Oil & Gas CEOs Identify Cybersecurity As A Threat To Business
According to the 2019 Global CEO Outlook, published by KPMG International, business leaders in the oil and gas sector are optimistic about the future, however, cybersecurity remains a real threat.
91% of responders expressed confidence about their organization’s growth prospects, while 86% also recorded confidence in the growth prospects of their industry.
The survey found that over half (55%) of CEOs in the oil and gas sector projected top-line revenue growth of up to 2% over the next three years. While an optimistic 39% projected their revenue will grow between two to five per cent.
However, the report also revealed business leaders have growing anxieties about existential threats.
According to KPMG, the 2019 study revealed that oil and gas CEOs ranked cybersecurity as the biggest threat to organizational growth.
This threat is followed by the risks caused by environmental and climate change, disruptive technology, territorialism, and operations.
With only a small margin between each of the risks identified, it can be deduced that CEOs are focused on building the organizational resilience needed to master disruption and maintain growth momentum.
The risk posed by cyber threats is real, with slightly over half (51%) of CEOs in the sector believing that becoming a victim of a cyberattack is now a case of ‘when’, not ‘if’.
In the same vein, 66% believe that a strong cyber strategy is critical to engender trust with their key stakeholders. Interestingly, KPMG’s study found that over two-third (63%) of oil and gas CEOs believe their organizations are prepared for a future cyberattack.
According to Datuk Johan Idris, managing partner of KPMG in Malaysia, the gravity attached to the cybersecurity agenda is a positive indication that CEOs in the sector are serious about ensuring business resilience.
He added: “Business leaders must remain vigilant and avoid complacency when it comes to governance in cyberspace. We operate in a digital world today where breaches can happen anytime.
“Complacency will only increase the risks across the business, with lasting impacts not just to the company’s financial performance but also to their reputation. Ultimately, smart leaders are those who are making cyber preparedness a board priority, stress-testing the resilience of their systems and people to withstand an attack.”
CEOs in the oil and gas sector appear to take a proactive approach on the technology agenda with 73% claiming they are personally leading the technology strategy for their organisation.
Furthermore, a majority (69%) are increasing capital investments in buying more new technology to improve their organization’s resilience.
These business leaders have also revealed that modernizing their workforce is the strategy they rely on the most to ensure their organisation is future-ready. On a similarly positive note, 67% of CEOs anticipate to increase their headcount by up to 5% over the next three years.
Source: Esi-Africa.com
Ghana: Vivo Energy Celebrates Hardworking Shell Retailers
Vivo Energy Ghana, is sponsoring two hardworking Shell retailers, together with their spouses and a service champion for a sterling business performance and demonstrating a customer centric approach to their business.
Mr. Augustine Osei-Bonsu, the Country Retailer of the Year, Mr. Yiadom Boakye Boateng, Gold Retailer and Richmond Amegah, Service Champion of the Year will enjoy an all-expense paid trip to Sydney, Australia to participate in the Shell Global Smiling Stars Programme.
Elizabeth Sampson of Vivo Energy Ghana was also adjudged the Territory Manager of the Year at the 2018 Vivo Energy Ghana Retail Conference and Awards Dinner. A total of forty-one (41) awards were presented to deserving retailers and support staff across the country for exceptional business performance in 2018.
The Country Retailer of the Year, Mr. Augustine Osei-Bonsu expressed his gratitude to the management and staff of Vivo Energy Ghana for the support to retailers over the years through capacity building programmes and operational excellence.
“I want to thank Vivo Energy Ghana for recognizing our efforts and contributions to the growth of the retail business. Shell products are the most advanced and quality brand in the industry and I want to reassure our customers of the best experience at our service stations.
Delivering the keynote address, the Managing Director of Vivo Energy Ghana, Mr. Ben Hassan Ouattara indicated that Vivo Energy is rapidly modernizing its retail business to meet world–class standards to deliver and exceed the expectations of customers.
“Shell scientists are passionate in their goal of finding ways to make fuel more efficient, while delivering improved performance.
Vivo Energy Ghana as part of its modernization plan will continue to invest in its business to meet world-class standards and ensure that our service stations are accessible, clean, efficient, and customer-friendly”, he said.
Mr. Ouattara also used the occasion to remind all retailers to abide by Vivo Energy’s high operational standards and demonstrate the company’s values of honesty, integrity, and respect for people at all times.
“Our customers are the prime focus of our business and we will continue to provide them with quality and the right quantity of fuels at our over 230 Shell service stations strategically located across the country”, he said.
The Retail Manager of Vivo Energy Ghana, Mr. Emil Jackson Adanuvor reiterated Vivo Energy Ghana’s commitment to building the capacity of its retailers and forecourt staff to continue to be the best in their roles.
Cote D’Ivoire Pilot To Reduce Energy Losses Globally
The US Trade and Development Agency (USTDA) has selected EnerNex as a partner for grid modernization project in Cote d’Ivoire.
EnerNex will provide its services for the implementation of a smart grid study project.
The study will help Cote d’Ivoire Energies (CI-ENERGIES) to identify measures to reduce its energy losses.
