The Chief Executive of the National Petroleum Authority (NPA), Dr Mustapha Abdul-Hamid, has invited investors in the United Arab Emirates (UAE) to take advantage of Ghana’s favourable market environment and invest in petroleum infrastructures.
He mentioned oil jetties, pipeline and distribution infrastructure, refineries and gas processing plants, storage and loading gantries as areas they could invest in.
Dr Abdul-Hamid was speaking at an Energy Investment Forum organised by the Ministry of Energy on the sidelines of EXPO 2020 in Dubai, UAE.
Ghana has been organising a number of events in various sectors such as agriculture, non-traditional exports, education and the energy sector, as part of the ongoing World Expo in the UAE to woo investors into the country.
Reasons to invest
The NPA boss said the coming into being of the NPA with the passage of the National Petroleum Authority Act, 2005 (Act 691) removed restrictions on the establishment and operations of oil facilities, the importation of crude oil and petroleum products.
Dr Abdul-Hamid stated that the NPA Act had also created a reliable legislative and regulatory regime that had delivered for the country a downstream industry, whose contribution to the economy had grown more than four-fold, with private players – both local and international – forming a major part of the industry.
Touching on why one must invest in Ghana’s petroleum downstream industry, the NPA chief executive said the country’s unique geographical position along the coast of West Africa, democratic stability and security required that “we provide leadership in building an integrated infrastructure to serve the sub-regional petroleum industry.”
The Chief Executive of Petroleum Hub Development Corporation, Mr Charles Owusu, for his part, said the government would provide both economic and regulatory incentives to investors such as corporate tax exemptions and waivers.
“These waivers will cover import duties and taxes and levies on machinery and equipment,” he added.
Mr Owusu also stated Ghana was ready to reduce the corporate tax rate from 35 per cent to 15 per cent after a 10-year tax holiday for petroleum sector investors.