Former Member of Parliament (MP) Paul Twum Barimah has called for the immediate creation of a National Gas Act. This new law would regulate Ghana’s gas industry and resolve confusion between institutions.
Mr. Twum Barimah stated that a National Gas Act would provide clear legal direction. This framework is vital for the effective governance and management of Ghana’s gas industry. The current lack of a dedicated gas law causes uncertainty over who controls what.
Ghana has produced natural gas since 2011, but no specific law governs the sector. This gap has led to overlapping responsibilities between two key state-owned companies. The Ghana National Petroleum Corporation (GNPC) and the Ghana National Gas Company (Ghana Gas) often disagree on their roles.
GNPC currently interprets its mandate broadly. It believes it oversees both the initial stages of oil production and the regulation of the gas industry. GNPC views Ghana Gas as a subsidiary operating under its control.
However, Ghana Gas sees itself as an independent body. It has a distinct mission in processing and managing Ghana's gas resources. This difference in interpretation creates tension and policy uncertainty within the sector.
Mr. Twum Barimah warned that the lack of a clear legal framework causes avoidable regulatory challenges. Ghana's gas sector is expanding rapidly. It needs a clearly defined governance structure to operate efficiently.
The passage of a National Gas Act would clearly define the roles and limits of all institutions. This would remove confusion about regulatory authority. Clear rules would prevent conflicts and make the sector more stable.
Mr. Twum Barimah urged the government to draft a National Gas Bill. This bill should be sent to Parliament for approval and then signed into law by the President. Such legislation would create a consistent regulatory system for Ghana's gas industry.
This new law would also improve coordination among institutions. It would attract more investment into the gas sector. Moreover, it would ensure greater accountability in managing Ghana’s natural gas resources. Ghana increasingly relies on natural gas for electricity and industrial growth. The country cannot afford continued policy and regulatory uncertainty in this crucial area.