This is the Ghana EITI 2019 work plan (in accordance with Requirement 1.5).
Historically Ghana is a mining country, with substantial reserves it is the second largest gold producer in Africa. Ghana has the ninth largest reserves of diamonds and is the ninth largest producer of diamonds in the world. Oil production started in 2011, and as of 2013 oil revenues surpassed mining receipts.
EITI reporting has highlighted gaps in the way the extractive sector is managed, leading to changes to the fiscal regimes governing the sector such as the introduction of capital gains tax, higher ground rent and fixed royalty rates. GHEITI is also working to improve accountability of subnational transfers, as 10% of mining royalties are transferred to local governments.
Objectives of beneficial ownership transparency in Ghana
- To promote good governance and accountability in the extractive sector and beyond.
- Support efforts to minimize and ultimately eradicate the risk of money laundering, financing of terrorism, financing the proliferation of mass destruction and other transnational organised crime.
- Prevent illicit financial flows in the extractive and other sectors.
Progress on implementing beneficial ownership disclosure
Ghana EITI has been building momentum for the beneficial ownership transparency agenda in the country. The passage of the Companies Act 2016 lays a firm legal basis for collecting and maintaining a national database on beneficial owners in Ghana. The law mandates the Registrar General’s Department to be the institutional body responsible for the collection and maintenance of beneficial ownership register in the country.
Ghana EITI as part of the implementation of Ghana’s beneficial roadmap has moved to the actualisation phase. This involves collaborating with key institutions including the Registrar-General’s Department (RGD), Ghana Oil and Gas for Inclusive Growth (GOGIG), STAAC, Financial Intelligence Centre and other relevant CSOs and partners to sensitise various stakeholders on the new disclosure regime
GHEITI will also continue to collect beneficial ownership information from companies and other government stakeholders, if available until the abovementioned mechanism becomes fully operational. Although the EITI Standard’s deadline for beneficial ownership disclosure is 2020, GHEITI expects the RGD Beneficial Ownership disclosure mechanism to be fully operational before 2020. Read Ghana's beneficial ownership roadmap below for more information.
Ghana is the second largest gold producer in Africa and ninth largest in the world. In 2016 gold production accounted for 2.5% of world gold production with an outturn of 3,843,446 oz up from 2015 outturn of 3,623,740 oz. Diamond production has been on a decline. Production in 2009 of 376,000 carats has slowed to 141,000 carats in 2016. Bauxite production since 2001 has been volatile with production of 2,018,000 metric tons in 2016. Ghana’s diamond contribution to the world’s totals was 0.11% in 2016. Oil production began in late 2010, and the Jubilee Field is the only major producing field, estimated to hold about 460 million barrels of crude oil and 568 billion cubic feet of natural gas.In 2015, the total crude oil and gas produced in Ghana were 32.3 million barrels and 44,952 mmscf respectively. Production from the Jubilee Field for 2016 (81% of the total production) has dropped by 27.9 percent compared to production in 2015. The decline was due to technical challenges associated largely with the FPSO Kwame Nkrumah turret bearing failure.
Ghana is endowed with mineral resources such as gold, diamonds and manganese, oil and gas. The Jubilee Field, discovered in 2007, is the largest offshore oil discovery in West Africa over the last decade, estimated to hold between 600 million and 1.5 billion barrels.
|Gas||63.8||million cubic meters|
|Gold||1 600||Tons||Ghana has 3.1% of the world's gold reserves|
The mining sector contributed GH¢1.58 billion to Government revenue in 2016 as against GH¢1.28 billion in 2015. This represented an increase of 19%. Earnings from minerals exported in 2016 amounted to USD 5.06 billion million compared to USD 3.3 billion earned in 2015. This shows a decrease of 35%. The rise in gold receipts has contributed to the additional revenue in 2016. The price increased by 10% while the volume increased by 39.2 per cent. The Government of Ghana received USD 247.17 in 2016 from petroleum revenues compared to 396.17million in 2015. This is an 18% decrease. Earnings from oil exported in 2016 amounted to USD 275.7 million.
Ghana's national oil company GNPC represents the country’s interest in the oil sector by engaging in exploration, development, production, and disposal of hydrocarbon resources on behalf of the state. GNPC sells its production share and royalties collected in-kind from other companies on behalf of the state to commodity trading companies.
In August 2018, Ghana published its commodity trading report as part of the targeted effort on commodity trading transparency. Ghana committed to participate in EITI's targeted efforts to improve commodity trading transparency during the Anti-Corruption Summit in London (May 2016), and GHEITI has prepared a programme for their work on commodity trading transparency.
Oil and gas revenues are, in part, allocated to the Ghana Petroleum Fund and 10% of mineral royalties are allocated to the Mineral Development Fund.
Subnational governments receive royalties and taxes from mining companies, constituting roughly 40% of their budgets. Ground rent payments and 10% of mineral royalties are paid directly to District Assemblies or to the Office of the Administrator of Stool Lands, which then transfers the revenue to local governments.
Ghana’s EITI Reports have provided recommendations aimed at addressing gaps in the legal and fiscal frameworks governing the extractive sector. Some examples have been related to streamlining fiscal policies, ensuring open licensing rounds, establishing an online repository on petroleum blocks, developing an investment guide for the Ghana Petroleum Funds, publishing an investment plan for the GNPC, and harmonising the methodology the revenue authority and GNPC use for revenue computation to ensure that figures match. GHEITI has followed up on many of these recommendations, which has resulted in policy changes such as the introduction of capital gains tax, higher ground rent for mining and a fixed royalty rate.
The EITI encourages multi-stakeholder groups to explore innovative approaches to make the EITI more relevant and useful.
