Talking Transparency: A Guide for Communicating the Extractive Industries Transparency Initiative
SummaryText
This guide on policy and communication in resource extraction is from Extractive Industries Transparency Initiative (EITI), an initiative to improve transparency and accountability that is being implemented globally in more than 20 resource-rich countries. According to the introduction: "The initiative is built on two main mechanisms. The first is the regular publication of independently reconciled credible data on payments made to governments by extractive industry (e.g., oil, gas, minerals, and metals) companies and revenues received by those governments. The second is the development of a multi-stakeholder oversight mechanism to ensure sound and timely implementation of the EITI process in each country and to stimulate greater public debate about how time-limited resource revenues are spent."
The introduction provides this explanation on why extractive industries have been singled out for transparency and accountability: "First, in the great majority of countries these resources are owned by the State and form part of the ‘national patrimony’; thus a particular duty of care attaches to the way in which they are exploited. Secondly, since they are time-limited (given that such resources are finite) in terms of the objective of sustainable development during the period over which they are being developed, they should be used to augment other forms of “capital” such as human or social capital or infrastructure. Thirdly, the extractive sector may produce extensive and highly concentrated revenues, which in some countries, have been misappropriated by elites rather than being spent for the public good. And finally, it has been recognised that in some countries, especially those with weak governance mechanisms or institutions, the volatility of commodity prices and their dominance can present significant problems of macro-economic management - what is called the “resource curse”."
The document recommends and reviews EITI policy but cautions that it must be adapted to the needs of the diverse countries with extractive industries because, as stated here, "it is impossible to define the perfect or absolutely necessary components of an EITI communications programme." EITI policy, as described in the guide, is an initiative to disseminate information on the movement of, decisions surrounding, and use of money from resource extraction (rather than an initiative on communication and transparency prior to or in the process of the establishment of extractive industries.) Its tenets include: establishment of a multi-stakeholder steering group consisting of representatives from government agencies, extractive industry companies, and civil society organisations; an internal communication process within the group; and a publicity plan for informing/including the public on decisions within the group. Possible roles of the stakeholder group include establishing company reporting guidelines, running seminars and conferences for company finance managers, and ensuring that companies know whom to contact for advice on their reporting obligations. The EITI process addresses explaining to the public the complexity of taxation or royalties systems and how that money is used; how oil, gas, and mining companies operate; and why issues raised by the transparency process are important and newsworthy. The goals of communication are to address misunderstanding; open channels for civil society concerns, popular participation, and consultation; and hold companies and governments accountable.
The contents include the following:
The introduction provides this explanation on why extractive industries have been singled out for transparency and accountability: "First, in the great majority of countries these resources are owned by the State and form part of the ‘national patrimony’; thus a particular duty of care attaches to the way in which they are exploited. Secondly, since they are time-limited (given that such resources are finite) in terms of the objective of sustainable development during the period over which they are being developed, they should be used to augment other forms of “capital” such as human or social capital or infrastructure. Thirdly, the extractive sector may produce extensive and highly concentrated revenues, which in some countries, have been misappropriated by elites rather than being spent for the public good. And finally, it has been recognised that in some countries, especially those with weak governance mechanisms or institutions, the volatility of commodity prices and their dominance can present significant problems of macro-economic management - what is called the “resource curse”."
The document recommends and reviews EITI policy but cautions that it must be adapted to the needs of the diverse countries with extractive industries because, as stated here, "it is impossible to define the perfect or absolutely necessary components of an EITI communications programme." EITI policy, as described in the guide, is an initiative to disseminate information on the movement of, decisions surrounding, and use of money from resource extraction (rather than an initiative on communication and transparency prior to or in the process of the establishment of extractive industries.) Its tenets include: establishment of a multi-stakeholder steering group consisting of representatives from government agencies, extractive industry companies, and civil society organisations; an internal communication process within the group; and a publicity plan for informing/including the public on decisions within the group. Possible roles of the stakeholder group include establishing company reporting guidelines, running seminars and conferences for company finance managers, and ensuring that companies know whom to contact for advice on their reporting obligations. The EITI process addresses explaining to the public the complexity of taxation or royalties systems and how that money is used; how oil, gas, and mining companies operate; and why issues raised by the transparency process are important and newsworthy. The goals of communication are to address misunderstanding; open channels for civil society concerns, popular participation, and consultation; and hold companies and governments accountable.
The contents include the following:
- Introduction
- EITI - The basics
- What is communication and why does it matter for the EITI? Communication is necessary in order to become EITI Compliant The challenges and benefits of effectively communicating the EITI
- Implementing an EITI communications programme *Before implementation *Developing a communications plan *Defining objectives; research and audience segmentation *Who are your audiences? *What needs to be communicated? *When should different elements of the communications programme be implemented? *How to communicate EITI processes and information *Who is responsible for carrying out communications activities? *Resourcing a communications programme
- Case studies *Nigeria *Kazakhstan *Cameroon *Democratic Republic of Congo
- Annexes A: Creating a good website B: Sample EITI communications work plan C: Outline terms of reference for a communications strategy D: Using the EITI Logo E: EITI publications
- Tables and diagrams Diagram 1: The EITI Validation Indicators Diagram 2: EITI’s international governance structure Diagram 3: Communications functions in an EITI programme Box 1: Six key steps to developing a successful EITI communications programme Box 2: Typical EITI stakeholders Diagram 4: Prioritising stakeholders Diagram 5: EITI communications activities Diagram 6: Advantages and disadvantages of different communications activities
Publication Date
Number of Pages
40
Source
EITI website accessed on March 4 2009.
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