Latest news with #EITI
The Guardian
9 hours ago
- Politics
- The Guardian
Suspend UK from oil oversight body over protests crackdown, say campaign groups
A coalition of civil society groups is calling for the UK government to be suspended from a key global body that oversees how oil and gas companies are run. The campaigners say Keir Starmer's Labour party has overseen a 'fossil-fuel sponsored crackdown' on peaceful protest and direct action in the UK since it came to power last year. They argue that these measures – which have led to a record number of peaceful climate activists jailed – are incompatible with the UK's continued membership of the Extractive Industries Transparency Initiative (EITI), an organisation that brings together governments, companies, and civil society to improve the governance of big oil. Jolyon Maugham, the executive director at the Good Law Project, was one of the those to sign Friday's submission, which was sent to the EITI on Friday morning. 'Until our government remembers it isn't a private security firm for the oil and gas industry, recognises the important right to protest and stops jailing peaceful climate activists, the UK should be suspended from the initiative,' he said. The UK government has faced severe criticism for its crackdown on the right to protest. Michel Forst, the UN rapporteur on environmental defenders, has described the situation in the UK as 'terrifying'. This week the government moved to proscribe Palestinian Action under the Terrorism Act, putting the direct action group into the same legal category as al-Qaida and Islamic State. The EITI, which is based in Oslo, has more than 50 countries – including the UK – as members. It aims to give equal voice to big oil, governments and civil society groups in overseeing how extractive industries are run, from how contracts are awarded, to political donations and taxes. Part of its standard, to which all signatories must adhere, states: 'The government is required to ensure that there is an enabling environment for civil society participation with regard to relevant laws, regulations and administrative rules as well as actual practice in implementation of the EITI.' But the campaigners say successive UK governments have been in breach of this requirement, pointing to a swathe of harsh anti-protest measures that have been introduced – and highlighting the influence of individuals, including the government's independent adviser on political violence, and rightwing thinktanks with links to the fossil fuel industry. Sign up to Down to Earth The planet's most important stories. Get all the week's environment news - the good, the bad and the essential after newsletter promotion Tim Crosland, the director of the climate justice charity Plan B, which also signed today's submission, said: 'The UK government has sold off democracy to its sponsors in the fossil fuel industry. It allows them to draft the laws to silence and jail their own civil society critics. If that conforms to the EITI standard for promoting civil society engagement in extractive industry governance, the standard isn't set very high.' Member countries must be validated against the EITI standard at least every three years and the UK's validation period is due to begin on 1 July. The submission was was signed by the Good Law Project, Plan B, the Corner House and Defend Our Juries. A decision on the UK's continued membership is expected later in the summer.
Iraq Business
28-03-2025
- Business
- Iraq Business
Iraq scores "Fairly Low" in Oil Business Transparency
From the Extractive Industries Transparency Initiative (EITI). Any opinions expressed are those of the author(s), and do not necessarily reflect the views of Iraq Business News. Iraq scores 55.5 points in EITI implementation The EITI Board concluded that Iraq has achieved a score of 55.5 points (fairly low) in EITI implementation. The country has shown a commitment to public disclosure of extractives data - particularly in oil sales, where it stands out in the region. Validation highlighted how its vast and complex petroleum sector continues to present both challenges and opportunities for strengthening transparency. Key areas for strengthening disclosures include contracts, oil-backed loans and the transfers of oil revenues. "I commend Iraq for its dedication to EITI implementation," EITI Board Chair Helen Clark said. "The government and citizens of Iraq depend heavily on revenues from the oil sector. Iraq EITI's recent efforts to inform the public about the infrastructure agreement under China's Belt and Road Initiative are welcome. Moving forward, Iraq EITI should strengthen its disclosures, notably contracts with international oil companies as they contain key terms that determine revenues at the project level." Since joining the EITI in 2010, Iraq has expanded the scope and detail of its disclosures on government oil sales, which account for 99% of the country's oil and gas revenues. In support of the government's economic diversification strategy, Iraq EITI has also begun covering mining activities and providing information on refined petroleum products, contributing to a broader understanding of value creation in the sector. Enhancing transparency in oil sales Iraq is unique among EITI implementing countries in retaining ownership of its oil and gas until the point of sale. The State Organization for Marketing of Oil (SOMO), a state-owned enterprise, plays a central role in managing oil and gas trades, which generate the bulk of government revenues. Given this structure, detailed disclosures on oil sales are critical for tracking revenue flows. SOMO publishes aggregate export data on its website, which is complemented by Iraq EITI's more disaggregated disclosures, also available on Since the insertion of a transparency clause in SOMO's template sales agreement in 2013, trading companies agree that their purchases are made public. To further strengthen these disclosures, SOMO could routinely disclose the disaggregated sales data on an ongoing basis. In turn, Iraq EITI could strengthen its revenue tracking by resuming its past practice of reviewing financial statements for the Development Fund for Iraq (DFI), which receives the country's proceeds of oil sales. Knowing the terms in service contracts Iraq's oil and gas sector operates under a service contract regime, where international oil companies (IOCs) extract oil under contracts with state-owned enterprises and are reimbursed in kind. While model contracts are available, the specific terms of signed service contracts remain largely undisclosed, limiting public understanding of revenues at the project level. Publishing these contracts would enable public understanding of project terms and enhance oversight and accountability. There are also opportunities to improve the accuracy of Iraq's public register of service contract holders and to build on past efforts to identify the beneficial owners of supplier companies working with these contract holders. Strengthening implementation through full government engagement Iraq has continued EITI implementation despite political turnover, as well as challenges during the COVID-19 pandemic. However, civic space has narrowed during the period under review, and EITI implementation has faced setbacks. These include reduced government, only partial participation in reporting by government and companies, and delays in renewing the civil society constituency. Rebuilding trust between stakeholders and revitalising leadership will be critical to ensuring that Iraq fully benefits from EITI implementation. Sustained engagement from all parties will be essential in strengthening transparency and accountability in the extractive sector, as well as ensuring that the EITI process contributes to Iraq's anti-corruption and domestic revenue mobilisation objectives.
