Following notification in September 2020 of Angola’s intention to join the multistakeholder organisation Extractive Industries Transparency Initiative (EITI), the International ​Secretariat last month announced confirmation of receipt of Angola’s formal application. The application will be reviewed and tabled for decision at the upcoming EITI board meeting on June 16 to 17.
“This application is a landmark moment,” EITI executive director Mark Robinson said at the time. “Angola is the second-largest producer of oil and gas in Africa, and the Angolan economy is heavily dependent on revenues from the sector. Multistakeholder dialogue and increased transparency through EITI implementation can support Angola in addressing governance challenges in its extractives sector, to the benefit of Angolan citizens.”
The application from Angola will follow the established process for countries to sign up to the EITI. The EITI Board’s Outreach and Candidature Committee will review the application, and make a recommendation to the EITI Board on whether it should be accepted.
Angloan Minister of Mineral Resources, Petroleum and Gas Diamantino Azevedo stated: “The submission of the application is a result of a huge effort by government, civil society and industry. Joining the EITI will improve transparency and governance of Angola’s rich mineral, oil and gas resources, address corruption risks and contribute to investment promotion.”
In a previous statement, the EITI noted that it was opacity in the Angolan oil sector that led to the formation of the EITI in 2003. Almost 20 years later, 56 resource-rich states have committed to improving extractive sector transparency by implementing the EITI Standard. If the application is successful, Angola will become 28th country in Africa to implement the EITI Standard.
Meanwhile, In February, the international EITI Board agreed to clarify and strengthen the ‘Expectations for EITI supporting companies’, which set out how companies supporting the EITI internationally will promote greater transparency and accountability in the oil, gas and mining sectors.
In a statement published on its website in February, the EITI board noted that supporting companies will be expected to publicly declare their support for the disclosure of contracts, licences and information on the beneficial owners of companies across all EITI implementing countries. They will commit to public disclosure of their beneficial owners and to contributing to public disclosure of contracts and licences in EITI countries in a way that is consistent with government procedures.
Companies will also be expected to publicly disclose taxes and payments to governments at a project level in line with the EITI Standard, and must publish anti-corruption policies. Companies will undertake rigorous due diligence in selecting joint venture partners, contractors and suppliers.
EITI general counsel Andrew Irvine and deputy-executive and Africa director Bady Baldé will be speaking at the Investing in African Mining Indaba, which will be held from May 9 to 12.