GUYANA is forging ahead in its bid to become a member of the global coalition of governments, companies and civil societies working together to improve openness and accountable management of revenues from the mining sector.The Ministry of Natural Resources and the Environment (MNR&E) has disclosed that, following the initial workshop and launch of the scoping study for the Extractive Industries Transparency Initiative (EITI) late last year, the second round of fieldwork has commenced for the project with the support of the consultancy firm Moore Stephens International (MSI).

Additionally, during the last week of January, subject Minister Robert M. Persaud will lead a Guyana delegation to Trinidad and Tobago (T&T) to attend meetings with Ms. Clare Short, Chair of the Board of EITI, to continue to move forward the process towards Guyana’s membership of EITI.

The primary focus of the meetings in T&T will be on Guyana’s commitment to, and progress in applying for, EITI candidacy.

With respect to the second round of fieldwork currently ongoing, a team from the international firm MSI is currently in Guyana for two weeks, to conduct meetings with various stakeholders from public, private and civil society organizations, the MNR&E has disclosed.

Among the key stakeholders are representatives from the Guyana Gold and Diamond Miners Association (GGDMA), Guyana Women Miners Organization (GWMO), Guyana Human Rights Association (GHRA), Ministry of Finance, Guyana Revenue Authority (GRA), Audit Office of Guyana, Guyana Geology and Mines Commission (GGMC) , Guyana Gold Board (GGB), and the Environmental Protection Agency (EPA), among other agencies.

EITI, it was explained, sits in the centre of the value chain in the extractive sector, focusing on revenue transparency to translate natural resource wealth into better development for the local population.

In EITI-compliant countries, companies in the mining sector are required to publish what they pay to governments, and governments are required to publish what they receive from companies. These figures are then reconciled by an independent administrator. EITI compliance, it is said, builds trust between governments, companies and citizens, and provides a forum for discussion of broader extractive industry governance issues, such as physical and process audits, contracts transparency, and sub-national revenues.

The scoping/feasibility study now underway will help assess challenges and opportunities associated with EITI implementation, and determine the scope of the EITI reporting.

The study will include critical information about the extractive industries in the country, and their importance to the overall economy; the costs and benefits of EITI implementation, and potential sources of funding for EITI implementation, among other things.

The MNRE disclosed that the study is an undertaking of national importance to the mining and minerals component of the economic developmental pillars of Guyana.

Both Moore Stephens International and the MNR&E are working diligently to ensure that the agreed timelines for the deliverables of this project are reached, the Ministry reported.

As at mid-2014, there were 29 EITI-compliant countries and 17 candidate countries. Thirty-five countries had produced EITI reports.

EITI members include Albania, Azerbaijan, Burkina Faso, Cameroon, Central African Republic, Cote d’Ivoire, Democratic Republic of Congo, Equatorial Guinea, Gabon, Ghana, Guinea, Kazakhstan, Kyrgyzstan, Liberia, Madagascar, Mali, Mauritania, Mongolia, Mozambique, Niger, Nigeria, Peru, Republic of Congo, Sao Tome & Principe, Sierra Leone, Tanzania, Timor-Leste, Yemen, and Zambia.

(By Clifford Stanley)