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The Board agreed that Peru has made meaningful progress overall with implementing the 2016 EITI Standard, with considerable improvements.

Outcome of the Validation of Peru

Decision reference
2019-45 / BM-43
Decision basis
2016 EITI Standard, Requirement 8.3 EITI Validation deadlines and consequences

Board decision

The EITI Board agreed that Peru has partly addressed the corrective actions from the country’s first Validation. Consequently, Peru has made meaningful progress overall with implementing the 2016 EITI Standard, with considerable improvements across several individual requirements.

The Board recognised Peru’s efforts to align its objectives for EITI implementation with national priorities for the extractive industries. Peru’s EITI implementation is also recognised for providing a constructive platform for discussion and debates about extractive sector management, involving all stakeholders. The second Validation confirmed Peru’s efforts to ensure that extractives data disclosed by companies and government entities participating in EITI reporting is subject to audit and assurance procedures in line with international standards. The Board welcomed the regular reviews of lessons learnt and recommendations from EITI implementation.

The Board welcomed ongoing efforts to consider further the opportunities to improve government and company disclosures through systematic disclosures. The Board also welcomed ongoing efforts to decentralise the EITI by implementing it at the subnational level. The five regional EITI processes in Apurimac, Arequipa, Loreto, Moquegua and Piura are a significant development in bringing transparency to resource’s management in Peru and an example of best practices to the rest of the EITI family. Peru is encouraged to continue to ensure adherence to the EITI Principles and Requirements while ensuring comprehensiveness in disclosure of revenue and payments, as well as social expenditures. The Board welcomed the emerging coverage of these social expenditures which represent a substantial part of the industry’s contribution to local development. The progress and plans in bringing more information on those contributions through DATAMART is noted and encouraging. The Board and the International Secretariat are available to support Peru on increasing transparency on this important area.

The Board has determined that Peru will have 12 months, i.e. until 17 June 2020 before a third Validation to carry out corrective actions regarding comprehensiveness (4.1) and mandatory social expenditures (6.1). Failure to achieve satisfactory progress in the third Validation will result in suspension in accordance with the EITI Standard. In accordance with the EITI Standard, Peru’s MSG may request an extension of this timeframe, or request that Validation commences earlier than scheduled.

Corrective actions and strategic recommendations

The EITI Board agreed the following corrective actions to be undertaken by Peru. Progress in addressing these corrective actions will be assessed in a thrid Validation commencing on 17 June 2020:

  1. In accordance with Requirement 4.1, the multi-stakeholder group is required to agree which companies are material and therefore be included in the scope of reconciliation. The MSG is invited to consider whether setting a materiality threshold in terms of companies’ share of government revenues would ensure that all material companies were covered in the reconciliation. In light of constitutional taxpayer confidentiality provisions, the MSG is urged to ensure that it undertakes annually at least a confirmation that all material revenues and companies have been included in the reconciliation, in close collaboration with the tax authority (SUNAT).

  2. In accordance with Requirement 6.1, Peru is required to review the coverage of mandatory social expenditures to all stakeholders, including indigenous communities, and agree an approach to address this requirement in accordance with the EITI Standard. Once a decision is taken and documented, social payments shall be disclosed in publicly available format, and in accordance with Requirement 6.1.


Peru’s second Validation commenced on 1 July 2018. In accordance with Requirement 8.3.c, the EITI International Secretariat assessed the progress made in addressing the six corrective actions established by the EITI Board following Peru’s first Validation in 2016. In accordance with the Validation procedures, the draft assessment [English | Spanish] was sent to Peru’s Multi-Stakeholder Group (MSG) on 4 January 2019. Comments [English | Spanish] were received on 28 January 2019 and the assessment was finalised [English | Spanish] for review by the Validation Committee. Following reviews by the Validation Committee on 7 February, 27 February, 10 April, 25 April and 23 May 2019, a recommendation was finalised for consideration by the EITI Board. Additional background documentation in available here.

