Myanmar EITI Annual Activity Report July 2015 ‐– June 2016

Myanmar EITI Annual Activity Report  July 2015 ‐– June 2016     

 

1

 

Message of the Chairman of the MEITI-MSG First of all, I would like to express my sincere appreciation to the MSG members for their active participation throughout the process to delivering the functions of EITI implementation in Myanmar in order to improve fiscal transparency and accountability, and the revenue management system. As an EITI candidate country, Myanmar has published its first Myanmar EITI report which revealed findings related to the extractive sectors, especially revenue from the mining, oil and gas sector. Even though the first report could not cover the whole sector’s revenue, it was the first and significant achievement in such atmosphere where aforementioned information had been never shared to the public. In fact, it was the step to move forward to having transparency and accountability in the extractive sectors. Implementation of EITI is a continuous process. As the standards require, we remain committed to perform the tasks as planned in our country’s EITI work plan. This report highlights the efforts of our MSG and coordination team in achieving important priorities under the work plan. Currently, we have started drafting the 2nd MEITI report with the selection of Independent Administrators to reconcile the Government’s revenue and the extractive industries’ payment. No matter what challenges and difficulties prevailing, we sincerely believe that Myanmar EITI-MSG will be able to submit the report to international EITI within the stipulated time.

U Maung Maung Win Interim-Chairman

2

1. General Assessment of Annual Performance

After Myanmar’s application was approved and accepted as an EITI candidate country, it has prepared and submitted the First Country EITI report on the reconciliation of the Government’s revenue and the extractive industries’ payments. The table below illustrates the process which MEITI undertook to deliver the first Myanmar EITI report. Implementation Process Steps Implemented

Status

Select Independent Administrator and decide the scope of the report

The technical sub-committee, with the support of International EITI, selected Moore Steven Team as the independent administrator.

Develop reporting template and collect data

Developed and explained the template to relevant stakeholders through a workshop

Finalize draft report and receive feedback and recommendations from MSG and each constituency group

Data collection process was completed on time with the support of various government departments’ representatives and selected private companies. The drafted report was finalized after incorporating feedback from all stakeholders and MSG in December 2015.

Finalize and submit First Myanmar EITI report to International EITI

First Myanmar EITI report was submitted to International EITI in January 2016.

Launch of the Inaugural MEITI Report and Preparation for Broader Dissemination The implementation of EITI and fulfilling the EITI requirements is a continuous proess. The MEITI team launched the report with other stakeholder representatives in Yangon during midMarch 2016. The MSG representatives participated actively in the launch of the report, as well as panel sessions wehre they responded to questions from the audience, leading to greater clarity and understanding of the report. However, the implementation process faces uncertainty and challenges given the political transition, and that slowed down the implementation process stipulated by the work plan. Other challenges include the shortage of budget, and the team is stil awaiting the approval of the grant contract. The MSG sub-committee members are trying to maintain and define various possible ways to disseminate the report to the public through the media. At the same time, the coordination team is engaging with two regions where subnational coordination units are actively involved, to advocate and share information with new administrators and relevant key personnel to enhance the understanding of implementing EITI. Subnational units will also be assuming responsibilities such as disseminating information and recommendations from the report and initiating public discourse on the report. Preparation for 2nd MEITI Report It is the candidate country’s obligation to meet the EITI standards and Myanmar has to submit its 2nd EITI report by January 2017. The preparation for the 2nd report is one of the key activities under this year’s work plan. While waiting to sign the agreement for grant during the political 3

transition in April 2016, the MEITI coordination team moved forward through facilitating and coordinating with MSG representatives, especially subcommittee members, World Bank, and International EITI Secretariat office in preparing and developing the Terms of Reference (TOR) for IA and budget forecasting for procurement. It is still an ongoing process while MEITI is awaiting the Government’s commitment to fill the structural gaps of Leading authority- champion and MSG and sign the agreement as early in third quarter of 2016.

MEITI National Secretariat The MEITI Coordination Team of CESD is currently the Secretariat, coordinating the implementation and information sharing amongst the MSG and constituency groups. Currently, it is handing over the function to the EITI unit under the Budget Department of Ministry of Finance (MOF). Both teams worked together in managing activities under the work plan during the period covered by this report. While the MOF team managed the MDTF fund of $290,000/-, it also worked on procurement and logistic for various events under the work plan in collaboration with MEITI Coordination team of CESD. Due to the difficulties in recruiting staff for the Secretariat team and the time needed to build required competency for key staff members of the MOF secretariat team, the handing over process has been longer than expected. Thus, it was extended to June 2016. Under such a situation, the combined team could manage and deliver the actions planned under the work plan up to December 2015 timely and tried to share human resource for managing those activities and preparation of first EITI report to be finished by timely by the end of December 2016. on the teams also organized regular team meetings among the MOF EITI Unit team, MEITI Coordination Team of CESD and World Bank up till February 2016. However, after facing uncertainties due to the political change and its impact on various Ministries’ functions, the meetings could not be conducted as usual. Therefore, both teams tried to maintain the momentum by organizing low cost subcommittee meetings. The Coordination Team also organized workshops on beneficial ownership, EITI implementation, and contract negotiation and transparency, with the respective support of partners – NRGI, Mongolia EITI, and GIZ. The Coordination team of CESD and the MOF secretariat discussed and prepared for the handover of administrative documents by the end of June 2016. As the coordination team of CESD depleted their own funds for managing day-to-day EITI coordination function, the CESD Team has committed to contribute their time on a voluntary basis as the MOF secretariat team still needs support for coordination and delivering the actions under the work plan

Regular MSG Meetings There were a total of four MSG meetings during the reporting period. Through these MSG meetings, participants discussed on scoping study recommendation to be used for making decision for not only scope for first EITI report but also for the process implementation of preparation for first EITI report in working with Independent Administrator to deliver the actions and develop the report in timely. Even though the final product may not be as comprehensive as it is ideally expected, the commitment and support from the MSG and the Chairperson has enabled both members of the private and public sector to contribute the best possible information and data on revenue administration in the data template stipulated by the MSG. During the meetings, decisions were also made such that the budget and funds were use and managed effectively, particularly in the field of capacity building for various constituency groups. CSO representatives also actively participated and gave their feedback and inputs throughout the process of preparation for the first Myanmar EITI report. With the commitment and overwhelming support stemming from each constituency group, Myanmar achieved its milestone of implementing EITI by submitting its first EITI report timely. The MSG also discussed and delivered the subsequent steps of releasing the EITI report to the wider public, and tried conducting outreach and communication activities to initate public dialogue under the work plan of 2016 when they faced challenges stemming from the handover process and the committee change due to the outcomes of the 2015 election.. 4

Regular MSG Sub-Committee Meetings From July 2015 to June 2016, there were more than 25 sub-committee meetings. The subcommittees are namely, Outreach and Communication sub-committee, Work plan and Governance sub-committee, and Technical sub-committee. Individual sub-committees effectively and actively discussed the relevant issues carried out their respective roles and responsibilities such that decisions can be made efficiently at MSG meetings and activities can be prioritized and implemented according to the work plan. . Working alongside one another has helped to build rapport and relationships that are extremely useful in facilitating cooperation between the constituency groups and consensus decision making. As there are numerous challenges for Myanmar to overcome in order to improve transparency and accountability, the MSG tries to manage the time constraint and existing limitations revolving the legal framework and , and promote and build better coordination and relationships among the three stakeholder groups. Such efforts were only possible given the open and flexible environment facilitated by the subcommittee meetings. Outreach, Communications and Capacity-Development Under this reporting period, the Sub-National Coordination Units (SNCU) was also initiated and started to implement as pilot project in Mandalay region where many gold mining projects are located, and Magway region where many small, medium and some major oil production projects are located. During the initial stage, the SNCU seems to be functioning well, but due to the representatives’ lack of understanding at the regional level, the functions were not carried out as quickly as expected. After key decision makers are changed after the November election in 2015, the CSO representatives who are selected as representatives for their respective regional subnational coordination unit team tried to continue organizing meetings among SNCU members till today. For example, Magway SNCU group invited the National Coordination team representatives to present to the new Chief Minister of the region to help him understand the objectives of the SNCU and how it is related with the National MSG TOR, the work plan, and the existing problems and conflicts in their respective region’s extractive sector. And they also continuous in action of review and replace the three constituency groups representative with more committed and giving time for SNCU too. Mandalay SNCU is also trying to do the same and help the new Chief Minister of the region to better understand the role of SNCU through sharing the first EITI report and other relevant EITI documents and information with the new administrators. Individual constituency group’s capacity building was conducted through organizing specific trainings for Government, Private and CSOs using the findings from the training need assessment which was conducted by International EITI consultant during mid-2015. The topics covered under the capacity building trainings are: (1) Understanding EITI in broader context and the Importance of Reporting, (2) Facilitating and Communicating with Different Stakeholders, and (3) Basic Natural Resource Governance from the perspective of EITI. The SNCU also disseminated the first Myanmar EITI report broadly to other stakeholders from the three constituency groups and media to enhance their understanding on the report’s findings and recommendations that are to be implemented in the future as a continuous reform process. It also had the chance to share the EITI report with all Members of Parliament from Yangon Division and seek their actions to take on the recommended reform actions. The coordination team also followed up with the decision of the sub-committee to engage with the media. As it was discussed in May 2016, the coordination team hopes to share the first EITI report’s recommendations and finding with the public through platforms such as radio or TV programs, news outlet such as MRTV in August 2016. In order to continuously engage the International EITI, the MSG representatives and coordination team members, including the National Coordinator, participated in several International events organized by International EITI in collaboration with Philippines EITI, NRGI, and GIZ Mongolia, to enhance relationships and networks with regional countries that have implemented the EITI and possess relevant experiences to be applied in the context of Myanmar. Myanmar consequently also enjoys opportunities to learn from other countries’ experiences and thus, be 5

able to be better unleash the potential and manage existing risks through dialogue in these platforms. Participants in these events also had the chance to gain a deeper understanding of the EITI report, the reforms required, and the updated standards, which then can be communicated to respective constituency group members through the MSG meetings. Long-Term Funding for EITI The implementation of EITI is a continuous action for the country and it needs to have enough budget to implement activities under its work plan for the next three years for Myanmar to reach the level of a compliant country. It has discussed with development partners like DFID, DFAD, EU, and the World Bank, and it has also prepared the budget forecast by reflecting its work plan for the subsequent three years which was agreed by Development Partners, supported through the World Bank. Although MEITI prepared and did up the budget plan by the end of November 2015, the political change affected the plan as political appointments and leadership structure were affected by the transition, causing delay in the signing of the agreement between MOF and WB. This is still awaiting the Cabinet’s decision. As such, the implementation process of EITI in Myanmar to deliver the prioritised activities under the work plan since March 2016 was also delayed. Under such circumstances, the coordination team has being trying to maintain some functions such as organize workshops on beneficial ownership and contract negotiation and transparency with the budgetary support from NRGI and GIZ Mongolia for Myanmar MSG representatives and Mongolia EITI representatives. Thus, the coordination team and the MSG are trying to maintain the momentum by incurring minimal cost while it waits for the signing of agreement between the government and the World Bank. MEITI MSG and Civil Society’s Concerns Additional Inputs from CSOs: Successes: 1. Sub-committee meetings are conducted regularly and effectively even when the national level MSG meeting has stopped. 2. Similarly, Sub-National Coordination Units meetings in MDY and Magway are conducted regularly while the government members have not been officially appointed. 3. Civil society has built good relationship with the Ministry of Natural Resources and Environmental Conservation. They have organized and participated in mining monitoring trip together with CSO, regional and local governments, Department of Mines, and the private sector in January 2016. They are also planning to conduct a similar trip again in June-July 2016 in the Sagaing region. 4. CSO representatives - MSG-MEITI has organized a press conference regarding its position and stance on the first Myanmar EITI report in January 2016. 5. Due to the formation of Sub National Coordination Units in the Mandalay region, the situation of illegal mining has slightly improved as there is a better monitoring process and local responsive mechanism by three constituencies, and the SNCU members. 6. CSO has facilitated community research in Lapadaung copper mine and advocated Members of Parliament, regional government and the media to respond to the findings in June 2016. 7. CSO conducted an advocacy meeting with Members of Parliament in Natural Resources Committees in Ahmyothar and Phythu Hluttaw, Ministry of Natural Resources and Environmental Conservation, and regional governments in May 2016, highlighting the importance of implementing EITI recommendations to enhance transparency and accountability in natural resources governance in Myanmar. 6

Challenges: 1. There were no capacity development activities for MEITI-MSG apart from the workshop on beneficial ownership which was held in May 2016. 2. Although regular SNCU meetings were held at the regional level, there is a need for the SNCU to be more functional so that they can effectively respond to local issues and improve resources management in the regions. 3. CSO has submitted its recommendations (13 in total) upon the final draft version of Myanmar EITI report in the 12th MSG meeting which was held in Dec 2015; however, the first Myanmar EITI report has not covered and reflected them in their entirety. 4. MEITI-MSG has yet to conduct public debates in the regions regarding the first Myanmar EITI report, and has only launched the report in March 2016. 5. MDTF fund has been delayed because it has yet to receive the government’s official approval to implement MEITI activities according to the work plan. This is because there exists much bureaucratic red tapes between MEITI Secretariat team from CESD (Former MDRI) and the MOPF. 6. CSO has changed its representatives in November and December internally. Myanmar Alliance ob Transparency and Accountability (MATA) and CSO representatives have informed MEITI Secretariat with an official change of appointment letter; however, MEITI-Secretariat has yet to recognize the changes and they are still using the old CSO representatives’ names meetings, workshops or training invitations. Thus, the CSO-MSG representative feels that they have been discriminated against amongst other constituencies within the MEITI-MSG. 7. The official announcement to continue implementing the Myanmar EITI process has not been released yet. Therefore, there exists uncertainty in the continuation of MEITI implementation process.

