the monitoring equivalent of students invigilating themselves during examinations, without any external supervision. Given the mechanical strains in shutting off production and revenue targets by member countries, there would surely be some malpractice. However, Iraq has shown signs of ethical conduct by asking Asian refiners to forgo shipments of its Basrah crude.
Also, the market assessed the tone of the Saudi and Russian Ministers when asked about production policies for August, earlier in the week. Novak, the Russian Energy Minister, claimed that it was too early to say what would happen in August, while Saudi’s Energy Minister also said that it was premature to discuss August’s policies. Bear traders considered that and believed there were no assurances for reducing the supply, which would affect the rallying of prices in the short term.
UBS Commodity analyst, Giovanni Staunovo stated that, “A slightly stronger U.S. dollar is weighed on crude prices with the prospect of higher production from Saudi Arabia, Kuwait, UAE and Oman in July which would not help prices.”
These events colliding with the impending return of Libyan oil and unrestricted oil production from U.S. and Canada raise an oversupply concern.
Strong Dollar
Historically, there is an inverse relationship between the price of the U.S. dollar and the price of oil. The reason for this is that when the dollar is strong, fewer dollars are available to purchase oil (remember oil is priced in dollars). With this explanation, a comeback for the greenback after weekly declines has resulted to the increase in its purchasing power. However, traders are expecting the dollar to take a hit, with the “potential FED stimulus” approaching.
Refining Margins
Two months ago, there were problems with storage capacity in the oil market. Now, another two-word phrase has been injected to give the bears momentum—refining margins. Defined by Mckinsey, ‘It is an industrial measure of the value contribution of the refinery per unit of input.’ This problem formed a part of Goldman Sachs’s outlook for Brent crude in the short term. The investment bank believes that prices would pull back to $35 because of the collapse in refinery margins and the incoming oil production from the U.S. and Libya.
The bank also said, “the collapse in refining margins to unprecedented lows is reflective of both over-valued crude prices as well as a more moderate demand recovery, two pillars of our short-term bearish view.”
Warren Patterson, head of commodities strategy at ING, signaled caution saying, “if we look at the rally we’ve seen in crude oil prices, it’s been amazing, but the big uncertainty is if you look at refinery margins, they are very weak across the board across all regions.”
Could this be a market correction, or is the market taking a breather after strong rallies in the previous weeks, or are oil prices over-valued? The following weeks would be crucial to know the answer to this question.
Dapo-Thomas Opeoluwa is a Global Markets analyst and an Energy trader. He is currently an MSc. Student in International Business, Banking and Finance at the University of Dundee and holds a B.Sc in Economics from Redeemers University. As an Oil Analyst at Nairametrics, he focuses mostly on the energy sector, fundamentals for oil prices and analysis behind every market move. Opeoluwa is also experienced in the areas of politics, business consultancy, and the financial marketplace. You may contact him via his email- [email protected]
The Nigerian Electricity Regulatory Commission (NERC) has expressed its intention to commence enforcement action against 7 electricity distribution companies (DisCos) over their failure to comply with the orders to cap estimated bills to customers.
This was disclosed by NERC in a tweet post on their official twitter handle on Tuesday, June 9, 2020.
“The Nigerian Electricity Regulatory Commission has issued notices of intention to commence enforcement action against seven electricity distribution companies over their failure to comply with the order 197/2020 on capping of unmetered R2 and C1 electricity customers,” NERC said.
NERC’s order 197/2020 places limits on estimated bills that the DisCos can charge the unmetered consumers of residential (R2) and commercial (C1)
The Nigerian Electricity Regulatory Commission has issued notices of intention to commence enforcement action against Seven electricity distribution companies over their failure to comply with the Order 197/2020 on capping of unmetered R2 and C1 electricity customers.
The Nigerian Electricity Regulatory Commission listed the electricity distribution companies involved to include those in Enugu, Eko, Benin, Ikeja, Kano, Kaduna, and Port Harcourt.
These distribution companies were given a timeframe of 14 days with effect from June 4, 2020, to explain why the regulatory commission should not sanction them over their alleged failure to comply with the order.
The NERC had in February issued order No/NERC/197/2020 on capping of estimated billings in the Nigerian Electricity Supply Industry, thereby placing a cap on estimated bills to unmetered customers.
This was to protect unmetered R2 (Residential single and 3 phase meters, who consume more than 50kwh per month) and C1 (Commercial single and 3 phase meters, small businesses) customers from estimated and arbitrary billing and hopefully hasten the process of metering.
Report reaching energynewsafrica.com indicates that a tanker yard at Kpone, near Tema in the Greater Accra of the Republic of Ghana, has been gutted by fire.
According to an eyewitness who confirmed the incident to energynewsafrica.com a couple of the tankers in the yard had been burnt.
Officially, it is not yet clear what sparked the fire though it is alleged that the fire occurred as a result of fuel discharge.
The eyewitness account indicated that fire personnel who were called to the scene are trying to bring the fire under control.
Fire fighters at the scene
The Tema Deputy Regional Fire Officer of the Ghana National Fire Service (GNFS) Divisional Officer Grade I Timothy Affum told energynewsafrica.com in a telephone conversation that his outfit received a call at 6:15pm on Tuesday, June 9, 2020 that there had been a fire outbreak at a tanker yard at Kpone Kokompe and they proceeded immediately to the scene.
According to him, his outfit deployed about four fire tenders to the scene and are currently trying to bring the fire under control.
Source:www,energynewsafrica.com
A former Minister for Energy and Petroleum under the erstwhile John Mahama administration in the Republic of Ghana, Emmanuel Armah Kofi Buah is accusing the Akufo-Addo administration for rolling back the gains made by the opposition National Democratic Congress (NDC) in the oil and gas sector while in government.
According to him, government has done very little to improve the industry as he says they only find luxury in blaming their current challenges.
“I think that this government has rolled back our progress for 10 years,” Mr. Armah Buah who is also the Member of Parliament for Ellembelle made the assertion in an interview with Joy News.
Mr Kofi Buah explained that the discrepancies in the implementation of the local content law and some regulatory mechanisms are some of the major areas where the Akufo-Addo-led administration is failing to effectively manage per his assessment.
“They’ve weakened the local content regime, they’ve weakened the regulatory institutions. In fact the national oil company (GNPC), today go and look at their focus.”
He explained that the NDC’s focus was to take the GNPC to a stage where the company can self-sufficiently discover oil and operate without any international middlemen. This vision, Mr Buah laments, has not materialised due to lack of investment in the sector by government since assumption of office.
“It was realized that this industry is a private-sector driven one. The only way you can compete is to make sure that you’re operating like the private sector. But all these reporting requirements and bureaucracies in government did not allow the GNPC to operate well. So we decided to create another arm of GNPC that is solely private-sector driven. That’s ExplorCo.”
This company [ExplorCo] was supposed to “help GNPC get to that destination and compete,” a vision which the Former Energy and Petroleum Minster says government has made a mess of.
“When a government comes and says we don’t need ExplorCo, throw it away. And takes the 24 per cent we gave to ExploreCo and gives it to the foreigner, we are not making progress,” he revealed.
He chastised the government for blaming the NDC for most of its energy sector challenges adding that “I don’t blame him [Deputy Energy Minister Mohamed Amin Adam] because he has the luxury of saying anything he says because he was not part of the team, led by former President Mahama who never slept and brought Ghana into the gas era.”
Source:www.energynewsafrica.com