- EITI Reports include useful recommendations for how to improve governance in the extractives sector, including on the existing fiscal regimes, licensing and revenue management.
- EITI Reports include transfers to subnational levels of government and utilisation of transferred funds.The mining reports show that recommendations have led to improvements in tracking the use of revenue on the local level, but that disbursements to districts were minimal in 2012 and 2013.
- Ghana EITI is making efforts to include artisanal mining in their mining reports.
- The oil and gas reports include information on the allocation of revenue between the state budget and the petroleum funds, an assessment of the petroleum funds’ performance, and information on GNPC’s liftings and expenditure.
Ghana EITI’s objectives are to provide public insight to revenues from the country's mineral resources, and to create a platform for public debate about spending of extractive sector revenues. Ghana EITI organises various workshops and community meetings around the country to raise awareness about how the extractive resources are managed. Some of the issues that have been raised are transfer pricing, local content and beneficial ownership. Read more in Ghana EITI's 2015 Annual Progress Report »
Ghana was found to have achieved meaningful progress in implementing the EITI Standard. View more information under the Validation section of this page or go to the Board's decision in full. Previously, the country was compliant under the 2011 Rules.
Ghana submitted an extension request for the publication of their 2015/2016 EITI in January 2018 which was approved.Ghana submitted the Mining and Oil Reports on 1 May and will be Validated on the 8 September 2018.
The government announced its intention to join the EITI in 2003. A multi-stakeholder group, the National Steering Committee, was established by ministerial decree in 2005 and currently operates under the Rules of Procedure (2010). An EITI secretariat was formed in the Ministry of Finance and Economic Planning and is a subset of the National Steering Committee. A GHEITI Bill aimed at enforcing the reporting requirements and institutionalising the Ghana EITI process has been drafted and is yet to be passed in parliament.
This is the Ghana EITI 2018 Annual progress report, published in July 2019. It highlights progress made on objectives of Ghana's work plan.
The Ghana Extractive Industries Transparency Initiative (GHEITI) engaged Messrs Boas & Associates to reconcile the payments made by Oil and Gas Companies and receipts by the government of Ghana for 2016. Total crude oil production in 2016 was 32,297,780 bbls, compared to 37,411,661 barrels for the same period in 2015. The total value of crude oil exported was estimated at US$1,345.2 million in 2016 compared to US$1,931.3 million exported in 2015. Volume exported decreased by 19.9% to 29,769,048 barrels in 2016.
The Ghana Extractive Industries Transparency Initiative (GHEITI) engaged Messrs Boas Associates to reconcile the payments made by Mining Companies and receipts by the government of Ghana for 2016.
Compared to the production in 2015, there were increases of 17%, 26% and 30% in the production of gold, bauxite and manganese respectively. Diamond production decreased by 0.28% in 2016 as compared to 2015. Mining and Quarrying is estimated to have recorded a negative GDP growth of 11.2 percent in 2016, worse than the negative 2.2 percent recorded in 2015.
This report encompasses the findings and recommendations of Ghana’s Commodity Trading Pilot Programme. Ghana is one of five countries involved in the EITI pilot project on commodity trading.
It is possible to produce a commodity trading report for oil sales in Ghana that contains reconciled data from both GNPC as the seller and the buyers for the period 1 January 2015 to 31 December 2017.There is a high level of correlation between the data received from GNPC, the buyers, GRA, and Bank of Ghana.
This is Ghana's Annual progress report, published in July 2018. It highlights progress made on objectives of Ghana's work plan.
The Ghana Extractive Industries’ Transparency Initiative (GHEITI) engaged Messrs Boas & Associates to produce EITI report on mining payments for the period covering Jan-Dec 2015.The country has large-scale mining companies producing gold, diamonds, bauxite, and manganese. There is also significant small-scale and artisanal mining activities in Ghana.In 2015 the Mining industry accounted for 1.2 % of the country's GDP and minerals made up 31% of total exports, of which gold contributed about 96% of the total mineral exports. Gold remains the leading mineral in revenue generation.
The Ghana Extractive Industries’ Transparency Initiative (GHEITI) engaged Messrs Boas & Associates to produce EITI report on Oil and Gas payments for the period covering Jan-Dec 2015. The Petroleum sector makes a significant contribution to Ghana’s economy. In 2015, crude oil exports contributed 18.7% of the total merchandise export, 4.1% of Ghana’s GDP, and generated US$396million in revenues to the state.
Ghana's Validation commenced on 1 July 2016. On March 8 2017, the EITI Board found that Ghana has made meaningful progress in implementing the 2016 EITI Standard.
The following documentation laid the basis for the Board's decision, attached below:
Initial data collection by the International SecretariatGhana EITI (GHEITI) comments on the initial assessmentValidation Report by the independent Validator SDSG Ghana EITI multi-stakeholder group's comments on Validation Report
This is the Ghana EITI 2015 Annual Progress Report (in accordance with Requirements 7.4 and 8.4).
Ghana EITI conducted a series of workshops in April 2016 to consult with state and non-state actors on beneficial ownership transparency and the establishment of a beneficial ownership registry. This is the report containing the results of the workshops.
The EITI requirement 1.5 mandates the Multi-Stakeholder Group (MSG), “in consultation with key stakeholders, to agree and publish a fully costed work plan, containing measurable targets and a timetable for implementation and incorporating assessment of capacity constraints.”In light of the above, the GHEITI Secretariat and the Multi-Stakeholder Group (MSG) have jointly developed a comprehensive work plan to guide the implementation of GHEITI activities for January – December 2017 to achieve better planning, outcomes and desired results.