Recommendations to Improve Engagement and the Implementation of EITI in Myanmar from the Perspective of Relevant Constituencies First Myanmar EITI report is highly incomplete. However, the recommendations are strong. Nevertheless, there is little discussion on how to implement these recommendations amongst the MEITI-MSG members. CSO is also mainly concerned that the MEITI-MSG will produce the second Myanmar EITI report based on the weak points of the first report as mentioned below,  Approximately 50 percent of public money from oil, gas and mining are kept by stateowned economic enterprises (SEEs) in off-budget’s “Other Accounts.”  It is necessary to disseminate the information regarding the list of active oil, gas, gemstones and mineral licenses updated as of March 2014 so that these information can be publicly available.  The value of jade production and revenue generation should be disclosed as only 54 percent of the gemstone companies in the emporium,— a small fraction of the total industry -- was covered in the first Myanmar EITI report.  The revenues from the extractive industry should be reported on a project-by-project basis so that public can understand the sources of resource revenues and their respective owners, to monitor their performance in managing the projects in accordance with the standards.  Licensing procedures and allocation criteria has to be disclosed according to the EITI requirements to improve transparency and accountability.  Data on beneficial ownership has to be disclosed according to revised EITI standard in 2016. 7



Contracts and licenses’ terms should be disclosed despite the EITI guidelines ‘encourage’ disclosure. The lack of transparency and disclosure reduces stakeholders’ ability to monitor and enforce companies’ financial, operational and social obligation.

Thus, CSO urged all MEITI-MSG to place emphasis on implementing the above-mentioned points to improve the transparency mechanism for better natural resources governance in Myanmar. As a first step to implement Myanmar first EITI report’s recommendations, the CSO would like the MEITI-Secretariat to follow up the decision stemming from the Outreach and Communication, Governance and Work plan sub-committee meeting, which was held on 3rd June: 1. As an advocacy group of the MEITI-MSG, one representative from MEITI-MSG will meet with EITI-related ministries in July 2016 to discuss what the ministries are doing regarding the recommendations. This is to better understand the challenges, strengths, and opportunities to move forward with the recommendations on revenue management to enhance resource governance in Myanmar. 2. In order to meaningfully implement the EITI process in Myanmar, CSO would like to recommend that more capacity building opportunities be offered on top of workshops and trainings. This entails offering all MEITI-MSG members (3 constituencies) opportunities to act as the facilitator in the meetings, discussions, workshops, etc. According to the consensus decision making practices within MSG members of EITI process, it is required that 3 constituencies have a sense of equal participation and non-discrimination without any impeding information sharing. 3. Although MEITI communication strategy has been drafted since late 2015, there is no major attempt to implement this strategy. The strategy entails outreach activities to raise public awareness on Myanmar’s EITI implementation process. Moreover, the communication mechanism is not properly worked out when the information is shared internally or externally. 4. Myanmar EITI-MSG is required to agree and develop the strategy vs work plan in accordance with Myanmar’s context to implement the MEITI process effectively and efficiently. 5. Finally, CSO would like to recommend developing an action plan to carry out the implementation of the first Myanmar EITI report’s recommendations by MEITI-MSG. Additional Input from Governments: (Still waiting while they are confusing and not clear their role) Additional Input from Privates: (Still waiting while they are preparing )

8

2. Assessment of performance against targets and activities set out in the workplan The MSG discussed and reviewed the Work plan’s objectives and activities after the MSG workshop for 2014-2015 Annual Activity Progress Report. It was revised with more clarification on the activities but it did not change the context of the work plan with the inputs of MSG member by the end of February 2016. The following is an assessment of progress against the activities in the Work plan, from July 2015 (when the Work plan was agreed by the MSG) until June 2016. Objective 1: Contribute to broader reform for resource governance Number Activity Status Time in WP



Remark/ Summary of Progress from July 2014-July 2015

1.2.1

Carry out legal study to build on Not recommendations of legal review and the achieved scope of the study

Mid 2017

This was discussed by the MSG at the time when the Work plan was finalized in April 2014, and was briefly discussed again at the MSG workshop in July 2015. It will be carried forward in the revised Work plan as an activity for the subsequent year.

1.2.2

Prepare for drafting of the EITI bill Not including consultation with legislators achieved and other key stakeholders

Early 2017

This was discussed by the MSG at the time the Work plan was agreed to in April 2014 and was briefly discussed again by the MSG at the MSG workshop in July 2015. It will be included as an activity in the revised Work plan, based on the findings of the legal study.

1.2.3

Government EITI Coordination 1. Establish inter-departmental EITI working group under each key EITIrelated ministry (EITI Special Units) 2. Review and strengthen existing governmental EITI coordination mechanism

Mid 2014 and onward s

Some ministries, e.g. Ministry of Mines, established an interdepartmental EITI working group. However, the Ministry of Energy, MOECAF and GAD have indicated that they may set up a working group. Ministry of Finance have not yet done so, but have established the EITI National Secretariat unit.

Partially achieved / Ongoing

However, the process is awaiting with the guidance and commitment of the new Government. The renewal of 9

commitment by the new Government can reduce the delay and confusion within the MSG structure, as it is currently fraught with uncertainty due to the change in government representatives. 1.2.4

MEITI Coordination Office/ Secretariat transition to Ministry of Finance (MDRIMEITI team to work with Leading Authority to agree and implement stepby-step plan)

Partially achieved / Ongoing

Mid 2016

A plan was agreed with the Government EITI Leading Authority that the MDRI-CESD MEITI Coordination Office would slowly hand over responsibility of the National Secretariat function to a designated team in the Ministry of Finance. This could not implemented as planned in the late 2015. Due to not having enough staff members and the turnover of the department head, the plan of the handover process was pushed back to early 2016, and then the end of June 2016. The CESD MEITI Coordination Office continues to work as closely as possible with this team, although the handover process is completed in June 2016. It is therefore expected that the CESD team will need to continue to work with the team in the Ministry of Finance for the foreseeable future.

1.2.5

1.2.6



Identify and plan the support required for Not the government (central and regional achieved offices) to understand and calculate: 1. regional/local extractive industries’ contribution to national economy and 2. production and export volumes and pricing

Mid 20142015

Establish a centralised government Not register of licenses which covers both the achieved national and sub-national levels

Mid 20162019

The Independent Administrator’s Terms of Reference included an assessment of these requirements. It is anticipated that the Independent Administrator will make recommendations for improving and strengthening the government’s management and collation of such data moving forward. This activity is therefore carried over into next year’s Work plan. This activity has been included in the Work plan by the MSG with the caveat that it is not strictly or normally an EITI issue, but that it was included to ensure alignment with EITI Requirement 3.9. 10

Discussions about establishing a minerals cadastre are now in place with MOM. This activity will therefore remain in the Work plan for 2016-2017, and there will also be a workshop at the end of 2015/early 2016 to identify and decide on the best options for Myanmar. 1.2.7

Carry out review of the illegal and Not artisanal and small scale mining (ASM) achieved sector to understand potential contribution to national economy and estimation of production data

Late 2014

This activity was included in Moore Stephens TOR, and will therefore be carried forwards into next year based on the Independent Administrator’s recommendations.

1.2.8

Carry out review of the jade and Achieve gemstone sectors for other potential d inclusion in scope of second MEITI report (If not effectively covered and/or included in scoping study and first EITI report)

Early 2016

In December 2014, the MSG agreed that the scope of the study would only include formal government data on jade and gemstones from the Gems Emporium. As such, the entire jade and gemstone sectors will not be wholly covered in the study or in the first MEITI report. There have been some discussion in the MSG regarding the options for producing this report and some preliminary data has been gathered. The MSG decided in June 2015 that the review should be carried out after the scoping study has been completed.

1.2.9

Government (including SOE) needs to In identify its level of ownership in the progress sector

Mid 20142017

There has been initial discussion during the government’s working committee meetings, especially on the available data for the scoping study’s preparation. There exists a need for continuous discussion amongst key stakeholders. This was also included in the Independent Administrator’s TORs and will be carried forward based on their recommendations



11

accordingly. 1.2.10

Government to review availability of In EITI-related data among SOEs for progress disclosure in EITI report

Mid 20142016

There has been initial discussion during the government working committee meetings, especially on the available data for the scoping study’s preparation. There exists a need for continuous discussion amongst key stakeholders. This was also included in the Independent Administrator’s TORs and will be carried forward based on their recommendations accordingly.

1.2.11

Government to review extractive Partially Mid industry-related sub-national practices, achieved 2014payments and revenues / on 2015 going

This was discussed in the MSG sub-committee and a representative of the Internal Revenue Department offered to organise a workshop to review extractive industry-related practices at the subnational level. It was organized in late 2015. This was included in the Independent Administrator’s TORs and will be carried forward based on their recommendations accordingly.

1.2.12

Carry out a study to map and identify levels of beneficial ownership in the extractive sectors in Myanmar (If not effectively covered and/or included in scoping study)

Under discussio n

End 2016

The MSG discussed this when agreeing to include it in the Work plan in April 2014. In March, a government representative from the Myanmar Investment Commission participated in a beneficial ownership workshop organised by the EITI International Secretariat in the UK. The issue of beneficial ownership was discussed briefly at the MSG workshop in July 2015. The oil and gas companies present indicated that they would not have a problem making their beneficial owners public and for this to be included on a public



12

register in Myanmar. It was noted that the mining company representatives were less comfortable with this suggestion. The Independent Administrator’s TOR for the scoping study requires them to propose a definition of beneficial ownership consistent with EITI requirement 3.11.d, and a mechanism for reporting and disclosure in accordance with EITI Requirements 3.11.a-b. 1.2.13

1.2.14

1. Government to agree procedure for disclosure of information related to the allocation of licenses 2. Disclose information about bidding process including list of applicants and the bid criteria (2013-2014) in line with EITI 2013 Standard Requirement 3.10

In Progress

Late 20142015

This activity, which focuses on MOGE and the disclosure of some data about the 2013-2014 bidding process, was briefly discussed in one or two MSG meetings and in some subcommittee meetings. The information was provided to the Independent Administrator for inclusion in their report.

MSG members will explore the In methodology and the extent of contract Progress disclosure and social expenditures

20142015

Contract disclosure and social expenditures have been briefly discussed a few times, although not formally at a regular MSG meeting. At the MSG workshop in July 2015, there was some discussion about contract disclosure. The Independent Administrator’s TOR covers both of these issues in line with EITI Requirements 3.12 (b) and 4.1 (b). It is therefore expected that the MSG will address these issues more substantially once the Independent Administrator has completed their work.

Objective 2: Create enabling environment for EITI Activity



Activity

Status

Time in

Remarks/Summary of Progress during 2014-2015 13

Number 2.1.1

2.2.1



WP 1. Carry out Training Needs Assessment for MSG and key stakeholders 2. Design training plan, training manual materials etc. to include training of trainers (TOT) Two or 3 training activities per year depending on training needs identified/training plan - for MSG members

Achieve d

Mid 2015

The draft training plan has been produced and the accompanying report was finalised and approved in early September.

Achieve d/ ongoing

End 20152019

Several training activities were offered/delivered to MSG members throughout the year (although these took place before the training needs assessment had been carried out).

2.2.2

MSG Study Tour & Exchange visit to Achieve Mongolia d

Late 2014

A group of MSG representatives was invited to Mongolia in November 2014 by GIZ to participate in a conference and meet Mongolian EITI representatives to share, learn and discuss EITI implementation.

2.2.3

MSG Study Tour & Exchange visit to the Philippines

Mid-late 2014

This took place later than originally anticipated, but was a very valuable experience for the MSG participants.

2.2.4

Government training and capacity Achieve Mid development (as requested by government) d/Ongoin 20141. Basic natural resource governance g Onwards training to EITI related (Union) ministries 2. Basic natural resource governance and EITI training to regional governments (especially from resource rich states and regions) 3. Advance Natural Resource Governance and Reporting Practice Training to MEITI Government, Working Group and Working Group/Focal Group from Each EITI Related

A range of EITI related training has been offered to key government ministries, including: - Introduction to EITI o Ministry of Mines o Various other ministries including GAD and some parliamentarians - Natural Resource Governance o Ministry of Mines - Preparation for EITI Reporting o Ministry of Finance o Various government departments

Achieve d

14

Government Agencies 4. Fiscal regime in EI related training 5. International accounting standard and project financing and evaluation training



2.2.5

Civil Society Organisation (CSOs) training Achieve Mid and capacity development d / 2014Training activities to be developed as per Ongoing 2016 Training Needs Assessment

A number of CSO training activities took place during the year are including –  Introduction to EITI  TOT for EITI Awareness  Natural Resource Governance  Contract Transparency In particular, NRGI is working closely with Myanmar CSOs to support them and build capacity to participate effectively in the EITI process.

2.2.6

Private Sector training and capacity development Training activities to be developed as per Training Needs Assessment

Achieve Mid d/Ongoin 2014g 2016

Prioritised training for the private sector will focus on supporting the reporting companies with the reporting process. However, some local level companies have participated in events related to outreach and raising awareness, especially in Mandalay and Magway where the two subnational coordination units have been established. There are plans to to organize two trainings for Private Sector with MFMA in Yangon and Mandalay by December 2015.

2.3.1

Legal Review

Achieve d

A legal consultant (Baker & McKenzie) was contracted by the World Bank in 2013 to carry out the legal review. The final report was produced in 2014.

2.3.2

Political Study)

Economy

Study

(Pre-scoping Achieve d

Late 20132014

By mid Adam Smith International: ‘Institutional and Regulatory 2014 Assessment of the Extractive Industries in Myanmar’ was 15

finalised and published in 2015.

Objective 3: Prepare and facilitate the process for implementing EITI



Number

Activity

Status

Time in WP

3.1.1

Prepare and secure World Bank Multi Achieved Donor Trust Fund (MDTF) funding until end 2015

A USD 290,000 grant to the Ministry of Finance from the World Bank-managed EITI MDTF provides funding until the end of 2015. This is complemented by Bank-executed activities, including financing of a technical adviser, a communications consultant, and a public financial management consultant, and the financing of the Scoping Study. The Bank-executed activities are also financed by the EITI MDTF.

3.1.2

Prepare and Secure DFID and/or alternative development partner for shortmedium-long term funding

In principle agreement has been reached with the World Bank to provide a grant from Myanmar Partnership MDTF, with funding from DFID and perhaps DFAT. Grant development is underway.

3.1.3

Prepare and secure contribution to EITI

3.1.4

Prepare and secure core funding for MEITI Achieved Coordination Office

Given the need for ongoing MDRI MEITI team support to the EITI process and the Ministry of Finance, funding is being factored in to the revised 2016 – 2019 Work plan.

3.2.1

Hold MSG Meeting every two months

MSG meetings have been held regularly approximately every 2 months.

In progress

government Under discussio n

Onward

Achieved Candidate / Ongoing Onward

Remarks/ Summary of Progress during 2014-2015

Some preliminary discussion has been held with the government on the potential financial contribution to EITI.

16

3.2.2

Establish MSG Sub-Committees, Achieved Candidate Taskforces, Supporting Committees or / Ongoing Onward Monitoring Committees as necessary and hold Meetings accordingly

In July 2014 the MSG agreed to establish 3 subcommittees to support its work and with the mandate to work in more detail on key areas, on behalf of the MSG. The 3 sub-committees are:  Work plan and Governance  Technical and Reporting  Communications and Outreach The 3 sub-committees have met regularly during the year.

