EITI-Mexico started to implement the EITI Standard on October 2017. The multi-stakeholder group has created two working groups to propose the scope for the first EITI reporting exercise in two areas: core financial flows and social and environmental coverage.
Scoping of financial flows is in progress. Initial findings indicate that a) in the hydrocarbon sector three revenue streams account for around 97% of total revenues. These are Rights to shared profits (DUC, for its acronysm in spanish), Rights to hydrocarbons extraction (DEXTH, for its acronysm in spanish) and Coporate tax (ISR, for its acronysm in spanish). In the mining sector, Corporate tax and mining rights and Special mining rights are the three largest revenue streams representing around 95% of total revenues generated by the sector.
Social and environmental coverage is an innovation agreed in EITI-Mexico's work plan. EITI-Mexico commisionned two background notes on a) Social issues to be included in the EITI and b) Environmental regulations and payments to be considered in the EITI.
Other documents prepared in advance of implementing the Standard include:
- Mining legal and fiscal regime, contracts and economic contribution
- Hydrocarbon legal and fiscal regime, contracts, state participation and economic contribution
The hydrocarbons regulator CNH (Comisión Nacional de Hidrocarburos) has worked with the Natural Resource Governance Institute (NRGI) in identifying the best practices for transparency in contract management.
See the recommendations here.