ArrayDominican Republic

EITI Status Meaningful progress
Joined EITI in 2016
Latest Data From 2016
Latest Validation 2019
Website EITI Dominican Republic
Last updated 21 February 2020

Overview

The Dominican Republic continues to be one of the best performing countries in Latin America in economic terms, with an average GDP growth of around 7% in the period of 2014-2016. Growth in 2017 was 4.6 percent, GDP is expected to grow close to 5 percent in 2018 and maintain this rate in the near future. 

The extractive sector contributed 2% and 1.9% of total GDP in 2016 and 2017. However, the sector contributed 3.22% of fiscal revenues in 2016. Extractive exports represented 42% of total exports in 2016 and 40% in 2017. The main two commodities are gold and ferronickel. There are two large mining operations in the country, Pueblo Viejo, the country’s largest gold mine and Falcondo. Hydrocarbon exploration is promoted. 19,000 km of 2D geological information is publicly available at the National Hydrocarbons Data Base. Forthcoming bidding rounds will be based on open contracts. 

The following figure illustrates the contribution of the extractive sector to the Dominican Republic exports in years 2010 to 2017:

The EITI is part of the government’s transparency framework in its effort to develop the extractive resources.

A number of civil society organizations oppose the expansion of the extractives after the legacy of environmental and social erosion of historical mining exploitation.

Ministry of Energy and Mines
General Directorate of Mining
National Hydrocarbons Data Base

Extractive industries contribution

  • 1.9 %
    to GDP (2017)
  • 40 %
    to exports (2017)
  • 9 983
    employment
Accountability is the ideal way to confer the mining sector with sustainability, social legitimacy and environmental stewardship.
Antonio Isa Conde, Minister of Energy and Mining

Tax and legal framework

The Constitution establishes natural resources are national patrimony and their exploitation should follow the applicable legal dispositions (Chapter IV).  The Ministry of Energy and Mines, created in 2013, is the entity responsible to administrate and formulate the national mining and energy policy according to the regulations. 

The Ministry of Energy and Mines is subjected to the dispositions of the Free Access to Public Information Law, among other regulation that guarantee operations under the principles of transparency. It is accountable to the Chamber of Accounts and to the Office of the General Comptroller.

License holders are mandated to make fiscal contributions such as:

  • Income tax
  • Tax on earnings
  • Minimum annual tax (IMA)
  • Extracted mineral tax 
  • Royalties 
  • Other applicable as per the Tax Code

Learn more in the Dominican Republic EITI webportal.

Ongoing reforms 

As of March 2018, the Ministry of Energy and Mines has proposed a national mining bill. The text is available here. 

Licenses 

The General Directorate of Mining (DGM), attached to the Ministry of Energy and Mines, is responsible for managing the mining cadaster, registry and for monitoring mining licenses applications. More information on awarded licenses is available here. Citizens can consult maps of concessions at the DGM's website. Resolutions granting mining titles since 2014 are publically available at the Ministry of Energy and Mines' website.

Mining contracts are explained and disclosed in the Dominican Republic EITI webportal, including the special contracts signed for the Pueblo Viejo and Presa de Cola Las Lagunas projects.

State Participation

The Dominican Republic EITI webportal describes the state participation through the Dominican State owned-enterprises corporation (CORDE for its acronysm in Spanish). 

CORDE's mining concession are available here.

The largest CORDE's mining asset is its 9.98% participation in Falconbridge Dominicana S.A. as illustrated in the following picture:

Fiscal regime

The Dominican Republic EITI webportal describes:

  • Fiscal regime
  • Extractive fiscal revenues
  • Fiscal terms in contracts
  • Revenue flows as illustrated here:

 

EITI transparency is good for countries, good for governments, and good for companies because it gives guarantees that ensure the sector is being managed under a global standard.
Maritza Ruiz, Observatory of Public Policy, Autonomous University of Santo Domingo

Production and Exports

Extractive sector in Dominican Republic is focused in mining with the main minerals being gold, silver, nickel and bauxite. 

Mining

To view production by commodity, volume and value, visit the visualization tool in the Dominican Republic EITI webportal.

To view exports by commodity, volume and value, visit the visualization tool in the Dominican Republic EITI webportal.

Hydrocarbon

Development of the hydrocarbon sector is high in the government’s agenda. The first National Hydrocarbons Data Base, available in open source, contains 19 000 kms of geological information.  

Initializing chart.

Initializing chart.

Data provided by the Central Bank of the Dominican Republic 

Revenue collection

Revenue collection: revenues over time

Initializing chart.

