Officials from the Federal Government of Somalia, its Federal Member States, Somaliland, and the Somali Petroleum Authority yesterday paid a courtesy visit to the Petroleum Commission to deepen their understanding of upstream petroleum regulation and governance.
The delegation was received by the Ag. Chief Executive Officer of the Commission, Ms. Emeafa Hardcastle who underscored the importance of cross-border knowledge exchange in building resilient and transparent petroleum sectors.
“This visit reflects a shared commitment to strengthening institutional capacity and ensuring that our natural resources deliver long-term value for our people,” the Ag. Chief Executive Officer said. “Ghana remains open to collaboration and the exchange of best practices with sister African nations navigating similar journeys in resource management,” she added.
During the engagement, the Ag. Deputy Chief Executive of the Commission, Mr. Nasir Alfa Mohammed, provided insights into Ghana’s approach to petroleum revenue management, emphasising transparency, accountability, and prudent fiscal planning.
“Ghana’s experience shows that strong revenue management frameworks are critical to translating petroleum wealth into sustainable development outcomes,” Mr. Mohammed stated.
“We have worked deliberately to ensure that petroleum revenues are not only well-tracked but also effectively deployed to support national priorities,” he added. The delegation was taken through Ghana’s comprehensive legal and regulatory regime governing upstream petroleum activities, including licensing, monitoring, and compliance enforcement mechanisms.
Discussions also covered the industry’s policy framework and the critical role of Health, Safety, and Environmental (HSE) standards in safeguarding both people and ecosystems.
Director of Economics and Local Content at the Commission, Mr. Kwaku Boateng highlighted the strategic advantages of Ghana’s fiscal regime, particularly the use of Production Sharing Agreements (PSAs) alongside a royalty tax system.
“Our fiscal framework is designed to strike a careful balance between attracting investment and ensuring the nation secures optimal value from its resources,” Mr. Boateng explained. “Production Sharing Agreements allow the state to maintain a meaningful stake in petroleum operations, while the royalty tax components guarantee steady and predictable revenue streams.”
He added that local content policies have also played a pivotal role in ensuring that Ghanaians benefit directly from industry participation through job creation, skills transfer, and enterprise development.
The Somali delegation expressed appreciation for the insights shared, noting that Ghana’s experience offers valuable lessons as Somalia continues to develop its own petroleum sector.
The visit marks another step in growing cooperation between African petroleum-producing and emerging producer nations, with a shared focus on building robust institutions, enhancing regulatory frameworks, and maximizing the developmental impact of natural resources.