PHL exits EITI over group’s ‘biased’ assessment

PHL exits EITI over group’s ‘biased’ assessment

Jun 23, 2022, 7:52 AM
Rose De La Cruz

Rose De La Cruz


The Philippines left the Extractive Industries Transparency Initiative—of which it was a member since 2013—because of its ‘unfair, biased and unduly subjective’ validation and use of irrelevant metrics in assessing the country’s performance in extractive industries.

Citing the validation findings of an extractives transparency group as “unduly subjective, biased and unfair,’ the Philippines opted to leave the Extractive Industries Transparency Initiative through a June 20 letter sent by outgoing Finance Secretary Carlos Dominguez III to EiTI chair Helen Clark.

“We find that the manner by which the EITI board undertakes its validation is unduly subjective, biased and unfair,” Dominguez’ letter to Clark (former prime minister of New Zealand) said.
“The Philippines has no confidence in the ability of the EITI to undertake an impartial, transparent, and evidence-based validation process.”

The EITI sets the standard for transparency and accountability in the mining, oil and gas industries. Dominguez heads the multi-stakeholder body that oversees the implementation of the EITI in the country.

Dominguez’s statement comes after the EITI board downgraded the Philippines’ score to “moderate” last February, Business World reported.

While the score reflected the Philippines’ high marks in stakeholder engagement, transparency, and outcomes and impact, the EITI board at that time said “the objective of full, effective and active engagement by civil society is only partly met, given government constraints on freedom of expression, operation and association in the EITI process.”

The EITI board also mentioned allegations of intimidation of civil society activists and journalists and urged the government to improve the environment for civil society participation. It said it will revisit the issue in October.

Provide details of issues

The DoF said it has repeatedly asked the EITI to provide details on the issues, but the EITI has not supplied such information.

Dominguez criticized the EITI board for treating the Philippines unfairly “by using irrelevant metrics and relying on unvalidated reports in assessing the status of civic space in the extractives sector.”

“We refuse to be taken hostage by unverified allegations from foreigners and people who have no mandate from the electorate,” Dominguez said.

Despite this withdrawal, Dominguez said the government had systems in place to ensure continued transparency in the extractives sector.

Better resource and revenue management

“The government will continue to champion better resource and revenue management, and ensure that resource utilization remains open, accountable, and responsive to the needs and aspirations of Filipinos,” he added.

The country has been part of EITI since 2013.

In 2017, the Philippines was declared the first among 50 other members to have achieved “satisfactory” progress in meeting EITI requirements.

EITI implementing countries are required to undergo a validation process every three years.

Tags: #EITI, #DoF, #Phl., #’unfair,biasedandsubjectivevalidation,’ #irrelevantmetrics

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