The Africa Centre for Energy Policy-Ghana (ACEP) and Australia-based Social Performance have signed a Memorandum of Understanding to build capacity and promote transparency in the extractive industry.

Dr Mohammed Amin Adam, Executive Director ACEP, and Dr Fiona Martin, Director of Social Performance signed the agreement at a short ceremony in Accra.

Dr Adam said most public sector institutions faced the challenge of lack of expertise to ensure best practices in monitoring assignments.

This, he said, often led to inefficiency, and thus the need for independent institutions to take up the mantle, and help build the needed capacity to become watchdogs in the delivery of quality services.

Dr Amin said the agreement with Social Performance, would help to bring best practices, and ensure transparency in the extractive sector.

He said the management of community expectations in resource rich areas would be one of the tasks to be undertaken as this often led to resource nationalism when concerns were not addressed.

Dr Fiona Martin, on her part, said the agreement was important as it would help deepen collaboration in enhancing social accountability.