The results of the pilot will be used to develop a full “Loss Reduction Strategy” and implementation plan to reduce energy losses globally.
The project will also help Cote d’Ivoire to expand its energy generation capacity by integrating more renewable energy resources.
The West African country is confident modernizing its grid will help it to achieve its goal of becoming an emerging country by 2020.
The goal is to improve, ultimately, the standard of living by adopting measures and reforms to accelerate people’s access to basic goods and services.
“We commend CI-ENERGIES for their solid operational and technical advancements among the different segments of the Ivorian electricity system which will enable overall efficiency to be higher than 87% by 2020,” said Aaron Snyder, EnerNex director of technology consulting.
“We thank USTDA and CI-ENERGIES for giving us the opportunity to build upon and learn from the Ivorian experts and we look forward to strengthening the grid to achieve the goal of this study,” Snyder added.
Thomas R. Hardy, USTDA’s acting director, said: “Our Agency’s study will help modernize the country’s grid by utilizing American engineering expertise and create new opportunities for US smart grid firms to enter this dynamic market.”
Ghana: Independent Power Producers Demand 30% Hike In Utility Tariff
Kwame Pianim
Independent Power Producers in the West African nation, Ghana, have called on government to increase utility tariffs by 30 percent.
Chairman of the Chamber of Independent Power Producers, Distributors and Bulk Power Consumers, Kwame Pianim made the call on behalf of the power producers.
According to him, this would aid in efforts to make citizens pay realistic tariffs, suggesting that Ghana’s economic growth will suffer if the government continues to subsidize electricity.
Speaking to an Accra based Star FM, he said “if we can do a 30% increase. Some people advocate gradually maybe over a 5-year period. We should all close our eyes and do it once and for all and get rid of it. So that we don’t have these legacy debts being there in the energy sector.”
He noted, “it goes back years and we need our money for better things. For educating our people, for providing healthcare when we are sick, for creating jobs for the youth. If we don’t use the monies to train our youths, they will be on the streets destabilizing our economic and political system.”
Delay In Utility Tariff Announcement Causing Anxiety Amongst Businesses-ACEP
The Africa Centre for Energy Policy (ACEP) has described as worrying delay by the Public Utilities Regulatory Commission (PURC) in communicating its decision on new tariff, which is expected to take effect from 1st July, 2019, following the mandatory major tariff review consultations in January this year.
“ACEP’s interactions with key consumers of electricity show that anxiety is already high within the business community and expect the Commission to be fully sensitive to the realities on the ground in order not to inject unnecessary shock into plans of consumers and, by extension, the economy,” a statement signed by Benjamin Boakye, Executive Director of ACEP and copied to energynewsafrica.com noted.
The Commission, earlier this year, postponed its decision to announce a new tariff for utilities to the end of June 2019, for it to take effect from July 1.
This was as a result of some critical emerging issues in the sector, which were expected to affect the final tariff setting.
The shift in the effective date of the major tariff was, therefore, to allow the Commission to accommodate the important variables it expected would influence the tariff.
The practice, according to ACEP, has been that new tariffs are
announced, at least, two weeks prior to the effective date.
This is necessary to allow stakeholders to adjust their systems and budget to accommodate the new tariff.
ACEP, by this, called on the Commission to communicate to consumers what its intentions are, as to whether it would extend the effective date of the tariff, or immediately announce the new tariff to allow consumers time to absorb and adjust to the changes.
Below is the full statement
PURC MUST COMMUNICATE ITS ELECTRICITY TARIFF NOW, IF THE 1ST JULY EFFECTIVE
DATE IS STILL RELEVANT.
Press release,
Accra, 19th June, 2019.
The Africa Centre for Energy Policy (ACEP) is worried about the delay by the Public Utilities Regulatory Commission (PURC) to communicate the tariff which the Commission announced in February would take effect from 1st July 2019, following the mandatory major tariff review consultations in January this year.
In a press statement issued on 27th February 2019, the Commission stated that its decision to postpone the announcement of the tariff to July was “… due to critical emerging issues in the sector which are expected to affect the final tariff setting.
Amongst others, the emerging issues are related to the planned relocation of the Karpowership Plant resulting in fuel switch savings from Heavy Fuel Oil (HFO) to Natural Gas. Secondly, reductions in the price of natural gas are anticipated due to ongoing negotiations by government. These matters are outside the purview of PURC but their outcomes are likely to have measurable impact on the Commission’s decision.”
The shift in effective date of the major tariff was therefore to allow the Commission to
accommodate the important variables it expected would influence the tariff.
The practice has been that new tariffs are announced at least two weeks prior to effective date. This is necessary to allow stakeholders to adjust their systems and budget to accommodate the new tariff.However, today is the 19th of June (11 days shy of the proposed 1st July tariff effective date), yet the tariff has not been announced.
ACEP does not expect the Commission to, within few days to the effective date, ambush electricity consumers with the new tariff which holds about 90% chance of upward adjustment. This is because doing so potentially distorts the plans of consumers significantly, particularly the business community whose investment decisions have been held hostage by the uncertainty in the expected tariff adjustment level.
ACEP’s interactions with key consumers of electricity show that anxiety is already high within the business community and the Commission to be fully sensitive to the realities on the ground in order not to inject unnecessary shock into plans of consumers and, by extension, the economy.
