Ghana’s petroleum sector is facing mounting systemic risks that could have long-term consequences for revenue stability, energy security, and public accountability.
An analysis by the TMG Research and Investigative Desk, based on findings from the 2025 Public Interest and Accountability Committee (PIAC) report, reveals a troubling pattern, rising debts, unaccounted funds, and underperforming national investments.
- GOVERNMENT OWES $50 MILLION TO TULLOW
One of the most immediate financial risks is government’s outstanding debt of approximately $50 million to Tullow Ghana, tied specifically to development costs in the TEN oil field.
This debt, coupled with broader arrears in gas payments, raises concerns about:
- Ghana’s credibility with international oil partners
- Future investment flows into the upstream petroleum sector
- The operational sustainability of existing oil fields
With TEN already underperforming and experiencing no drilling activity in 2025, the debt burden further complicates efforts to revive production.
- $561 MILLION UNACCOUNTED FOR BY GNPC SUBSIDIARY
Even more alarming is the failure of GNPC’s subsidiary, Explorco, to account for $561.6 million in petroleum revenue between 2022 and 2024.
Despite repeated calls for reconciliation and transparency, the funds have not been properly accounted for or deposited into the Petroleum Holding Fund.
This raises critical accountability questions:
- Where exactly is the money?
- Why has enforcement been weak?
- What systems exist to prevent revenue leakages at this scale?
For a country reliant on oil revenue to fund development, such lapses undermine public trust and fiscal discipline.
- $620 MILLION GAS SECTOR DEBT — A HIDDEN ENERGY THREAT
Ghana’s gas sector is also under strain.
The Ghana National Gas Limited Company (GNGLC) currently owes over $620 million to GNPC, a liability that experts warn could destabilize the entire energy value chain.
This debt has wider implications:
- It weakens the financial position of state energy institutions
- It threatens consistent gas supply for power generation
- It increases the risk of reverting to expensive fuel imports
In simple terms, this is not just a balance sheet issue, it is a national energy security risk.
- OIL FUNDS UNDERPERFORMING — JUST 1% RETURNS
Ghana’s sovereign petroleum funds, designed to safeguard wealth for the future, are delivering minimal returns.
Since inception, the funds have generated approximately 1% annual returns, far below global benchmarks for sovereign wealth funds.
This raises strategic concerns:
- Are investment decisions too conservative or poorly structured?
- Is Ghana maximizing value from its petroleum savings?
- What reforms are needed to improve fund performance?
At a time when oil revenues are declining, the efficiency of these funds becomes even more critical.
THE BIGGER PICTURE: A MANAGEMENT PROBLEM
Individually, each of these issues is concerning. But collectively, they point to a deeper structural challenge — inefficiencies in governance and oversight of petroleum resources.
- Debts are rising
- Revenues are leaking
- Investments are underperforming
And ultimately, the burden falls on national development.
CONCLUSION
Ghana’s petroleum sector is no longer just about production levels or global oil prices.
The real challenge lies in how effectively the country manages its petroleum wealth.
Without stronger accountability, improved financial discipline, and strategic reforms, these systemic risks could erode the very benefits oil was meant to deliver.
Analysis by TMG Research and Investigative Desk