3.2.3

3.2.4

3.2.5

Procure reconciler firm to carry out Achieved After detailed scoping study and prepare first / Ongoing MEITI MEITI report Candidacy Applicatio n Approved Achieved Early 2015 Scoping Study

The Independent Administrator was procured in June 2015. The MSG established a ‘Selection Committee’ to oversee and lead the selection process.

1. MSG to agree scope and definition of Achieved materiality threshold for the first report based on the results of the scoping study 2. Reconciler to develop reporting templates with MSG in line with agreed scope 3. MSG to approve the reporting templates Achieved Training on EITI reporting and templates for all Reporting Entities

Based on scoping study, early 2015

This activity was delayed slightly. It is anticipated that the scoping study will be finalised in October 2015. The MSG has agreed on the scope and reporting templates accordingly.

After scope agreed (2015) Jan 2016

This was carried out by Moore Stephens, the Independent Administrator after the scope of the first report has been agreed.

After

Once the draft report was finalised, and the MSG and key

3.2.6 3.2.7 3.2.8



Preparation and Production of MEITI Achieved report Approve and Launch Of MEITI Report by Achieved

This activity was delayed to mid-late 2015.

Moore Stephens produced the first MEITI report. This began in October 2015.

17

3.3.1

3.3.2

3.4.1

MSG

-Ongoing

completio n of MEITI Report

Prepare for the 2nd Report including procurement of Reconciler and possible second scoping study

Under process

Early The MSG will make a decision on this during 2016. 2016-End 2016 2016-2017 This will take place during 2016 (possibly 2017).

Under Production of 2nd MEITI Report discussio n Under Engage in validation, review and approval discussio of validation report n

By January 2017

stakeholders have had the opportunity to give any feedback, the MSG formally approved the report. Once the final version had been approved it was officially launched.

Validation must take place by January 2017 (2.5 years after candidate status granted).

Objective 4: Increase the accessibility of data (Communication and Information Sharing) Number

Activity

4.1

Widespread communication and Ongoing dissemination of MEITI report, ensuring contribution to public debate including e.g.: - Press Release - (Media) Including TV, Radio, Print, events and activities Ongoing MEITI Website (regular updating and maintenance)

4.2.1

Status

Time in Remarks/ Summary of Progress during 2014-2015 WP Early It has been taking place once the EITI report is published 2016-late and in line with the Communications Strategy. 2106

2014 and A new Communications Officer was appointed in June Ongoing 2015. The website is also now being revised and improved. It has been handed over to the MOF team by April 2015 and one staff who is assigned to undertake the role of 18

communications.

4.2.2

4.2.3

MEITI Secretariat to establish online and physical 'library' of EITI related information for EITI stakeholders (where the information is not publicly available, it should be approved by MSG) Develop MEITI plan/strategy

Ongoing

communications Achieve d

The MEITI office are collating numerous relevant and Late 2014 - insightful documents/reports etc. which will be available Onwards for downloading from the MEITI website (in both Myanmar and English languages).

Late 2015

Ongoing

In line with the MEITI Communications Strategy, a range Late 2014 - of communications and outreach events and activities will Onwards held each year, including e.g.: - National EITI conference - Annual MSG workshop - Subnational coordination unit events - Outreach events and workshops

Ongoing

20142016

Various outreach events were held during the year as follow  7 seminars with EITI introduction of regional level  8 trainings and workshops with Media and Government

Partially Mid Achieve 2014d 2016 /Ongoing

Outreach events were held primarily for CSOs and government stakeholders during the year.

Implement communications plan/strategy including e.g. information, education and communication materials, outreach events, workshops, seminars etc. 4.2.4 Possible Outreach Events to include: 1. Seminars and workshops (approx. 15) 2. National EITI Conference 4.2.5

Outreach events for each constituency group

This will also be covered in the Communications Strategy. This activity was slightly delayed but was produced by the end of 2015.

4.2.6 4.2.7

MSG to discuss and agree options for Partially establishing regional CSO-government EITI Achieve

Late 2014

This activity became the MSG agreement, in December 2014, to establish the ‘pilot’ 4 subnational coordination 19

support groups d - options for establishing groups followed up

Not achieved

Onward

units. The agreed 4 states and regions were: Mandalay, Magway, Shan and Rakhine. By July 2015, two of these-- Mandalay and Magway -had been successfully established. It is intended that the remaining 2 will be established as per the MSG decision later this year.

Late 2016 Onwards

The following activities all contribute to ongoing monitoring and evaluation of the EITI process: - CSOs as non-reporting entities, play monitoring and oversight role - The Annual Activity Report process - Regular Workplan and Governance Sub-Committee meetings i.e. the governance, institutions etc. of the EITI process. - The Validation process (for Myanmar this will begin by January 2017).

MSG to establish internal monitoring and evaluation mechanism e.g. MSG Monitoring and Evaluation Sub-Committee

Whether additional monitoring is still needed can be discussed by the MSG. 4.3.1

4.3.2

4.3.3

2016 Post MEITI First Report Activities - Evaluate and review first report process - Follow up MEITI Report recommendations - Carry out any research/ studies as necessary including CSO study using participatory action research methodology and PAME 1. Carry out review of government financial Under data management system needs for effective process EITI implementation (Consultant) 2. Consultant to develop the system based on the needs identified, and provide training

2016 Onwards

Not applicable during this year

20152016

This activity will be carried based on the IA’s recommendations in the first MEITI report.

20

accordingly Achieve d

March 2015

This was one of the key objectives of the MSG workshop in Pyin Oo Lwin in July 2015. The MSG Workplan and Governance Sub-Committee has met a few times to discuss the Workplan and budget. In particular, after the MSG workshop in July, there have been several meetings to review and revise the Workplan in time for the MSG’s approval in September.

MSG to review and revise the Workplan

4.3.4

MSG to review annual progress (Workplan), produce annual activity/progress report and send to International Secretariat 4.3.5



Partially Achieve d

February 2016July 2016

The main objective of the MSG Workshop in Pyin Oo Lwin in July 2015 was to review annual progress against the Work plan and prepare for the Annual Activity Report. However, as this was not possible, the process of preparing the Annual Activity Report was slightly delayed.

21

3. Assessment of performance against EITI requirements During the course of the year (from July 2015 to June 2016), the MSG had 4 meetings, and there were meetings of each sub-committee at least once in between MSG meetings. In preparation for the Independent Administrator’s TORs for 2nd EITI report, which was substantially discussed by the MSG Technical and Reporting Sub-Committee, the committee ensured that each of the EITI Requirements would be covered in the scope of the IA’s work. Even though this is the second year of EITI implementation for Myanmar, progress in meeting specific requirements in the Standard has been limited given the time constraint and the changing Government structure. Thus, the second report would have its scope extended and additional sections. However, while the first report is completed timely and contains useful recommendations, it is difficult to hold regular meetings to enforce the implementation of reform measures due to the impact of political change and its consequent structural change in the Government’s Ministries. Even though the EITI Requirements per se were not formally discussed in MSG meetings in 2016, they are all included in the Work plan and also in the Independent Administrator’s TOR. The MSG will be able to discuss them more systematically during and after the Independent Administrator has designated their tasks for the second report. Beneficial ownership (3.11) Even the workshop on Understanding Beneficial Ownership was organized in early June, there is still the need for continuous discussion on of the definition of BO by Myanmar EITI. This component in the work plan is delayed and will be postponed to late 2016.

Contracts (3.12) Due to the uncertainties within the MSG caused by the changes in political appointments within the Ministries, the component of contract transparency could not move forward as planned. It was also difficult to build a broader understanding on existing practices and cover topics under the contractdespite the drafts by both parties in the public and private sectors. are following the same legal framework.

22

4. Overview of the Multi-Stakeholder Group’s Responses to the Recommendations from Reconciliation and Validation, if applicable Under the process of preparation by MSG sub-committee, it has been decided that separate meetings with respective Government departments’ key staff members will be conducted to allow them to have an understanding on the report’s recommendations and how they can be integrated in their existing development and reform plans. Due to the political change, Myanmar administrative structure are also relatively fluid given that some ministries are merging and Ministerial appointments are filled with new members. Advocacy on the report’s recommendation and the implementation will be prioritized in the next six months of 2016.

5. Any specific strengths or weaknesses identified in the EITI process

Strengths Coordination Under the reporting period, coordination among three constituency groups is continuously improved and having dialogue for better improvement of policy reform and issue management between Government and CSOs representatives like having meeting with Mining for some issues related mining in region. Participation of sub committee members is functioning well even there was some changes in focal for sub com member from the side of Government and CSOs, was not impact in the coordination for moving forward the action. It was also organized regular internal team meeting among CESD coordination team, MOF secretariat Team and WB focal persons monthly until early 2016. It’s also build the effective dialogue and making decision for delivering the activities under work plan and prioritise activity in line with requirements and time frame. Debate and Adaptation to Context As a continuous action of developing the TOR for IA and the preparation plan for the first EITI report, debates on the scope, reporting template, including the number of companies based on their revenue payment to Government took place and the follow sectors are decided by scoping study:  Oil and Gas  Mining (including jade and gemstones but only formal government’s Gem Emporium data) Even though the MSG agreed that a separate feasibility study to determine the inclusion of the hydropower sector into the EITI process should also be carried out in time for the second MEITI report in its first annual progress report, the dialogue at sub-committee meetings also pushed for the inclusion of the fishery sector. While the MSG mechanism is slowed down, it is still maintaining dialogue and discussion through sub-committee meetings to discuss the preparation of the IA’s TOR. Increased Dialogue In terms of increasing engagement with stakeholders, the MEITI process led to civil society representatives entering into a regular, open dialogue and relationship with key ministries. For example, as a result of discussions in the MSG, CSOs and Ministry of Mines representatives are now meeting on a regular basis. It is also set up mechanism of having regular dialogue and meeting among three stakeholders representatives at two pilot regions where SNCU set up as pilot. 23

Outreach, Inclusion and Capacity Development There were considerable efforts to build awareness and capacity of MEITI stakeholders throughout the year. This includes numerous training sessions for all key stakeholder groups, including some not directly involved in the MEITI process such as the media and parliamentarians. There were also numerous outreach events at the subnational level in several states and regions. Most of them were organised collaboratively by MATA and CESD MEITI Coordination Office to raise awareness in communities. At times, MATA CSO coalition and some government support are involved. It was also organized trainings related technical knowledge building for three stakeholders and some skill required for constituency groups to do better coordination and delivering the action effectively in facilitative approach by the late 2015 in collaborate with NRGI and with some external International experts for facilitation and communication sill. By the end of 2015, some trainings were organized for the three types of stakeholders in terms of technical knowledge build up, and constituency groups were also offered opportunities to develop coordination, communication, and facilitation skills. These were conducted in collaboration with NRG and various external international experts. Positive Reflections The first Multi Donor Trust Fund for implementing EITI in Myanmar was depleted by the end of 2015 and due to the delay of signing the grant agreement caused by the political change, MSG members have been trying to maintain the momentum and contribute their time on low-cost deliverables while attempting to find the collective solution to meet the EITI requirements and standards. to support better reform of the accountability and transparency practice and mechanism in Myanmar under the critical change of political situation when Government representatives are unclear for their role and participation in EITI. Weaknesses Myanmar tried to implement EITI and overcome some challenges to improve coordination among the three groups who lack trust in one another. After the first EITI report has been developed, Myanmar is preparing for the second report to be submitted timely in early 2017 while ensuring to carry out the recommendations from the first report. Limitation . Build a balanced tripartite understanding and confidence towards the building of a developed nation while ensuring good governance and transparency; · Regular verbal communication between different interest groups is necessary to improve more strategic communication through the MEITI communication channel. · Have expectation of being a member of MSG, become a member after overcoming obstacles, need to gain benefits for the general public; · Mixed results: While there is some improvement, there were unpleasant occurrences at the ground level., Some examples are the Lapadaung case in Sagaing Region ,Pin Pat Mining in Shan State, Ta Gaung Taung Nikle Mining in Sagaing Region, etc. ·

Establish good relations with the government, companies, and CSO. However, CSO still 24

feels that there is a difference between champion and MSG member in reality. · There are many challenges ahead in the action plan and the work plan for the next year to agree upon consensus practices. -

After political change takes place, new leaders are trying to manage and improve various sectors. As they place more focus on building peac , EITI was less prioritized. The change in leadership and ministerial appointments made existing MSG structure uncertain as Government representatives are unclear of their participation and state of involvement.

-

Poor Data Quality It was covered under the recommendation from the first EITI report. Ideal data collection could not be implemented as the key practitioners involved with the data management do not have a clear understanding on the importance ensuring good data quality. It could not link and collaborate between development of quality data in Ministry with the support of other development agency, have being implementing process and EITI data quality requirement. Institutional Culture and Paradigm Shift After the 2015 November election, the change in the country’s authority and resulting bureaucrati change often hamper progress in EITI implementation. This ranges from simple meeting requests (which often require various levels of authorisation, approval and procedure), to disclosing agreed data/information for the purpose of EITI reporting (which, in this first year of reporting, has presented a significant challenge). As the government reforms slowly continue, and people become increasingly familiar with the EITI process over time, we hope that these constraints will be reduced and the systems involved will improve. Therefore, the transition to greater transparency and open operating environment– in line with the spirit of EITI – is likely to necessitate a major paradigm shift that will probably need more time. Institutionalisation The National Secretariat in the Ministry of Finance was supposed to be firmly established during the course of the year, with the aim of being fully functional by the end of 2015. However, due to various challenges during the year, the MDRI-CESD MEITI Coordination Office team continues to play the lead role of the National Secretariat function, with some part-time participation from the MOF EITI team. The MDRI-CESD MEITI Coordination Office team has made clear the importance of assigning full time MOF staff to EITI activities. The aim is to have a fully functioning MEITI National Secretariat team based in the Ministry of Finance who effectively supports the MSG as required. In practice, it was difficult to collaborate between two teams as the CESD MEITI is based in Yangon while the MOF EITI is based in Nay Pyi Taw., The difference in locations also delayed the hand over process and thus, it was extended to the end of June 2016. Expectations Human rights-related concerns and grievances have been brought into EITI MSG discussions repeatedly during the year, even though EITI as a process is not equipped or intended to capture these issues. It is therefore very clear that there is a strong need in Myanmar for other fora in which human rights-related issues and concerns can be properly addressed. This could include, for example, corporate grievance mechanisms, a credible and responsive human rights commission, and the general strengthening and implementation of the Rule of Law.

