Seminar - Mozambique EITI - World...
20
1 Extractive Industries Transparency Initiative (EITI) Seminar - Mozambique EITI Maputo October 23, 2008 Implementing EITI in Mozambique: The Pathway Ahead and Key Challenges (including role of EITI Multi-donor Trust Fund) On behalf of: World Bank Group Oil, Gas, Mining Policy and Operations Unit (COCPO) and EITI International Secretariat, Oslo
Transcript of Seminar - Mozambique EITI - World...
1
Extr
acti
ve In
dust
ries
Tra
nspa
renc
y In
itia
tive
(EI
TI)
Sem
inar
-M
ozam
biqu
e EI
TI
Map
uto
Oct
ober
23,
200
8
Impl
emen
ting
EIT
I in
Moz
ambi
que:
The
Path
way
Ahe
ad a
nd K
ey C
halle
nges
(i
nclu
ding
rol
e of
EIT
I Mul
ti-d
onor
Tru
st F
und)
On
beha
lf o
f:W
orld
Ban
k G
roup
Oil,
Gas
, M
inin
g Po
licy
and
Ope
rati
ons
Uni
t (
COCP
O)
and
EITI
Inte
rnat
iona
l Sec
reta
riat
, O
slo
2
Ove
rvie
w o
f Pr
esen
tati
on -
Moz
ambi
que
EITI
Reca
p of
goa
ls o
f th
e EI
TI M
ozam
biqu
e Se
min
arBu
ild c
onse
nsus
on
nati
onal
goa
l of
adop
ting
EIT
I in
Moz
ambi
que
Doc
umen
t th
e EI
TI p
repa
rati
ons
for
achi
evin
g “c
andi
date
”st
atus
In
augu
rate
“m
ulti
-sta
keho
lder
ste
erin
g gr
oup”
for
EITI
In
trod
uce
cost
edEI
TI w
ork
plan
for
EIT
I in
Moz
ambi
que
Why
EIT
I? T
he E
ITI a
rchi
tect
ure
glob
ally
EITI
pro
cess
and
cri
teri
a –
and
bene
fits
to
coun
trie
s
Emer
ging
res
ults
fro
m E
ITI i
n ot
her
coun
trie
s
Ove
r th
e m
ediu
m-t
erm
: “
Beyo
nd E
ITI …
….”
3
The
unde
rlyin
g is
sue
that
EIT
I see
ks to
ad
dres
s: “
man
agin
g na
tura
l res
ourc
es w
ell”
Alth
ough
Moz
ambi
que
is n
ot y
et m
iner
al-d
epen
dent
, giv
en th
e gl
obal
ex
perie
nce
of re
sour
ce-r
ich
coun
trie
s, it
is im
port
ant t
o la
y th
e fo
unda
tion
early
for t
rans
pare
ncy
and
good
gov
erna
nce
in th
e se
ctor
4
Goo
d go
vern
ance
can
hel
p m
itiga
te th
e “re
sour
ce c
urse
”….
Goo
d go
vern
ance
has
mul
tiple
feat
ures
:C
lear
and
sta
ble
law
s an
d re
gula
tions
Rul
e of
law
Hig
h le
vel o
f cap
acity
and
ski
lls in
gov
ernm
ent
Fisc
al m
onet
ary
and
budg
et d
isci
plin
eE
ven
and
cons
iste
nt a
pplic
atio
n of
law
s an
d fis
cal r
egim
es to
all
Ope
n di
alog
ue b
etw
een
gove
rnm
ent a
nd c
ivil
soci
ety
Pub
lic s
ecto
r/priv
ate
sect
or b
alan
ceTr
ansp
aren
cyEI
TI “
spac
e”
Tran
spar
ency
and
goo
d se
ctor
gov
erna
nce
in t
he
cont
ext
of M
ozam
biqu
e po
licy
goal
s
5
The
Mul
ti-St
akeh
olde
r EI
TI S
tree
ring
Gro
up/C
omm
ittee
Nat
iona
l EIT
ISec
reta
riat
(to m
anag
e da
y-to
-day
EIT
I w
ork)
The
Gov
ernm
ent
Civ
il So
ciet
yC
ompa
nies
EITI
–a
glob
al s
tand
ard
loca
lly i
mpl
emen
ted
to m
eet
nati
onal
goal
s an
d re
quir
emen
ts
6
EITI
Glo
bal S
truc
ture
–EI
TI B
oard
7
Sign
up
•Is
sue
gove
rnm
ent a
nnou
ncem
ent
•C
omm
it to
wor
k w
ith a
ll st
akeh
olde
rs•
Appo
int i
mpl
emen
tatio
n le
ader
•C
ompo
se a
nd p
ublis
h w
orkp
lan
Dis
sem
