Opinion: Unpacking the alleged oil cartel campaign against SML in Ghana
A contentious debate has erupted in Ghana’s petroleum sector, centering on Strategic Mobilization Ghana Limited (SML), a firm contracted by the Ghana Revenue Authority (GRA) to bolster revenue assurance.
While SML’s role in curbing tax evasion and underreporting has been endorsed by multiple institutions, it faces fierce opposition from journalist Manasseh Azure and associates, who allege irregularities in its operations.
This opinion examines the claims, counterclaims, and data underpinning the controversy, shedding light on whether SML is a victim of a coordinated attack by entrenched interests or a beneficiary of undue government favoritism.
The Allegations and institutional rebuttals
Manasseh Azure’s investigative reports, amplified by The Fourth Estate, accuse SML of securing a lucrative contract through opaque procurement processes and failing to deliver on its mandate. However, these claims clash with findings from three authoritative bodies:
1. KPMG Audit: A 306-page audit commissioned by President Akufo-Addo in 2024 found no evidence of wrongdoing by SML. The report affirmed the company’s effectiveness in enhancing revenue collection.
2. GRA’s Defense: The GRA publicly praised SML’s role in reducing petroleum sector leakages, stating its systems have “significantly improved revenue assurance.”
3. Parliamentary Validation: The Parliamentary Energy Committee, chaired by Hon. Atta Akyea, lauded SML’s “practical solutions” to long-standing revenue losses.
Critics argue that the shifting nature of the allegations—from procurement flaws to contractual disputes—undermines their credibility. For instance, claims of a 10-year contract were debunked by official documents confirming a five-year term approved by the Public Procurement Authority.
Revenue Losses: The Data Behind SML’s Intervention
Central to the debate is the staggering revenue leakage that predated SML’s involvement. A detailed analysis of 2019 data (see table below) reveals:
● Total Unaccounted Volumes: 2.36 billion litres of petroleum products went untaxed in 2019.
● Revenue Loss: The state lost approximately GHS 3.4 billion that year, averaging GHS 283 million monthly.
‘Month NPA Traded Volumes (Litres) GRA Taxable Volumes (Litres) Difference (Litres) Revenue Loss (GHS)
Jan-Dec 2019 4.85 billion 2.49 billion 2.36 billion 3.4 billion’
Source: NPA BDC Performance Report and BoG Petroleum Account Credit Summary.
These figures underscore systemic vulnerabilities in Ghana’s petroleum sector, which SML claims to have addressed through real-time monitoring and auditing. Critics, however, question whether SML’s contract was the most cost-effective solution.
Manasseh Azure’s Credibility Under Fire
Manasseh Azure’s journalistic integrity has faced scrutiny. He has been sued multiple times for defamation, including a recent retraction and apology to businessman Ibrahim Mahama over false claims.
While his work has exposed corruption in the past, the reliance on media campaigns over legal challenges in this case raises questions. If concrete evidence exists, why has it not been presented in court?
Coordinated attacks or genuine Concerns?
The anti-SML campaign employs a dual strategy: media narratives and lawsuits by civil society groups. SML has retaliated with a GHS 21 million defamation suit against Azure, framing the attacks as a smear campaign by a “petroleum cartel” that profited from pre-SML revenue leaks.
The Parliamentary Energy Committee noted that SML’s systems disrupted a “well-entrenched network” of illicit actors, suggesting vested interests in its downfall.
Transparency vs. Entrenched Interests
The SML saga reflects a broader struggle between transparency advocates and entities benefiting from opacity. While legitimate concerns about procurement processes should be investigated, the weight of institutional endorsements from KPMG to Parliament bolsters SML’s credibility.
The government faces a critical test: whether to uphold a system that recovers billions in lost revenue or yield to pressure from actors threatened by accountability.
For Ghana’s fiscal health, the priority must be rigorous, evidence-based scrutiny—not sensationalized media trials. If SML’s critics possess irrefutable proof, let it be tested in court. Otherwise, the campaign risks being perceived as a desperate bid to resurrect an era of unchecked revenue leakage.
Key Takeawa
● SML’s revenue assurance systems have recovered billions for Ghana’s treasury, per audited data.
● Allegations against the company lack substantiation from independent audits and parliamentary reviews.
● The role of journalists and civil society must balance accountability with adherence to factual rigour.
This controversy underscores the delicate balance between investigative journalism and the potential for media narratives to be weaponized by powerful interests. As Ghana strives for good governance, transparency must be cut both ways.
Prof. Isaac Boadi
Dean, Faculty of Accounting and Finance
UPSA