The Philippines recognised as the first country to achieve satisfactory progress against the EITI Standard
2017-10-05

The EITI Board congratulates the Philippines on its achievement, noting the impact of the EITI in generating reforms.

5 October 2017 – The Philippines’ was today assessed as the first country to meet all the requirements of the EITI Standard. The decision was made by the EITI Board, who noted the pioneering efforts in using EITI data to drive government reforms and generate a vibrant public debate. 

Upon receiving the news of the Board’s decision, Teresa Habitan, Assistant Secretary of Finance and Chair of PH-EITI, said:

“Working through differences but with a singular goal in mind has been the framework of PH-EITI.  All stakeholders in the multi-stakeholder group value transparency in the manner by which the development and management of the extractive sector must move forward. What has been validated for the Philippines is the perseverance of all stakeholders to do what is right and what is best not only for the extractive industries but more importantly for the country and our people.”

According to the Validation report, the Philippines presents a dynamic case of EITI implementation, with its fast-paced and innovative multi-stakeholder group engaging in strategic discussions linking the EITI to national priorities for the extractive sector.  Government, industry and civil society have all used the EITI to address local demands for information and identify areas for reform. PHEITI’s engagement in formulating recommendations for reform and actively following up on their implementation has ensured the EITI has had a tangible impact, particularly in terms of reform of government systems.

EITI has also built trust in a country where the mining sector has often been contentious. Jerry Brimo, CEO and President of Nickel Asia Corporation, said: “The industry is delighted that the Board has declared the Philippines as an EITI compliant country. We have worked hard for this over some years now. The cooperation shown by all groups in the multi-stakeholder group, the leadership of the Department of Finance, and the dedication of the Secretariat have all contributed to this successful outcome."

Recommendations

Referring to the Philippines’ Validation, Fredrik Reinfeldt, Chair of the EITI, said:

“I congratulate the Philippines on its use of the EITI Standard to build trust, generate public debate and inform policy, which serves as an example to other countries. Meeting all the EITI requirements is a milestone for the EITI and, more importantly, a significant achievement for all the stakeholders in the Philippines that have supported EITI implementation. I urge them to continue to ensure progress, particularly in the coal sector where further work is needed to ensure full transparency.”

Cielo Magno, Secretary of the Board of Bantay Kita, a civil society network, said:

"The results of the Philippine validation reflect the hard work and commitment of the different stakeholders to improve governance in the extractive sector. It affirms that having a political space to work together as co-equal facilitates convergence of interests. PH-EITI is a success because we aimed to be relevant. There are still tons of work to be done so I hope we will continue to be effective, open, critical and radical."

The Board identified nine requirements where the Philippines has gone beyond the minimum required by the EITI Standard. These areas include disclosing information on the legal and fiscal framework, disclosing contracts, revenue management, revenue expenditure and social expenditures. The Philippines has used the process to drive several reforms in the sector, including in distribution of mining revenue from central to local levels and revenue management within local governments. Despite challenges in covering the coal sector, the EITI Board considered that the broader objective of revenue transparency had been achieved.

Scorecard 

 

Notes