inat
ion
•D
isse
min
ate
EITI
repo
rt•
Rev
iew
less
ons
lear
ned
and
repe
at
Cou
ntry
und
erta
kes
exte
rnal
val
idat
ion
Dis
clos
ure
•D
iscl
ose
paym
ents
and
reve
nues
to
adm
inis
trato
r •
Rec
eive
repo
rt fro
m a
dmin
istra
tor
•Id
entif
y an
d ex
plai
n di
scre
panc
ies
•R
ecom
men
d im
prov
emen
tsPr
epar
atio
n•
Esta
blis
h m
ulti-
stak
ehol
der c
omm
ittee
•
Enga
ge in
dust
ry a
nd c
ivil
soci
ety
•R
emov
e ob
stac
les
to im
plem
enta
tion
•Ag
ree
repo
rting
tem
plat
es•
Sele
ct a
nd a
ppro
ve n
eutra
l EIT
I ad
min
istra
tor
•En
sure
full
indu
stry
par
ticip
atio
n•
Ensu
re c
ompa
ny a
nd g
over
nmen
t ac
coun
ts a
re p
rope
rly a
udite
d
Valid
atio
n is
the
end
-obj
ecti
ve f
or a
n EI
TI c
ount
ry
The
EITI
Pro
cess
...
.. in
a n
utsh
ell
(EIT
I par
tner
s’go
al is
to
help
an
EITI
cou
ntry
to
impl
emen
t th
is E
ITI c
ycle
)
8
The
EITI
Pro
cess
-pa
rt o
f a
bigg
er p
ictu
re
Aw
ard
of
licen
ses
&co
ntra
cts
Regu
latio
n&
mon
itori
ng o
f op
erat
ions
The
EITI
pro
vide
s a
foru
m fo
r di
alog
uean
d a
plat
form
for
broa
der
refo
rms
Reve
nue
Dis
trib
utio
n &
M
anag
emen
t
Impl
emen
tatio
n of
Sus
tain
able
D
evel
opm
ent
Polic
ies
Gov
ernm
ent S
pend
ing
Com
pani
es
Dis
clos
e P
aym
ents
Gov
ernm
ent
Dis
clos
es R
ecei
pt
of P
aym
ents
Ove
rsig
ht b
y a
Mul
ti-S
take
hold
er G
roup
Inde
pend
ent
Ver
ifica
tion
of
Tax
& R
oyal
ty
Pay
men
ts
9
Reco
ncile
r /
Aud
itor
Nat
iona
l Sta
keho
lder
Gro
up (
Gov
ernm
ent,
Co
mpa
nies
, Ci
vil S
ocie
ty)
All E
I com
pani
es
com
plet
ein
divi
dual
dat
a re
port
ing
tem
plat
es(a
nd p
rovi
de
info
rmat
ion
as r
equi
red
to A
udit
fir
m)
--pr
oduc
es E
ITI R
epor
t fo
r St
akeh
olde
r G
roup
Gov
t ag
enci
es
prov
ide
data
(and
info
rmat
ion
as r
equi
red)
Dat
a fr
omCo
mpa
nies
Dat
a fr
omG
ovt
agen
cies
--in
vest
igat
es /
get
sm
ore
data
to
reco
ncile
an
y di
scre
panc
ies
EITI
Re
port
to
publ
ic
Esse
nce
of E
ITI i
s disclosu
re–
base
d on
dec
isio
ns o
f EI
TI s
cope
tak
en b
y na
tion
al E
ITI s
take
hold
er g
roup
s
10
…. A
t cou
ntry
leve
l:E
ITI B
oard
has
app
rove
d 23
cou
ntrie
sas
“EIT
I can
dida
te”–
16 in
Afr
ica
Of t
hese
, 10
have
pub
lishe
d on
e or
mor
e E
ITI R
epor
ts to
dat
e (S
ept 2
008)
(Aze
rbai
jan,
Cam
eroo
n, G
abon
, Gha
na, G
uine
a, M
aurit
ania
, Mon
golia
, N
iger
ia, K
azak
hsta
n, K
yrgy
z R
epub
lic)
Nor
way
is fi
rst a
mon
g de
velo
ped
coun
tries
to a
nnou
nce
EIT
I ado
ptio
n
Cou
ntrie
s ar
e ab
le to
alig
n na
tiona
lgoa
ls w
ith g
loba
l EIT
I sta
ndar
d
……
Glo
bally
:N
ow e
stab
lishe
d as
the
stan
dard
on
trans
pare
ncy
in re
sour
ce a
reas
with
co
nsen
sus
on E
ITI p
rinci
ples
, obj
ectiv
es, c
riter
iaIn
tern
atio
nal E
ITI a
rchi
tect
ure
fully
in p
lace
(EIT
I Sec
reta
riat,
Osl
o)R
ange
of s
uppo
rting
com
pani
es; c
ivil
soci
ety;
age
ncie
s lik
e W
orld
Ban
k,
Afri
can
Dev
elop
men
t Ban
k, e
tc.
