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Extractive Industries

Transparency and accountability in the extractive industry sector is crucial to mitigating the effects of the “resource curse” in countries endowed with natural resources.

Overview

More than 50 countries depend on oil, gas and minerals as their most important sources of government and export revenues. However, evidence shows that their performance on human development indicators compares unfavourably to less-endowed countries. At the root of this underperformance is the failure by governments to properly address the institutional and policy challenges that come with natural resources.

Open government approaches in the governance of natural resources can help detect corruption, safeguard community interests, improve the investment climate, and support environmental sustainability. Extractive industry commitments are a common area of activity within OGP, with potential to complement other initiatives within this sector.


Paraguay CitizENGAGE

Early Results of Open Government Partnership Initiatives (2018)

This publication series captures ‘early results’ of open government commitments. It can take a long time to see how open government policies materialize into concrete social, economic and political benefits for citizens, but we have learned that the journeys of reformers fighting to bring policies to fruition are critical to understanding the ultimate impact of policies.

Oil rig in the yards

Nigeria’s Push for Beneficial Ownership Transparency in Procurement and in the Extractives Sector

Lessons from Reformers: As a resource-rich country that has been plagued by grand corruption, beneficial ownership transparency has emerged as an important tool in Nigeria.


Model Commitments

Initial Commitments

  • Disclose contracts signed with extractive companies
  • Make all rules and regulations for natural resource licenses and concessions available in a public database
  • Publish timely, comprehensive reports on oil, gas and mining operations, including detailed revenue and project information

 

Intermediate Commitments

  • Create a national strategy for the extractive sector, through an open and participative process Create mechanisms for the public and legislators to engage in extractive concessioning
  • Publish comprehensive financial reports on natural resource funds
  • Publish environmental and economic impact studies for all natural resource projects
  • Publish resource-related revenue transfers to sub-national governments
  • Require state owned enterprises to publish comprehensive reports

 

Advanced Commitments

  • Create a public web registry of all natural resource concessions
  • Require all listed companies to disclose resource related payments on a project by project basis

 


Recommendations

  • Find synergies between Extractive Industries Transparency Initiative (EITI) and OGP: OGP members can improve extractives industries transparency by applying policies like open contracting and beneficial ownership to extractives sector management.
  • Advance the implementation of Sustainable Development Goal 13 (SDG): OGP members can consider commitments that develop, track, and publish relevant milestones and indicators of sustainable development and climate action.  
  • Advance community rights: OGP members can provide indigenous and marginalized communities with information about land use and ownership and involve them in decision-making processes concerning land use.

Resources

  1. How to Read and Understand Mining Contracts

    n/a, Outbound Link, Web Page

  2. 1970, Document,

  3. http://openoil.net/understanding-oil-contracts/

    This case study was originally posted in the OGP Global Report. The country has legal provisions dating back to 2004 that…

