GNPC huge spending on CSR unjustified – PIAC

General News of Saturday, 9 November 2019

Source: kasapafmonline.com

2019-11-09

Vice-Chairman of PIAC Dr. Thomas Kojo Stephens

The Public Interest and Accountability Committee(PIAC) has described as unjustified the huge expenditure by the Ghana National Petroleum Corporation(GNPC) on Corporate Social Responsibility (CSR) programmes.

According to the Vice-Chairman of PIAC Dr. Thomas Kojo Stephens, GNPC must cut the questionable spending of its funds and rather focus on its core mandate of oil exploration, development, and production.

The GNPC has approved an amount of 1, 500, 000.00 million Ghana cedis for the 20th anniversary of the Okyenhene, Osagyefo Amoatia Ofori-Panin which will be used for environment and greening and will be paid over a period of three years.

The money is part of several requests by the Brand, Communication and CSR committee approved by the board on October 25.

As part of the donations, an amount of 400, 000.00 was also donated to the 2019 Damba festival while an amount of 50, 000.00 was also donated to the Ghana Journalists Association (GJA).

The Ghana Boxing Association also received a donation worth 30, 000.00 dollars. The Rebecca Foundation also received an amount of 120, 000.00 from the GNPC.

The Economic and Organised Crimes Office (EOCO) also got a donation of 550, 000.00 Ghana cedis.

The General Manager of Sustainability Division at GNPC, Dr Kwame Baah-Nuakoh, told Kasapa 102.5 FM that every penny distributed for CSR is worth it.

But Dr. Thomas Kojo Stephens insists that such huge spending on CSR is not the way to go.

“It is difficult to justify these amounts which have been given for these purposes. PIAC has consistently expressed concerns about the use of money being given to GNPC that it is not being used in a judicious manner. GNPC should focus on its core mandate of exploration, development, and production that is why GNPC is given all these monies.”

He added: “We have situations where even in terms of its core activities things like responding to cash calls when we talk about cash calls we give GNPC money in terms of its operations if there’s a cash call there’s money to be paid in terms of its activities in the field. We have situations where GNPC has elected not to pay for its cash calls but have the other partners to finance its cash calls so when it comes to the next lifting instead of GNPC lifting, then the partners lift on behalf of GNPC. Why should we have situations like this when we give GNPC all these monies to finance its operations but it’s not financing its cash calls and is using about 43million alone for CSR.”

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