Ghana’s crude oil production has declined for the fifth consecutive year, falling from a high of 71.44 million barrels in 2019 to just 48.25 million barrels in 2024, according to the latest Annual Report by the Public Interest and Accountability Committee (PIAC).
The report reveals a marginal year-on-year drop of 0.01% in 2024, but a concerning average annual decline of 7.4% over the past five years.
This sustained downward trend raises serious questions about the future viability of Ghana’s upstream petroleum sector, especially as the country remains heavily reliant on oil revenues to fund critical development programs.
PIAC also raised red flags over petroleum revenue management.
In 2024, a total of US$145.68 million from GNPC Explorco’s crude oil liftings was not deposited into the Petroleum Holding Fund (PHF), in direct violation of the Petroleum Revenue Management Act.
This brings the cumulative unpaid revenues initially retained by Jubilee Oil Holdings Limited (JOHL) and later transferred to GNPC Explorco to US$488.79 million by the end of 2024.
Despite GNPC’s claim that Explorco revenues are exempt from PHF obligations, PIAC has consistently rejected this interpretation, insisting on strict compliance with the law to ensure transparency and fiscal accountability.
The report further highlights ongoing lapses in enforcement within the sector.
As of December 2024, international oil companies owed the government US$2.89 million in outstanding surface rental fees.
Alarmingly, around 60% of these arrears are linked to three companies whose petroleum agreements were terminated as far back as 2021, underscoring weak enforcement mechanisms and delayed revenue recovery.
PIAC has reiterated its call for stronger oversight, legal clarity, and adherence to established revenue management frameworks to safeguard public resources and ensure the long-term health of Ghana’s petroleum industry.
