Friday, 25 February 2011
Ghana prepares local content bill for oil and gas industry
Bawa added that the draft legislation will also stipulate that Ghanaians should hold at least a 5 per cent equity stake in oil and gas service contractors. A committee working under the country's proposed oil industry regulator will be responsible for evaluating the projects to ensure they comply with regulation. Bawa added that the ministry will aim to have a plan for local content before the “inception of every project”.
The local content bill is one of three that the Ghanaian parliament will consider this year. The country's legislative body is at the end of completion of an oil revenue legislation that will create a sovereign wealth fund and allow Ghana to borrow against future government oil revenue. A third bill, establishing an industry regulator independent of the country's state-owned oil company, was submitted to parliament for consideration in December.
Sources: Bloomberg, PRLog, Reuters
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