Former Speaker of Ghana’s Parliament, Professor Aaron Mike Oquaye, has urged government to exercise restraint in renewing the operating licences of Tullow Oil Ghana.
He cautions that hasty decisions could further expose the country to financial and contractual risks in the petroleum sector.
Speaking at the Institute of Economic Affairs (IEA) Policy Dialogue in Accra, Prof. Oquaye cited the recent arbitration ruling in favour of Tullow Oil as a wake-up call for more vigilance in managing Ghana’s natural resource agreements.
“The recent arbitration award by the ICC in the case of Tullow versus the Republic of Ghana in London should teach us a lot,” he warned.
“Incidentally, our agreements with them allow for these kinds of things to happen. Having won their case, we are now to pay Tullow’s cost.”
In early January 2025, Tullow Oil secured a legal victory in its tax dispute with the Ghana Revenue Authority (GRA) at the International Chamber of Commerce Tribunal.
The decision exempted the company from a $320 million back tax assessment issued by the GRA; a ruling that has since reignited debate over the strength of Ghana’s petroleum agreements and fiscal oversight mechanisms.
Prof. Oquaye expressed concern that despite the arbitration outcome, Tullow had signalled a second case related to another tax assessment even while claiming operational losses.
“While this is going on, Tullow which won’t pay anything to us now says they have made losses for the past year,” he said.
“Of course, if a company makes losses, anyone with interest must get ready to be paid nothing.”
He questioned the timing of Tullow’s reported push for a contract renewal, warning that Ghana must not rush into new agreements without addressing existing gaps.