EITI
has
ach
ieve
d st
rong
mom
entu
m a
t na
tion
al le
vel
11
Wha
t th
e EI
TI In
tern
atio
nal S
ecre
tari
at d
oes
Ove
rall
over
sigh
tof
EIT
I and
pol
icie
s gl
obal
ly
cand
idac
y pr
oces
sva
lidat
ion
proc
ess
(EIT
I com
plia
nce
Prov
ide
guid
ance
on
met
hodo
logy
Prov
ide
advi
ceon
bes
t pr
acti
ce
Link
you
up w
ith o
ther
impl
emen
ting
coun
trie
s an
d or
gani
satio
ns
12
Wha
t W
orld
Ban
k an
d EI
TI M
ulti
-don
or T
rust
Fun
d (M
DTF
) do
es t
o su
ppor
t EI
TI im
plem
enta
tion
At c
ount
ry le
vel,
Wor
ld B
ank
man
aged
MD
TF (a
ndal
l par
tner
s) h
elp
to:
build
3-w
ay c
onse
nsus
for E
ITI -
at s
tart
of p
roce
ss a
nd th
roug
hout
build
mul
ti-st
akeh
olde
r stru
ctur
es to
des
ign
and
man
age
EIT
I pr
ovid
e te
chni
cal a
nd fi
nanc
ial s
uppo
rt fo
r EIT
I im
plem
enta
tion
ensu
re E
ITI p
roce
ss le
ad to
EIT
I “co
mpl
iant
”sta
tus
(val
idat
ion)
note
that
Wor
ld B
ank
supp
ort o
n E
ITI i
s de
liver
ed v
ia m
ultip
le tr
acks
: te
chni
cal a
ssis
tanc
e by
CO
CP
O te
am a
nd W
orld
Ban
k in
-cou
ntry
sta
ff fu
ndin
g fro
m E
ITI M
DTF
(rec
ipie
nt e
xecu
ted)
in c
lose
liai
son
with
EIT
I Sec
reta
riat O
slo
and
partn
ers/
dono
rs
At g
loba
l lev
el, W
orld
Ban
k m
anag
ed M
DTF
act
iviti
es d
esig
ned
to:
supp
ort g
loba
l EIT
I mov
emen
tpr
oact
ive
know
ledg
e di
ssem
inat
ion
and
best
pra
ctic
e sh
arin
gpr
oact
ive
supp
ort f
or s
ub-r
egio
nal E
ITI c
olla
bora
tion
and
train
ing
13
EIT
I w
ork
pro
gra
m -
co
un
try p
ort
foli
o s
um
mary
Show
ing M
DTF
FY09 w
ork
pro
gra
m (
pro
pose
d for
appro
val to
donors
) in
c. p
ipelin
e c
ountr
ies.
