EITI reporting on artisanal and small- scale mining · 2019-12-12 · ASM sector, including...

PrioritiesforstrengtheningextractivesectorgovernanceOslo,5-7September2018

EITIreportingonartisanalandsmall-scalemining

Prioritiesforstrengtheningextractivesectorgovernance,Oslo,5-7September2018


Overview of the session

• EITIandtheASM,abriefrecap.• Potentialoutcomes,resultsandimpact:Panningfordata:artisanalandsmall-scalemining(ASM)inEITIcountries

• ConnectinglocalASMactivitieswithmulti-levelregulatoryframeworksOECDpresentation

• EITIcountrycasestudies:Ethiopia,MyanmarandDRC

• Q&Asessionandnextsteps.


ASMcanmeanmanythings….


Artisanal/informalismorecomplex


Keygovernancechallengesandpotential

• Mineralsmugglingcaninsomecasesfinanceconflicts,illegalactivities,lostrevenues,harmtotheenvironment….

• Wealsorecognizethatmillionsofpeopledependonthissectorfortheirlivelihood.

• Thosepeopleareoftenthepoorestandmostvulnerable.


EITIpotentialroleinASM

Aspacefordialogue Asourceofreliabledata


Coverage of ASMinformation inEITIreporting:key findings

• WhilemanyofthecountrieswithsignificantASMsectorwishtousetheEITItoaddresschallengesrelatedtoASM,fewEITIcountrieshaveclearobjectivesforhowtodoso.

• EngagementbykeyASMstakeholdersintheEITIprocessisimportantfortheEITItobeaneffectiveplatformforaddressingASMissues.

• Therearediversepractices amongEITIcountriesondisclosureofinformationrelatedtothelegalandregulatoryframeworkforASM.

• Disclosureofproductionfigures,estimatesofvolumesandvaluesofexportsandgovernmentrevenuesfromASMarelimited.

• Disclosureofestimatesofemploymentfiguresareoftenbasedonoldstudies.


Panningfordata:ASMinEITIcountries

• Increasingtransparencyinthesector

• Contributing towards theformalisation of the sector

• Sparkingpublic debate andprovidingplatforms fordiscussion

Source:https://eiti.org/document/panning-for-data


.Ethiopia:Efforts undertaken on ASM

• MorepeoplethanpreviouslyestimatedarelikelytobeinvolvedinASMactivities:Differencebetweengovernmentestimate(300,000-350,000people)andreportestimate(about1.26millionpeople)

• ThemajorityofASMisinformal:About94%oftheartisanalandsmall-scaleminersarenon-licensed

• Lackofoversightandpoormanagementoflicensedareas

• GapsinthelegalframeworkandsignificantneedtoimproveenforcementofregulationsrelatedtoASM

• SignificantpotentialforthegovernmenttoimproveitstakeofroyaltyfromASMproduction:Only36%ofpotentialroyaltieswerecollectedin2014

• Lackofconsistentinformationaboutprices


Ethiopia:EEITIstudy on ASM.

Source:https://eiti.org/document/ethiopia-eiti-study-on-artisanal-smallscale-mining-asm-sector


Myanmar:Context

• Accesstothelucrativegem-producingconcessionsishighlyregulatedwithlittleroomforformalASMtotakeplace

• However,Myanmar’sgem-producingareashavemanysubsistence‘wastepickers’whoarefreetosearchminingcompanywastedumpsforanyvaluablegemmaterialsthatmayhavebeenoverlooked.Thisisunregulated.

• Gemstonevaluechainisslightlydifferent.Roughtradingandjewelrytradingarehugelyimportant


Myanmar:Where EITIcould contribute

• MappinggemstoneproducingareaswhereASMtakesplace

• DetermininghowmaterialarethepaymentsfromtheASMsectorandhowmaterialrevenuescouldbereflectedinthereport

• IncluderevenuesfromtradinginthescopeoftheEITIprocess

• SubnationalMyanmarEITIprocessescouldhelpindatagatheringandformulationofpolicies


TheDemocratic Republicof Congo

Source:EITIDRC,2015,https://eiti.org/sites/default/files/documents/itie_rapaudind_cadragcouverexploitmin_estrdc_1.pdf



Source:http://mines-rdc.cd/fr/wp-content/uploads/documents/Statistiques/2018/STATISTIQUES_PREMIER_SEMESTRE_2018.pdf



Source:IPIS,2018,http://ipisresearch.be/publication/interactive-map-artisanal-mining-exploitation-eastern-dr-congo-2018-update/


TheDemocratic Republicof Congo:Where EITIcould contribute• Compile what isalready systematically disclosed bygovernment agencies

andpartnerorganisations tomakeEITIreporting morecomprehensive(legalframework,fiscal regime,licenses,overview of specific challengesandcharacteristics,production,exports,share compared tothe industrialsector,contribution tothe economy,social andenvironmental impact)

• Describe the differentsupply chains,including actors involved,highlightingspecific challenges incollecting dataandreporting on each commodity

• Create aninventory of local,national,regionalandglobalinitiatives workingon mapping ASM,duediligenceguidelines,responsible sourcing,etc…

• Provide alocal hub andcoordinating platform forthese initiatives,includingdiscussing policies forreformandformalisation of the sector


Questionsfordiscussion

• CantheEITIdoanythingaboutthesechallenges?

• ShouldtheEITIdoanythingonASM?

• Ifsowhat?


Possible next steps?• Conduct pilotprojects with acountryforcomprehensive ASMdisclosures,adding

adue-diligencecomponent toit(BurkinaFasowith the OECD?)

• SupportEITIimplementing countries that wish todisclose moredataabout theirASMsector,including through:• Supporting the development of fully-costed work plansthat identify clear

objectives forhow touse the EITItocoverASM• Encouraging countries with significant ASMactivities toconsider undertaking

scoping of ASMtohelp determine the extent towhich the ASMsector ismaterial

• Innovativeandthematic reporting

• Updatethe EITIGuidance Note21on the coverage of ASMunderthe EITIStandard:https://eiti.org/document/guidance-note-on-coverage-of-artisanal-small-scale-mining-asm-under-eiti

• Collaborate with globalandregionalactors toexplore opportunities forEITItocontribute toongoing efforts toimprove transparency andaccountability of ASM

EITI reporting on artisanal and small- scale mining · 2019-12-12 · ASM sector, including...

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