A member of the Public Interest and Accountability Committee (PIAC), Richard Ellimah says by the end of 2023, the government will have lost an estimated $2 million to $3 million due to unpaid surface rentals owed by International Oil Companies (IOCs).

These surface rentals, a crucial source of revenue for the government, amounted to $2,738,365.29.

Mr Ellimah made this disclosure during a presentation at a Zonal engagement with the media in Ho on August 18, as part of PIAC's inspections of various projects in the Volta Region.

He emphasized the significance of surface rentals as a revenue stream for the government, noting that all International Oil Companies operating in Ghana were required to pay these fees.

However, he pointed out that some companies had defaulted on these payments, resulting in significant financial losses for the country.

"All the International Oil Companies operating are required to pay surface rentals, but we've realized that some of the companies do not pay this amount, which is a loss to the government," Mr. Ellimah stated.

He further explained that some of these companies offer excuses for delaying payment, often promising to pay after production has commenced.

However, in many cases, these payments are never made, and some companies even leave the country, leaving the government to bear the cost. This situation has resulted in a significant financial burden for the state.

Looking ahead, Mr. Ellimah suggested that the government should enforce stricter measures to ensure that surface rentals are paid before the start of production or during ongoing production.

He proposed that the payment be integrated into the companies' social commitments to their projects, preventing them from leaving without fulfilling their financial obligations.

In addition, he highlighted the need for the Ghana Revenue Authority (GRA) to intensify its efforts to recover outstanding surface rentals, applying the usual default penalties to ensure compliance.

The Public Interest and Accountability Committee (PIAC) is an independent statutory body mandated to promote transparency and accountability in the management of petroleum revenues in Ghana.

Established under Section 51 of the Petroleum Revenue Management Act (PRMA) 2011 (Act 815), PIAC plays a crucial role in ensuring that petroleum revenues are managed in a manner that benefits the people of Ghana.