Analysis of Ghana’s new Environmental Protection Act, 2025 (Act 1124)

A consolidated climate and environmental regime transforming regulation, enforcement and carbon governance

Ghana’s Environmental Protection Act, 2025 (Act 1124), marks one of the most sweeping legal reforms since the establishment of the Environmental Protection Agency under Act 490 in 1994.

More than a mere revision of the old statute, the new Act repeals Act 490 entirely, absorbs provisions from separate hazardous waste, e-waste, and pesticide statutes, and—most significantly—creates a full legal architecture for climate governance and carbon markets in Ghana.

This article unpacks the journey from Act 490 to Act 1124, highlights the major shifts, and evaluates what the new law means for NGOs, businesses, regulators, and investors. It also offers actionable steps for compliance and advocacy.

1. Context: What Act 490 did—and what it did not do

For three decades, Act 490 was the backbone of Ghana’s environmental regulatory regime. Its core achievements included the establishment of the Environmental Protection Agency (EPA), procedures for environmental impact assessments (EIAs), pollution standards, and the regulation of pesticides.

It also created a National Environment Fund to support environmental programs.

However, the law reflected a pre-climate era. It did not anticipate carbon markets, climate finance, national contributions under the Paris Agreement, or the technical governance needed for mitigation outcomes and MRV systems.

Hazardous waste laws existed outside the EPA Act, e-waste legislation came later under Act 917, and pesticide rules were spread across separate statutes.

In short, the law regulated pollution but not the emerging climate economy.

This is where Act 1124 fundamentally breaks new ground.

2. The Environmental Protection Act, 2025 (Act 1124): Key innovations

A. From Agency to Authority — a rebuilt regulatory institution

Act 1124 replaces the EPA with the Environmental Protection Authority, a strengthened entity with expanded legal powers, fiscal independence, and a climate mandate.

For the first time, environmental practice itself becomes a regulated profession: consultants, engineers, EIA assessors and environmental management specialists must now be certified and registered.

Under Act 490, quality was largely dependent on internal EPA discretion. Under Act 1124, environmental services become formalised, professionalised and enforceable—raising standards and accountability.

B. One unified environmental code — consolidation of fragmented laws

The new Act merges regulatory areas previously scattered across multiple statutes, including:

• pesticide management and licensing

• hazardous and other waste

• electronic and electrical waste management (e-waste)

Instead of four or five parallel frameworks, Ghana now has a single umbrella statute with dedicated parts for pesticides, hazardous waste, and e-waste.

This improves clarity, reduces regulatory gaps, and ensures a more coherent enforcement system.

C. The biggest shift: the climate chapter and carbon markets framework

This is the transformational heart of Act 1124.

The law establishes Ghana’s first climate governance and carbon market system, introducing:

Climate Instrument Function

Climate Change Chapter (Part V) Anchors national climate obligations, carbon pricing instruments and non-market approaches

Ghana Carbon Registry (GCR) Digital registry for carbon projects, voluntary credits, ITMOs and MRV records

Carbon Markets Office (CMO) Statutory office responsible for project approval, MRV, transactions and Article 6 compliance

Carbon Market Committee Technical oversight of mitigation technologies and methodologies

Mitigation Fund Financing facility to support climate projects and generate mitigation outcomes

For the first time, Ghana has a legal infrastructure to trade ITMOs under Article 6.2, operate voluntary market projects, and integrate climate strategies into sector planning, district assemblies, and national reporting frameworks.

Act 1124 is not just an environmental regulation—it is Ghana’s legal gateway into the carbon economy.

D. Principles now have the force of law

Act 1124 codifies environmental principles that were previously implied:

• precautionary principle

• polluter-pays

• common but differentiated responsibilities

• intergenerational equity

• sustainable development

These are now statutory interpretive rules—enforceable and usable in litigation.

E. Enforcement is no longer symbolic — penalties now bite

Under Act 490, fines were sometimes low enough for corporations to treat them as operational costs.

Act 1124 significantly increases penalties and strengthens the Authority’s administrative enforcement powers. Offences related to unregistered pesticides, illegal waste handling, pollution breaches, or failure to comply with enforcement notices can now attract heavy fines—and in some cases imprisonment.

Compliance is no longer optional. Deterrence is deliberate.

3. Side-by-side comparison — Act 490 vs. Act 1124

Category Old Act 490 (1994) New Act 1124 (2025)

Core institution Environmental Protection Agency Environmental Protection Authority (stronger mandate)

Climate governance None Full climate chapter + carbon markets + registry + MRV

Pesticides Covered but outdated Modernised, strengthened, Pesticide Management Fund

Hazardous & e-waste In separate Acts (917 etc.) Integrated under one legal framework

Professionalisation No certification regime Mandatory certification of practitioners

Enforcement Low penalties, weak deterrence High penalties, strong enforcement leverage

Vision scope Pollution control Environment + climate + carbon economy governance

Act 1124 is not an amendment—it is a system reboot.

4. Why NGOs must engage immediately

Civil society stands at a strategic inflection point. The law opens—and may close—opportunities depending on how NGOs respond.

Shape carbon rights and benefit-sharing rules

The Act leaves gaps in defining carbon ownership, revenue allocation and community benefits. NGOs can influence the regulations to protect forest communities, farmers and vulnerable groups.

Accountability and climate-justice enforcement

NGOs will be essential in preventing tokenistic integration of climate planning at district and national levels.

Public oversight of the Ghana Carbon Registry

Monitoring who controls carbon projects will prevent elite capture, opaque approvals and greenwashing.

Community capacity-building

Rural communities, fisherfolk and women’s cooperatives will need guidance on MRV rules and ITMO contracts.

Strategic litigation

The stronger penalty regime allows enforcement failures to be challenged—potentially setting important legal precedents.

5. Why businesses cannot hesitate

A. Compliance duties intensify

Businesses face stricter enforcement on pollution, waste, pesticides and EIA conditions. Using uncertified consultants could invalidate approvals. Non-compliance is now expensive.

B. Competitive advantage for early movers

Companies that act quickly can:

• access carbon revenues and climate finance

• register mitigation projects before the market crowds

• strengthen ESG credentials for lenders and export markets

Act 1124 is both an environmental law and a market opening.

C. Sectors most affected

• oil and gas, mining

• power and energy

• agribusiness and forestry

• waste management and recycling

• real estate, construction and manufacturing

Early adopters will shape pricing, secure registry priority and dominate carbon supply pipelines.

6. Action steps — practical response plans

For NGOs

• Map priority provisions and develop advocacy positions on carbon rights and safeguards.

• Participate in consultations on regulations and MRV guidelines.

• Build transparency watch programs to track the Carbon Registry.

• Train communities on climate contracts, enforcement rights and benefit-sharing.

For businesses

• Conduct a compliance gap audit immediately.

• Develop or revise internal ESG and environmental management systems referencing Act 1124.

• Engage early with the Carbon Markets Office to structure carbon projects.

• Train executives—environmental compliance is now a financial and strategic imperative, not CSR.

Conclusion

The Environmental Protection Act, 2025 (Act 1124), is the most ambitious environmental reform in Ghana’s regulatory history.

It consolidates fragmented statutes, institutionalises climate governance, operationalises carbon markets, and raises enforcement power to reflect contemporary environmental risks.

Act 490 was written for a pollution-era economy.

Act 1124 is written for a climate-economy future.

How NGOs, businesses and regulators respond in the next 12–24 months will determine whether the law catalyses environmental justice, drives climate investment, or becomes another unrealised statute.

The window is open—but only briefly.

Cedric Dzelu

Technical Director

Office of the Minister of State for Climate Change and Sustainability