KPMG report reveals that SML was allocated GH¢720 million from ESLA’s total revenue of GH¢2.45 billion

An audit by KPMG has revealed that Strategic Mobilisation Ghana Ltd (SML) received GH¢720 million out of the GH¢2.45 billion revenue generated from the Energy Sector Levy Act (ESLA) through its revenue mobilisation agreement with the Ghana Revenue Authority (GRA).

The amount was raised between May 1, 2020, and December 31, 2023, corresponding to 1.70 billion liters over the period, with an average of 38.6 million liters per month.

Documents submitted to KPMG for the audit indicated that the GRA and SML claimed the start of SML’s contract resulted in increased volume liftings and tax revenue amounting to GH¢12.98 billion from May 1, 2020, to December 31, 2023.

“Based on analysis using ESLA reported liftings as the pre-SML, the incremental reported volume that is attributable to the involvement of SML is determined as 1.70 billion litres for the period. This works out to a monthly average of 38.6 million litres per month.

“The incremental revenue that is attributable to the involvement of SML is GH¢2.45 billion for the period. The fee of GH¢720 million paid to SML for the same period constitutes 29.41% of the incremental tax revenue,” the report said.