Joining EITI can protect our critical industries – Civil Society Rep.

Aug 30, 2016 News

It is believed that Guyana becoming a member of the Extractive Industries Transparency Initiative (EITI) will help protect its mineral wealth and the soon-to-be-developed oil and gas industry, among other pursuits.

Civil society advocate, Mike McCormack

This is according to civil society advocate Mike McCormack. According to McCormack, consultations have been held concerning Guyana joining the organisation, and he believes that this kind of involvement would direct any decision in terms of making policies informed by the people and implemented by the people who are affected.
McCormack, who is also head of the Guyana Human Rights Association, explained that being a part of EITI will ensure transparent measures are put in place to monitor where the money derived from this (oil and gas) sector is going, and guarantee that royalties are paid.
He said that joining EITI will ensure that communities where these resources (including mining) are taken from, and the country as a whole, benefit from what is theirs and are not robbed of it.
The organisation which was established in June 2003 is currently made up of 51 member countries. These subscribers pledged to establish, uphold and promote the standards of good governance, transparency and accountability in the management of their extractive industries.
In February last, McCormack, along with Minister of Natural Resources and the Environment, Raphael Trotman and Joy Persaud, had attended the Seventh World Summit of EITI in Lima, Peru.
The Government of Guyana aims to submit its application for membership to the organisation in November of this year. The administration is currently working to establish a Multi-Stakeholder Group (MSG), which is the final step to securing membership.
Ana Maria Rodriguez, a consultant from the World Bank is assisting the nation in this regard.
It is believed that joining the EITI will build trust between stakeholders. Companies who operate within the extractive industries are expected to publicly declare what they would have earned. The government in validating this information is to publish what it would have received from these companies.
McCormack says the information disclosed should be the same or able to be reconciled between the parties. He added that membership in the international organisation should also attract investors, since foreign companies will see that institutions are working in an environment of honesty and good faith.

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