ACEP therefore calls on the Commission to communicate to consumers what its intentions are, as to whether it will extend the effective date of the tariff or immediately announce the tariff, to allow consumers time to absorb and adjust to the changes, whatever that may be.
Revealed: Man Who Attempted Suicide Onboard FPSO Nkrumah Is A Sub-contractor
It has emerged that the South African who allegedly attempted suicide by jumping from the FPSO Kwame Nkrumah into the sea on Tuesday in the Republic of Ghana, is a sub-contractor.
This was confirmed in a statement issued by Tullow Ghana Limited, the operator of the Jubilee Field, Ghana.
“Tullow Ghana Limited (TGL), ‘operator’ of the Jubilee Field, is aware of a man overboard incident offshore at the FPSO Kwame Nkrumah at 14:25 hours on Tuesday, 18 June, 2019.
“The individual involved is a sub-contractor,” the statement said.
Tullow says full emergency response procedures were activated, and the contractor was rescued at about 14:33 hours.
“The individual received emergency treatment and is currently being managed by a medical team in Accra. There was no injury following medical assessment,” the statement noted.
It added that “Tullow and MODEC Ghana have contacted all relevant authorities.”
Tullow explained that safety and security of all workers offshore and onshore are of utmost priority to them, adding that the company would continue to observe key safety measures.
It stated that “Jubilee operations were not impacted and continue.”
Offshore Technology Conference: How Did It Benefit Ghana?
Dr. Mohammed Amin Adam (left) speaking to Michael Creg Afful(right)
I had the opportunity to visit Houston, Texas, USA, to cover the Offshore Technology Conference which began on Monday, 6th May and ended on Thursday, 9th May, 2019. It was my first time of visiting one of the most powerful nations in the world, USA, and I had wonderful experience.
Houston is the oil and gas hub of the US and so as a journalist who reports on energy, the visit gave me the opportunity to meet with some players in the sector who one would hardly come by. Except the closed door meetings, I participated in most of the events planned by the Ghanaian delegation led by the Energy Minister John Peter Amewu.
My most cherishing moment was our visit to Halliburton and TGS, the world’s leading seismic data gathering company. I left these two places excited because I learnt a lot from there. It was the visits that got me to know that the two have offices in Ghana. TGS has been working for Ghana’s National Oil Company (GNPC) to acquire seismic data on Ghana’s oil fields, and I learnt this on the visit.
Ghana empaneled speakers like Hassan Tampuli of NPA, Dr Ben KD Asante of Ghana Gas, Patrick Akpe Kwame Akorli of GOIL, Senyo Hosi of Chamber of Bulk Distribution Companies (CBOD), Egbert Faibille of Petroleum Commission, Jan Arve Haugan of Aker Energy, Ms Randi Cruiz of ExxonMobil, Joe Mensah of Kosmos Energy, Kweku Andoh Awotwi of Tullow Ghana Limited and James Yamoah of GNPC for the ‘Ghana Day’, a forum that had Ghana’s Upstream, Middle and Downstream sectors discussed.
The event brought together Ghanaians in diaspora and investors who were looking for new areas to explore oil business. The ‘Ghana Day’ forum was opened with a speech by the Minister for Energy, John Peter Amewu, who made a strong case for Ghana’s nascent oil and gas sector, citing stable political and friendly regulatory environment as key attractive elements to woo investors. In view of this, he extended an invitation to investors to consider Ghana as their most preferred place to invest in the oil and gas sector, assuring them that their investments would be secured, given the level of political stability Ghana has enjoyed over the years.
Interestingly, as it is said that everything that has a beginning has an end, the programme ended successfully. But one would ask: How did Ghana benefit from the conference? I caught up with the Deputy Minister for Energy in-charge of Petroleum, Dr Mohammed Amin Adam, who shared his perspective as to how Ghana from the conference.
Prospects of OTC
“OTC has offered us opportunity to network, learn from peer countries about how they are developing their energy industry so that we can also apply the best practices that we come across in our industry as well. And countries that have developed their industries faster have certainly linked on to others that have done it well. And so like us, we are looking at countries that have advanced in the development of their energy industries that have benefited much from the exploitation of their resources, and I can assure you that we are going to move our industry forward,” Dr Amin Adam said.
This year’s OTC, Dr Amin Adam said, was exemplary for Ghanaian leadership “because we had, for the first time, the ‘Ghana Day’ and the Ghanaian leadership marketing the potential of Ghana, the prospects and opportunities that investors are looking for. We received a massive endorsement for our strategy, and given the attendance at the ‘Ghana Day’ forum, the level of interest investors have in Ghana is high.”
In his view, investors are always looking at places where the security of their investments would be assured, before they invest their monies. Additionally, he said investors look for availability of labour force. These, key influencers, Dr. Amin Adam noted, are what Ghana can boast of.
“We have a stable democracy…It is proven that we have significant amount of untapped resources and, then, also, our people are hardworking, well-designed Ghanaians and, therefore, these are the ingredients every investor is looking for. To the effect that Ghana can boast of these to get this, positions us to get the level of partnership that will inure to the benefit of the people of Ghana and also, our partners, the investors.”