25

5. Total Costs of Implementation Costs for implementation were divided during 2014-2015 as follows:



Executing Agency

Beneficiary

Budget

DFID Accountable Grant ‘for Strategic Coordination of EITI in Myanmar’ DFID Externally Funded Output (EFO)

CESD

Effective EITI implementation for the benefit of the people and government of Myanmar

July 2014 - February 2016: USD 331,318 Extension up to June 2016- USD

World Bank

Overall support for effective EITI implementation

May 2013 – May 2015: USD 599,600

World Bank Global EITI Multi Donor Trust Fund (Global EITI MDTF)

Ministry of Finance MEITI Secretariat / World Bank

MEITI Work plan implementation

2014- December 2015: USD 290,000 plus Bankexecuted technical assistance

World Bank Myanmar Partnership Multi Donor Trust Fund (MP-MDTF)

Ministry of Finance MEITI Secretariat / World Bank

MEITI Work plan implementation

From January 2016 until 2019 (4 years? subject to MSG decision) ‐ USD 3.5 million (approx. to fund entire Workplan) (under the process of signing agreement)

26

5. Any Additional Comments

6. Has this Activity Report been Discussed Beyond the MSG? Due to the limitation of a lack of budget, the coordination team has provided a general timeframe for individual constituency group representative to collect various information in order to prepare the annual report. At the same time, the coordination team prepared the draft annual report which is shared with MSG representatives for their inputs and recommendation, hoping to receive the inputs and concerns by 24th June. However, there was not enough time for each constituency group representatives to respond and Government representatives are not sure of their own involvement in the MSG. The representatives from the private sector is also concerned about the MSG structure and has been relatively slow in responding to the coordination team. Therefore, the coordination team is trying to submit this draft report to the International EITI and trying to get each constituency group’s recommendation and contribution in the meantime. After drafted the report to be shared to International EITI on 3rd July 2016, MEITI secretariat team continue to contribute this draft report among MSG and request their feedback and comments on it by giving time until by the 2nd week of August 2016. And then accepted no reply and comments from MSG, mean they all are agreed on it and then finalized this report to be shared to International EITI and share to wider public through MEITI Web site.

7. Details of Membership of the MSG During the Period (including details of the number of meetings held and attendance record) Please see table in Annex 1 Approved by MSG: ------------------------------------------------------------------------------------------------------Date: -------------------------------------------------------------------------------------------------------

27

Annex 1: List of MSG members, and attendance at MSG meetings

No 1 2

Name Chair Vice-Chair

Organization MoF MoE

Tenth

MSG Meetings in 2015/2016 Eleventh Twelfth √

Remark Thirteen √

√ Government Representatives

1

U Tin Myint

GAD/MoHA

2 3 4 5 6

Dr Nyi Nyi Kyaw U Myo Mynt Oo U Win Htein U Min Htut Daw Khin Aye Swe

MoECAF MOGE MoM MoF AGO

√

7 8

GAD/MoHA MoF

√ √

9 10 11

U Ye Naing Thura U Htin Kyaw Moe U Kyaw Thet U Than Htay Aung U Nanda Win Aung

MoM MOGE MoECAF

√ √

1 2 3 4 5

Mr Xiaver Preel Mr Terence J. Howe Mr Li Hongyuan Mr Chen Kah Seong Mr Song Huai Yin

6

U Aye Lwin

Total E & P Myanmar MPRL E & P Myanmar CNMC Nickel Co. Ltd. PC Hong Kong Goldpetrol Joint Operation Company Inc. MFMA

7 8 9

Mr Bertrand Brun U Andy Tin Win U Aye Thwin

Total E & P Myanmar PC Hong Kong Goldpetrol Joint



√ √

√

√

√

√

√

√ √ Government Alternates √ √ √ √

√

√

√ √ √

Become MSG Representative on 12th MSG Meeting

√ √ √ √ √ √ Private Sector Representatives

√ √

√ √

√ √ √

√ Private Sector Alternates √ √ √ √ √ √

√ √ √ √ 28

No

Name

Organization

10 11

Daw Kyisin H Aung U Khin Maung Han

Operation Company Inc. MPRL E & P Myanmar MFMA

1 2 3 4

U ALex U Win Myo Thu Dr Kyaw Thu U Ye Thein Oo

5

7

Daw Su Hlaign GBP (Sagaing) Myint U Khaing Kaung San Wun Lat Development Foundation U Mung Dan TANK (Kachin)

8 9

U Thant Zin Moe Moe Tun

DDA Green Trust (Pyin Oo Lwin)

10 11

U Moe U Naing Lin Htun

12 13 14

U Andrew U Saw Me Bway Doh Htun U Myo Myint Oo

15

U Zaw Lwin

Myo Sat Thit (Shan) Pyoe Khin Thit (Ayeyarwaddy) CNRWG (Chin) Hoo Phoo Kapaw (Kayin) Green Network (Magway) Public Network (Bago)

6

KESAN Eco/Dev Paung Ku

Tenth √ √

√ √

√

MSG Meetings in 2015/2016 Eleventh Twelfth

√ √ √ Civil Society Representatives

Remark Thirteen √

√ √

√ √

√ √ √

√

√

√

√

√

√ √

√

√ √

√

Become MSG Representative on 12th MSG Meeting Become MSG Representative on 12th MSG Meeting Become MSG Representative on 13th MSG Meeting

√ √

Civil Society Alternates



√ √

√ √ √ √

√

√ √

√

√

29

Annex 2: MATA Background Information of MATA Myanmar Alliance for Transparency and Accountability (MATA) is a nation-wide network, consisting of over 400 local civil society groups, think tank groups and interested individuals. Since its inception in 2012, it has worked on advocating improved management of natural resource sectors, including greater public involvement in natural resource management. MATA is the representative coalition from which the nine civil society members on the MEITI MSG are derived. MATA was established in early 2013, growing out of the civil society organizations engaged on EITI and broader resource governance related issues. Prior to the current reform process, initiated in 2011, Myanmar had very strict limitations on the freedom of speech and freedom of assembly, offering very little space for discussion or public debate on natural resource issues. In this context MATA has come together timely fashion in order to coordinate and provide a representative structure for CSO engagement in EITI, and engage on other resource related issues, including the FLEGT initiative. However, MATA and its CSO members are all engaged in a steep learning curve, given the very recent nature of their ability to legal organize, conduct debate, engage with media, and hold discussions with Government. Most of the new initiatives and new comers are started engaging with MATA as a member. MATA’s structure includes 14 regional working groups, which are spreading across the country. There is a National Coordination Office in Yangon, plus a regional office in Mandalay. MATA has plans as well to open offices in each of the 14 states and regions. The MATA National Coordination Office serves as the secretariat for CSO participation in the Myanmar EITI MSG. This includes convening CSO meetings, generating meeting minutes, distribution of EITI related information, including minutes and results of MSG and sub-committee meetings, and coordinating technical inputs to EITI related matters. MATA’s Mission 

To advocate for transparency and accountability by government, elected representatives, companies, donors and civil society.



To promote the freedom of public participation in, and scrutiny of, Myanmar’s legal frameworks and guidelines relating to resources.

MATA’s Objectives 

Advocate for transparency and accountability in the management of natural resources by Government, private sector and civil society organizations.



Raise awareness of the importance of transparency through education and training sessions



Build partnerships with INGO, NGO, Government, CSOs and other stakeholders.



Strengthen the capacity of CSO and communities to improve Natural Resources Governance.



Increase freedom of information, monitoring mechanisms and the accessibility of data.



Promote the freedom of CSO participation in Myanmar.

30

EI TIသည္ သဘာ ၀သယံ ဇာ တတူ း ေဖာ ေရး ္ လု ပ္ ငန္ း မ် ာ း မွ ရရွ ေသာ၀င္ ိ ေငြ မ် ာ း ႏွ င္ ့ ပြ င္ လ င္ ့ း ျ မင္ သာ မႈ ကိ ု အာ း ေပး ေသာကမၻ ာ လံ း ု ဆိ င္ ု ရာစံ ႏႈ န္ း တစ္ ရပ္ ျ ဖစ္ ပါ သည္ ။

ေဆး စစ္ င္ ု ဆိ က္ ု တိ

စီ း ပြ ာ း ေရး လု ပ္ ငန္ း မ် ာ း ပိ က္ ု လိ င္ ု း ျ ဖတ္ သ န္ း ခ ေပး ေခ် မႈ မ် ာ း**

ပိ င္ ု ဆိ င္ ု မႈ

အစီ ရင္ ခံ စာ တြ င္ ကု မၸ ဏီ မ် ာ း မွ ေပး ေဆာ င္ ထာ း ေသာ အခြ န္ အခမ် ာ း ႏွ င္ ့ အစိ း ု ရမွ ေကာ က္ ခံ ရရွ ေသာအခြ ိ န္ အခမ် ာ း ကိ ု ထု တ္ ျ ပန္ ၿ ပီ းလြ တ္ လ ပ္ ေသာတိ က္ ု ဆိ က္ ု စစ္ ေဆး သူ ၏ ရလဒ္ စစ္ ေဆး မႈ ကု ိ ေဖာ ျ ္ ပေပး ရသည္ ။

( **)EI TIစံ ႏႈ န္ း အရမျ ဖစ္ မေနထု တ္ ေဖာ ျ ္ ပသရမည္ ့ သတ္ မွ တ္ ခ် က္ မဟု တ္ ေသာ လ ည္ ္ းဤ အခ် က္ အလက္ မ် ာ း ကိ ု EI TIအစီ ရင္ ခံ စာ တြ င္ ထည္ သြ ့ င္ း ေဖာ ျ ္ ပႏိ င္ ု ပါ က EI TIလု ပ္ ငန္ း စဥ္ မ် ာ း အာ းပိ မိ ု ေကာ ု င္ း မြ န္ ေသာအက် ဳ း ိ ရလဒ္ မ် ာ းျ ဖစ္ ေပၚ ေစသည္ အတြ ့ ြ က္ ထည္ သြ ့ င္ း ရန္ တိ က္ ု တြ န္ း သည္ ။

EI TIအဖြ ဲ ႕ ၀င္ ေလာ င္ း ျ ဖစ္ လိ လွ ု ် င္ႏိ င္ ု ငံ တ စ္ ႏိ င္ ု ငံ သ ည္သတ္ မွ တ္ ထာ း ေသာလိ အပ္ ု ခ် က္ ေလး ခ် က္ ကိ ုျ ပည္ မီ ့ ရမည္ ျ ဖစ္ သ ည္ ။ထိ ေနာ ႔ ု က္ တ စ္ ႏွ စ္ ခြ ဲ ခန္ အခ် ႔ န္ ိ ယူ ၿ ပီ းEI TIအစီ ရင္ ခံ စာ တစ္ ေစာ င္ ထု တ္ ျ ပန္ ရမည္ ။ထိ အစီ ု ရင္ ခံ စာ တြ င္ သဘာ ၀သယံ ဇာ တတူ း ေဖာ ထု ္ တ္ လု ပ္ မႈ အတြ က္ ေပး ရေသာ အခြ န္ ၊ ခိ င္ ု ေၾ ကး ၊ စာ ခ် ဳ ပ္ ဆု ေၾ ကး အစရွ ေသာအခြ ိ န္ အခမ် ာ း ႏွ င္ ့ ပတ္ သ က္ ၍ကု မၸ ဏီ မ် ာ း ၏ ေျ ပာ ဆိ ခ် ု က္ ႏွ င္ ့ ထိ အခြ ု န္ အခမ် ာ း ကိ ု လက္ ခံ ရရွ သ ည္ ိ မ် ာ း ႏွ င္ ့ ပတ္ သ က္ ၍အစိ း ု ရ ၏ေျ ပာ ဆိ ခ် ု က္ တိ ကိ ႔ ု ု တိ က္ ု ဆိ င္ ု စစ္ ေဆး ျ ပရသည္ ။အဖြ ဲ ႕ ၀င္ ေလာ င္ း ႏိ င္ ု ငံ ျ ဖစ္ လာ ေသာႏိ င္ ု ငံ တ စ္ ႏိ င္ ု ငံ သ ည္ စံ ခ် န္ ိ မီ တ င္ း ျ ပည္ အဖြ ့ ဲ ႕ ၀င္ ( Compl i antCount r y )ျ ဖစ္ ရန္ အဖြ ဲ ႕ ၀င္ ေလာ င္ း ( Candi dat eCount r y ) ျ ဖစ္ ၿ ပီ းႏွ စ္ ႏွ စ္ ခြ ဲ အတြ င္ း လိ အပ္ ု ခ် က္ ခု နစ္ ခ် က္ ကိ ု ျ ပည္ မီ ့ ေအာ င္ ျ ဖည္ ဆ ည္ ့ း ထာ း ရသည္ ။ထိ ေနာ ႔ ု က္ ယင္ း တိ င္ ု း ျ ပည္ သ ည္ ႏိ င္ ု ငံ တ ကာEI TIဘု တ္ အဖြ ဲ ႕ က အသိ တ္ အမွ တ္ ျ ပဳ သည္ ့ လြ တ္ လ ပ္ ေသာစစ္ ေဆး သူ ( Val i dat or )၏ တိ း ု တက္ မႈ အကဲ ျ ဖတ္ ခ် က္ ႏွ င္ ့ EI TIလု ပ္ ငန္ း တိ း ု တက္ ေရး အတြ က္ လိ အပ္ ု ေသာအစီ အမံ မ် ာ းေဆာ င္ ရြ က္ ထာ း ေၾ ကာ င္ းဆန္ း စစ္ မႈ ကိ ု ခံ ရမည္ ျ ဖစ္ သ ည္ ။

ကမာ ႕ ၻ အႀ ကီ း ဆံ း ု ေရနံ ၊ ဓာ တ္ ေငြ ႕ ႏွ င္ ့သတၱ ဳ တူ း ေဖာ ေရး ္ ကု မၸ ဏ ီ၉၀ေက် ာ ္ တိ က EI ႔ ု TIကိ အာ ု း ေပးေထာ က္ ခံ ၾ ကကာEI TIလု ပ္ ငန္ း တြ င္ တက္ ၾ ကြ စြ ာ ပါ ၀င္ ေဆာ င္ ရြ က္ ေနၾ ကသည္ ။

