SML defends business practices; highlights contribution to petroleum sector growth

Strategic Mobilisation Ghana Limited (SML) is pushing back against recent allegations, vigorously defending its business practices and emphasizing its adherence to industry standards.

The company specifically refuted claims of impropriety in its contract with the Ghana Revenue Authority (GRA), asserting that it operates under a risk-reward model.

The controversy arose following a documentary by the Fourth Estate, which questioned the contract between SML and GRA, casting doubt on the legitimacy of the partnership and SML's reported savings for the government.

In response, SML released a statement addressing key concerns raised in the documentary. The company highlighted its substantial role in contributing to the growth of the downstream petroleum sector. SML showcased a remarkable increase in volume reporting and revenue generation, disputing assertions that questioned the impact of its intervention.

The GRA also stepped in to defend its collaboration with SML. In a statement issued on Wednesday, December 20, 2023, the GRA emphasized that SML's efforts led to a significant uptick in figures reported in the downstream petroleum sector. The reported increase in volume, from an average of 350 million litres per month in 2018 and 2019 to 450 million litres per month from 2020/2021, represents a notable thirty-three per cent surge.

The GRA attributed this positive performance primarily to the introduction of the Integrated Customs Management System (ICUMS) and the SML systems. The statement highlighted that the extra revenue gained for the two years would exceed GHS3 billion.

SML, a wholly-owned Ghanaian company with diverse investments, aims to quell doubts about its practices and underline its commitment to supporting the growth and integrity of the petroleum sector in Ghana.

The company's response and the GRA's endorsement emphasize the complexities and successes in the collaboration between the public and private sectors in key industries.