    2019, Stories, Web Page

  4. Environmental Democracy Index (WRI)

    n/a, Outbound Link, Web Page

  5. ONRWG_Closing-Gap[1]

    2019, Document, PDF

  6. Disclosing beneficial ownership information in the natural resource sector (French)

    2017, Document, PDF

  7. Disclosing contracts in the natural resource sector (English)

    2017, Document, PDF

  8. Disclosing environmental information in the natural resource sector (English)

    2019, Document, PDF

  9. FINOGPIssueBriefKDisc_0[1]

    2019, Document, PDF

  10. Disclosing beneficial ownership information in the natural resource sector (English)

    2019, Document, PDF

  11. NRGI Primers: A Series About Resource Governance

    n/a, Outbound Link, Web Page

  12. Guidance Notes on the EITI Standard

    n/a, Outbound Link, Web Page

  13. The EITI Standard

    n/a, Outbound Link, Web Page

  14. https://www.open-contracting.org/data-standard/

    n/a, Outbound Link, Web Page

  15. Resource Governance Index (NRGI)

    n/a, Outbound Link, Web Page


Commitments

  1. Making Energy Statistics Available

    NO0055, 2019, E-Government

  2. Natural Resource Transparency

    UK0094, 2019, E-Government

  3. National Energy Efficiency Plan

    UY0130, 2018, Capacity Building

  4. Industry, Energy and Mining Data Publication

    UY0131, 2018, E-Government

  5. Open Data

    HN0062, 2018, Capacity Building

  6. Transparency in Extractive Industries

    HN0078, 2018, Capacity Building

  7. Join EITI

    NL0030, 2018, Anti-Corruption Institutions

  8. Join EITI

    TN0041, 2018, Capacity Building

  9. Open Contracting in Hydrocarbons

    TN0042, 2018, Capacity Building

  10. EITI Process

    PNG0007, 2018, Extractive Industries

  11. Participatory Tech in Extractives

    COT0004, 2018, Capacity Building

  12. Extractives Data Management

    ID0092, 2018, Beneficial Ownership

  13. Complaint System for Environment

    ID0102, 2018, E-Government

  14. Beneficial Ownership Register

    AM0037, 2018, Anti-Corruption Institutions

  15. Mining Data Disclosure

    KG0015, 2018, E-Government

  16. Database of Natural Resources

    UA0079, 2018, E-Government

  17. EITI Online Data

    UA0083, 2018, E-Government

  18. Open Data/Citizen Navigation Portal

    LR0036, 2017, Audits and Controls

  19. Promote Access to Information of Public Funds Linked to Extractive Activities in Multilevel Instances

    PE0069, 2017, Extractive Industries

  20. Financial Transparency - EITI Standard

    DE0005, 2017, E-Government

  21. Developing a New Transparency Portal for Madrid City Council

    MAD0002, 2017, Asset Disclosure

  22. Extractives Sector Transparency

    GH0024, 2017, Extractive Industries

  23. Philippine Extractive Industries Transparency Initiative

    PH0052, 2017, Beneficial Ownership

  24. Integrated Mining Information System

    AR0040, 2017, E-Government

  25. Open Contracting

    NG0002, 2017, Capacity Building

  26. Extractive Sector Transparency

    NG0003, 2017, Beneficial Ownership

  27. Anti-Corruption Activity Coordination

    NG0009, 2017, Anti-Corruption Institutions

  28. Citizen Participation in the Establishment, Implementation and Social Control of the Commitments Made by the Ministry of Mines and Energy and Stakeholders

    CO0062, 2017, Extractive Industries

  29. Starred commitment Adoption of the Environmental Assessment Code

    GE0057, 2016, Capacity Building

  30. National Environmental Act (NEA) Amendments

    LK0007, 2016, Capacity Building

  31. Publish the Number of Carats of Diamond Exported and Accompanying Kimberly Process Certificates

    CI0001, 2016, Capacity Building

  32. Create and Operationalize 5 Local Mining Development Committees (CDLM)

    CI0002, 2016, Extractive Industries

  33. Transparency of Contracts of Public Resource Exploiting

    MN0032, 2016, Anti-Corruption Institutions

  34. Information Transparency of the Owners of the Entities with Rights to Use Mineral Resources

    MN0033, 2016, Anti-Corruption Institutions

  35. Make Licenses, Information and Activities of the Companies Transparent and Effective by Government

    MN0034, 2016, Anti-Corruption Institutions

  36. Increasing Transparency in Extractive Industries

    AZ0046, 2016, Capacity Building

  37. Ensuring Private Sector Accountability and Involvement in National Climate Change Action

    MK0120, 2016, E-Government

  38. Natural Resource Transparency

    UK0064, 2016, Extractive Industries

  39. Implement the Extractives Sector Transparency Measures Act

    CA0058, 2016, Capacity Building

  40. Resilient Communities

    HN0058, 2016, Capacity Building

  41. Starred commitment Well-Being Duty

    UK0089, 2016, E-Government

  42. Extractive Industry Transparency Initiative (EITI)

    MW0005, 2016, Extractive Industries

  43. Starred commitment Energy Sector Watch: Transparent, Accessible and Participatory

    CL0032, 2016, E-Government

  44. Codelco Transparency Website

    CL0035, 2016, E-Government

  45. Country-By-Country Reporting

    NO0052, 2016, Extractive Industries

  46. Joining the Extractive Industries Transparency Initiative "EITI"

    TN0021, 2016, Capacity Building

  47. Geospatial Maritime Data

    GR0042, 2016, E-Government

  48. Marine and Maritime Activity

    GR0044, 2016, E-Government

  49. Environmental Management Information Portal

    ZA0019, 2016, E-Government

  50. Reducing Vulnerability and Risks Associated Variability and Climate Change, Generating, Disseminating and Articulating Date, Affordable, Public and Binding on the Public Decision-Making Information.

