Minister says oil revenue will benefit all Ghanaians

Bolgatanga, April 30, GNA - Mr. Emmanuel Armah Kofi Buah, the Deput= y Minister of Energy, said on Friday that the government intended to use th= e oil revenue to diversify the economy. He said cabinet had approved the policy framework for local content participation in petroleum activities which is to be developed into legislation to ensure that Ghanaians obtain maximum benefits from the oil= find.

Mr Buah said this at a Regional Forum on "Local Content and Local Participation Policy on Oil and Gas Operation" held in Bolgatanga. He said the government would use proceeds from the oil judiciously t= o develop world class roads, railway, bridges, telecommunication facilities, airports and ports. The government would also deliver social amenities ranging from schools to hospitals and sanitation facilities across the length and breadth of the country. It will also develop a supplicated financial services sector that will promote industrial and business activity mostly for export that will be t= he mainstay of the economy and generate employment.

Mr. Buah said government would support the development of solid political, economic and social governance system that would keep governan= ce in check whilst extending the boundaries of social freedom. "Government and all stakeholders will be expected to wok together to ensure transparency in all oil operations". He said government was legislating the extension of the Extractive Industry Transparency Initiatives (EITI) to the Oil and Gas sector in Gha= na for full disclosure.

The initiative and the Information Bill would soon to be passed into=

law to ensure good governance in the Oil and Gas Industry. He said this will also prevent the "resource curse", poor management= , weak institutional capacities and lack of transparency and accountability=

which have accounted for poverty, conflict, mismanagement and corrupt practices commonly associated with discoveries of this nature in some developing countries. Mr. Buah said oil exploration and production had significant risk t= o the environment and that the Ghana National Petroleum Cooperation and the=

Environmental Protection Agency had been tasked to ensure that operators abide strictly by the set standards. The Upper East Regional Minister, Mr. Mark Woyongo, said the by-products of the oil and gas that would be used to manufacture fertiliz= ers would boost production in agriculture especially in the three northern regions.

He said with the gas, Ghanaians would depend less on woodlots and cutting down of trees for burning charcoal, a practise that is depleting the environment. Participants at the forum stressed the need to ensure that the product was not smuggled out to neighbouring countries.