GNPC Director explains rise in company's expenditure

The Director of Finance at the Ghana National Petroleum Corporation (GNPC), Mrs Comfort Aniagyei on Thursday attributed the high cost of the institution’s expenditure to capacity building of staff.

This she noted resulted in a 40 per cent rise in general administration cost between 2007 and 2009. She added that GNPC had provided training sponsorship for staff of the Attorney General and Ministry of Finance and any time the Ministry of Energy needed support in terms of capacity building the Cooperation made that provision.

Mrs Aniagyei, who said this at the ongoing public hearing of the Public Account Committee sitting in Accra Thursday, explained that the rise in administrative cost also accounted for whatever profit that was received. Profit had declined to 23.2 per cent.

The Ministry of Energy and Petroleum, Unified Petroleum Price Fund, Ghana National Petroleum Corporation and Ghana Atomic Energy Commission and Radiation Protection Institute were interrogated based on reports of the Auditor General for the year ended 31 December 2010 and 2011.

She explained that the rise in administration cost could account for whatever profit that was being received which was reported to have also declined.

On the issue of the Corporation’s profit decline to 23 per cent from 2008 and what new thing was being done to stop the decline, Mrs Aniagyei said the income of GNPC comprised marketing and exploratory revenues from the Jubilee fields and profits could be fluctuating.

Also answering a question on why the assets of GNPC had not been codified for two year period, she explained that not all of its assets had been codified.

Mr Jacob Amuah, Coordinator of Unified Petroleum Price Fund (UPPF), said that prices of petroleum products were being monitored at all stations to ensure uniformity throughout the country.

He also explained that National Petroleum Authority Act mandates the board to approve UPPF margins without parliamentary approval.