Full text: Akufo-Addo acts on KPMG's findings and recommendations on transactions between GRA and SML

GRA then added external price verification to the services offered by SML and signed a downstream petroleum audit agreement with SML.

The 2023 Contract extended the scope of SML’s services to include upstream petroleum and minerals audit.

KPMG also found that there was no evidence that the 2018 and 2019 contracts (transaction audit services, external price verification, and downstream petroleum audits) were submitted to the GRA Board for discussion and approval contrary to the GRA Act, Corporate Governance Manual for Governing Boards/Councils of the Public Services, and sound and accepted corporate governance practices.

The GRA Board approved the extension of SML’s services to cover the auditing of the upstream petroleum and minerals sectors, as specified in the 2023 Contract.Regarding the transaction audit services, KPMG concluded that SML partially delivered on the service requirements.

It was noted that ICUMS has inbuilt capabilities of external price verification among other functions.Regarding the downstream petroleum audit services, KPMG determined that there was an incremental volume of 1.7 billion litres and an incremental tax revenue of GHS 2.45 billion for the period under review.

Other qualitative benefits include six levels of reconciliation done by SML to prevent revenue losses to GRA and the sharing of discrepancy reports with GRA to follow up.SML had yet to implement the upstream petroleum audit and minerals audit services, and therefore, there could be no assessment as to whether GRA would derive value or benefit from that service.

However, given that the upstream petroleum audit and minerals audit services could prevent significant revenue leakages, the President has directed that the Ministry and GRA conduct a comprehensive technical needs assessment, value-for- money assessment, and stakeholder engagements before implementing such services.The transaction audit and external price verification services may also be terminated.