Right to public information
-The example of EITI,
-of knowing what Governments earn from
selling a countries’ natural resources
Carter Centre, 27 February 2008
Jonas Moberg, Head of the EITI Secretariat
1. The problem
3.5 Billion people live in countries
rich in oil,gas & minerals...
Bad management and lack
of transparency of these
resources can lead to poverty,
conflict and corruption...
Financial statement
Board paper 4-2, p. 11
A Commodities Boom...
Source: The Economist July 20th 2006
= A Resource Revenue Boom.
2. Part of the solution?
How Does EITI Work?
2. Government
‘publish what
they receive’
1. Companies
‘publish what
they pay’
EITI provides
Independent
Verification &
Reconciliation
Oversight by a Multi-Stakeholder Group
Property rights (ownership, auctioning, contracting)
Operational phase (i.e.cost/profit oil, tax calculations)
EITI
Fiscal revenues collection - Disclosure
Revenue’s distribution (federal-national/sub-natl)
Final allocation of resources (quality of spending)
Multi-stakeholder Governance Initiative
(The curious coalition [*])
- Major international oil, gas, and mining companies and
investors in those companies
(including BP, ChevronTexaco, ExxonMobil and Shell)
- Implementing Countries (including Ghana,
Gabon,Cameroon, Nigeria, Azerbaijan, Kyrgyz
Republic)
- Civil society groups and networks – e.g. Publish What
You Pay, Open Society / Revenue Watch,
Transparency International
- Donors: UK, Norway, France, Germany, Netherlands,
Australia
(*) ”Tackling the oil curse”, The Economist, Sep 23,2004
Global standard, locally implemented
The EITI Board
Supporters
The EITI Conference
National EITI
The Secretariat
The EITI has been politically
endorsed by many Governments
and in many forums
- LIETI
- GEITI
- Azerbaijan EITI
- Norway
www.eitransparency.org
www.eitransparency.org
Extract from the Gabon 2005 EITI Report (page 36)
www.eitransparency.org
3. Does it work?
Ngozi Okonjo–Iweala
Managing Director, The World Bank
“[NEITI] has lifted Nigeria’s profile in the eyes
of investors and helped lead to significant
increases in FDI not only in the oil sector
(about US$ 6 billion a year) but also in the
other non-oil sectors US$3 billion”.
January, 2008
Umaru Musa Yar’Adua
President of Nigeria
“[NEITI] has recorded major achievements in its
four years of operations. Among other
accomplishments, it commissioned and
popularized the first comprehensive audit of the
petroleum sector for the period 1999 to 2004; it
conducted studies that swelled government’s
coffers by over $1 billion; and it catapulted our
country into a leading position among countries
implementing the EITI”.
January, 2008
Cynthia Carroll
CEO, Anglo American plc
If, for example, members of one of our host governments
pocket the revenues which we generate, rather than
spending them for the public good, it simply is not enough
for us to deny all responsibility. Whilst we may not be
technically responsible, many people will view us as
complicit if we remain silent.
[EITI] is intended to guard against embezzlement, increase
accountability and to lead to a wider debate about the use
to which these time-limited revenues are put. It is not a
silver bullet for dealing with all corruption but it is
beginning to produce some worthwhile results.
24 October 2007
Why should I join?
Implementing countries:
• Self-interest
(reduce corruption; increased accountability;
improved investment climate)
• International recognition
• Company, investor and international pressure
Why should I join?
Companies:
• Self-interest
(good with stable investment
Climate and good goverance)
• Investor pressure
• Country demand
What now?
• Implemenation
(Validation)
• Mainstreaming
(listings requirements, UN, accounting standards
• Large emerging markets
• Coordinated support
Right to public information
-The example of EITI,
-of knowing what Governments earn from
selling a countries’ natural resources
Carter Centre, 27 February 2008
Jonas Moberg, Head of the EITI Secretariat
jmoberg@eitransparency.org
www.eitransparency.org