ကမာ ႕ ၻ ႏိ င္ ု ငံ ေပါ င္ း၄၉ႏိ င္ ု ငံ သ ည္ EI TIကိ ု(ႏိ င္ ု ငံ အလိ က ္ လု ု ပ္ ေဆာ င္ ခ် က္ မ် ာ း ျ ဖင္ လ ည္ ့ း ေကာ င္ း ၊ ႏိ င္ ု ငံ တ ကာ အဆင္ ့ လု ပ္ ေဆာ င္ ခ် က္ အေကာ င္ အထည္ ေဖာ လ် ္ က္ ရွ ေနၾ ိ ကၿ ပီ

အစိ း ု ရမ် ာ း ၊ အရပ္ ဖက္ အဖြ ဲ ႕ အစည္ း မ် ာ း ၊

င္ ု ငံ တ ကာ အဖြ ဲ ႕ အစည္ းမ် ာ း က မ် ာ း ျ ဖင္ လ ည္ ့ း ေကာ င္ း ၊လု ပ္ ငန္ း ရွ င္ အဖြ ဲ ႕ အစည္ း မ် ာ း ျ ဖင္ လ ည္ ့ း ေကာ င္ းပါ ၀င္ ေဆာ င္ ရြ က္ ေနၾ ကျ ခင္ း ႏိ ျ ဖစ္ သ ည္ ။ ထိ ျ ႔ ု ပင္ ရင္ း ႏွ း ီ ျ မွ ပ္ ႏွ မႈ ံ ပမာ ဏ ေဒၚ လာ ၁၉ ထရီ လ် ေက် ံ ာ ကိ ္ စီ ု မံ ခန္ ခြ ႔ ဲ လ် က္ ရွ ေသာ ိ

EI TIကိ အာ ု း ေပး ေထာ က္ ခံ ၾ ကသည္ ။

ျ ဖစ္ သ ည္ ။ ႏိ င္ ု ငံ တ ကာရင္ း ႏွ းျ ီ မွ ပ္ ႏွ မႈ ံ အဖြ ဲ ႕အစည္ း မ် ာ း ၏ ေထာ က္ ခံ မႈ ကိ လ ည္ ု း ရရွ ခဲ ိ သ ည္ ့ ။ ) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . အရပ္ ဘ က္ အဖြ ဲ ႕ အစည္ း မ် ာ း က EI TI တြ င္ တိ က္ ု ရိ က္ ု အာ း ျ ဖင္ ့

ယခု အခါ ၌ ကမာ ႕ ၻ ႏိ င္ ု ငံ ေပါ င္ း ၃၁ႏိ င္ ု ငံ သ ည္ EI TI တင္ း ျ ပည္ အဖြ ့ ဲ ႕ ၀င္ ႏိ င္ ု ငံ ျ ဖစ္ ေနသည္ ။ ၄င္ း တိ မွ ႔ ု ာ အယ္ ( လ္ ) ေဘး နီ း ယာ း ၊ ဘာ ကီ နာ ဖာ ဆိ ၊ ကင္ ု မရြ န္ း ၊

လည္ း ေကာ င္ း ၊ ကမာ တ စ္ ၻ ၀န္ း လံ း ု ရွ ိ အစိ း ု ရမဟု တ္ ေသာ

အလယ္ ပိ င္ ု း အာ ဖရိ က သမၼ တ ႏိ င္ ု ငံ ၊ ခ် က္ ဒ္ ႏိ င္ ု ငံ ၊ ကု တ္ ဒီ ဗြ ာ း ( အိ င္ ု ဗရီ ကိ စ္ ႔ ု ) ၊

( NGO)အဖြ ဲ ႕ အစည္ း ေပါ င္ း၄၀၀ ေက် ာ ၏ ေထာ ္ က္ ခံ အာ း

ကြ န္ ဂိ သ မၼ ု တ ႏိ င္ ု ငံ ၊ ဂါ နာ ၊ ဂြ ာ တီ မာ လာ ၊ ဂီ နီ ၊ အင္ ဒိ နီ ု း ရွ ာ း( ဆိ င္ ု း ငံ ) ့ ၊ အီ ရတ္ ၊

ေပး မႈ ရရွ ေသာ “ ိ သင္ ေပး ့ ေဆာ င္ ရေငြ ကိ ထု ု တ္ ေဖာ ျ ္ ပပါ ”

ကာ ဇက္ စတန္ ၊ကာ ဂ် စ္ စတန္( ကာ ဂ် စ္ သ မၼ တ ႏိ င္ ု ငံ ) ၊လိ က္ ု ေဘး ရီ း ယာ း ၊မာ လီ ၊

( Publ i s hWhatYouPay )လႈ ပ္ ရွ ာ း မႈ ျ ဖင္ လ ည္ ့ း ေကာ င္ း EI TI

ေမာ ရစ္ ေတး နီ း ယာ း ၊မြ န္ ဂိ လီ ု း ယာ း ၊မိ ဇမ္ ု ဘ စ္ ၊ႏိ င္ ု ဂ် ာ ၊ႏိ င္ ု ဂ် း ီ ရီ း ယာ း ၊ေနာ ေ၀၊ ္

တြ င္ပါ ၀င္ ေဆာ င္ ရြ က္ ၾ ကသည္ ။ EI TI ကိ ေထာ ု က္ ခံအာ း

ပီ ရူ း ၊ ကြ န္ ဂိ သ မၼ ု တ ႏိ င္ ု ငံ ၊ ဆီ ရာ လီ ယြ န္ ၊ တန္ ဇန္ း နီ း ယာ း ၊ တီ ေမာ လက္ စတစ္ ( စ္ )

ေပး ေသာ ႏိ င္ ု ငံ တ ကာ အဖြ ဲ ႕အစည္ း မ် ာ း တြ င္ကမာ ဘဏ ္ ႔ ၻ ၊

( အေရွ ႕ တီ ေမာ ) ၊ တိ ဂိ ု ၊ ု ထရီ နီ ဒက္ ႏွ င္ တိ ့ ဘာ ု ဂိ ၊ ု ယီ မင္ ( ဆိ င္ ု း ငံ ) ့ ႏွ င္ ဇမ္ ့ ဘီ း ယာ း တိ ႔ ု

ႏိ င္ ု ငံ တ ကာ ရန္ ပံ ေငြ ု အဖြ ဲ ႕ ႏွ င္ ့ ေဒသတြ င္ း ဘဏ ္ မ် ာ း ပါ ၀င္

ျ ဖစ္ ၾ ကသည္ ။ အျ ခာ ေသာ ၁၈ ႏိ င္ ု ငံ သ ည္EI TI အဖြ ဲ ႕ ၀င္ ေလာ င္ း အဆင္ အတန္ ့ း ရရွ ထာ ိ း ၿ ပီ း

သည္ ။

၄င္ း တိ မွ ႔ ု ာ အာ ဖဂန္ နစၥ တ န္ ၊ အဇာ ဘိ င္ ု ဂ် န္ ၊ ကိ လံ ု ဘီ ယာ ၊ အီ သီ ယိ း ု ပီ း ယာ း ၊

ေဖာ ေနေသာ ႏိ ္ င္ ု ငံ မ် ာ း ကိ သာ ု မက

ဟြ န္ ဒူ း ရပ္ စ္ ၊ မာ ဒါ ဂတ္ စကာ ၊ မာ လာ ၀ီ ၊ျ မန္ မာ ၊ ပါ ပူ ၀ါ နယူ း ဂီ နီ ၊ ဖိ လ စ္ ပိ င္ ု ၊

ဤ အဖြ ဲ ႕ အစည္ း မ် ာ း သည္ အေကာ င္ အထည္ EI TI ျ ပန္ ပြ ႔ ာ း ေရး

လု ပ္ ငန္ း မ် ာ း ကိ ကူ ု ညီ ေထာ က္ ပံ ေပး ့ ၾ ကသည္ ။ အစိ း ု ရအမ် ာ း

ေဆာ င္ း တေမး ႏွ င္ ပရင္ ့ စီ ေပး ၊ဆီ နီ ေဂါ ၊ေဆး ရွ ဲ ၊ေဆာ လ မြ ္ န္ ၊တာ ဂ် စၥ တ န္ ( ဆိ င္ ု း ငံ ) ့ ၊

အျ ပာ း( ၾ သစေၾ တး လ် ၊ဘယ္ လ္ ဂ် ယံ ီ ၊ကေနဒါ ၊ဒိ န္ း မတ္ ၊

ယူ က ရိ န္ း ၊ၿ ဗိ တိ န္ ႏွ င္ ့ အေမရိ က န္ ျ ပည္ ေထာ င္ စု တိ ႔ ု ျ ဖစ္ ၾ ကသည္ ။

ဖင္ လ န္ ၊ဂ် ာ မဏ ီ ၊အီ တ လီ ၊ဂ် ပန္ ၊နယ္ သာ လန္ ၊ေနာ ေ၀၊ ္

ဤ ႏိ င္ ု ငံ မ် ာ း အနက္၃၉ ႏိ င္ ု ငံ သ ည္EI TI အစီ ရင္ ခံ စာ တြ င္ေပး ေဆာ င္ ရေငြ မ် ာ း ႏွ င္ ့

စပိ န္ ၊ဆြ ဒင္ ီ ၊ၿ ဗိ တိ န္ ၊အေမရိ က န္ ျ ပည္ ေထာ င္ စု စသည္ တိ ႔ ု

၀င္ ေငြ မ် ာ း ကိ ု ထု တ္ ေဖာ ခဲ ္ ၿ ့ ပီ း ျ ဖစ္ သ ည္ ။ ၾ သစေၾ တး လ် ၊ျ ပင္ သ စ္ ၊ဂ် ာ မနီ ၊ဂိ င္ ု ရာ နာ ႏွ င္ ့ အီ တ လီ အပါ အ၀င္ ႏိ င္ ု ငံ အမ် ာ း အျ ပာ း

ကလည္ း EI TI ကိ ေထာ ု က္ ခံ အာ း ေပး ၾ ကသည္ ။

ကEI TI ကိ အေကာ ု င္ အထည္ ေဖာ ရန္ ္

မ် ာ း သည္ ႏိ င္ ု ငံ ေရး ဆိ င္ ု ရာ ၊ နည္ း ပညာ ဆိ င္ ု ရာ ႏွ င္ ့ ဘ႑ ာ ေရး

ရည္ ရြ ယ္ ခ် က္ ရွ ေၾ ိ ကာ င္ း ေဖာ ျ ္ ပခဲ ၾ ့ ကၿ ပီ း

သတ္ မွ တ္ ထာ း ေသာ လိ အပ္ ု ခ် က္ မ် ာ း ျ ပည္ မီ ့ ေရး အတြ က ္ ေရွ ႕ ရူ ေဆာ င္ ရြ က္

ဆိ င္ ု ရာ အေထာ က္ အပံ မ် ့ ာ း ကိ ု

လ် က္ ရွ ၾ ိ ကသည္ ။

ဤ အစိ း ု ရ

ႏိ င္ ု ငံ တ ကာ အဆင္ အရ ့

သာ မကတိ င္ ု း ျ ပည္ အဆင္ အရပါ ့ ေပး သည္ ။

အေကာ င္

အထည္ ေဖာ ေဆာ ္ င္ ေနေသာႏိ င္ ု ငံ မ် ာ း အတြ က္ ဘ႑ ာ ေရး အေထာ က္ အပံ မ် ့ ာ းကိ ု( ႏွ စ္ ဦ း ႏွ စ္ ဖက္သေဘာ တူ ညီ ခ် က္ ျ ဖင္ ေသာ ့ လ ည္ ္ း ္ ေကာ င္ း ၊ ကမာ ႕ ၻ ဘဏ ္ မွစီ မံ အု ပ္ ခ် ဳ ပ္ သ ည္ ့ အလွ ဴ ရွ င္ ေပါ င္ း စံ ထ ည္ ု ၀င္ ့ ေသာ ရန္ ပံ ေငြ ု ျ ဖင္ လ ည္ ့ း ေကာ င္ း ) ေပး သည္ ။

www. my anmar ei t i . or gႏွ င္ ့ www. ei t i . or g

ေတာ င္ း ယူ ၾ ကည္ ရႈ ့ ႏိ င္ ု ပါ သည္ ။

႕

In partnership with

႕ ႕

႕

Adam Smith International Adam Smith International

႕

႕

႕

႕ ႕

႕ ႕ ႕

႕ › › ›

႕ ႕ ႕

›

႕

› › ›

http://www.adamsmithinternational.com/our-services/extractive-industries-governance/ ႕

[email protected] ႕

႕ 3

႕

႕ ႕

႕

႕ ႕

႕

႕ ႕

႕

႕

4

႕

ASM: Artisanal and Small-scale mining

ECD: Environmental Conservation Department

AWC: Asia World Co. Ltd

EDC: Energy Development Committee

BGF: Border Guard Force

EGAT: EGAT International Ltd

BOT: Build Operate Transfer

EGTA: Export Gas Transport Agreement

CBO: Community Based Organisation

EIA: Environmental Impact Assessment

CDA: Community Development Agreement

EITI: Extractive Industries Transparency Initiative

CDOI: China Datang Overseas Investment Co Ltd.

ESIA: Environmental and Social Impact Assessment

CEP: Core Environment Programme

ESMP: Environmental and Social Management Plan

CPI: China Power Investment

FDI: Foreign Direct Investment

CNMC: Chinese Nickle Mining Company

FESR: Framework for Economic and Social Reforms

CNPC: China National Petroleum Corporation

FIL: Foreign Investment Law

CSO: Civil Society Organisation and Central Statistical

FLEGT: Forest Law Enforcement, Governance and Trade

Office

FPIR: Free, Prior and Informed Consent

CSR: Corporate Social Responsibility

GAAP: Generally Accepted Accounting Principles

CTGC: China Three Gorges Corp.

GAD: General Administration Department

DGSME: Department of Geological Service and Mineral Exploration

GIS: Geographical Information System

DHPP: Department of Hydropower Planning DHPI: Department of Hydropower Implementation DICA:

Directorate

of

Investment

and

GAIL: Gas Authority of India Ltd

Company

Administration DUHD: Datang (Yunnan) United Hydropower Developing

GMS: Greater Mekong Sub-Region GOUM: Government of the Union of Myanmar GPOA: Gas Pipeline Operations Agreement GSA: Gas Supply Agreement

Co.

GWh: Gigawatt hour

DKBA: Democratic Karen Buddhist Army

HLRHC: Huaneng Lancang River Hydropower Co.

DRC: Democratic Republic of Congo

HPGE: Hydropower Generation Enterprise

DSI: Defence Services Institute

HTMC: Htun Thwin Mining Co.