EIT
I ca
ndid
acy
sta
tus
show
n in s
haded c
olu
mn 1
/
A
s o
f S
ep
tem
ber
30
20
08
C
ou
ntr
ies
wh
ich
have a
do
pte
d E
ITI
pu
bli
cly 2
/ …
… o
f w
hic
h:
EIT
I “c
an
did
ate
” co
un
trie
s p
er
EIT
I B
oard
N
ot
yet
can
did
ate
O
ther
cou
ntr
ies:
N
ot
yet
ad
op
ted
E
ITI
– b
ut
in d
ialo
gu
e
H
ave i
ssu
ed
on
e o
r m
ore
E
ITI
Rep
ort
s to
date
(10 c
ountr
ies)
E
ITI
imp
lem
en
tati
on
at
vary
ing
sta
ges
of
pro
gre
ss
(1
3 c
ountr
ies)
Have m
ad
e
EIT
I ad
op
tio
n
an
no
un
cem
en
ts
(8
countr
ies)
Non
-EIT
I co
un
trie
s in
cu
rren
t M
DTF
act
ive w
ork
p
rog
ram
pip
eli
ne
(9 c
ountr
ies)
Oth
er
cou
ntr
ies
that
WB
G o
r d
on
ors
are
in
co
nta
ct
wit
h
(6 c
ountr
ies)
Aze
rbaijan
Liberia
*
B
ots
wana
Angola
Sudan
Cam
ero
on
*
Mali
**
Chad
Burk
ina F
aso
Gabon
Nig
er
+ C
entr
al Afr
ican R
ep
Moza
mbiq
ue
Eth
iopia
(
8/0
8)
Ghana
*
Peru
*
T
anza
nia
U
ganda
Togo
(
8/0
8)
Guin
ea
*
Yem
en
*
Zam
bia
+
Kyr
gyz
Republic
**
Mauri
tania
*
DR C
ongo
**
Colo
mbia
Cam
bodia
Phili
ppin
es
Nig
eria
*
Equato
rial G
uin
ea
+
T
rinid
ad a
nd T
obago
Indonesi
a
La
o P
DR
M
adagasc
ar
**
Papua N
ew
Guin
ea
Vie
tnam
Fi
rst
Report
s is
sued in 2
008:
Rep.
of Congo
+
+
K
aza
khst
an
*
Sao T
om
e e
Pri
nci
pe *
*
Iraq
Egyp
t
M
ongolia
*
Sie
rra L
eone
**
Tim
or
Lest
e
*
*
Afg
hanis
tan
(6/0
8)
Cote
d’Ivo
ire
**
By W
BG
Reg
ion
:
A
FR
-
6 c
ountr
ies
AFR
–
10 c
ountr
ies
AFR
-
5 c
ountr
ies
AFR
-
4 c
ountr
ies
AFR
– 3
countr
ies
ECA -
3
LA
C –
1
LAC -
2
EAP
- 3
EAP -
3
EAP -
1
EAP
– 1
M
NA -
1
MN
A -
1
MN
A -
1
SAR -
1
Coun
tries
in ita
lics a
re th
ose
with
minim
al or
no a
ctive
Wor
ld Ba
nk co
ntac
t on
EITI
.
1/ =
Sho
ws E
ITI c
andid
ate
statu
s per
EIT
I Boa
rd m
eetin
gs (l
ast F
eb 2
2 20
08) a
nd su
bseq
uent
EIT
I Sec
reta
riat /
Boa
rd d
ecisi
ons.
None
valid
ated
to d
ate
for “
com
plian
t” sta
tus.
2/ =
Am
ong
deve
loped
reso
urce
-rich
coun
tries
(not
with
in sc
ope
of M
DTF)
, Nor
way h
as a
lso an
noun
ced
its in
tentio
n to
adop
t EIT
I *
=
EIT
I MDT
F tru
st fu
nd g
rant
in p
lace
and
unde
r exe
cutio
n /
** =
trus
t fund
gra
nt a
gree
men
t in p
rogr
ess (
to b
e sig
ned
in ne
xt 1-
3 m
onth
s)
+
= E
ITI
MDT
F pip
eline
– tru
st fu
nd g
rant
pro
posa
l (pr
ogra
m o
f acti
vities
) still
und
er n
egot
iation
with
coun
try (t
rust
fund
gra
nt a
gree
men
t not
likely
for n
ext 4
-6 m
onth
s or m
ore)
++
= E
ITI
MDT
F gr
ant u
nlike
ly to
be
need
ed (E
ITI im
plem
enta
tion
to be
main
ly Go
vern
men
t-fun
ded)
- b
ut o
ther
pro
gram
of T
A wo
rk by
WB
team
(and
by d
onor
s) is
in p
lace
14
Cle
ar s
igna
l to
all s
take
hold
ers
and
inve
stor
s on
nat
iona
l co
mm
itmen
t to
trans
pare
ncy
Mem
bers
hip
of a
wel
l-kno
wn
glob
al s
tand
ard
…w
hile
als
o
Bui
ldin
g co
llabo
ratio
n an
d tru
stam
ong
gove
rnm
ent
com
pani
es a
nd c
ivil
soci
ety
on m
inin
g / o
il is
sues
in M
ozam
.
