Republic of Congo's 2018 EITI Report covers extractive activities in the country for that fiscal year.
The country is a leading producer of crude oil, diamonds and gold. It also produces smaller quantities of copper, lead, zinc, construction materials and, more recently, of phosphates and uranium. Yet social conflicts have arisen around management of oil revenues, subnational transfers and environmental impacts of the extractive industries. The EITI has supported greater transparency in sales of the state’s share of in-kind oil revenues and Parliament is now using EITI Reports as a control tool in approving the state’s budget. The national EITI structure has led outreach to oil and diamond producing regions, generating public debate.
The three main taxes and levies imposed on companies operating in the oil and gas sector include the state’s share of in-kind revenue (Profit Oil), balance of paid taxes and corporate income tax. The Directorate of Tax, representing Treasury, collects and manages roughly three-fifths of revenues while the rest are mostly collected by line ministries and the state-owned oil and gas company (SNPC) and managed as dedicated trust accounts.
Some oil and gas contracts are disclosed.
Oil and gas licenses are awarded on the basis of competitive tender, while mining licenses are granted on a ‘first come first served’ basis. Exploration permits are awarded for four years, renewable three years twice, while production-sharing contracts are concluded on the basis of production licenses granted for 20 years, renewable five years.
The Republic of the Congo has rich deposits of crude oil, natural gas, diamonds, gold, copper, lead, zinc, phosphates and uranium. Abundant mineral resources are found across the country including its offshore, where a growing share of output is located. It is considered one of the most mineral countries in sub-Saharan Africa, sitting along the Congo geological basin.
|Oil sands||2.5||billion barrels|
|Copper||2.2||million metric tons|
|Iron||25||billion metric tons|
|Potash||3.2||billion metric tons|
|Phosphates||531||million metric tons||10.5% phosphorus pentoxide (P205)|
Sources of data in above table
The latest EITI disclosures (2013) show that the Republic of the Congo received USD 5.1 billion from extractive industry taxation. Almost all (99.8%) of these revenues came from hydrocarbons, mainly crude oil, with the rest coming from mining, with gold and diamonds the major commodities. Revenues were mainly collected through the state’s share of in-kind revenue (87%), balance of taxes paid (2.6%) and corporate income tax (2.6%).
The EITI encourages multi-stakeholder groups to explore innovative approaches to make the EITI more relevant and useful.
- The publication of quarterly reports that include, data on oil sales by the state owned enterprise ("Société Nationale des Pétroles du Congo"/SNPC) and revenue transfers between the latter and the treasury.
- Coverage of crude from production-sharing agreements and its monetization in EITI reporting.
- Companies now pay taxes directly to the Treasury and not to intermediary state institutions (as a result of lessons learned from EITI reporting).
- Coverage of social payments in EITI reporting.
- Tripartite MSG chairmanship.
- Civil society representatives on the MSG have led on the organisation of Validation.
EITI has updated its workplan for 2016, expanding EITI reporting to the forestry sector. Following a review of the EITI’s institutional structure, the Republic of the Congo is working to produce its 2014 and 2015 EITI Reports.
The government announced its intention to implement the EITI in a statement by the Minister of Mines, Industry and Geology at the 2nd EITI Global Conference in London on 17 March 2005. On 7 September 2006 the Prime Minister chaired the first meeting of the multi-stakeholder group, the Comite Executif, composed of 25 members (six each from industry and civil society, 13 from government). Decree 2012-1123 of 25 October 2012, nominates the members of the Bureau of the Executive Committee and Ministerial Order 611 MEP PPPI-CAB nominates the members of the Executive Committee. With support from the World Bank, the Republic of the Congo drafted an EITI law in December 2013 to institutionalise the EITI.
Republic of Congo's 2017 EITI Report covers extractive activities in the country for that fiscal year.
The Republic of the Congo's 2016 EITI Report covers extractive activities in the country for that fiscal year.
This Validation is completed.The Republic of the Congo was found to have made meaningful progress.
Validation commenced on 1 April 2017.
Validation country visit: 8-12 May 2017.
Secretariat initial assessment was completed on 27 September 2017.
The Validation Report was issued on 18 December 2017.
Discussed by the VC on 4 December 2017 and 12 January 2018.
Recommendation from VC to Board TBC.
Documents related to the Validation:
Initial data collection and stakeholder consultations
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All available summary data files for EITI Reports have been uploaded to our website. These files are also stored on a google drive, accessible through the link below. The files are in Microsoft excel format.