EAG: Ethnic Armed Group

IATA: International Aid Transparency Initiative

႕

5

IBA: Impacts and Benefits Agreement

MEITI: Myanmar EITI

ICG: International Crisis Group

MEPE: Myanmar Electric Power Enterprise

IDP: Internally Displaced Persons

MFTB: Myanmar Foreign Trade Bank

IFRS: International Financial Reporting Standards

MFMA: Myanmar Federation of Mining Association

IOC: International Oil Company

MGTC: Moattama Gas Transportation Company

IOGEC: International Group of Entrepreneurs Co

MIC: Myanmar Investment Commission

INTOSAI: International Organisation of Supreme Audit

MNPED: Ministry of National Planning and Economic

Institutions

Development

IPRC: Improved Petroleum Recovery Contracts

MNRMC: Minerals and Natural Resources Management

IRD: Internal Revenue Department ITD: Italian-Thai Development Co. Ltd Thailand JICA: The Japan International Cooperation Agency JV: Joint Venture JVA: Joint Venture Agreement KOGAS: Korea Gas Corporation KIO: Kachin Independence Organization KSDC: Kayin State Development Company KSDP: Kachin State Democracy Party KNU: Karen National Union LTO: Large Taxpayers Office MoA: Memorandum of Agreement MAC: Myanmar Accountancy Council MATA: The Myanmar Alliance for Transparency and Accountability MDCF: Myanmar Development Cooperation Forum MDI: Myanmar Defence Industries MDCF: Myanmar Development Cooperation Forum MDRI: Myanmar Development Resource Institute ME: Mining Enterprise MEC: Myanmar Economic Corporation

Committee MoA: Memorandum of Agreement MOD: Ministry of Defence MOE: Ministry of Energy MOECAF: Ministry of Environmental Conservation and Forestry MOECO: Mitsui Oil Exploration Company MOEP: Ministry of Electric Power MOF: Ministry of Finance MOGE: Myanma Oil & Gas Enterprise MOHA: Ministry of Home Affairs MOU: Memorandum of Understanding MPC: Myanmar Peace Centre MPE: Myanmar Petrochemical Enterprise MPPE: Myanmar Petroleum Products Enterprise MSG: Multi-Stakeholder Group MSMCE: Myanmar Salt and Marine Chemical Enterprise MGE: Myanmar Gems Enterprise MICPA: Myanmar Institute of Certified Accountants MSEZL: Myanmar Special Economic Zone Law NCDP: National Comprehensive Development Plan

႕

6

NEMC: National Energy Management Committee

SNDP: Shan Nationalities Development Party

NESAC: National Economic and Social Advisory Council

SOEEL: State Owned Economic Enterprises Law

NLD: National League for Democracy

SPDC: State Peace and Development Council

NPV: Net Present Value

STH: Shwe Taung Hydropower Co

NRGI: Natural Resource Governance Institute (formerly

TAC: Terms and Conditions

known as Revenue Watch Institute)

tcf: Trillion Cubic Feet

OAG: Office of the Auditor General OECD:

Organisation

for

Economic

TNLA: Ta-ang National Liberation Army Cooperation

Development PAPD: Project Appraisal and Progress Department PCC: Performance Compensation Contract PEFA: Public Expenditure and Financial Accountability PFM: Public Financial Management PPA: Power Purchase Agreement PSC: Production Sharing Contract RCDP: Regional Comprehensive Development Plans

and

TOR: Terms of Reference TRG: Transcontinental Group UMEHL: Union of Myanmar Economic Holdings Ltd. UNDP: United Nations Development Programme UNFC: United Nationalities Federation Council USDP: Union Solidarity and Development Party UWSA: United Wa State Army YPIC: Yunnan Power International Energy Co. Ltd

RCSS: Restoration Council of Shan State SDN: Specially Designated Nationals List SEE: State Economic Enterprise SESA: Strategic Environmental and Social Assessment SEZ: Special Economic Zone SIA: Social Impact Assessment SIC: Standing Interpretations Commitee SLORC: State Law and Order Restoration Council SME: Small and Medium Enterprise SNDP: Shan Nationalities Development Party SOE: State-Owned Enterprise SLORC: State Law and Order Restoration Council SLP: Social and Labour Plan SLRDP: Settlement and Land Records Department

႕

7

5 8 11 ( ) (၂)

20 ႕

23

(၃)

53

(

65

(၅)

85

(၆

103

(၇

႑

126

(၈)

141

(၉) EITI

153

( )

160

(၂)

168

(၃)

174

(

(၂

၈)

183

(၅

184

(၆

186

(၇)

188

(၈

႕

(၉

195

႑ ႕

202

(1)

21

(2 (3)

႕

24

႕

26

(4)

33

(5)

34

႕

8

(6)

႕

38

(7

႕

(8

40

႕

45

(9

႕

47

(10)

႑

55

(11) ၉၈၉

57

(12)

႑

(13)

57

႔

(14

62

/

65

(15

68

(16

/

(17) MATA

႕ ႕

(

70

)

(18) MATA

75

႕ ႕

(19) SEP

76

(၃၃)

79

(20)

83

(21)

႕

92

(22

104

(23)

107

(24

႕

(25)

႑

(26)

112

-

118

( )

119

(27

-

(28 (29) ၂

႑

႕

120 -

121

၃-

(30

132 ႑

(

)

138

(31

143 ႕

(32) လက

147

(33)

150

(34) MEITI

158

(35

203

႕

9

(1)

35

(2)

႕

39

(3)

႕

39

(

႕

54

(5)

႕

56

(6)

61

(7)

86

(8)

87

(9)

႕

93

(10)

101

(11) UMEHL

(

(12) MEC

(

)

102

)

102

(13)

109

(14)

109

(15) PSC

113

(16) ၂

၂

127

(17) (18)

133 BOT

133

(19)

134

(20)

142

(21)

-

144

(22)

148 ႕

႑ ႕

151

႑

202

႕

10

႕ ႕

႕

႕

႕

႕

1

(EITI) ႑ ၂၅

႕

႕ ႕ ႕

႕ ၂

႕

႕

၂

႕

EITI

႕

၅ ၂

႕

႕

၌

႕

႕ ႕ ႕ ႕

႑

1

႑ ၃

MEITI MSG

EITI

႕

11

႑

႕

› ၆

›

၂

၂ ›၂

၃-၂

›

႕ ၅ ၂

2

႕

›

႕ ႕

႕

› › (ESIAs) ›၂

၈ ႕

ES

› ႕

›

၂

› ၂

၃-၂

၆ ႕

႕

၇ ၂၈၆ ၆

႕

3

႕

၂

› ၃

›

႕

၃၉

›

၅

႕

၃ ၅ ႕

2

႕

›

Data for July 2013- June 2014 taken from the GOUM Central Statistics

Office,

Selected

Monthly

Economic

Indicators

(June

႕

›

2014).

https://www.csostat.gov.mm/sdetails01.asp. 3

Data for July 2013- June 2014 taken from the GOUM Central Statistics

Office,

Selected

Monthly

Economic

Indicators

(June

2014).

https://www.csostat.gov.mm/s14MA02.htm

႕

12

႕

႑

႑

› ႕

›

MOGE

၃ ႕

(MOGE) (MPPE)

›

႕

႕

႕ ›၂

၃

၂ ၆၂ ၅

႕

၉

4

႑

.

›

› ၉၃

႕ ႕

၉

႕

›

၆

›

႕ ႕

႕

႕

› ႕

႕

႕

႕ ၂

၃

›

၃ ၉၉၈

၂

၆

႕ ၂

›၂

၉၉

႕

၃၃၆ Shell, Eni,

Statoil, BG

›၂

၃

၂ ၇၈

႕ ၃၅

› ›

႕ ႕

›

၂

၂

၂၃ ႕

႕

႕

႕

႕

႕

႕

၇၉ ၆

႑

႕

၈

› ႕

႕ ႕

4

Data for July 2013- June 2014 taken from the GOUM Central Statistics

Office,

Selected

Monthly

Economic

Indicators

(June

၂ ၃

›

2014).

https://www.csostat.gov.mm/S11MA0206.htm

႕

13

›

› ၇

႕

႕

(NEMC)

႕ › ႕ ႕

႕

႕

႕ › International ႕

›

႕ ႕

Aid

Transparency

Initiative (IATI)

၂

၂

႕

႕

›

႕

႕ Public Financial Management (PFM) ႕ ႑

›

› PFM ၅

႕

႕

›

›

႕

Expor

႑

›

႕

› ႕

႕

၂ ႕

၂

›

႕ ၂ ႕ ›

႕

›

႕ (MSG)

႕ ႕

႕

႕

(the

Multi-

႑

Stakeholder Group)

႕

14

႕

›

႕ ႕

› ႑

႕

႕

› ႕

႕ ႕

› Corporate

Social

Responsibility

“

”

႕

(CSR)

႕

႕

›၂

›

၈

႕ ၆ ႕

႕

႕

၈

႕

႕

႕

႕ ႕

႕ ႕

၂

› EITI

႕

႕ Myanmar Alliance for Transparency and Accountability

(MATA)

႕

႕

႕

၂ ႕

႕

႕ ႕

႕

၂

›

›

႕

႕

၃

႕

›

႕

႕

15

႕

›

႕

Generally

›

႕ ႕

Accepted

Accounting

Principles

(GAAP)

႕

Specially Designated Nationals (SDN) ႕

International Financial

›

႕

႕

Reporting Standards (IFRS) ၅

႕ ႕

›

› “

›

”

႕ ႑ ႕

›

႕

› ႕

၃

MOGE ႕

႕

႕

႕ › ႕

›

၂

- ၂

႑ ၂၅ ႕

› ႑

႕ ›

›

႑

႕

႕

႕ ႑ ႕

႕

႑ (IRD)

႑

႕

› ႕

›

႕

16

႕

ESIA ႕

႕

›

႕ ႕

ES

› ႕

႕

႕

႕

႕ ႕

EITI

႕

႕ ႕

႕ ႕

႕ ›

› ႕

႕ ႕

›

›

› ႕ ႕ ႕

›

႕

႕

(MIC) ႕

႕

›

› ႕

႕

႕

႕

17

›

႕ ၃

›

႑

› ႕ ၂ ›

႑

႕ ႕ IFRS

›

၉-

႑

႑

၃ ႕

›

႕

႕ › EITI

႕ ႑ ႕

› MEITI

႕

›

႕ ›

› ႑ ႕

႑

႑ ႕

› EITI ႑

႑ ႕

›

႕

႕

18

႕

႑

႑

-

႑

႕

႑

› ႕

EITI ႕

႑ ႕

႕ ၃

›

႑

႑

›

႑

႑

›

႕

› ႕

႑ ›

႕

›

႑

႕ ႕ ၂

႕

› ၃ ›

႑

› ႕

›

႕

႕ ၅ CSR

›

႕

› MSG

႑ ႕

႕

႑

႕

›

›

႕

19

၂

၃

႑

႕

႕ ၆

၃

၂

BG,

Chevron, Woodside Energy, Shell

Eni

႕

၃

၂

႕ ၂ ႕

၂

႕

႕ Multi-Stakeholder Group (MSG)

၂ ႕

႕ ႕

၂

၂

႕

႕

၂

၇

႕ ႕

႕ ႕

႕

႕ ၂

၃-

႕ Global

Witness

report

Global

Witness

Financial Times

2014

႕ 5

႕ MEITI ၂

၆

႕

႑ ႑

M ႕

႕

5

႕

႕

http://www.ft.com/cms/s/0/bb0e732c-fc6e-11e3-86dc-00144feab7de.html?siteedition=uk#axzz35lJ5CuX5

႕

20

-

႕

႕

႕

႕

႕

၂ ႕

႕ ႕

႑

၂ 1

႕

႕ ႕

႕

MEITI

၂ ၆

႕ ႕

႕

႕ ႕

႑ ႑

႕ ႕

႕

႕

႕

႕ ႕ ႑

၆

႕

၉

႕

21

႕

႕

႕

႕ ႕ ႕

႕

႕ ႕ ႕ ႑ ႕ Foundation

႕ ႕

Myanmar Development Resource Institute (MDRI)

the Asia

႕

႕

22

၂

႕

၂ ႕ ႕

႑

႑

႕

႕

႕

႕

၇

႑ ႑

႕

႕

၃

႕

႑ ႕

႕

႕ ႕ ႑ ႑

႕

၆

၂ ႕

႕

႕

၂၂

႑

႕

႕

႕ ၉၉

႕ ႑

႕

23

2

မူ၀ါ၊ စာရင္းစစ္

႕

အမ်ိဳးသားစီမံကိန္းႏွင့္

ျပည္ေထာင္စု

ျပည္ေထာင္စု

စီးပြားေရးဖံြ႕ျဖိဳးတိုးတက္မႈ ၀န္ၾကီးဌာန

စာရင္းစစ္ခ်ဳပ္ရံုး

ေရွ႕ေနခ်ဳပ္ရံုး

ႏွင့္ ဥပေဒ ရင္းႏွီးျမႇဳပ္ႏွံမႈႏွင့္ ကုမၸဏီမ်ား

ျမန္မာ ရင္းႏွီးျမႇဳပ္ႏွံမႈ ေကာ္မရွင္

ညႊန္ၾကားမႈဦးစီးဌာန

ဗဟိုစာရင္းအင္းအဖဲြ႕

ဘ႑ာေရး၀န္ၾကီးဌာန

အခြန္ / ၀င္ေငြ

(MEITI Secretariat)

ဆက္စပ္

ပတ္၀န္းက်င္ ထိန္းသိမ္းေရး

၀န္ၾကီးဌာနမ်ား

ႏွင့္ သစ္ေတာ၀န္ၾကီးဌာန

စြမ္းအင္၀န္ၾကီးဌာန

သတၱဳတြင္း၀န္ၾကီးဌာန

ဗဟိုဘဏ္

လွ်ပ္စစ္စြမ္းအား၀န္ၾကီးဌာန

/ ထိန္းခ်ဳပ္ ကြပ္ကဲမႈ

ပတ္၀န္းက်င္ ထိန္းသိမ္းေရး ဦးစီးဌာန

MOGE

သတၱဳတြင္းလုပ္ငန္းမ်ာ း

႕

လွ်ပ္စစ္လုပ္ငန္းမ်ား

24

၆

၂

႕

(DGSME) ႕

၉၉

႕

၉၉ (ME1)

›

႕ ၂

›

(ME2)

molybdenum, niobium, columbium,

heavy mineral

႕

၃

›

(ME3)

,

႕

› ႕ (MPE)

›

ၰ

›

႕ (MSMCE)

