Local Content Policy Won’t Deter Foreign Investors –Jinapor

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Deputy Minister of Energy and Petroleum, Mr John Abdulai Jinapor, has dispelled the notion that government’s continuous effort to build the capacity of local companies in the oil and gas sector will deter foreign investors willing to invest in the sector.

According to him, the Local Content Policy only aims at helping indigenous companies build the capacity to meet standards in the international oil and gas environment.

Speaking at a programme organized by the Enterprise Development Center (EDC) for Ghanaian Small and Medium Scale Enterprises in Oil and Gas (GhSMEs) and Financial Institutions to deliberate on how banks can support local companies financially to also bid for contracts, the Deputy
Minister said local participation will make Ghanaians feel part of the sector, “thereby protecting it because they have a stake in it”.

Mr Jinapor further urged Ghanaian companies to take advantage of the EDC which has been established by the government to provide support for Ghanaian SMEs and position them to take advantage of business opportunities in the oil and gas sector.

Madam Shika Acolatse, Director of EDC, also outlined the importance of the meeting of the SMEs and financial institutions, saying it will leverage potential by building the capacity of local SMEs and also discuss ways to move the oil and gas sector forward with full the participation of indigenous companies.

She further disclosed that six Ghanaian Small and Medium Scale Enterprises have won various contracts in the oil and gas sectors recently whiles three tenders are currently under consideration for various contracts.

Madam Acolatse noted that one Ghanaian Company failed in a tender due to over pricing, adding that the center will intensify their education on pricing to avoid recurrence of such issue.

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