Triangular cooperation Peru, Guatemala, Germany: transparency in extractive industries

Project description

Programme title: Triangular Cooperation Peru, Guatemala, Germany: Transparency in Extractive Industries
Commissioned by: German Federal Ministry for Economic Cooperation and Development (BMZ)
Countries: Guatemala (recipient country), Peru (partner country)
Lead executing agency: Guatemala: Secretaría de Planificación y Programación de la Presidencia (SEGEPLAN); Peru: Agencia Peruana de Cooperación Internacional (APCI)
Overall term: 2015 to 2017

Context
The global Extractive Industries Transparency Initiative (EITI) works towards more financial transparency and accountability during the recording and disclosure of revenues earned from extracting natural resources. The standard is implemented by the governments of around 50 countries worldwide, in cooperation with companies and civil society.
Peru already has more than ten years of experience with implementing the initiative and in 2012 was the first country on the American continent to become a member of EITI. Guatemala became a member in 2014. The main challenges in fulfilling the EITI standard are representation of Guatemalan civil society in the multi-stakeholder group – in which the state, businesses and civil society are represented and which is responsible for implementing the international EITI standard in Guatemala – and the institutionalisation of the political and technical processes necessary for implementing the initiative.

Objective
The processes for implementing the initiative to improve transparency in the extractive industries in Guatemala are improved.

Approach
GIZ encourages the exchange of information between EITI Peru and EITI Guatemala in the form of triangular cooperation by providing technical and methodological advice. GIZ supports implementation of the following measures to enable EITI Guatemala to benefit from the experience and findings of EITI Peru – adapted to the Guatemalan context:

  • Advising the Guatemalan EITI secretariat and the Ministry of Energy and Mines on complying with national requirements and the international EITI standard;
  • Helping civil society to strengthen its organisational structures, appoint its representatives to the EITI multi-stakeholder group, and train specialists, organisations and networks;
  • Supporting the Guatemalan Government in developing mechanisms for participation in the multi-stakeholder group;
  • Developing a communication strategy for EITI Guatemala in order to inform the population about state revenues from the extractive sector;
  • Supporting the exchange between groups of stakeholders comprising the state, civil society and companies from various countries at EITI’s Global Conference in Lima, Peru, in 2016;
  • Sharing experiences with Honduras, which is interested in joining EITI.

Results
To date the following results have been achieved using the experience and findings from EITI Peru, with support from GIZ:

  • In Guatemala, the sharing of experiences and the advisory services have improved participation by the state, civil society and the companies as peers in the multi-stakeholder group.
  • Guatemalan civil society has formulated by consensus its internal requirements for attending the EITI multi-stakeholder group and already applies them. This has improved participation and representation of civil society in the transparency initiative.
  • As a result of technical training, civil society is now in a position to submit its own proposals to the multi-stakeholder group.
  • Representatives of the companies in the extractive industries take part in the work of the multi-stakeholder group.
  • Working on a participatory basis, EITI Guatemala has developed a proposal for a new set of rules to define the organisational structure, methods of functioning, and processes for the multi-stakeholder group. A work plan is currently being implemented.'
  • EITI Peru’s experience with implementing the transparency initiative over more than ten years has been systematised and is used by Guatemala and other countries as a blueprint for implementing their own processes.

Contact

Gerhard Schmalbruch (Guatemala)
gerhard.schmalbruch@giz.de


Hartmut Paulsen (Peru)
hartmut.paulsen@giz.de