Aggressive Strategy
“Our strategy, as you may know for the oil and gas industry, is what we call the ‘aggressive exploration strategy’, because we believe that if we do not make new commercial discoveries, our oil industry will not exist six to ten years to come, because we are depleting and not replacing. The rate of depletion is higher than the rate of replacement, and you need a high replacement ratio to sustain production. This is why we are embarking on aggressive exploration and so, you know that we are doing the bidding round to attract the type of companies that will come and invest in Ghana, that will come and explore for oil,” he explained.
Dr Amin Adam, John-Peter Amewu, Patricia Asaam, Kwame Jantuah and TGS officials in a group photograph at TGS’s Headquarters in Houston, Texas, USA.
Apart from plans to attract new investors, Dr Amin Adam indicated that the Ministry is also discussing with the existing producers to tap into the resources within their contract areas that have not formed part of the current production.
He said, “We are also trying to look for secondary techniques of oil recovery to maximize production from the existing producing fields. And so, yesterday, we had another Ghana Forum here, talking to investors to come and invest with the view to supporting our strategy. When we do this, we are able to increase our resources, and through that increase and sustain production, we will have more revenue coming over sustained period of time, and that should support our economy in terms of financing the development needs of our people, and also supporting the industrial agenda of our President, Nana Addo. And so, the OTC, for me, is an enormous opportunity for us, and we are hoping that we will get the best.”
Positive signs
According to Dr Amin, the interest shown in Ghana’s oil and gas sector by major oil companies such as ExxonMobil, BP, Aker Energy as well as Qatar Petroleum, is an indication that Ghana’s oil and gas has a brighter future. Responding to a question on the 57 applications the Energy Ministry received for the ongoing licensing bid round, Dr Amin Adam posited that “yes, the interest is very high, and the interesting thing is that, some of the companies that have invested are those that are showing interest in Ghana, and Exxon Mobil is already in Ghana. We are negotiating with CNOOC, BP, Aker Energy is in Ghana, Qatar Petroleum applied to participate in the bid, and we are holding bilateral discussions with them. And so, the level of interest is very high and very interesting, because of the number and quality of companies that are showing up, and the future is bright for Ghana’s oil and gas industry.”
Capacity building for CSOs
Touching on the recent controversy that greeted the 450-550m barrels of oil discovery by Aker Energy, Dr Amin argued that the argument some of the civil society group postulated clearly demonstrated their lack of understanding about petroleum agreement.
He, therefore, stressed the need for civil society groups and think tanks that speak about energy issues, to be empowered through capacity building programmes to enable them have grasp on petroleum agreement.
“Well, I think that we need to provide more education to our think thanks and the NGOs that are interested in debating oil and gas issues, because you know that some of the views that are expressed are not well-informed.
“For example, if you want to assess the physical benefits that a country will thrive from an oil and gas project, you don’t do that by just adding the percentages of just the physical terms. You add royalty to carried interest to additional interest. You don’t do that. What you do is to run modules…cost benefit analysis, and that will determine…because just as you want to benefit, there is also cost you pay because there is risk. And so, for example, if you have Explorco having a commercial interest, they are going to pay for it. It is not free. So, the question you ask is: if you use that money to invest in agriculture, what will be the rate of return to the economy versus using it to invest in an oil project that is not likely to succeed, especially if there is no discovery in the contract area yet?” he quizzed.
“So, the risk is very high compared with the risk of investing the money in another area. And given that we are a developing country and we don’t have so much money, we will want to invest in areas that have lesser risks than areas that have higher risks. And so, what you will want to do is to transfer the risk to the investor or investors that are risk takers so that when they make the discovery, then, you can get your rent, you can get your free interest and you can also get your taxes.
“And so, that is the most important thing. But, if you just add the percentages…and I tell you, there are many petroleum agreements signed in Ghana with higher percentages but they have not led to any discovery. And this is why I keep saying that 100 percent of zero is zero. But, if you are getting investors that are asking for incentives and also for them to be given a little more of the interest in order to bring the area into discovery and eventually, into production, I think that, that is the sensible thing you have to do.
“What we are failing to understand is that, Ghana is still a frontier country, and only less than twenty percent of our hydrocarbon basins are licensed. And so, if you have only twenty percent of your basins licensed, it means that you are not yet a mature province.
“And the level of production in Ghana is just 200,000 barrels a day compared to two million to 2.4 million barrels a day. So, what any serious government will do will be how to attract investments. As a policy, there are two competing policies countries should be looking up to. One is how to attract investments if you are a frontier nation, and the second one is how do I maximize revenue.
“You may not be able to have all the two at the same time because you are a frontier nation, and so, your focus, as a frontier nation, should be how to attract investments, because it is when you attract the investments that you will mature your profit and then you graduate to maximization. ”And so, that is the policy every serious government that understands the dynamics of the industry will do, and that is exactly what this government is doing,” he explained.
Unlike the other sectors of the economy which is easy to understand, Dr Amin pointed out that the energy sector is more technical, stressing that there was the need for continuous education for Ghanaians to have better understanding.