Brin
gs to
geth
er d
ata
on m
inin
g/oi
l fin
anci
al fl
ows
in o
ne p
lace
Pos
sibi
lity
for i
mpr
ovin
g so
vere
ign
and
corp
orat
e ra
tings
,and
he
nce
fore
ign
and
dom
estic
inve
stm
ent t
hrou
gh lo
wer
risk
s
Bene
fits
of
adop
ting
EIT
I as
seen
by
coun
trie
s (1
/2)
15
In s
ome
case
s, E
ITI h
as y
ield
ed a
dditi
onal
reve
nues
from
ex
tract
ive
indu
stry
(fro
m re
visi
ting
past
cor
pora
te ta
x pa
ymen
ts)
Pos
sibi
lity
to e
xpan
d to
ant
i-cor
rupt
ion
focu
s in
oil
gas
and
min
ing
(alth
ough
EIT
I is
not a
dire
ct a
nti-c
orru
ptio
n in
stru
men
t)
Dia
gnos
tic fo
r ass
essi
ng e
ffect
iven
ess
of E
I rev
enue
col
lect
ion
Pla
tform
for m
ovin
g to
wid
er g
over
nanc
e re
form
sbe
yond
EIT
I
BU
T …
EIT
I is
not c
ost-f
ree
to g
over
nmen
ts.
Nee
ds:
clea
r and
sus
tain
ed p
oliti
cal c
omm
itmen
t at s
enio
r lev
el
assi
gned
sta
ff to
the
EIT
I effo
rt –
with
the
need
ed re
sour
ces
budg
et fu
ndin
g fo
r EIT
I pro
cess
–es
peci
ally
EIT
I val
idat
ion
Bene
fits
of
adop
ting
EIT
I as
seen
by
coun
trie
s (2
/2)
16
Spec
ific
Exa
mpl
e of
res
ults
ach
ieve
d to
dat
e: G
hana
•Tw
o E
ITI R
epor
ts p
rodu
ced
so fa
r by
Gha
na -
by n
atio
nal a
udit
firm
•M
inin
g re
late
d bu
t lik
ely
to b
e ex
tend
ed to
oil
too
(oil
disc
over
ies)
•R
epor
t fin
ding
s w
ere
posi
tive
-no
diffe
renc
es in
pay
men
ts/ r
even
ues
•B
ut o
ther
key
EIT
I Rep
ort f
indi
ngs
emer
ged:
Stro
ng fo
cus
on s
ub-n
atio
nal d
istri
butio
n in
EIT
I sco
pe
Man
y w
eakn
esse
s id
entif
ied
–es
peci
ally
del
ays
in re
dist
ribut
ion
of
reve
nues
to d
istri
ct c
ounc
ils (i
n on
e ca
se 1
1 m
onth
s ga
p)Fu
nds
redi
strib
uted
to d
istri
ct c
ounc
ils n
ot a
lway
s us
ed fo
r su
stai
nabl
e de
velo
pmen
t act
iviti
es in
min
ing
com
mun
ities
Rev
enue
adm
inis
tratio
n w
eak:
lack
cap
acity
to a
sses
s co
mpa
ny
cost
s an
d ta
x st
atem
ents
–w
ith o
ver-
relia
nce
on s
elf-a
sses
smen
t
17
Spec
ific
Exa
mpl
e of
res
ults
ach
ieve
d to
dat
e: N
iger
ia
“[N
EITI
] ha
s lif
ted
Nig
eria
’s
prof
ile in
the
eye
s of
in
vest
ors
and
help
ed le
ad
to s
igni
fica
nt in
crea
ses
in
FDIn
ot o
nly
in t
he o
il se
ctor
(ab
out
US$
6 b
illio
n a
year
) bu
t al
so in
the
ot
her
non-
oil s
ecto
rs U
S$3
billi
on”
Ngo
ziO
konj
o–Iw
eala
Ex M
inis
ter
of F
inan
ce,
Nig
eria
(Spe
ech
-Ja
nuar
y 20
08)
18
“Bey
ond
EITI
”: E
ITI C
rite
ria
is a
bout
a m
inim
umst
anda
rd -
whi
ch d
oes
not
aim
to
cove
r ev
eryt
hing
EIT
I CR
ITE
RIA
Inde
pend
ent r
econ
cilia
tion
/ au
dit o
f pay
men
ts m
ade
and
reve
nues
rece
ived
.P
ublic
atio
n an
d w
ides
prea
d di
ssem
inat
ion
of re
sults
.C
ompr
ehen
sive
cov
erag
e, i.
