Towards sustainable resource management: Graph modelling insights from Ghana's oil and gas local content ecosystem

Abstract

A critical aspect of the management of oil and gas resources in Ghana is the effective promotion and development of local content to maximise the participation of local businesses and workforce in the oil and gas industry. This study examined local content drive in Ghana's oil and gas sector, analyzing its functional relations with institutional characteristics, participation, technology transfer, and economic growth via graph modelling framework. A total of 250 key stakeholders were involved in this cross-sectional study. A network analysis revealed the centrality of institutional characteristics in driving local content development, while economic growth was the least integrated domain. Diverse strengths and directionality of connections between domains were observed, which highlight the complexity of areas of influence and potential challenges. Process modelling analysis showed a significant positive direct effect of institutional characteristics on local content drive, emphasizing the critical role of robust and supportive institutions in driving local content initiatives. Conversely, economic growth exhibited a smaller yet significant negative direct effect, indicating a trade-off between economic expansion and local content focus. The broader implications of these findings are discussed, and recommendations are proposed to enhance the effectiveness of local content drive in Ghana's oil and gas sector.