“I think we should understand that we are dealing with an industry that is so technical and so it is too simplistic for propagandists, who want to mislead the people, to just add percentages. They don’t tell the people that the additional interest is not exercised until the oil discovery and so at the time there is no oil discovery, you have twenty percent, not thirty-five. But, if they tell the people that the government is reducing our interest share from thirty-five to twenty percent, they falsely carry the people away.”
Assurance
Dr Amin assured Ghanaians that the Akufo-Addo administration would make sure that it does what is better for Ghanaians in the oil and gas industry for the development of the good people of Ghana.
Michael Creg Afful is the Editor of energynewsafrica.com. He was adjudged the 2018 Best Energy Reporter
Dr Amin Adam, John-Peter Amewu, Patricia Asaam, Kwame Jantuah and TGS officials in a group photograph at TGS’s Headquarters in Houston, Texas, USA.
Apart from plans to attract new investors, Dr Amin Adam indicated that the Ministry is also discussing with the existing producers to tap into the resources within their contract areas that have not formed part of the current production.
He said, “We are also trying to look for secondary techniques of oil recovery to maximize production from the existing producing fields. And so, yesterday, we had another Ghana Forum here, talking to investors to come and invest with the view to supporting our strategy. When we do this, we are able to increase our resources, and through that increase and sustain production, we will have more revenue coming over sustained period of time, and that should support our economy in terms of financing the development needs of our people, and also supporting the industrial agenda of our President, Nana Addo. And so, the OTC, for me, is an enormous opportunity for us, and we are hoping that we will get the best.”
Positive signs
According to Dr Amin, the interest shown in Ghana’s oil and gas sector by major oil companies such as ExxonMobil, BP, Aker Energy as well as Qatar Petroleum, is an indication that Ghana’s oil and gas has a brighter future. Responding to a question on the 57 applications the Energy Ministry received for the ongoing licensing bid round, Dr Amin Adam posited that “yes, the interest is very high, and the interesting thing is that, some of the companies that have invested are those that are showing interest in Ghana, and Exxon Mobil is already in Ghana. We are negotiating with CNOOC, BP, Aker Energy is in Ghana, Qatar Petroleum applied to participate in the bid, and we are holding bilateral discussions with them. And so, the level of interest is very high and very interesting, because of the number and quality of companies that are showing up, and the future is bright for Ghana’s oil and gas industry.”
Capacity building for CSOs
Touching on the recent controversy that greeted the 450-550m barrels of oil discovery by Aker Energy, Dr Amin argued that the argument some of the civil society group postulated clearly demonstrated their lack of understanding about petroleum agreement.
He, therefore, stressed the need for civil society groups and think tanks that speak about energy issues, to be empowered through capacity building programmes to enable them have grasp on petroleum agreement.
“Well, I think that we need to provide more education to our think thanks and the NGOs that are interested in debating oil and gas issues, because you know that some of the views that are expressed are not well-informed.
“For example, if you want to assess the physical benefits that a country will thrive from an oil and gas project, you don’t do that by just adding the percentages of just the physical terms. You add royalty to carried interest to additional interest. You don’t do that. What you do is to run modules…cost benefit analysis, and that will determine…because just as you want to benefit, there is also cost you pay because there is risk. And so, for example, if you have Explorco having a commercial interest, they are going to pay for it. It is not free. So, the question you ask is: if you use that money to invest in agriculture, what will be the rate of return to the economy versus using it to invest in an oil project that is not likely to succeed, especially if there is no discovery in the contract area yet?” he quizzed.
“So, the risk is very high compared with the risk of investing the money in another area. And given that we are a developing country and we don’t have so much money, we will want to invest in areas that have lesser risks than areas that have higher risks. And so, what you will want to do is to transfer the risk to the investor or investors that are risk takers so that when they make the discovery, then, you can get your rent, you can get your free interest and you can also get your taxes.
“And so, that is the most important thing. But, if you just add the percentages…and I tell you, there are many petroleum agreements signed in Ghana with higher percentages but they have not led to any discovery. And this is why I keep saying that 100 percent of zero is zero. But, if you are getting investors that are asking for incentives and also for them to be given a little more of the interest in order to bring the area into discovery and eventually, into production, I think that, that is the sensible thing you have to do.
“What we are failing to understand is that, Ghana is still a frontier country, and only less than twenty percent of our hydrocarbon basins are licensed. And so, if you have only twenty percent of your basins licensed, it means that you are not yet a mature province.
“And the level of production in Ghana is just 200,000 barrels a day compared to two million to 2.4 million barrels a day. So, what any serious government will do will be how to attract investments. As a policy, there are two competing policies countries should be looking up to. One is how to attract investments if you are a frontier nation, and the second one is how do I maximize revenue.
“You may not be able to have all the two at the same time because you are a frontier nation, and so, your focus, as a frontier nation, should be how to attract investments, because it is when you attract the investments that you will mature your profit and then you graduate to maximization. ”And so, that is the policy every serious government that understands the dynamics of the industry will do, and that is exactly what this government is doing,” he explained.
Unlike the other sectors of the economy which is easy to understand, Dr Amin pointed out that the energy sector is more technical, stressing that there was the need for continuous education for Ghanaians to have better understanding.