ၰ

႕ ႕ ႕

႕

25

3)

႕

႕

26

၆ ၉၈ ႕ ၉၈၉

႑

၉၈၉ ႑ ႕ ႕ ႕ ႕ ႕ ႕ ၂

႑

၂

႕

႕ ႑

-



 ၃ 



႕



႕

႕ ႕ ႕

႕

႕

27

႕ ႑

႕

႕

(DICA) ၉၉၃

႕

႑

႕

႕ ႕ DICA

၂

DICA ႕ ႕

႕

၉၈၈

၂

၂ ႕ ႕

႕

႕ ႕ ႕

႕

႕

႕

႕ ႕

႕

႕

-

႕

႕

႕

႕ -

(

MIC

၂

၂

၃-

၃

႕ ႕

႕ ႕

႕

28

႑ ႑

႕

“

႕

”

႑

႕ 6

 

႔ 

႕

႑

 ႔

  

၉၉

႕ ၂

၉၉၆

၂

႕

၂

၂

၉၉၆

၅ ႕ ႕

6

႕

႑

Ministry of Mines Presentation: Current Mining Activities in Myanmar, 2013

႕

29

႕

႕

၉၉၅

-

႕

၉၉ ၂

၃ ႕ ႕

၉၉၅

႕

၉၉၂

႕

႕

၉ ၃ ႕ ၂

၃၉ ၂ ႑ ႕

႕ ႕

႕

႕

႕ ႕ ၆ ႕

႕

႕

၂

၃ -

႕

30

႕

› ›

႕ ၅

၆

႕

႕ ႕

႕

႕

႕

႕

႕ ႕

႕

၂

႕ (DGSE)

႕

႕

    

႕

 

၃

႕

31

DGSE

႕ ႕

႕

DGSE

႕ DGSE

႕

႕

႕

 

႕



႕



႕

႕

7

႕

-

› › › ႕

› › ESIA ESMP

›

7

၅

၆

၃ ႕

႕

၂

၃

႕

႕

32

၆။ တိုင္းေဒသၾကီး ခရိုင္၊ ျမိဳ႕နယ္အထိ စိစစ္မႈမ်ားျပဳလုပ္ျခင္း (ေထာက္ခံစာမ်ား ပူးတဲြရန္)

၁။ ေလွ်ာက္ထားသူမွ DGSE ထံ စိတ၀ ္ င္စားသည့္ ေဒသအား GPS ညႊန္းကိန္းမ်ားႏွင့္ တင္ျပျခင္း

၇။ ေၾကးတိုင္ႏွင့္ေျမစာရင္းဦးစီးဌာနထံ ေျမေနရာႏွင့္ပတ္သက္၍ စိစစ္ႏိုင္ရန္ ေပးပို႕ျခင္း

(သံုးလ)

၂။ DGSE မွ သတၱဳၽတြင္း၀န္ၾကီးဌာနရွိ လုပ္ငန္းမ်ား အားလံုးထံ ေဒသအား လုပ္ကိုင္ခြင့္ ရွိ-မရွိ စိစစ္ရန္ ေပးပို႕ျခင္း

၈။ DGSE ထံ ေျမပံု ႏွင့္ အၾကံျပဳခ်က္မ်ား ျပန္လည္ေပးပို႕ျခင္း

၅။ ျပည္နယ္/တိုင္းေဒသၾကီးအစိုးရမွ သက္ဆိုင္ရာ သစ္ေတာ၊ သတၱဳ ႏွင့္ လယ္ဆည္ ဌာနမ်ားႏွင့္ ညႇိႏိႈင္းျခင္း

(တစ္လ)

၃။ DGSE ထံ အေၾကာင္းျပန္ၾကားျခင္း ႏွင့္ သတၱဳတြင္းဦးစီးဌာနသို႕ ၀န္ၾကီးရံုးမွတဆင့္ အေၾကာင္းၾကားျခင္း

၄။ ၀န္ၾကီးမွ ျပည္နယ္/တိုင္းေဒသၾကီး အစိုးရမ်ားထံ နယ္ေျမေဒသ လြတ္လပ္မႈ ရွိ-မရွိ ေမးျမန္းျခင္း

၉။ စူးစမ္းရွာေဖြမႈ လုပ္ကိုင္ခြင့္ ေပးအပ္ျခင္း

4

႑ ႑ ႕

› ႕

႕

႕ ႕

၈

႕

33

5 ၁။ ေလွ်ာက္ထားသူမွ သတၱဳတြင္း၀န္ၾကီးဌာနထံ စိတ္၀င္စားေၾကာင္း အေၾကာင္းၾကားျခင္း (ကုမၸဏီရာဇ၀င္၊ ဘဏ္မွတ္တမ္း ႏွင့္ စိတ္၀င္စားသည့္ ေဒသ)

၄။ စာခ်ဳပ္မူၾကမ္းညႇိႏႈင္းျခင္း (ESIA ႏွင့္ စည္းကမ္းသတ္မွတ္ခ်က္မ်ား)

၇။ သတၱဳတြင္း၀န္ၾကီးဌာန၏ လုပ္ငန္းမ်ားႏွင့္ ေနာက္ဆံုးပိတ္ ေဆြးေႏြးမႈမ်ား (စီးပြားေရး၊ လူမႈေရး ႏွင့္ အျခားစည္းကမ္းခ်က္မ်ား)

၂။ မူ၀ါဒပိုင္း ေဆြးေႏြးျခင္း (အေျခခံ အခ်က္မ်ား၊ ကန္႕သတ္ခ်က္မ်ား၊ စည္းမ်ဥ္းမ်ား)

၅။ စာခ်ဳပ္မူၾကမ္းကို ျပည္ေထာင္စု ေရွ႕ေနခ်ဳပ္ရံုးထံ ေပးပို႕ျခင္း

၈။ ျမန္မာ ရင္းႏွီးျမႇဳပ္ႏွံမႈေကာ္မရွင္ ထံတင္ျပ လမ္းညႊန္မႈခံယူျခင္း

၃။ နည္းပညာပိုင္းဆိုင္ရာ ေဆြးေႏြးမႈမ်ား (အခ်က္အလက္၊ ကြင္းဆင္းေလ့လာျခင္း၊ အဆိုျပဳခ်က္မ်ား ျပဳစုျခင္း)

၆။ အျခား၀န္ၾကီးဌာန၏ ေထာက္ခံခ်က္မ်ား ရယူျခင္း (ဘ႑ာေရး၊ သစ္ေတာ၊ လယ္ဆည္စသည္)

၉။ MIC ႏွင့္ သတၱဳတြင္း၀န္ၾကီးဌာနတို႕မွ ခြင့္ျပဳမိန္႕ ႏွင့္ လုပ္ကိုင္ခြင့္မ်ား အသီးသီးထုတ္ေပးျခင္း

› ႕

႕

႕

႕ ႕

႕

႕

႕ ၉၉၆

› “

႕

၂

” ႕

›

႕

႕ ႕

႕

႕

႕

႕

34

1 Regulatory Instrument

Recent Changes

Regulatory Comments

Foreign Investment Law, 2012

Provides clarify around investment terms

The law appears generally sound.

However, the

and conditions; includes an attractive

mandate and

charged

fiscal regime; defines clear restrictions on

enforcing the FIL is not clear.

capacity of

MIC

with

types of foreign investment into the mining sector. Mineral Resources Policy

None

The lack of a formal mineral policy that has been developed through broad stakeholder engagement has meant that the mining legislation cannot fully reflect the aspirations of the people as affected stakeholders of the mining sector.

Roles and Responsibilities of

The

GOUM

maintains

its

2008

The presence of a formal Mines Ministers in

Mining Administration Regimes

Constitutional right to own and manage

States/Regions means that there is a lack of clarity

all mineral resources in Myanmar. This

over the responsibilities of the Regions/States in

principle has come into question in the

mining regulatory affairs.

last several years, however, especially in light of the decentralisation policy of the new government. Inter-Ministerial

Coordination

Regarding Permitting

The

new

National

Environmental

Although the establishment of an inter-ministerial

Conservation Committee is charged with

body to approve ESIAs is positive, the Committee

approval of ESIAs; it is chaired by

lacks influence and efficiency as it only meets

MOECAF and includes 25 Ministers; there

several times per year and is not chaired at a

are working committees that undertake

sufficiently senior or neutral level. Further, there is

the ESIA review (according to a number

limited technical capacity to provide sound advice

of issues related to water, transportation,

v

’

competing land use, agriculture). The MOECAF has complained that the MOM issues permits for mining without consulting MOECAF regarding the national land cadastre. There are conflicts

regarding

the

awarding

of

permits

particularly in areas designated for forests.

› ႕ Geographical Information System (GIS)

႕

35

႕ ႕ ႕

႑

› -

႕

၂၃

႕ ႕

႕

႑ ႕

႕

၈၈၇

၈၅

၈၈၆

၉ ၂

၉၆၃

႕

႑

႕

၂

Burmah Oil Company

၉၆၂

႑

႕ ႕

၇ ႕

႕

(TOTAL, Chevron

PTTEP)

၂

(Petronas, PTTEP)

၉၉၈

႕

႕

၂

၃

႕

PTT ၃

၂ ၂

႕

႕

Daewoo

၃

႕

China National Petroleum Corporation (PTTEP)

၂

၃

႕ ႕

၂၇

၃

႕ ႕ Administration

Irrawaddy–Andaman

၂ ၂

US Energy Information

၂

႕

Indo-Burman -

႕ U

v y’

၆

႕ Gas Assessment

႕

႕

36

၂၃ ၇၉ ၆ ၂

႕

၂

႕

႕

၂

၂

၃ ၂

Exploration

Company

႕

(MOECO)

Mitsui Oil

၃ BG/Woodside, Eni, Statoil/Conoco Philips, Ophir Energy

႕

Total

Reliance and the Oil India consortium, BG/Woodside, Chevron, ROC

Oil/Tap Oil, Transcontinental Group (TRG) ၂

Berlanga

၃

႕

(VDB-Loi, ၂

).

၇

႕

႑

႕ ႕

႑

၃ ႕

›

႕

-

(MOGE):

၉၆၃

႕

႕

၂ ၈၈ ႕

႕

႕ (MPE):

›

၃

၅

႕ ›

(MPPE):

႕

႕

႕

37

6

႕

The MOE was reformed during 1985 and is composed of the Minister’s Office, one Department and three Enterprises

႕

38

2

႕

(MOGE Presentation, Jan 2014).

Operator Company

Block

Total

M-5, M-6 (Yadana Project)

Petronas

M-12, M13, M-14 (Yetagun Project)

Daewoo International

A-1, A3, AD7 (Shwe Project)

PTTEPI

M-3, M-11, M-9 (Zawtika Project), MD7, MD8

CNOOC

M-10

CNPC International

AD-1, AD-6, AD-8

MPRL E&P

A-6

Petrovietnam

M-2

3 Operator Company Nobel Oil

႕

(MOGE Presentation, Jan 2014)

Block PSC-A PSC-B 1

SIPC Myanmar (China)

PSC-D

North Petro-Chem (China)

PSC-F

GOLDPETROL

IOR-2 MOGE-1

MPRL E&P

MOGE-2 (N)

SNOG, UPR (Singapore)

PSC-R

Geopetrol Intl

RSF-9

Petronas Jubilant PTTEPI

RSF-2 RSF-3 PSC-I PSC-G EP-2

Istech Energy

EP-5

Asia Orient

PSC-E

႕

39

7

႕

႕

40

႕ ၂

႑

၃

႕

႑

႕ ႕ (

၂

၃

›

Oil-Fields Act 1918;

›

Oil-Fields Rules 1918;

›

Notifications under the Oil-Fields Act 1918;

›

Petroleum Act 1934; and

›

Petroleum Rules 1934. ႕

႕ ႑ ႕ ႕

    ႕

Oil Fields Act, 1918 – ၂

The Essential Supplies and Services Act, 1947 – ၂

၂

႕

41

– Performance Compensation Contracts ႕

v

v y

v ႕

၉၆၉

႕

၉၆၉

–

႕

႕

–

႕

၉၆၂

၂

–

႕

၂

–

– ၂ ၉ )

႕

– ႕

၂

၂

– ႕

ESIA

၂ ၂၅

၅

၉

၂

၅

႕

႕

42

၂

႕ ႕

(PSCs) ႕

႑

႕

›

႑ ႕

› ႕

›

႕

႕

›

႕ ႕

›

႕

႕

› ႕

›

႕

႕

› › › ႕

႕ ႕ › ႕

႕

႕

› ႕

႕

႕

y

႕

႕

43

႕ ႕

႕

8

႕

› ႕

႕ PSC

9

-

႕

႕

MOGE ၅

႕ ၅

၅

10

႕

၂

႕ ႕

၂ ႕

႕

၂ MOGE

-

› › ႕

›

-

› ›

႕

၉

႕

11

႕ ႕

8 9

V

L

w

y

’

ore oil and gas blocks, March 2014

See Myanmar Upstream Oil and Gas Sector, Albert Chandler Law Offices, Thailand, August 2013

10

Republic of the Union of Myanmar Procurement Assessment Report, the Electric Power Sector (Ministry of Electric Power and Ministry of Energy), The

World Bank, 2013 11

The Oil and Gas Sector in Myanmar PP Presentation. Ministry of Energy, Myanmar Oil and Gas Enterprise.2013

႕

44

8

႕

၇။ စြမ္းအင္၀န္ၾကီးဌာနမွ သေဘာတူသည့္ ျပည္တြင္း ကုမၸဏီ ႏွင့္ ပူးေပါင္းလုပ္ေဆာင္ျခင္း

၁၂။ လုပ္ငန္းလုပ္ကိုင္သူအျဖစ္ မွတ္ပံုတင္ျခင္း

၂။ သက္ဆိုင္ရာ သံရံုး၏ ေထာက္ခံမ်ားႏွင့္အတူ တင္ျပျခင္း

၅။ Standard Terms and Conditions (TAC) ကို တင္ဒါေလွ်ာက္ထားသူမ်ားအား ရွင္းျပျခင္း ႏွင့္ TAC (၃) ခုအထိ ေလွ်ာက္ထားခြင့္ျပဳျခင္း

၈။ စြမ္းအင္၀န္ၾကီးဌာနႏွင့္ TAC အျပီးသတ္ညႇိႏိႈင္းျခင္း

၁၁။ ESIA ႏွင့္ ESMP တိ႕ု ေဆာင္ရြက္ျခင္း ႏွင့္ MOECAF အတည္ျပဳခ်က္ရယူျခင္း

၃။ တင္ဒါေလွ်ာက္ထားသူမွ ကနဦး အရည္အခ်င္းစစ္ေဆးမႈခံယူျခင္း (နည္းပညာ/ေငြေရးေၾကးေရး ႏွင့္ အေတြ႕အၾကံဳပိုင္း)

