The United States congratulates the Extractive Industries Transparency Initiative (EITI) on its sixth Global Conference May 23-24, 2013 in Sydney, Australia. During this important event, government representatives, companies, and members of civil society from around the world will come together to recognize the importance of governments transparently managing revenues generated from oil, gas, and mining activities.
More than 3.5 billion people around the world live in energy and other natural resource rich states, many of which perform worse in measurements of economic development and good governance than resource-poor countries. The corruption and mismanagement often found in this sector impedes economic growth, restricts opportunities for trade and investment and can fuel instability and conflict. Although managing resources responsibly is a large challenge, these resources also present great opportunities for development.
The United States has strongly supported EITI since its creation in 2002. President Obama’s 2011 announcement that the United States would implement the EITI domestically underscores this Administration’s belief that the initiative is beneficial to countries in all regions and at all levels of development. At the Sydney conference the EITI will adopt revised rules that will make it even more effective in ensuring transparency and accountability in the extractives sector for the citizens of countries implementing this initiative. The United States believes that mandatory extractives sector reporting requirements such as Dodd-Frank Section 1504 complement the work of EITI, and contribute to a more holistic understanding of the revenues generated from the extractive industries.