“I think we should understand that we are dealing with an industry that is so technical and so it is too simplistic for propagandists, who want to mislead the people, to just add percentages. They don’t tell the people that the additional interest is not exercised until the oil discovery and so at the time there is no oil discovery, you have twenty percent, not thirty-five. But, if they tell the people that the government is reducing our interest share from thirty-five to twenty percent, they falsely carry the people away.”
Assurance
Dr Amin assured Ghanaians that the Akufo-Addo administration would make sure that it does what is better for Ghanaians in the oil and gas industry for the development of the good people of Ghana.
Michael Creg Afful is the Editor of energynewsafrica.com. He was adjudged the 2018 Best Energy Reporter Baker Hughes Commended For Supporting Accelerated Oil And Gas Capacity Programme
The Petroleum Commission has commended Baker Hughes/GE on its decision to train five Ghanaians to become internationally accredited and certified welders.
The training which is estimated at a cost of $250,000 is part of efforts to support the Accelerated Oil and Gas Capacity programme.
The programme is aimed at building the capacity of the Ghanaian youth by equipping them with the relevant skills set required for the upstream petroleum industry.
The 8-month to a year course in stainless steel welding, at the Northern Alberta Institute of Technology, will equip the beneficiaries on their return, with the capacity to train many more Ghanaians to support the industry.
The students are drawn from KIKAM, Takoradi Technical University and the Regional Maritime University.
They will benefit from a package, that caters for their tuition, visa, accommodation and transportation.
This effort is in response to a call made by the CEO of the Petroleum Commission, Mr Egbert Faibille Jnr. for Baker Hughes to support Ghana’s local content development efforts and the AOGCP; when a delegation led by the Vice
President responsible for Africa Operations, Ado Oseragbaje paid a courtesy call on the Commission, September last year.
This effort according to Egbert, will help reduce the Expatriate-Ghanaian ratio in the upstream petroleum industry.
In that meeting, the company assured the PC of its commitment to support the AOGC programme by hinting of an already existing training of about 100 Ghanaian students at an online digital academy at a cost of $6,000 each.
Mr Faibille Jnr. while commending also urged them to comply with the relevant laws which include L.I 2204 among others.
He also assured that with the path taken to invest in training Ghanaian welders, Baker Hughes will register its name in the annals of the Ghanaian upstream petroleum local content and localization efforts.
Source: petroleum commission
Ghana: Vice President Bawumia, MCC Delegation Discuss Regional Compact
Vice President Bawumia (fourth from right) with Ambassador Sullivan (fourth from left), Ms. Kim Kyeh (Centre), Charles Adu Boahene (Right) Deputy Minister of Finance and other Officials from MiDA and MCC.
Ghana’s Vice President, Alhaji Dr. Mahamudu Bawumia, has met with a five-member US Delegation, led by H.E. Stephanie Sullivan, the US Ambassador to Ghana.
The delegation comprised Madam Kyeh Kim, the Millennium Challenge Corporation (MCC) Principal Deputy Vice President in charge of Compact Operations, Mr. Bryan Mabry, Deputy Vice President for Finance and Administration, Madam Alicia Robinson-Morgan, Managing Director for the Department of Compact Operations and Mrs. Elizabeth Feleke, Acting Resident Country Director for the Millennium Challenge Corporation (MCC), in the Jubilee House, Accra.
The visit was to discuss the Government of Ghana’s potential participation in a Regional Compact and to seek government’s assurance of support.
Ghana has been selected as a potential beneficiary of a Regional Compact Programme, on the back of the progress made in the implementation of the Power Compact, and the need to facilitate the effective distribution of excess power, available in Ghana, to needy neighbours, by strengthening and improving on existing transmission infrastructure.
The Vice President expressed appreciation to the US Government and the MCC for their consistency in supporting Ghana’s energy sector and overall development agenda.
He assured the delegation of government’s commitment to facilitating the processes that would ensure the success of MCC’s investments in energy, and, in particular, the potential Regional Compact that encompasses a new Ghana-Burkina Faso Transmission Line.
Ghana: BOST Approves Conditions Of Service For Staff After 12 Years Of Agitations
George Mensah Okley, Managing Director of BOST
Management of the Bulk Oil Storage and Transportation (BOST) Company Limited in the West African country, Ghana, has finally put smiles on the faces its staff by signing into law a collective bargaining agreement between the company and the union after 12 years of unsuccessful attempts.
Staff of Bulk Oil Storage and Transportation Company limited have been crying for improved conditions of service for over 12 years now but the agitations of the workers came to an end on Tuesday, June 18, 2019, when the Board of BOST and the union reached an agreement which has been codified into a binding legal document that will stand the test of time for the next two years before a review.
The Board Chairman of BOST, Mr. Ekow Hackman in an interview commended the staff for their loyalty to the company and entreated them not to shy away from making known their concerns to the Board when necessary.
He stressed that “no company is worth dying for if workers’ rights are not protected and promoted.”
Mr. Ekow Hackman further promised the union of BOST that workers’ rights will be protected at the Board level as long as he remains the Board Chairman of BOST.
