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GNPC’s Maritime Boundary Activities Raise Questions Over $14m Budget

Following the release of PIAC's 2023 Annual Report, it was discovered that GNPC had failed to refund $1.13 million allocated to the Maritime Boundary Special Project, as the expenditure fell outside their mandate.

The Public Interest and Accountability Committee (PIAC) is concerned about Ghana National Petroleum Corporation’s (GNPC) persistent expenditure on maritime boundary disputes and related activities despite the Ghana Boundary Commission’s responsibility for handling such issues.

In 2023, GNPC allocated $1.13 million to the Maritime Boundary Special Project, increasing the corporation’s total spending on maritime boundary activities to $14 million

PIAC’s 2017 annual report revealed that GNPC allocated $3.8 million for secretariat expenses related to the Ghana-La Cote d’Ivoire Maritime Boundary Dispute.

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PIAC requested a refund of $3.8 million, arguing that the ITLOS case was a dispute between two sovereign states, Ghana and Cote d’Ivoire, and not a matter for GNPC, a National Oil Company (NOC), to be involved in.

PIAC argued that it was inappropriate to utilise GNPC’s resources to cover the litigation costs.

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Contrary to PIAC’s demands, the 2023 annual report showed that GNPC had not refunded the $3.8 million spent in 2017, with GNPC defending its actions by stating that, as the state’s oil manager, the expenditure did not harm the corporation.

The 2023 annual report uncovered an additional $1.13 million spent by GNPC on the Maritime Boundary Special Project (MBSP), bringing the total expenditure on maritime boundary-related activities to $14 million.

According to PIAC, GNPC continued to allocate funds to the Maritime Boundary Dispute and related activities, even though the Ghana Boundary Commission is mandated to handle these matters and has its own budget.

While PIAC acknowledged that GNPC’s payments were part of its parliamentary-approved work programme, it disagreed with the corporation’s reasoning for the spending.

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