Overview of Extractive Industries

At present oil, gas and mining resources account for less than 4% of GDP. However, all that is set to change. The minerals sector is seeing a heavy inward flow of capital investment for ilmenite, nickel/cobalt, chromite, chrome iron ore, uranium. Also a large number of oil exploration blocks have been offered - both onshore and offshore - and some exploration activity is under way.

Status of EITI Implementation

Madgascar was accepted as an EITI Candidate country on 22 February 2008. On 25 October 2011, the Board suspended Madagascar noting that it did "not believe that the relationships necessary for effective EITI implementation in Madagascar are currently possible and capable of being sustained". The suspension will hold "until the current international situation is resolved. We trust, however, that on a national level the multi-stakeholder group will continue as best possible". The coutnry has until 24 October 2012 to apply for its suspension to be lifted or the Board will consider de-listing. 

On 26 January 2010 Madagascar applied to extend their deadline for completing EITI Validation. The EITI Board agreed to grant Madagascar an extension. Peter Eigen sent a letter to the President of the High Transitional Authority conveying the Board's decision. Madagascar was given until 9 March 2011 to submit a final Validation report to the EITI Board.

A completed, costed and targeted workplan was agreed in December 2007, but progress on it stalled following the coup in early 2009. However, with the relative stability in the second half of 2009, the multi-stakeholder group was revived and an EITI pilot report was published in February 2010. In February 2010, an updated workplan was agreed by the multi-stakeholder group. The process stalled again in the second half of 2010 following changes in the national secretariat. A new national coordinator was appointed in November 2010. The first official EITI report was commissioned in March 2011. This report was published on 8 June 2011; it covers government revenues and company payments in the period between January 2007 and June 2010 (direct link to Report).

On 9 June 2011, the Board agreed to grant Madagascar a further conditional extension until 30 September 2011 to complete validation. Madagascar submitted a final valdiation reporton 30 September.

Governance of EITI Implementation

The national multi-stakeholder group (MSG) was due to be formalised in January 2008, but the workshop had to be cancelled due to the political crisis that began 3 days before. In July 2010, the national MSG, was finally formalised according to open, transparent, and democratic principles with 18 members equally representing the government (central and regional), NGOs, and companies representatives (mining, oil, and small scale mining). The government has appointed a champion to chair the National committee as well as the working group of 7 members tasked with implementation of the strategic plan. Furthermore there is a national assembly of stakeholders of 90 persons (5 from each of the three constituencies, from each of the 5 regional MSGs and the central MSG). This group oversees the MSG. The structure is established in a formal constitutional document.

Madagascar EITI Government Champion

Mr. Jaona A. Randrianarisoa
Secretar General Ministary of Mines - Madagascar
E-mail: jaonarandria [at] gmail [dot] com

Madagascar EITI National Coordinator

Tahiny Tsarabory judicael
E-mail: tahinytsaraboryjudicael [at] rocketmail [dot] com

Tel: 00261 320513113

Companies operating*

Oil & gas companies: BG Group*, ExxonMobil*, Shell*, Tullow Oil, TOTAL*, Roc Oil.

Mining companies: Rio Tinto*, Exxaro Resources Ltd
* EITI Supporting Company

* Note: Company list based on EITI research and is not conclusive

For further information, please contact (Eddie Rich) in the EITI International Secretariat.