Scorecard for Peru: 2019

Assessment of EITI requirements

  • Not met
  • Partly met
  • Mostly met
  • Fully met
  • Exceeded
Scorecard by requirement View more Assessment View more

Overall Progress

MSG oversight

1.1Government engagement

The Ministry of Energy and Mines and Mines has led the Government’s active participation in the EITI. It has maintained a satisfactory level of engagement, appointed senior officials to lead, and coordinated and mobilised resources for EITI implementation. Stakeholders confirmed that they trust and have confidence in the appointed officials

1.2Company engagement

There is an enabling environment for company participation. Companies are actively and effectively engaged in the EITI process. Obstacles to company participation regarding taxpayer confidentiality provisions have successfully addressed.

1.3Civil society engagement

Civil society is actively and effectively engaged in the EITI process. There is an enabling environment for civil society participation. The fundamental rights of civil society actors are respected and there are no major obstacles to their participation in EITI related activities and discussions. Civil society stakeholders speak freely, collaborate with each other, are not restrained, coerced or reprimanded as result of their EITI-related activities. There is, however, scope to increase civil society engagement in the EITI beyond the multi-stakeholder group.

1.4MSG governance

The CMPE comprises relevant actors and appears to function well with an inclusive decision-making process. Stakeholders have identified opportunities for reviewing the representation of government entities. The ToRs for the CMPE largely addresses the requirements of the EITI Standard and appears to be followed in practice.

1.5Work plan

Peru has an updated work plan that sets out the key aspects of the EITI process, aligned with national priorities. The work plan is publicly accessible with specific and measurable implementation objectives. Stakeholders and companies were adequately engaged in the EITI work plan´s preparation.

Licenses and contracts

2.2License allocations

While the E-cadastre system appears to comprehensively address license allocation in the mining sector, the issue of licence transfers in the hydrocarbon sector has not been addressed by the CMPE. Similarly, in the oil and gas sector, substantial information is publically available. However, the comprehensiveness of this information and the disclosure of license transfers has not been addressed by the CMPE.

2.3License register

The information required is publically available through the webpages of INGEMMET and Perupetro.

2.4Policy on contract disclosure

Peru’s approach to contract transparency is exemplary. Contracts are publically available via MINEM or Perupetro’s websites. The EITI Reports provide an overview of the mining projects that have signed special contracts for guarantees and promotion of investments and links to hydrocarbon contracts.

2.1Legal framework

Comprehensive disclosure of relevant laws, regulations and fiscal regime in the 2014 Report. Improvement in the disclosure vis-ávis the 2013 Report.

2.5Beneficial ownership

Not assessed

There is no evidence that the CMPE has discussed this topic in any detail.

2.6State participation

With respect to Activos Mineros, EITI Peru provided a detailed explanation of the prevailing rules and practices regarding the financial relationship between this state-owned enterprise and the government. Activos Mineros has no ownership in any operating company within the country’s extractive sector. EITI Peru provided a clear description of Perupetro’s activities and revenues, including the operation of Block Z-2B. The coverage of royalty payments from license contracts appears to be comprehensive.

Monitoring production

3.1Exploration data

The EITI Reports provides an overview of exploration including significant exploration activities. Links to further reading are provided. Stakeholders were satisfied with these disclosures.

3.2Production data

Production data by commodity is included in Peru’s EITI reports and on government websites

3.3Export data

The EITI Report contains the value of exports by main commodities. Although export volumes are not disclosed as part of the EITI Report, the International Secretariat has confirmed this data is readily available through other official publications.

Revenue collection

4.3Barter agreements

Not applicable

This requirement is not applicable in Peru. The Independent Administrator has confirmed the inapplicability of the “Works for Taxes” regime under 4.3 Requirement, noting its coverage under income tax payments under requirement 4.1.