e.
all c
ompa
nies
incl
udin
g st
ate-
owne
d an
d lo
cal c
ompa
nies
.Fu
ll en
gage
men
t of c
ivil
soci
ety
in th
e pr
oces
s.P
ublic
, fin
anci
ally
sus
tain
able
, tim
e-bo
und
plan
of
impl
emen
tatio
n.
BU
T -W
HA
T A
BO
UT:
Tran
spar
ency
of l
icen
sing
?W
ere
“fair”
term
s an
d co
nditi
ons
nego
tiate
d?A
re lo
ng-te
rm re
venu
e an
d be
nefit
s fo
r cou
ntry
opt
imal
?W
hat c
ompa
nies
pay
vs.
wha
t th
ey s
houl
dpa
y?
Rev
enue
allo
catio
n e.
g. to
sub
-na
tiona
l lev
el a
nd c
omm
uniti
esE
nviro
nmen
t / s
ocia
l lin
kage
s?
…an
d th
e w
hole
of t
he
“exp
endi
ture
sid
e”(n
ot in
EIT
I)
19
Lice
ncin
gan
d A
war
ding
of
Con
trac
ts
Mon
itorin
gof
O
pera
tions
–co
mpl
ianc
e
Col
lect
ion
ofTa
xes
-an
d R
oyal
ties
Dis
trib
utio
nof
R
even
ues
(and
sp
endi
ngsi
de)
Util
izat
ion
inSu
stai
nabl
ePr
ojec
ts–
soci
al
and
envi
ron.
EITI
pro
cess
EITI
pro
cess
•EI
TI is
a k
ey g
oal i
n it
self
–bu
t is
als
o a
firs
t st
epto
war
ds a
bro
ader
ex
trac
tive
indu
stry
(EI
) go
vern
ance
ref
orm
and
sou
nd E
I man
agem
ent
“Bey
ond
EITI
”: E
ITI i
s na
rrow
ly-f
ocus
ed y
et p
rovi
des
plat
form
for
fur
ther
ref
orm
s an
d go
od E
I gov
erna
nce
•Be
yond
EIT
I, c
ount
ries
are
see
king
sup
port
on
gove
rnan
ce o
ver
the
en
tire
res
ourc
e cy
cle
(the
“++
”ag
enda
) -
-th
is is
dis
tinc
t fr
om E
ITI
20
Than
k yo
u!Fo
r inf
orm
atio
n on
EIT
I glo
bally
vis
it th
e w
ebsi
te:
ww
w.e
itran
spar
ency
.org
Eddi
e R
ich,
Reg
iona
l Dire
ctor
, Ang
loph
one/
Luso
phon
e A
fric
aEI
TI In
tern
atio
nal S
ecre
taria
ter
ich@
eitr
ansp
aren
cy.o
rg
Wor
ld B
ank
/ MD
TF c
onta
cts:
Mic
hael
Bax
ter,
Wor
ld B
ank
Map
uto
Offi
ce
(mba
xter
@w
orld
bban
k.or
g)A
lliso
n B
erg,
Oil
Gas
and
Min
ing
Polic
y an
d O
pera
tions
Uni
t (a
berg
1@w
orld
bank
.org
)A
nwar
Rav
at, P
rogr
am M
anag
er, E
ITI /
MD
TF
(ara
vat@
wor
ldan
k.or
g)
Extr
acti
ve In
dust
ries
Tra
nspa
renc
y In
itia
tive
