This year marks an important milestone for the EITI as it celebrates its 20th anniversary. This milestone was also marked by the publication of the EITI Standard 2023, which focuses on the use of data and dialogue to navigate the energy transition, combat corruption risks, promote gender equality and strengthen revenue collection.
Leaders from more than 60 countries gathered for the EITI 2023 Global Conference in Dakar, Senegal, to welcome the opportunities offered by the new EITI Standard and, in doing so, reaffirmed their commitment to promoting transparency in the extractive industries. From Kazakhstan to the Democratic Republic of Congo and Tanzania, these leaders announced commitments on a range of issues, from anti-corruption to local development and the energy transition.
Transparency and accountability are regulated with a view to benefiting the country and investors in a win-win situation.
The fight against corruption
The EITI Standard 2023 offers countries and companies the opportunity to use the EITI platform to identify and address corruption risks in the management of natural resource wealth. It introduces stricter provisions on the disclosure of beneficial owners and contracts, while integrating the fight against corruption into the objectives of many disclosure requirements.
Several countries have already started to use the EITI processes and reports to identify corruption risks, while others have recently committed to taking action:
- The Central African Republic has undertaken to publicly disclose extraction contracts and licences and to establish a legal basis for the disclosure of beneficial owners.
- The Dominican Republic has undertaken to verify the beneficial owners of companies in the process of awarding extractive licences.
- Honduras is committed to using the EITI to showcase international best practice as part of its national anti-corruption strategy.
- Kazakhstan has undertaken to disclose the beneficial owners of extractive companies.
Local development and impact
More than two decades of EITI implementation in over 50 countries have fostered improved dialogue and trust between national stakeholders, as evidenced by an independent evaluation of the EITI. But translating EITI disclosures into local development has been a major challenge for many countries. To this end, several EITI countries and companies have stressed the importance of strengthening their engagement on local issues and with communities:
- The Central African Republic is committed to giving local authorities and civil society the means to use extractive transparency to promote local development.
- Colombia emphasised the role of governments in using the EITI to safeguard the rights of communities and monitor companies’ commitments.
- The Democratic Republic of Congo is committed to boosting mining production to align sustainable development with social and environmental objectives.
- TotalEnergies stressed the need to develop sustainable projects that create local jobs and stimulate local economic growth, and reiterated its commitment to contractual transparency and multi-stakeholder dialogue.
Energy transition
Under the theme “Transparency in Transition”, the EITI Global Conference addressed the evolving context of transparency in the extractive sector in the context of the energy transition and what this means for the implementation of the EITI. Several EITI countries are looking to use the EITI platform to identify and manage the opportunities and challenges presented by the energy transition:
Mauritania is committed to working with other EITI partners to develop standards for the renewable energy sector and the environmentally sustainable management of natural resources.
Senegal – host of the World Conference – stressed the importance of the EITI in contributing to fair remuneration for future energy resources, developing local content policies and promoting a fair energy transition.
A special session also saw a wide range of stakeholders highlight the need for greater transparency and accountability in the renewable energy sector, with participation from renewable energy company Statkraft, Savannah Energy, the Business & Human Rights Resource Centre and the Transparency and Accountability Initiative.
Over the past two decades, the EITI has evolved to respond to the changing context of the extractive sector. Yet its core principles of contributing to sustainable development and poverty reduction remain as relevant as ever, as H.E. Samia Suluhu Hassan, President of Tanzania, emphasised in her video address to the EITI Global Conference. Other leaders also reaffirmed their support for the EITI’s mission, including H.E. Jonas Gahr Støre, Prime Minister of Norway, and Sir Tony Blair, former Prime Minister of the United Kingdom, who stressed that transparency in the extractive sector has been and continues to be a central part of a broader accountability agenda:
- H.E. Samia Suluhu Hassan, President of Tanzania, said: “We are committed to implementing the EITI because it is aligned with our policy of promoting transparency and accountability in the management and use of our natural resources. […] In Tanzania, transparency and accountability are regulated with a view to benefiting the country and investors in a win-win situation.
- H.E. Jonas Gahr Støre, Prime Minister of Norway, said: “Norway has had the pleasure of hosting the EITI International Secretariat in Oslo since 2007, and I am pleased to announce that our support will continue”, adding that “I am pleased that the initiative is still […] moving forward, learning and adapting as it goes along.
- Sir Tony Blair, former Prime Minister of the United Kingdom, said: “The EITI continues to have a real impact on people around the world. We should use today as a celebration, but also as an opportunity for everyone to discuss where we want to be in 20 years’ time and what we need to do to get there.
In addition, the support of like-minded organisations continues to be vital to the success of the EITI. Suneeta Kaimal, President and CEO of the Natural Resource Governance Institute, stressed the importance of ensuring that civil society engagement underpins the EITI dialogue. On the industry side, Rohitesh Dhawan, CEO of the world’s leading mining association ICMM, emphasised that its member companies continue to advance best practice in line with the EITI Standard, such as contract transparency, country-by-country fiscal transparency and reporting on social and environmental impacts and contributions.
As the EITI enters its third decade, it will seek to extend its mission to an ever-growing community of stakeholders dedicated to the open and responsible management of natural resources. Several countries have expressed their interest in joining this movement. Notable commitments came from Chile, reaffirming its government’s commitment to implementing the EITI, and South Africa, with its willingness to explore EITI membership and the role of the African Union in promoting best practice. The EITI Standard 2023 provides an opportunity for these and other non-implementing countries to consider how EITI implementation could strengthen disclosure and dialogue in a rapidly evolving sector.
