CTPD Urges Immediate Development of Oil Exploration and Production Policy
The Centre for Trade Policy and Development (CTPD) has called on the Zambian government to urgently develop an Oil Exploration and Production (E&P) Policy.
Since the enactment of the Petroleum (Exploration and Production) Act in 2008, Zambia has struggled to attract significant investment in oil and gas exploration. Despite the country’s potential, geological risks and a lack of funding commitments have hindered progress.
Dr. Stephen Kambani, Associate Researcher for Extractives at CTPD, highlighted that Zambia has held three licensing rounds, with twelve out of fifty-six blocks currently under license and six being actively explored.
However, no successful exploration outcomes have been reported, primarily due to insufficient serious funding commitments.
Dr. Kambani said that CTPD has identified two major issues deterring investment: the absence of an E&P policy and inadequacies in the existing Petroleum Act and its regulations.
Neighboring countries like Zimbabwe, Mozambique, and Namibia have seen more success by developing comprehensive policies and frameworks to support their oil and gas sectors.
CTPD emphasizes that the urgent development of an Oil Exploration and Production Policy is crucial. Revising the 2008 Act and its regulations to address stakeholder concerns, including clear definitions of state participation, is essential for the sector’s success.
