Seychelles

EITI Status Meaningful progress
Joined EITI in 2014
Latest Data From 2018
Latest Validation 2019
Website EITI Seychelles
Last updated 6 October 2020

Overview

The country does not currently commercially produce oil, gas or minerals, although international companies are exploring for petroleum offshore. A commercially viable discovery could have a significant impact on a country with a population of around 90,000 and an economy dominated by tourism and fisheries. EITI reporting can provide insights to management of the nascent oil sector in the Seychelles including information on environmental risks associated to offshore oil exploration and production. The latest Seychelles summary data covers the year 2018.

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Tax and legal framework

The Ministry of Finance, Trade and the Blue Economy is responsible for the oil and gas sector. The Ministry also has oversight of the parastatal company PetroSeychelles, which is responsible for regulating the upstream petroleum sector and overseeing exploration activities. Based on preliminary exploration data, PetroSeychelles has revised its model petroleum agreement, including the fiscal regime.

The Seychelles Revenue Commission collects and accounts for revenues, including from the extractive sector. While the Seychelles Petroleum (Taxation) Act defines the Petroleum Income Tax (PIT), the model petroleum agreement defines the tax base and the allowable deductions and expenditure from the tax base.

Licences

Oil and gas exploration and production licenses are awarded on the basis of competitive tender. Only exploration licenses have been awarded to date. An updated map of active permits has been published on the website of PetroSeychelles.

Beneficial ownership disclosure

Objectives of beneficial ownership transparency in Seychelles

  • Promoting good governance

Progress on implementing beneficial ownership disclosure

Seychelles adopted a Beneficial Ownership Act in March 2020, which includes a definition of beneficial owners. The law enters into force as of January 2021. Extractive companies are the only sector where beneficial ownership disclosures will be made publicly available.

 

Seychelles is fully committed to ensuring the highest degree of transparency in the management of any potential oil discovery.
HE Pierre Laporte, former Minister of Finance, Trade and Investment

Production

Mineral production for the period 2015/16 only covered quarried stones minerals,with the total for 2015 being 401,096 tons and total for 2016 being 416,091tons.The oil and gas sector is still at the exploration stage and there is no oil production during the reconciliation period.

Country Watch, Seychelles 2015 country review

Natural resources

Seychelles comprises 115 islands spread over 1.4 million sq. km in the western Indian Ocean, covering only 455 sq. km in land area. In 2012, the US Geological Service conducted an assessment of oil and gas resources along the coast of East Africa between Tanzania, Mozambique and Seychelles, yielding encouraging results. 

CommodityReservesUnitSignificance
OilN/AProspecting offshore is ongoing.
GasN/A
USGS 2012 assessment

Revenue collection

The latest EITI disclosures show that Seychelles received total revenues received from the extractive sector amounted to SCR 24,590,036.34 and SCR 11,534,242.55 in FY 2015 and FY2016 respectively.Two companies accounted for three quarters of these revenues. The Seychelles Revenue Commission (SRC) is the main body responsible for collecting taxes paid to central government, while the Ministry of Finance, Trade and the Blue Economy (MFTBE) manages various application and rental fees levied by PetroSeychelles.

Seychelles: Providing insights to a nascent sector
Seychelles Summary Data Template

Initializing chart.

Revenue allocation

All revenues flow through the central budget before allocation to government agencies and ministries. There is no fiscal devolution in Seychelles.

World Bank, Economic overview of Seychelles
IMF (2015), Article IV Consultation Seychelles

Social and economic contribution

The extractive sector in Seychelles is still nascent, and the social and economic contribution to the sector is minor (less than 1% of GDP, exports and employment).

Read more in Seychelles' EITI 2015-16 Report

Innovations

The EITI encourages multi-stakeholder groups to explore innovative approaches to make the EITI more relevant and useful.

  • The 2013 and 2014 EITI Reports provide the first comprehensive description of the nascent oil and gas sector in Seychelles.  

  • On the basis of preliminary geological data, the Seychelles Government has revised its petroleum legislation, including the fiscal regime, and Model Petroleum Agreement.

  • PetroSeychelles, the national oil company, has implemented an “Open Filing” procedure for accepting applications for petroleum concessions.

Implementation

Seychelles applied for proportionate EITI implementation in line with the limited size of the country's extractive industry. The Board approved the request on 16 October 2019 (Decision 2019-66/BM-45).  Seychelles EITI focuses on the petroleum sector and is also considering including relevant aspects to EITI reporting such as assessing the environmental impacts of the sector and contracts disclosure.

Governance

Seychelles has been an EITI Candidate since August 2014. The government issued a press release on 19 June 2013 announcing its intention to apply for EITI Candidature and reiterated this commitment in the 2014 Budget speech on 10 December 2013. The multi-stakeholder group, chaired by HE Patrick Payet, Principal Secretary for Finance, adopted its ToR on 15 May 2014 with 2.5 year term limits renewable two years.

Timeline

Validation

The EITI Board agreed that Seychelles has made meaningful progress in implementing the EITI Standard on 11 September 2020.

Seychelles' second Validation commenced on 1 April 2020.

 

Board decision in full
Documentation: Validation Report and initial assessment
Country statuses explained
Validation schedule and decisions

Seychelles progress by requirement

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EITI Reports and other key documents

Seychelles Validation 2018

Published Date: 
October, 2018
Publisher: 
EITI

On 1 October 2018, Seychelles was found to have made meaningful progress in implementing the EITI Standard. See Board decision 2018-49/BC-257

Timeline of Validation and related materials:

1 January 2018: Validation commenced5-9 February 2018: Country visit 

Initial data collection and stakeholder consultations

9 July 2018 - Report on Initial data collection and stakeholder consultation [English

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2015-2016 Seychelles EITI Report

Published Date: 
January, 2018
Publisher: 
Seychelles EITI

This EITI Report covers Seychelles' extractive sector in 2015 and 2016. It was published in January 2018.

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Seychelles Annual Progress Report 2016

Seychelles EITI Annual Progress Report 2016

Published Date: 
July, 2017
Publisher: 
Seychelles EITI

This is the Seychelles EITI 2016 Annual Progress Report (in accordance with Requirements 7.4. and 8.4.) The report assesses progress made by the country against the EITI requirements, and reviews the outcomes and impact of EITI implementation on natural resource governance.

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2013-2014 Seychelles EITI Report

Published Date: 
February, 2016
Publisher: 
Seychelles EITI

This EITI Report covers Seychelles' extractive sector in 2013 and 2014. It was published in February 2016. 

Read more
View all documents related to Seychelles in our publications library

Contacts

National Coordinator

Fatime KANTE

Fatime KANTE

National Coordinator EITI Seychelles
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International Secretariat

Ines Schjolberg Marques

Inês Schjølberg Marques

ines.schjolberg.marques
Policy Director
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