PIAC Criticizes Centralized Approach to Petroleum-Funded Projects in Ghana

• PIAC has raised concerns about the quality of petroleum-funded projects in Ghana, particularly in the Adansi Asokwa District.
• The centralised approach to project planning has been criticized for leading to weak oversight and poor outcomes.
• PIAC is advocating closer collaboration between the Ministry of Finance and the Ministry of Local Government, Chieftaincy and Religious Affairs to improve accountability and citizen benefit.
• Lawyers advising clients on petroleum-funded projects should be aware of PIAC's criticism and take steps to ensure compliance with constitutional requirements.

The centralised approach to project planning has been criticized for leading to weak oversight and poor outcomes.

The Public Interest and Accountability Committee (PIAC) has raised concerns about the quality of petroleum-funded projects in Ghana, particularly in the Adansi Asokwa District. During an inspection visit, PIAC members observed mixed results, with some projects showing poor value for money. In the Adansi South District, a road upgrade was deemed satisfactory, but pothole patching on another road was criticized as imprudent use of petroleum revenue. In the Adansi Asokwa District, a police station, school building, and health centre were assessed, with concerns raised about the design of the staff bungalow at the health centre and the lack of basic facilities at the school.

The Constitution of Ghana requires that all citizens benefit from the country's natural resources. However, weak oversight has undermined this objective. PIAC's mandate is to ensure efficient use of petroleum revenues and keep the public informed about how these funds are utilized. The Committee undertakes regular monitoring visits to communities benefiting from projects funded under the Annual Budget Funding Amount (ABFA). During these visits, PIAC members verify implementation and identify areas for improvement.

PIAC's criticism of the centralised approach to project planning highlights the need for closer collaboration between the Ministry of Finance and the Ministry of Local Government, Chieftaincy and Religious Affairs. This would enable local authorities to be more involved in supervision and monitoring of projects within their jurisdictions, leading to better outcomes and improved accountability. Lawyers advising clients on petroleum-funded projects should be aware of PIAC's criticism and take steps to ensure compliance with constitutional requirements for citizen benefit.

Lawyers advising clients on petroleum-funded projects in Ghana should be aware of PIAC's criticism of the centralised approach, which may lead to non-compliance with constitutional requirements for citizen benefit. Compliance officers should monitor developments on closer collaboration between the Ministry of Finance and the Ministry of Local Government.

Source: Original reporting via Graphic Online