Mr. Ekow Hackman again urged the leadership of the Union of BOST to ensure that they hold the highest work ethics that will inure to the benefit of the company as they have done all these years.
The Managing Director of BOST, Mr. George Mensah Okley who enjoys widespread support among his workers, particularly the Union was excited that at long last, the collective bargaining agreement between BOST and that of the Union has been codified into a binding legal document.
He reiterated his extreme happiness that “for the first time in 12 years, there is now a staff welfare contract between BOST and its workers.”
“Even though this document has been signed which is binding for the next two years, I will be happy to review it in the course of two years if the need arises,” he assured the Union.
Meanwhile, it is believed that the collective bargaining agreement which has been signed between BOST and its workers is subject for review every two years.
The Bulk Oil Storage and Transportation Company Limited (BOST) which was incorporated in December 1993 as a private limited liability company with the Government of Ghana as the sole shareholder, the workers suffered over 12 years without conditions of service.
Until May 2001, BOST was responsible for the distribution of refined petroleum products from its strategic depots located throughout the country.
Additionally, BOST also holds the Natural Gas Transmission Utility License granted to it by the Ghana Energy Commission (EC) on December 19th, 2012.
The NGTU as per EC Act 541, 1997, will provide transmission and interconnection services for natural gas without discrimination throughout the country.
Source: Citinewsroom.com
Ghana: Oil Worker Attempts Suicide On FPSO Nkrumah
Workers on board FPSO Kwame Nkrumah in the Western Region of the Republic of Ghana are still in a state of shock after a man identified as a South African national allegedly attempted suicide on the oil vessel on Tuesday, June 18.
It is unclear what might have triggered the suicide attempt but a source on board the FPSO told Takoradi based Empire FM, the South African jumped from the vessel into the waters.
The unpleasant situation was quickly brought to the attention of the Offshore Installation Manager (OIM) and other top managers who quickly called in the divers to save the said man.
The divers with the assistance of some tugboats around managed to resuscitate the foreign national.
He has since been medevacked to West African Rescue Association (WARA) health facility in Accra for proper medical attention.
Source: Starrfm.com.gh
Ghana: Remove All Taxes On LPG If It Can’t Be Subsidised – LPG Marketers Association Urges Gov’t
Vice Chairman of the LPG Marketers Association, Mr. Gabriel Kumi
Government has been urged to overlook taxing Liquefied Petroleum Gas (LPG) if it is to realize its quest of ensuring a sizeable number of Ghanaians have access to the product for domestic, commercial and industrial consumption in some time to come.
According to the Cylinder Recirculation Model (CRM), which is the implementation model for the National LPG Policy government envisages that at least 50% of Ghanaians should have access to safe, clean and environmentally-friendly LPG for domestic, commercial and industrial usage by 2030.
However, the Vice Chairman of the LPG Marketers Association, Mr. Gabriel Kumi, has said in view of the saturated market of the product, the only way to increase use is by creating access for new users.
“Unfortunately,” he stated, “new users have been priced out of the market, thus not being able to afford the product”. He therefore suggested that consideration should be given to removing all taxes from the product if government is not ready to subsidise it to create affordability.
The removal of taxes, he insisted, will significantly bring down the cost of the LPG and make it possible for the ordinary Ghanaian to afford it.
Mr. Kumi was speaking at the second edition of the 2019 regional stakeholder engagements of the National Petroleum Authority (NPA) in Kumasi, and revealed that the LPG Marketers Association intends to mount pressure to see this is done.
He also opined that implementation of CRM will take a while to bolster the numbers employed in the sector, until consumption of the LPG increases.
“We have to ensure that the current 6,500 people that are employed in the sector are very fully absorbed, so that in when consumption starts going up it can boost the workforce,” he stated.
The regional stakeholder engagements are aimed at interfacing with the public on implementation of the cylinder recirculation model for the distribution of LPG.
The Chief Executive Officer of NPA, Mr. Alhassan Tampuli, in addressing the gathering among others reiterated that the policy seeks to develop a market-driven structure to ensure safety, increased access and adoption of LPG; and to enhance the capacity of existing regulatory institutions in order to enforce the new market structure’s regulatory requirements.
It is also to “ensure the existence of robust and standard Health, Safety and Environmental practices in the production, marketing and consumption of LPG; and ensure the sustainability of supply” among others.
He said the “Cylinder Recirculation model of LPG distribution will be implemented fully”, adding that the relevant licences will be issued and safety protocols will be keenly observed to ensure safety of the public.
He stated that a number of consultations have been done with various stakeholders, and efforts continue to ensure that others across the country are engaged.
Mr. Tampuli further noted that among the things earmarked for implementation of the CRM is included: risk assessment of LPG facilities in 66-second cycle schools in the country; compliance monitoring of all assessed LPG refilling outlets, second cycle school facilities, and selected facilities in the value chain.
There are also plans to convert high-risk stations into cylinder distribution/exchange points, and undertake capacity building for NPA HSSE staff and industry groups on safety issues among others.
You will agree with me that over the years Ghana’s petroleum downstream industry has witnessed a number of unfortunate accidents as a result of the misuse and inappropriate handling of petroleum products, especially Liquefied Petroleum Gas (LPG).