    MX0074, 2016, E-Government

  51. Publish Oil and Gas Contracts

    KE0013, 2016, Extractive Industries

  52. Public Environmental Information and Natural Resources

    PY0030, 2016, E-Government

  53. Extractive Industries Transparency

    AU0003, 2016, Beneficial Ownership

  54. Starred commitment Extractive Industries Transparency Initiative

    UA0065, 2016, Extractive Industries

  55. Access to Government Data

    AU0010, 2016, Capacity Building

  56. Environmental Monitoring Points

    UY0070, 2016, Capacity Building

  57. Starred commitment National Water Plan

    UY0072, 2016, Capacity Building

  58. Introduction of Electronic Licensing System in the Field of Natural Resources Application

    GE0044, 2016, Capacity Building

  59. Publication of Energy Data

    UY0075, 2016, E-Government

  60. Starred commitment Commissions for Extractive Industries Transparency

    PE0054, 2015, Extractive Industries

  61. Extractive Industries' Transparency

    PH0032, 2015, Extractive Industries

  62. Extractive Industries Transparency

    US0083, 2015, Extractive Industries

  63. Transparency in Extractive Industries

    FR0010, 2015, Extractive Industries

  64. Citizen Participation and Accountability in the Extractive Sector

    CO0040, 2015, Capacity Building

  65. Support Capacity Building for Extractives Transparency

    US0103, 2015, Capacity Building

  66. Map Investments

    CO0045, 2015, E-Government

  67. Starred commitment Citizen Participation in Transparency and Royalties

    CO0046, 2015, Audits and Controls

  68. Environmental Public Expenditure Management

    CO0049, 2015, Audits and Controls

  69. Public Information on Land and Natural Resource Reform

    LR0010, 2015, Extractive Industries

  70. Publish and Revise 70% of Mining and Agricultural Lease Agreements and Contracts

    SL0009, 2014, E-Government

  71. Open Data Portal for Transparency in Fiscal and Extractive Transactions

    SL0011, 2014, E-Government

  72. Starred commitment Mandatory Reporting on Extractives

    CA0036, 2014, Extractive Industries

  73. Adherence to the Global Compact of the United Nations Organization

    SV0075, 2014, Anti-Corruption Institutions

  74. Knowing the EITI and Its Results.

    HN0042, 2014, Extractive Industries

  75. Tanzania to Fulfill Its EITI Commitments by June 2016

    TZ0030, 2014, Extractive Industries

  76. To Audit the Accounts of the Ministry of Energy and Energy Affairs to International Standards

    TT0011, 2014, Audits and Controls

  77. To Make Publicly Available the Cadastre of Licenses and Contracts for the Exploration and Production of Oil and Gas in Trinidad and Tobago

    TT0012, 2014, E-Government

  78. To Include the Mineral Sector (Starting with National Quarries Company Ltd) in the TTEITI Reporting Mechanism

    TT0013, 2014, E-Government

  79. Starred commitment Strengthening Environmental Democracy

    CL0031, 2014, Environment and Climate

  80. Development of an "Open Data" Platform Dedicated to Information Dealing with Oil and Mine Sector Investment

    TN0018, 2014, Extractive Industries

  81. Accelerate Open and Good Governance Practices in Natural Resources Management

    ID0039, 2014, Environment and Climate

  82. Implementation and Monitoring of the EITI Initiative

    GT0021, 2014, Extractive Industries

  83. Digitization and publication of data in the “Republican Geological Fund” SNCO

    AM0016, 2014, Extractive Industries

  84. Promote Transparency and Accountability in the Management of Natural Resources to Ensure That Revenues from Extractive Industries Are Used to Generate Social Welfare.

    GT0028, 2014, Extractive Industries

  85. Ensuring Transparency in Mining

    AM0017, 2014, Extractive Industries

  86. Implementation of the School of Transparency.

    GT0033, 2014, Anti-Corruption Institutions

  87. Transparency of Underground Resources Act

    BG0033, 2014, Extractive Industries

  88. Compliance with EITI

    UA0040, 2014, Extractive Industries

  89. Develop Central Information Database of Minerals, Oil, and Land Tenure License Owners, Open to the Public.

    MN0004, 2014, E-Government

  90. Ensure Transparency All Agreements on Investment, Stability and Production- Sharing of Public-Owned Resources Such as Water, Minerals, Oil and Land.

