The Minister for Energy, Matthew Opoku Prempeh has mentioned that the passage of Local Content Regulations by government in 2013, has created a conducive environment for indigenous Ghanaian companies to succeed in the industry.
In the first oil field development prior to the passage of the Local Content Regulations, he said only 6.5 percent of contracts were awarded to the Ghanaian companies.
However, he said a decade after the passage of the Regulations, about 20 percent of value of contracts have been awarded to Ghanaian companies.
The Minister for Energy was speaking at the opening of the 2023 Local Content Conference and Exhibition (LCCE) in Takoradi.
The conference is on the theme “Ten years of Local Content in Ghana’s Upstream Petroleum Industry: Achievements, Challenges and Prospects”.
The four-day conference, organized by the Petroleum Commission with over 1000 participants across the globe will discuss topics including; “The 10-year Journey: Reflecting on success, challenges and lessons learnt, Strengthening Institutional Framework and Regulatory Mechanism for effective Local Content Implementation; International perspective, promoting regional content; policy and strategic options among others.
The minister said “over the past 10 years we have covered a long and successful road. Our drive towards optimal local content and participation has contributed to the successes chalked”.
“I am proud as a Ghanaian to say that Springfield, a fully Indigenous Ghanaian Exploration and Production (E&P) company drilled and successfully discovered in deepwaters, the Afina-1X well at West Cape Three Points in 2019” he said.
The feat, he said is commendable and must be celebrated as the first of its kind in the history of the country’s oil and gas industry.
“It also demonstrates the increasing capacity of Ghanaians to take charge of the exploration of our hydrocarbon resources particularly in the wake of the energy transition”, he added.
Egbert Faibille Jnr, Chief Executive Officer of the Petroleum Commission remarked “This year’s conference is epochal because, it marks 10 years of the coming into force of the Petroleum Local Content and Local Participation, Regulations, 2013; L.I. 2204”.
“I salute all Ghanaian companies who availed themselves of the opportunities created by L.I. 2204 and its amendment”, he pointed out.
Kwabena Okyere Darko-Mensah, Western Regional Minister on assessing the performance of local content noted that the demand for local goods and services by the oil and gas companies have increased in the region.
He pointed out that the Western Region, has had some share of the local content benefits such as the Gas Processing Plant, collaboration with the Takoradi Technical University (TTU) and Kikam Technical Institute to train technicians, fabrication yards, social investment projects by Tullow and its partners among others.
