Skip to main content

Stable market key to attracting oil companies – Norwegian minister

Oil companies are prepared to do business in countries with high tax rates if the market they are entering also offers stability, according to Erik Solheim, Norway’s Minister for the Environment and International Development.

Solheim, who was speaking exclusively to the global publishing, research and consultancy firm Oxford Business Group (OBG), would like to see Ghana adopt Norway’s format of putting a higher tax on oil and gas rather than taxing windfall profits.

“The most important thing for oil companies is predictability,” he said. “In Norway’s case, investors still want to come and it will be the same for Ghana if companies feel confident that the taxation rate, though high, is consistent over time.”

Norway has played a key role in assisting Ghana since its major oil discovery in 2007 by helping her draft its Revenue Petroleum Management Bill. It has also advised the government on a number of processes including taxation and negotiating with oil companies.

Solheim believes that following best practices is pivotal to minimising environmental risks during hydrocarbons exploration. “There have been a lot of technological improvements over the last few years, so we always need to look at the best practices and undertake sound, transparent studies before embarking on new oilfield activities,” he said.

He was also confident that emerging oil countries like Ghana would be well placed to contribute to upstream activities in Norway when its hydrocarbon production eventually declines. “We want Norwegian oil businesses to invest abroad as long as their investments are in accordance with the best practices and sound management,” he said. “As such, countries such as Ghana will become increasingly important.”

Comments

Popular posts from this blog

Nestlé Ghana Limited Wins Overall Best Industrial Company Of The Year at 13th AGI Industry & Quality Awards

  Nestlé Ghana Limited has been honored with four prestigious awards at the 13th Association of Ghana Industry and Quality Awards ceremony. The event, held in an esteemed setting, gathered prominent figures from Ghana’s industrial sector. Amidst the anticipation, Nestlé Ghana emerged as one of the evening’s notable winners, securing accolades in several key categories. This recognition underscores Nestlé Ghana’s relentless pursuit of excellence and innovation, marking a significant milestone that highlights the company’s substantial contributions to the manufacturing industry in Ghana. Nestlé Ghana's exceptional performance was acknowledged with the following awards: Overall Best National Quality Award, Diamond Category (Food) Overall Best Practices in Sustainable Manufacturing Best Company (Food Sector) Overall Industrial Company of the Year, affirming its status as a leader not only within the food sector but also across Ghana's entire industrial landscape. This success is a ...

Anglogold Ashanti Obuasi Mine tops 2024 Sustainability & Social Investment Awards

 AngloGold Ashanti Obuasi Mine has confirmed its status as sustainability champions by sweeping nine awards, the most won by a company at the 2024 Sustainability & Social Investment Awards (SSI) held at Movenpick Ambassador Hotel in Accra. The feat comes on the heels of a dominant performance in last year's event where AngloGold Ashanti Obuasi Mine swept seven awards. The SSI Awards organised by Ianmatsun Global Services recognizes the most outstanding sustainability, Corporate Social Responsibility (CSR), Environmental, social, and governance (ESG) initiatives in the country and beyond as well as the best teams and individuals who brought them to life. This year's event, which was the 8th edition, was under the theme "Climate Action Now: Accelerating Decarbonization and Building Resilience". The awards won by AngloGold Ashanti on the night include SSI Company of the Year, Best Company in Women Empowerment (project), SSI Company of the Year ( Environment), Best Co...

Zoomlion Advocates Community & Gender inclusive waste management for Climate Action at COP 29

 Africa's waste management giant, Zoomlion Ghana Limited has advocated for an integrated approach to waste management that considers the interest of community members, women and vulnerable groups. James Deku, a Communications Officer of Zoomlion Ghana Limited made this call at the 29th session of the Conference Of Parties (COP 29) of the United Nations Framework Convention for Climate Change (UNFCCC) at Azerbaijan, Baku whiles speaking on the topic "Community-Driven and Gender Inclusive approaches to waste management for Climate Action ". He said the waste sector is a major contributor of methane emissions which is a potent greenhouse gas causing climate change hence the need to manage waste in a manner that considers the interest of all stakeholders. Zoomlion's waste management model is designed and operated in a manner that considers the interest of all stakeholders. Through a Public Private Partnership (PPP) model, local authorities engage community members in clea...