4.6Direct subnational payments

Not applicable

The International Secretariat could establish that subnational government entities do not levy any specific taxes to the extractives industries. Other taxes collected by subnational governments as registration fees appear to be immaterial.


It has been confirmed that the report is fully disaggregated by company and revenue stream.

4.9Data quality

Although the standard ToRs for Independent Administrator services has not been consistent with the Board-approved template, the 2015-2016 EITI Report addresses most of the key requirements and the overall objective of safeguarding reliable data has been satisfied. The Independent Administrator has reviewed the scope of the payments (and revenues) to be reported and reviewed the associated audit and assurance procedures. The Independent Administrator commented on the comprehensiveness and reliability of the data.


EITI Peru have agreed a definition of materiality in terms of the value of production. However, the EITI Board has been clear that basing the definition of materiality on the value of production alone is not sufficient. An ex post assessment of the coverage of payments showed that a material company have been omitted.

4.2In-kind revenues

Not applicable

Based on the information that is publically available, it seems clear that this requirement is not applicable.

4.4Transportation revenues

Not applicable

The assessment confirms that the government does not collect material revenues from transportation of oil, gas or minerals.

4.5SOE transactions

The 2013 EITI Report addresses the role of the state-owned enterprises. Material revenues collected by Perupetro are well documented in the assessment of Requirement 4.1. Revenues collected by Petroperu are related to the downstream sector and are not relevant for the EITI in Peru.

4.8Data timeliness

Peru has published timely EITI Reports covering four fiscal years (2011-2014). Minutes of CMPE meetings document the decision regarding the fiscal period covered by the reports, the approval of the reports and a decision to pilot an online disclosure system.

Revenue allocation

5.1Distribution of revenues

EITI reports indicate how the income from the extractives revenues are distributed. Peru has a publicly available system disclosing the distribution and use of these revenues.

5.2Subnational transfers

Statutory subnational transfers in Peru are disclosed. Two regions are piloting EITI implementation.)

5.3Revenue management and expenditures

Not assessed

EITI Reports disclose earmarked revenues as part of the Requirement 5.2. Peru has publicly available government systems disclosing national budget, audit processes and studies addressing the sustainability and resource dependence. EITI Reports could be an opportunity to educate the public about these systems.

Socio-economic contribution

6.1Mandatory social expenditures

EITI Peru have agreed on the existence of mandatory social expenditures in the oil and the mining sector. There remains however a lack of comprehensive disclosure of social expenditures codified in provisions of mining companies’ mandatory environmental impact assessments and oil and gas mandatory social expenditures by law or terms of the contract governing extractives activities.

6.2Quasi-fiscal expenditures

Not applicable

Based on the information available, the understanding of the International Secretariat is that SOE’s quasi-fiscal expenditures are not applicable in Peru.

6.3Economic contribution

Information regarding the contribution of the extractive sector to the economy is widely available in the webpages of public entities as well as in the EITI Reports

Outcomes and impact

7.2Data accessibility

Not assessed

EITI-Peru has undertaken some work to make data from EITI Reports accessible like an online visualization tool. Nevertheless, additional efforts should be implemented to fully address this provision.

7.4Outcomes and impact of implementation

The APR notes on recommendations provided by the Independent Administrator. Even though an impact assessment was not launched, there is evidence on regularly discussions to identify opportunities to increase impact. EITI Peru has an active role in developing recommendations and exploring options for addressing issues of greatest relevance such as subnational implementation.

7.1Public debate

Peru EITI Reports have been actively promoted and distributed, are publicly available and contributed to the public debate. The government, parliamentarians, civil society, the media and the industry are familiar with the reports. Dissemination events have been carried out in the capital and in several regions. Civil society and the industry have separately disseminated the EITI Reports.

7.3Follow up on recommendations

The MSG has taken steps to act upon lessons learnt, to identify weaknesses of the EITI process and to consider the recommendations for improvements from the Independent Administrator. There is evidence that stakeholders have discussed how to strengthen EITI’s impact.