zion

Search
ACEP HOLDS STAKEHOLDERS WORKSOP ON NATURAL GAS PRICING AND UTILIZATION REGULATIONS

Government has published a Gas Pricing Policy and is finalizing a Gas Master Plan that sets out the strategic uses of Gas and how value can be added to Gas for economic development.

 

In addition, the Ministry of Petroleum has also drafted Gas Pricing Regulations that will become effective after the passage of the Petroleum Exploration and Production Bill— which dwells extensively on Gas development— into law.

 

The Executive Director of the Africa Centre for Energy Policy (ACEP), Dr Mohammed Amin Adam, made these known at a Stakeholders Workshop on Natural Gas Pricing and Utilization Regulations in Accra, yesterday. 

 

Dr Amin said a positive impact on government policy could only be made through constructive engagement by citizens with government.

 

He said even though government engagement with stakeholders on licensing, accountability and transparency in Oil and Gas governance had been satisfactory, there not been any such engagement on Gas Pricing and Utilization.

 

There was, therefore, the need, he said, to improve on provisions relating to the development of Gas in the Petroleum Exploration and Production Bill as well as provisions relating the Gas Pricing Policy which required modification.

 

Dr Amin noted, for example, that although excess revenue from the Gas Rent Fund is to be transferred to the Petroleum Holding Fund, the Petroleum Revenue Management Law did not recognize the need to regularize this source of revenue as petroleum revenue.

 

He noted also that the Gas Pricing Policy did not come out clearly on who should manage the funds accruing from the charge on Gas Sales Price and Transportation Tariffs.

 

In a presentation on “Gas Pricing and Utilization: The Case of Trinidad and Tobago”, Mr Anthony Paul, Managing Director, Association of Caribbean Energy Specialists Limited, said an efficient and transparent decision-making processes was required as an incentive to investment in the Oil and Gas sector.

 

Mr Paul also stressed the need for flexibility in oil contracts to respond to economic change.

 

For his part, Hon. Ahmadu Seidu Member, Finance Committee in Parliament said Ghana, as an emerging      Oil and Gas market need to learn from best practice countries like Trinidad and Tobago—a country with  a petroleum history  of 105 years and 60 years of Gas Utilization.

 

Sixty Five participants attended the workshop which was organized by ACEP, a policy think tank on energy, with sponsorship from the British Department for International Development (DfID).

 

Meanwhile, Ghana is poised to host an Africa Oil Governance Summit in which about 200 participants are expected to attend and discuss the building of consensus on Oil and Gas governance.

 

Source: ISD (G.D. Zaney)

Created: 07 October 2015
Hits: 3797