    MN0005, 2014, Extractive Industries

  91. Starred commitment Single Treasure Account

    SL0005, 2014, Extractive Industries

  92. Extractive Industry Revenue Act

    SL0006, 2014, Extractive Industries

  93. Scaling up Extractive Industry Transparency Initiatives

    SL0007, 2014, Extractive Industries

  94. Starred commitment Extractive Transparency

    UK0062, 2013, E-Government

  95. Extractive Sector Revenue Management

    GH0005, 2013, Extractive Industries

  96. Starred commitment Initiate Fiscal Transparency in the Extractive Industry

    PH0027, 2013, Extractive Industries

  97. Transparency in the Management of Oil and Gas Revenues

    NO0034, 2013, Extractive Industries

  98. Starred commitment Implement the Extractive Industries Transparency Initiative

    US0037, 2013, Environment and Climate

  99. Make Fossil Fuel Subsidies More Transparent

    US0038, 2013, Extractive Industries

  100. Forest Management

    ID0019, 2013, E-Government

  101. Transparency and Accountability in Natural Resources Management Activity

    ID0020, 2013, E-Government

  102. Oil, Gas, and Mining Revenue Transparency

    ID0021, 2013, Extractive Industries

  103. Open and Participative Entrepreneurial Background

    MX0048, 2013, E-Government

  104. Oil for the Benefit of All

    MX0059, 2013, Extractive Industries

  105. Mining for Everyone

    MX0060, 2013, Environment and Climate

  106. Mexico Accession to the Transparency Initiative Extractive Industries

    MX0063, 2013, Extractive Industries

  107. Extractive Industries Transparency

    LR0003, 2013, Audits and Controls

  108. Implementation of the Extractive Industry Transparency Initiative

    AZ0031, 2012, Extractive Industries

  109. Disclosure of Income from Extractive Industries

    AZ0032, 2012, Asset Disclosure

  110. Disclosure of Annual EITI Reports

    AZ0033, 2012, Extractive Industries

  111. Implementation of the EITI Recommendations

    AL0030, 2012, Extractive Industries

  112. Public Participation in Environmental Matters

    CL0019, 2012, Environment and Climate

  113. Initiating Discussions to Join the Extractive Industries Transparency Initiative (EITI).

    JO0033, 2012, Extractive Industries

  114. Country by Country Reporting in the Extractive and Forestry Industries

    DK0022, 2012, Extractive Industries

  115. Starred commitment Royalties and Transparency Initiative Extractive Industries: Eiti

    CO0025, 2012, Extractive Industries

  116. Starred commitment Extractive Industries Transparency Initiative

    UA0011, 2012, E-Government

  117. Starred commitment Mining Industry and Underground Resources

    BG0006, 2012, Extractive Industries

  118. Law on the Underground Resources

    BG0007, 2012, Extractive Industries

  119. Starred commitment Public Information System on Mineral Resources

    BG0008, 2012, Extractive Industries

  120. Transparency of Managing Mineral Resources

    BG0009, 2012, Extractive Industries

  121. Streamlining Environmental Assessment Procedures

    ES0011, 2012, E-Government

  122. Environmental Issues Access

    PE0010, 2012, Environment and Climate

  123. EITI Commission

    PE0011, 2012, Extractive Industries

  124. Transparency in the Management of Oil and Gas Revenues / Financial Transparency

    NO0010, 2011, Aid

  125. Provide Enforcement and Compliance Data Online

    US0004, 2011, Environment and Climate

  126. Implement the EITI

    US0019, 2011, Extractive Industries

  127. Partnership to Build on Recent Progress

    US0020, 2011, Extractive Industries

  128. Corporate Accountability D: Mexico’s Joining the EITI

    MX0007, 2011, Extractive Industries

  129. Environmental Openness

    ID0012, 2011, Environment and Climate

  130. Mining Projects Database

    MX0013, 2011, Extractive Industries

  131. Publish PEMEX Donation Data

    MX0014, 2011, Extractive Industries

  132. Publish PEMEX Contract Data

    MX0016, 2011, Extractive Industries

  133. Regulatory Search Engines (Energy)

    MX0024, 2011, E-Government


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