The issue of safety has been high on the agenda of President Nana Akufo-Addo’s government, and this has culminated in introduction and implementation of the Cylinder Recirculation Model for LPG.
The Ashanti Regional Minister, Mr. Simon Osei Mensah, while commending the NPA for the stakeholder engagement series on the CRM, assessing the expectations of consumers, identifying Investment among others, also said it will facilitate an all-inclusive implementation.
He said it will also “help meet government’s goal of ensuring at least 50% accessibility to safe and environmentally-friendly LPG by the year 2030”.
The Regional Minister said there is a need to “implement the policy and assess how it solves the peculiar needs of the industry and consumers as a whole”.
Source: B&FT
Puma Energy Grabs Three Health and Safety Awards
Officials of Puma Energy receiving the awards
Puma Energy, the global integrated midstream and downstream energy company with a local focus, has swept not one, but three awards at the 2019 HESS Awards which celebrates business leaders in Health and Safety nationwide.
The multiple award-winning energy company has won the awards for HSSE CEO of the Year, CSR Excellence and Road Safety Education – all three awards demonstrating a clear commitment to leading the way in spreading safety culture to the wider society.
Mr. Yahaya Yunusa, the Managing Director of Puma Energy Distribution Ghana limited, was recognized as HSSE CEO of the Year 2019 for his relentless focus on ensuring that the company upholds the highest safety standards in all its operations, be it in aviation, B2B, bunkering, lubricants or retail at its 80-plus service stations nationwide.
Receiving his award, Mr. Yunusa expressed gratitude for the recognition and encouraged his team to continue to uphold the high safety standards that Puma Energy emphasizes.
“I am sincerely grateful for the acknowledgement. Indeed, this is a testament to the safety culture we uphold at Puma Energy. I am proud to have led such a team of dedicated individuals to achieve outstanding results in the area of health and safety across all our operations and initiatives. I also extend this award to our transporters, retail partners, suppliers and customers who have complied with our safety regulations to date,” said Mr. Yunusa.
Upon Puma Energy’s receipt of the Excellence in CSR and Road Safety Education Awards, the Brand, Events and Communications Officer, Ms. Laura Asimeng, had the following to say:
“At Puma Energy, we are all about fuelling Ghanaian journeys, and this is something that we intend to do safely at all times.
“It however does not end with us – we are passionate about spreading our safety culture to the wider public. With Road Safety NGO AMEND and the Rotaract club for example, we provided road crossing infrastructure to the schools in Agbogbloshie and North Legon; with our Transporters, we hold quarterly road safety quizzes to ensure they are on top of road safety knowledge. We leave no stone unturned in ensuring all we interact with are ‘Puma Safe’”, said Ms. Asimeng.
The HESS Awards are organised by IanMatSun Global Services Limited, organisers of the Sustainability and Social Investment Awards in partnership with Firmus Advisory, a leading research company in Ghana.
The HESS awards were created to celebrate companies for their exceptional performance and innovation focused on occupational safety, security and the environment.
Puma Energy is no stranger to the world of delivering high standards. Winner of the Emerging Brand of the Year and Lubricant Product of the Year Awards at the Ghana Oil and Gas Awards, Puma Energy does not falter in delivering excellence to its customers and communities alike.
With over 15 years in developing robust health and safety systems worldwide, Puma Energy strives to deliver petroleum products to its customers swiftly, safely and reliably at an affordable price.
The HESS Awards are organised by IanMatSun Global Services Limited, organisers of the Sustainability and Social Investment Awards in partnership with Firmus Advisory, a leading research company in Ghana.
The HESS awards were created to celebrate companies for their exceptional performance and innovation focused on occupational safety, security and the environment.
Puma Energy is no stranger to the world of delivering high standards. Winner of the Emerging Brand of the Year and Lubricant Product of the Year Awards at the Ghana Oil and Gas Awards, Puma Energy does not falter in delivering excellence to its customers and communities alike.
With over 15 years in developing robust health and safety systems worldwide, Puma Energy strives to deliver petroleum products to its customers swiftly, safely and reliably at an affordable price.
Breaking News: One Dead In Dawhenya Filling Station Explosion
The deceased being covered
One person is reported dead this morning, following a minor explosion at Runel Petro and Gas Filling Station at Dawhenya, in the Prampram District in the Greater Accra Region.
The victim, 47 year old Anthony Ahiabu, who is a worker at the filling station, met his untimely death at about 6am Tuesday, June 18, 2019.
An eyewitness, who spoke to energynewsafrica.com, said the victim was cooking in a building, which houses the staff, close to the filling station.
He said the station took delivery of gas from a tanker into their storage tank “and when the driver finished discharging the fuel, he pulled the pump but unfortunately some amount of gas from the pump traced the fire to the room, thereby, sparking fire.”
According to him, the timely intervention of personnel of the Ghana Fire Service saved the situation from escalating.
Tema Regional Fire Service Operations Officer DOII William Blankson told energynewsafrica.com that they have commenced investigations into the matter.
Meanwhile, the body of the deceased has since been deposited at the Tema general hospital morgue awaiting autopsy.