Reconciled revenues by top 5 companies

Implementation

The Dominican Republic was admitted as an EITI Candidate country on 23 February 2016 at the 32nd EITI Board Meeting in Lima. The country implements the EITI as per the agreed work plan 2017-2019. In accordance with the EITI Standard, the Dominican Republic published its first EITI Report by 23 August 2017. 

On 28 December 2018, the Dominican Republic published its second EITI Report via the EITI-RD portal including the reconciliation of payments and revenues conducted by Deloitte.

Governance

The Dominican multi-stakeholder group is preceded by the Minister of Energy and Mines, Antonio Isa Conde. As per the country's Candidature application, the Multi-stakeholder Group (MSG) agreed the national EITI principles and approved their own Terms of Reference. The MSG was established by the Decree 248-16 and functions as per the structure below.

EITI Champion: Minister of Energy and Mines

Deputy EITI Champion: Deputy Minister of Hydrocarbons

Government representatives

  • Deputy Minister of the Presidency of Follow up and Government Coordination
  • Alt. Responsible for Intergovernmental Coordination
  • Deputy Minister of Finances for Tax Policy
  • Alt. General Director for Policy and Tax Legislation, Minister of Finances
  • Deputy Minister of Planning
  • Alt. Sector Analyst at the General Direction of Economic and Social Development, Minister of Economy, Planning and Development

Industry Representatives

  • Manager for Governmental Relations, Barrick PVDC
  • Alt. Consultant Secretary, Compañía Dominicana de Cales, S.A (DOCALSA)
  • Senior Specialist of Interinstitutional Relations, Falconbridge Dominicana (FALCONDO)
  • Alt. Manager of Environmental Affairs, Compañía de Cemento PANAM (Grupo Estrella)
  • Legal Director, Corporación Minera Dominicana (CORMIDOM)
  • Alt. Excecutive Director, Asociación Dominicana de Productores de Cementos Portland (ADOCEM)
  • President, Cámara Minera-Petrolera de la República Dominicana, Inc. (CAMIPE)
  • Alt. Secretary of the Board, Cámara Minera-Petrolera de la República Dominicana, Inc. (CAMIPE)

Civil Society

  • Excecutive Director, Participación Ciudadana (Transparency International national chapter)
  • Alt. President, Fundación Cuayá
  • Researcher ODPP-Universidad Autónoma de Santo Domingo
  • Alt. Secretary, Colegio Dominicano de Economistas (CODECO)
  • Coordinator, Organización Articulación Nacional Campesina
  • Alt. Spokesperson, Fundación para la Protección del Medio Ambiente Vida y Salud
  • General Coordinator, Fundación Guayacán de Energía y Medio Ambiente, Capítulo GEMA AMBIENTAL
  • Alt. Treasurer, Sociedad Dominicana de Geología (SODOGEO)

The EITI Dominican Republic, as per Decree 248-16, has a national Technical Secretariat and a Technical Committee that provide support and advise to the MSG.

Timeline

 

Dominican Republic EITI Candidature application
Dominican Republic EITI Work plan
Dominican Republic EITI Decree creating a MSG

Dominican Republic's progress by requirement

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Validation

On 14 February 2020, the EITI Board agreed that Dominican Republic has made meaningful progress overall in implementing the 2016 EITI Standard. 

The Board has determined that the Dominican Republic will have 6 months, i.e. until 14 August 2020 before a second Validation to carry out corrective actions regarding the requirements relating to production data (3.2), subnational transfers (5.2) and the outcomes and impact of EITI implementation (7.4).

Board decision in full.

Documentation: Draft and final assessments 

Country statuses explained

 

In our country there was a custom of having data hidden, stored, forgotten; but we want to break that paradigm. Transparency should become a goal in itself.
Alberto Reyes, Deputy Minister of Hydrocarbons

EITI Reports and other key documents

Dominican Republic Validation 2019

Published Date: 
November, 2018

On 14 February 2020, Dominican Republic was found to have made meaningful progress in implementing the 2016 EITI Standard. See Board decision here

Timeline of Validation and related materials1 January 2019: Validation commenced7-13 March 2019: Country visit Initial data collection and stakeholder consultations2 May 2019 - Report on Initial data collection and stakeholder consultation [English Spanish]15 February 2019 - Questions for stakeholder consult

Read more

Dominican Republic EITI Report 2015

Published Date: 
February, 2018
Publisher: 
Dominican Republic EITI

This is the first Report published by the Dominican Republic in 2017. It is composed by their webportal and the Reconciliation Report elaborated by the Independent Administrator (Deloitte).

Read more
View all documents related to Dominican Republic in our publications library

Contacts

National Secretariat

Natalia POLANCO

Head of the technical Secretariat
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International Secretariat

Catherine Greene

cathy-greene
Country Officer
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