How companies can support EITI implementation
Company support of the EITI
Extractive companies operating in countries implementing the EITI benefit from enhanced relations with stakeholders and local communities, better risk management, improved company reputation and the opportunity to demonstrate industry leadership. Many of the world’s largest oil, gas and mining companies are therefore EITI Supporting Companies.
A Supporting Company publicly supports the EITI and helps to promote the Standard internationally and in countries where it operates.
The following steps must be undertaken in order to become an EITI Supporting Company:
- Publicly declare support for the EITI Principles and, by promoting transparency throughout the extractive industries, help public debate and provide opportunities for sustainable development.
- Complete and submit the EITI Supporting Company Form.
- Make an annual financial contribution to the International Management of the EITI. The minimum amount of annual contributions is updated here.
As a guiding principle, supporting companies are expected to publically disclose taxes and payments. Where companies choose not to, they should state why. Once signed up for the EITI, companies must:
- Ensure comprehensive disclosure of taxes and payments made to all EITI implementing countries.
- In accordance with EITI beneficial ownership requirements, publicly disclose beneficial owners and take steps to identify the beneficial owners of direct business partners, including Joint Ventures and contractors. Listed companies will do what is required by applicable regulations and listing requirements.
- Engage in rigorous procurement processes, including due diligence in respect to partners and vendors.
- Support the operationalisation of countries’ decisions to disclose future licenses and contracts entered into that govern the exploration and exploitation of oil, gas and minerals in accordance with the recommendations in the EITI Standard. Companies recognise that achievement of greater transparency must be set in the context of respect for contracts and laws in accordance with the EITI Principles.
- Companies, working together with governments, to deliver natural resources in a manner that benefits societies and communities.
- Ensure that company processes are appropriate to deliver the data required for high standards of accountability.
The EITI Business Guide outlines how companies can support EITI implementation. An electronic version is available below.
The EITI continues to expand its industry network and welcomes new members to join its efforts in improving corporate and government practices. For more information about company support of the EITI, contact Shemshat Kasimova at the EITI International Secretariat.