PETROLEUM COMMISSION, GHANA

JOB ROLE LOCALISATION: STRATEGIES FOR ENSURING GHANAIAN PARTICIPATION IN THE UPSTREAM PETROLEUM SECTOR PRESENTED BY SARAH QUAYSON DANQUAH LOCALISATION DIRECTORATE

OUTLINE OF PRESENTATION Upstream Regulator Legal Remit Local Content Legislative Instrument Human Resource Provisions in the Law Job Role Localisation Strategies for Ensuring Employment Opportunities for Ghanaians Collaborations with Industry and Academia Employment of a Ghanaian Successor Submission of Succession Plan Training Budget Quarterly Appraisal Reports Annual Training Plan Monitoring & Evaluation Challenges Impact of Skills Recognition Highlights of 2019

UPSTREAM REGULATOR (PETROELUM COMMISSION-PC) PC was established in 2011 by the Petroleum Commission Act, 2011 (Act 821) Petroleum Commission has the mandate under Section 3(f) of the Petroleum Commission Act (Act 821) to promote local content and local participation in petroleum activities as prescribed in the PNDCL 84. REGULATE MANAGE COORDINATE

LEGAL REMIT Section 60(4) Regulations 17(5), 18, 19(2), 43(1) and 44 Petroleum (Exploration and Production) Act, 2016 (Act 919) Section 60(4) Petroleum(Local Content and Local Participation) Regulations, 2013 (L.I 2204) Regulations 17(5), 18, 19(2), 43(1) and 44 Localisation Guidelines

LOCAL CONTENT LEGISLATIVE INSTRUMENT (L.I 2204) Mandatory Local Content in Oil and Gas Development Every project, operation, activity or transaction must have both a long-term and an annual local content plan: Sub-plans: Employment and Training (Skills Transfer) Research and Development Technology Transfer Insurance, legal and financial services content

HUMAN RESOURCE PROVISIONS IN THE LAW The legal requirement ensures that the upstream oil and gas sector is localised over a period of Ten (10) years Recruitment and Training Start (%) 5 Years (%) 10 Years (%) Management Staff 30 50 – 60 70 – 80 Technical Staff 20 Other Staff 80 90 100

JOB ROLE LOCALISATION “Job Role Localisation is a planned and systematic development of Ghanaians to acquire comparable skills sets that will enable them replace expatriates who occupy roles in the upstream sector”

STRATEGIES FOR ENSURING EMPLOYMENT OPPORTUNITIES FOR GHANAIANS JOBS RESERVED FOR GHANAIANS – MIDDLE AND LOWER LEVEL ROLES GHANAIANS AS SUCCESSORS TO EXPATRIATES WHO OCCUPY KEY ROLES EMPLOYMENT OF FRESH GRADUATES – ON THE JOB TRAINEES (ROTATORS WORK PERMIT) JOB OPPORTUNITIES ARISING FROM CREW ON BOARD VESSELS (POBs) TRAINING OF FRESH GRADUATES – GUSIP (GHANA UPSTREAM SECTOR INTERNSHIP PROGRAMME) ACCELERATED OIL & GAS CAPACITY BUILDING PROGRAMME (AOGC)

COLLABORATIONS WITH INDUSTRY AND ACADEMIA Ghana Upstream Sector Internship Programme To bridge current gap in the skills demand in the upstream sector To provide training opportunities for unemployed Ghanaian graduates Policy on Global Mobile Workforce University Collaboration Programme PC is collaborating with several tertiary institutions Synchronize the demand for skill set in the upstream sector with petroleum related courses offered in the tertiary institutions

GIVING GHANAIANS FIRST PREFERENCE IN RECRUITMENT & EMPLOYMENT Notify and Submit All Vacant Positions to PC Place Job Advertisement Select and Match CVs from PC Professional Database Attend Interview as “Observer”

GIVING GHANAIANS FIRST PREFERENCE IN RECRUITMENT & EMPLOYMENT Where Competent Ghanaian is not available Submit application for employment of a non- Ghanaian to work in the upstream petroleum sector (3 months prior to start of contract) Facilitate Work Permit Applications in collaboration with Ghana Immigration Service (GIS)

EMPLOYMENT OF A GHANAIAN SUCCESSOR Prior to the date of commencement of duty by the expatriate, Identify or Engage a Ghanaian successor(s) and ensure to the satisfaction of the Commission that best efforts are used to provide the appropriate training to the Ghanaian successor(s) in the relevant field(s) locally or abroad

SUBMISSION OF SUCCESSION PLAN Submit Succession Plan(s) including training programme(s) for the duration of the localisation period

TRAINING BUDGET Allocate a dedicated Training Budget for the implementation of the Succession Plan and the Training Programme

QUARTERLY APPRAISAL REPORTS Upon the submission of the Succession Plan(s), submit quarterly appraisal reports signed by both the expatriate and the designated Ghanaian successor(s) to the Commission at the end of every quarter; for review, approval and monitoring and evaluation

ANNUAL TRAINING PLAN FOR GHANAIAN CITIZENS Pursuant to Section 60(4) of Act 919, prepare and submit to the Commission for its written approval, a comprehensive training plan for Ghanaian citizens in its employment for an ensuing year

MONITORING & EVALUATION PC has developed an Monitoring & Evaluation framework to monitor succession plans of IOCs etc using the facilitation of work permit as an instrumental vehicle Ensures expatriate positions are localised within the approved period

CHALLENGES Skills Gap - Lack of Technical Skills Sets required in the Upstream Petroleum Sector (type or level of skills different from required skills) Non-Recognition of Skills Possessed by Ghanaians Non-Recognition of Certificates acquired in Ghana Skills Shortage (demand exceeds supply) Salary Disparities Labour Disputes (Employer – Employee Relationships) IOCs, Service Providers, 3rd Parties, Allied Entities Non Compliance Issues

IMPACT OF SKILLS RECOGNITION Individuals/Ghanaians Employment Opportunities Skills Utilisation/Prevents Skills Waste Career Development and Progression Ghana/PC/Employer Compliance with related regulations (LI.2204) & support for social intervention policies Match Jobs and Skills Prevents Skills Waste High Performance Accelerated National Development

2019 HIGHLIGHTS Review of Localisation Guidelines Guidelines on Jobs Reserved for Ghanaians Guidelines on Salary Disparities (Standard Industry Salary Structure) Ghana/PC Upstream Passport Awareness Creation – Stakeholder Engagements

CONCLUSION Employing local talent is Cheaper Ensures continued business even in crisis situations IOCs/Service Providers/Contractors are Compliant We encourage all stakeholders to support the PC’s mandate of ensuring local participation, skills transfer, capacity building and sustained employment for our people

PC PROFESSIONAL DATABASE EMAIL ADDRESS: localisationinfo@petrocom.gov.gh PC PROFESSIONAL DATABASE

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