Myanmar has Mining Law, Gemstone Law and Petroleum Law but contracts typically govern all extractive projects. Contracts are confidential, but model oil and gas Production Sharing Contracts (PSC) are disclosed by the Ministry of Energy. PSC holders and their legal owners are disclosed in their EITI Report. The main revenue streams in both the hydrocarbon and mining sector are royalties, production split, royalties and commercial tax/corporate income tax.  Tax revenues are collected by the Ministry of Planning and Finance (MOPF). Subnational governments do not collect revenues. 

The latest EITI disclosures (2017) show that Myanmar received around  2,302,776 million Myanmar Kyat from extractive industry. 79% of these revenues came from oil and gas, with the rest from gems and jade (16%) and other minerals (4%). Extractive revenues were mainly collected through the government’s share of oil and gas production, royalties, signature bonuses and corporate income tax. 

Extractive revenues in Myanmar are mainly retained by State-Owned Enterprises (SOEs) in their “Other Accounts”(39% in FY 2016/17) as the company’s own funds and for the purpose of its exclusive operations and capital investment. The lastest EITI figures indicate that in fiscal year 2016/17, oil, gas and mining SOEs collected nearly 1.9 million Myanmar Kyat from extractive companies. In total, 2.1 million Myanmar Kyat were transferred from SOE's to the government. The largest SOE, the Myanma Oil and Gas Enterprise (MOGE) transferred more than 1.9 million Myanmarf Kyat, illustrating its significant role in the country’s extractive sector. The SOEs contribute to the government’s budget through two main fiscal instruments: profit tax and dividend.

According to the 2016-2017 EITI Report, the Gross Domestic Product (GDP) contribution from the extractive sector for 2016-2017 amounted to 4.4% of the Country’s GDP. The extractive sector’s contribution to the State’s revenue amounted to 14% in 2015-2016, with an export value amounting to 20.4% in the same period.

Total employment for the extractive sector that was reported by the government agencies amounted to 90,909 employees, representing 0.3% of the total employment of the labour force (27.19 million) in FY 2016-2017. 

Governance

On 29 December 2016, the Union Government formally established the Myanmar EITI Leading Committee, which is is the highest EITI governing body in the country. The Leading Committee is composed of the Minister of Planning and Finance as Chair, the Minister of Natural Resources and Environmental Conservation and the Minister of Energy and Electricity as members, and the Deputy Minister of MOPF as Secretary. The Renaissance Institute was appointed as the National Coordination Secretariat (NCS). The current MSG consists of nine members from civil society and seven members each from government and industry. Civil society is represented by the Myanmar Alliance for Transparency and Accountability (MATA), while industry is represented by members of the Myanmar Federation of Mining Associations (MFMA), Myanmar Gems and Jewellery Entrepreneurs Association (MGJEA) and oil and gas companies. The forestry sector is also represented through the Myanmar Forest Products Merchants Federation (MFPMF).

On 7 March 2017, the EITI International Board set 1 July 2018 as the commncement date for Myanmar's Validation. 

Timeline

Myanmar's Validation against the Standard commenced on 1 July 2018. On 16 October 2019, the EITI Board found Myanmar to have made meaningful progress in implementing the EITI Standard. The country was admitted as EITI candidate in 2014.