Faith Nyasuguta
Ghana is losing approximately $100 million every year due to gas flaring in the oil and gas sector, according to ActionAid Ghana. The organization’s Country Director, John Nkaw, sounded the alarm in a recent interview, highlighting the widespread impact of the ongoing flaring of unprocessed natural gas.
“We have data that shows the government flares about $100 million worth of gas. That is excess gas we are unable to process. We must find a way to contain it. Apart from being a cost to Ghana, it also has hazardous climate change effects,” Nkaw said.
Gas flaring, the combustion of excess natural gas during oil extraction, continues to be a persistent problem in Ghana’s energy sector. This practice not only leads to major financial losses but also emits harmful greenhouse gases such as methane and carbon dioxide, contributing significantly to environmental degradation and global climate change.
Nkaw stressed that the consequences extend beyond finances. “It’s not just a financial loss. It’s a public health and environmental crisis. We are releasing pollutants into the air that threaten communities and ecosystems,” he added. The emissions have been linked to respiratory illnesses, poor air quality, acid rain, and damage to agricultural productivity in affected areas.
Despite Ghana’s rising petroleum revenues, as detailed in the 2024 Public Interest and Accountability Committee (PIAC) Report, gas flaring has remained largely unchecked. Critics argue that the country’s energy policies have not kept pace with its production capabilities. They point to a lack of adequate infrastructure to capture and utilize associated gas, as well as limited enforcement of environmental regulations.
Nkaw argued that instead of wasting gas through flaring, the resource could be converted into electricity for domestic use, liquefied and exported, or used to support local industries. “The continued flaring undermines our ability to fully benefit from our natural resources. We must invest in infrastructure and enforce stricter regulations to manage and monetise our gas reserves,” he urged.
He called on government officials and industry leaders to prioritize long-term investments in gas processing and storage. ActionAid and other civil society organizations are now lobbying for urgent policy reforms, demanding that Ghana align its development goals with climate commitments while maximizing the economic potential of its natural resources.
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