EITI Progress in MongoliaEITI Progress in Mongolia

Presented by Dorjdari N., PWYP Mongolia Coordinator

Regional Meeting, Bishkek29 October 2010

Where are we at in terms of EITI?

• Mongolia has been announced ‘compliant’ during recent EITI Board meeting in Dar Es Salaam (October 19)

• In April, Mongolia was designated ‘candidate country’ and ‘close to compliant’; given 6 months to show progress

• Mongolia had problems with 5 indicators – indicators 11-15

Validation• Mongolia validated in November-December 2009• Coffee International was the validator• MSWG accepted the validator’s report• Initial report suggested Mongolia met all indicators – later

revision revealed 5 indicators not met• PWYP Mongolia Coalition did self assessment – very helpful

to prepare for the actual validation• Validation and the following EITI Board Decision to

announce Mongolia ‘close to compliance’ let to increased activity of MSWG and the government

• Validator shed light on some problems areas in MSWG, like formality of the process, clarity of definitions, etc.; helped understand some issues clearly at the MSWG level

Around EITI reports• 3 EITI reports so far, covering 2006-08• Auditors: Crane and White, Ernst and Young, Hart Group• Companies: Oil&Gas + Mining (exploration + producing); State

owned+private; Chinese+Russian+all others• Reports not included in the official reconciliation: for 2007, Institute of

Certified Accountants did reconciliation of 28 companies• Response from civil society:

– 2006 Report: Full Response Paper, Press Conference, TV Interviews– 2007 Report: Open Letter, Press Conference, TV Special Interview– 2008 Report: Open Letter, Press Conference, TV and Newspaper

Interviews, Full One Page Newspaper Special• Use of reports by civil society: Inadequate? -Tax policy?

Summary Stats 2006-2009

Beyond minimum EITI standards

• Mongolia EITI – disaggregated; company by company and payment by payment

• Some exploration companies included• Environmental reclamation costs and bond

are included in the reports• Information on production is included in the

reports• Two-tiered MSWG – National Council and

Working Group

Going forward• EITI Legislation– Includes contracts and licenses– Includes uranium, other minerals, oil

• Sub-national EITI Pilot– Soum (subprovincial) level EITI piloted– MSG at soum level established– Templates are being developed– Reports of soum

• EITI – from minimum standards to ‘high’ or ‘best international’ standards?

• Overhaul of financial reporting – routine financial report by all companies involved?

End of PresentationTHANK YOU FOR YOU ATTENTION!