၄။ တင္ဒါေလွ်ာက္ထားမႈကို စိစစ္ျခင္း

၉။ PSC စာခ်ဳပ္ အတည္ျပဳျခင္း

၁၀။ MOGE ႏွင့္ MIC တိ႕ု ထံ ခြင့္ျပဳခ်က္မ်ား ရယူျခင္း

၁. Letter of Expression ေပးပို႕ျခင္း (ကုမၸဏီအခ်က္အလက္မ်ား ႏွင့္အတူ)

၆။ တင္ဒါေအာင္ျမင္သူမ်ား လုပ္ကက ြ ္မ်ားကို ေလ့လာခြင့္ျပဳျခင္း

႕

45

႕

႑

႕

႕

12

NGO

Global Witness

၂

၅ ႕ ႕

႕

႕

13

႕

႑

႕ ႕

၂

၉

႕ ႕

႕

႕

12 13

႕

႕

Arakan Oil Watch, 2012

႕

46

9

Domestic Pipeline (not represented above): -

-

MOGE has been laying the pipes throughout Myanmar to expand its national pipeline network. Various size from 6” to 24” of pipeline were constructed Total length is about 2,100 miles

႕

Export Pipeline Offshore

Onland

Yadana (36”)

216 miles

39 miles

Yetagun (24”)

126 miles

43 miles

Zawtika (28”)

143 miles

42 miles

Shwe (32”)

65 miles

3 miles

Nil

495 miles

Nil

481 miles

China Myanmar Gas

– (40”)

China-Myanmar (32”) Oil

႕

47

၂

႕ ႕

႕

႕

႕

႕

႕ ႑

႕

႕ ႕ ႕ ႕ ႑

႕

႑

14

႕

ES ႑ ႕ ႑ ႕ ႕

႑ ႕

၂

၃

Committee (NEMC)

14

႕ ႕

႕

National Energy Management

Energy Development Committee (EDC)

႕

Attempts to obtain the draft Land Use Planning documents were not successful in the course of the research gathered for this report.

႕

48

႕ NEMC

႑ ႕

႕

-

15

-

›

-

› ႕

›

၉

႕

႕ -

›

-

› ႕

-

› ႑ ႕

›

႑

› › ႑

›

႑

႑

႕

› ႕ EDC

႕

႕

-

› ႕

›

၂

႕

႕

-

› ႕

-

› ႑

›

႕

›

15

y

’

y

y

႕

y

0

49

႑ ႕

› › ႕

›

႕

› ႑

›

႕

EITI ၂

၂

႕

႕ ႑ ႕

၂

၃

႕ ႕ -

›

-

႑

› › ႕

› ›

႕

› › ႕

›

႑ ႕

› ႕

› › ›

႕ ႕ ႕ ႕ ႕ ႕ ႕ ႕

႕

၃ ႕ ႕

႕ ႕

႕

႕

႕

50

႕ ႕

႕

႕ ႕

၇

၂

၃

႕

႕

႕

႕

႑

၂ International

Aid

Transparency

Initiative

(IATI)

႕

16

၃ ES

ES

၃၉

႕

၂၆

႑ ႕

႕ ႕

႕

႕

႕

၂

႕

႕

၇

႕

႕

၂

႕

႕

႕

႕

၂၂ ႕

၈

႕ 17

႕

႕ ႕ ႕

႕ ႕ ႕

႑ ႕

႕

႕

႕

႕ ႕

႕ ႕

႕

16

http://www.aidtransparency.net/news/myanmar-endorses-iati

17

See http://www.president-office.gov.mm/en/?q=hluttaw/pyithu-hluttaw

႕

-

႕

51

႕

›

႕ ႕

› ႕

႕

› › ႕ › ႕

› ႕

႕ ႕

႕

52

၃ ၃ (FID) ႕

FDI

FDI

႑

FDI ႕

႕ ၉၈၈

႕ ၂

႑

႕

Organisation for Economic Cooperation and Development (OECD) ›

၂

႕

18

-

၂ ႕

›

New York Convention on Arbitration

› ›

႕

႑ ႕

႕ ႕

›

(SME)

႕

၂

၂

› ႕

one-stop-shop

Special Economic Zones (SEZ)

› ႕

၂

၅

18 Power Point Presentation, OECD Investment Policy Review of Myanmar Aung Naing Oo, Director General, DICA 15 October 2013

႕

53

႑

႑

›

႑ ႕

႕

› ၂

›

၂

႕

႑

›

› ›

၃၂

႕ 4

႕

(World Bank)

႑ ႕ ႑

႕ (Bissinger,

2012)

FDI

၂ (see table 4)

Year

Amount (US$)

2009

1,078,972,201

2010

901,133,535

2011

1,000,557,266

2012

2,242,980,000

႕

႕

႑

႕

႕ ၅ ႕

႕

႕ ႕ ႕

႕

54

1)

႑

Mining 7%

(DICA, GOUM, 2013)

Real Estate 3%

Livestock and Fisheries 1%

Transport and Communication 1%

Oil and Gas 37%

Power 51%

႕ ႕ ႑ ၂

-

›

႕

›

႕ ႕

႑

႑

FDI ၇

႕

႕ ႑ ႕

႑

19

႕

19

၂

႑

http://www.elevenmyanmar.com/index.php?option=com_content&view=article&id=6629:myanmar-to-use-coal-energy-to-increase-power-

supply&catid=44:national&Itemid=384

႕

55

5)

႕

Particulars

(DICA, 2013)

Permitted Enterprises No.

Approved Amount (US$ Millions)

%

Power

5

18,874

47.68

Oil and Gas

104

13,815

34.17

Mining

64

2,794

6.19

Manufacturing

164

1,761

4.35

Hotel and Tourism

45

1,065

2.65

Real Estate

19

1,056

2.61

Livestock and Fisheries

25

324

0.80

16

314

0.78

Industrial Estate

3

193

0.48

Agriculture

7

173

0.43

Construction

2

38

0.09

Other Services

6

24

0.06

Total

460

40,431

100.00

Transport

&

Communication

၂ ၂

႑

၂ ၂

၇

႕

၃၂ ၈

၇၃၆

႑

႕ ႕

၃၂

႕ ႕

႕

56

2) ၉၈၉

(DICA 2013)

2010-2011 2007-2008 2004-2005 2001-2002 1998-1999 1995-1996 1992-1993 1989-1990 0.000

5,000.000

10,000.000

15,000.000

20,000.000

25,000.000

၂

႕ ႕

၈

႕

၂

၉၈၈

၅ ၈ ၇၃

႕

႑

၂ ႕

၂

႕ ႕

၂

၂ ၅ ၃

၂

၆

႕ ၉၉၇

႕

20

၂ ၂

႕

၂ ၂

-၂ ႕

႑ Bissinger

၂

-၂

႑ ႑ ႕

21

၃ 3) ႑

႕

(Bissinger

႑

2012)

FDI

20

http://www.mmtimes.com/index.php/business/4759-fdi-jumps-by-more-than-half-in-july-says-cso.html

21

Bissinger, Jared. 2012. Foreign Investment in Myanmar: A Resource Boom but a Development Bust? Contemporary Southeast Asia Vol. 34, No. 1, pp.

23–52

႕

57

႑ ၉၈၈ (Bissinger, ၂

၆၈

၂)

႕ PSC

၇ ႕ ႕

႕

႕ ႕ ႕

22

႕ ႕ ႕ ၂

၂

၃၃

၃

႑

႕ ၂

႕

၃-

႕ ၂

႕

႕

- ၅ ၂

႕ ႕

၆၅ ႕

၃

႕ ႕

၂ ႕

၇ 23

႕ ၅

22

The US State Department is funding support by the US Geological Survey to MOGE, beginning in August 2014.

23

IMF Staff Report For The 2013 Article IV Consultation, p17

႕

58

႕

႕

(IMF ၂

၃).

႕

႕

႕

႕ ႕ ႕

႕ ႕

၂

၂

႕ ႕

႕ ႕

႕

႑ ႕

(IMF, ၂

၃

႕

၂

၃

၃ ႕

႕ ႕ ႕ ၉၈၉ ႕ ႕

႕ ၉၉ ႕

႕

႕

59

႑ ၂

၂

-

႑

႕

(Bissinger, 2012).

႕

၈

႕ ႕ ႕

႕

-

႕

႕

႕

႕

႕

႕

႕ ႕ ႕

႕ -

› ›

-

႕

-

႕

႕

႕

›

-

L

› ›

OECD

႕

႕

႕

60

၂ “

၃ ႕

၂

႑

႕

၂- ၃

”

၂

၇၆ ၃

႕

႕

၃

႕

႕ ႕

႕

႕ ၆ ႕ 6)

(MOGE Presentation, Jan 2014).

Country

% Blocks

Azerbaijan

6%

France

6%

Malaysia

14%

South Korea

9%

Thailand

20%

China

20%

Myanmar

6%

Vietnam

3%

Singapore

14%

India

3%

႕ ၂

24

႕

24

၂

႑

See for example http://www.doingbusiness.org/data/exploreeconomies/myanmar

႕

61

4)

႔

(Buchanan 2012)

႕

62

FDI

႕ ႕

၃၅

FDI

႕ ႑ ႕

႕ ႕

႕

႕

႕

႕

႕ 25

25

Petronas

႕

႕

႕

၂

႕

63

႕

MPRL 26

The Chinese Nickel Mining Company (CNMC)

MEITI

႕

႕ MSG

႕ ႕

Myanmar Federation of Mining Association (MFMA) ႕ ႕ ႕

27

႕ ႕

႕ International Crisis Group (2012) ၅

၂

႕

႕ “

”

႕

႕ ႕

26

27

MPRL

႕

႑

႑

၂ ႕

႕

၂

႕

64

႑ ႕

႕

႕

28

႕

႕ 5)

29

50 45 40 35 30 25 20 15 10 5 0

“

28

y 29

y

v ’

”

y

y

” y

w

J

0

“

J y 0

Visualisation of data supplied by MOM

႕

65

႑

႑ / / ႕

႑

႕ ႕ ႕

႕

၂

႕ ( ၈) ႕

႕ ႕

႕

/ ႕

႕

႕ ႕

30

႑ ၂

၂၈

႕ ႕

႕

႕

၅ %

႕

႕

31

၇ %

32

MEITI

MEITI

႕

၂ ၂

၈

႕ ႕ ၂၅%

30

Ibid. p36.

31

Ibid. p38.

32

Interview with the Shan State government, May 2014.

႕

(၂) (၂၅၂)

႕

66

( ၈၈) (၂) (၂)



(

-

႕

႕ ႕

႕

႕  

႕



 (၂၅ )

(၅)

/

႕

႕

-

 



႕



႕

႕

႕



႑



႑



႕



႕



႕

၃ ၂

႕

၈

႕

(၇) (၇)

႕

(၆)

႕ ႕

႕ ႕

႕ /

33

႕ ႕ ႕

႕

33

State and Region Governments in Myanmar

႕

-၉

67

6)

႕

68

႑ ႕ ႕ (၃) /

႕

႕

/ ႕

34

႕ ႕ / MDRI/Asia

35

Foundation 36

/

႕

႕

႕ ႑

႕

႕

႕ ႕ ႕

႕

၂ MDRI/Asia Foundation

႕

၂ -

႑

႑

34

35

37

State and Region Governments in Myanmar, p14. Natural Resources and Subnational Governments in Myanmar, p27-8

36

State and Region Governments in Myanmar, p33.

37

Ibid. p34.

႕

69

7)

႕

႕

70

၅ ၂

၈

႕

( )

(၉၆)

( ) (၆)

-

႑ 

႕



႕



     (၉၆)

႕

႕

႕

(၂) ႕

႕

႕

႕

38

/ (

႕

႕

-

)

႕

႕

IGC

/ 39

၆ /

႕

႕

႕ 38

Natural Resources and Subnational Governments in Myanmar, p27

39

Ibid p29

(၃

႕

71

-

႕ ႕

႕

႕

႕ ႕ IGC ႕

႕

႕ 40

၇ ၂

႕

၈

႕

(၅) ႕

႑

/

၅၈% ၉၉%

၆၅%

႕

႑

41

MSG

/

(

EITI ႕

( ) ႕

႕ (

႕)

/ ႕

႕

႕

႕ ႕

၂ ၂

၃-

- ၅

႑ ႑

/

႕

.၈%

၃.၆% ႕

42

-

40

Ibid. p30.

41

State and Region Governments in Myanmar, p46-7.

42

Natural Resources and Subnational Governments in Myanmar, p24

႕

72

၈ ၅ (

›

)

(

›

)

(

)

႕ (

)

(

)

႕(

)

႕ ၆

၂

၈

႕

၅၆

႕

႕ ႕

႕

႕

႕ ႕

၉

႕ ႕ ESIA

SIA

႕ (၅)

›

(

›

(

-

)

(

› ›

႕

( (

› ႕

(၅) (

› › ›

)

( (

)

›

(

›

(

) )

႕

73

႕ ႕ ႕

႕

(governance)

႑

(

႕

႑

)

႕ ႕

(

)

႑

(၃)

EITI

႕

႕

႕

႕

႕

႕

႕

႑

႕

႕ ႕

႕

႕

႕

႕

႕

(၈)

႕ (MATA) ႕ Myanmar Alliance for Transparency and Accountability (MATA) ႑

႕ ႕

႕

႕

၈

႕

႑ ႕

၂

၃

႕ ႕

႕

၉

MATA

႕

႕

႑

႕ Forest

Law

Enforcement

Governance

and

Trade

(FLEGT)

႕ MATA

႕

၂

႕

႕ MSG

႕

MATA -

႕

›

႕

႕

႕

74

› ႕

႕

႕

›

႑

႕

႕

႕ ႕

› ႕

› ›

႕

႕ ႕

႕

› ›

႕

႕

8) MATA

႕

MEITI – CSO MSG

National Steering Group (23) 14 representatives of Sub-National level 9 Civil Society Representatives in MEITI - MSG

National Working Group (70) – 5 Representatives from each region

Regional Working Group (15-25) members in each region

Community & Civil Societies Awareness Raising Workshops at State and Division Level

႕

75

9) MATA

႕ ႕

(taken from the MATA Process Paper)

႕

႕

၉

႕ ႕

႕ ႕

႕

MATA

႕

76

႑

႑ ႕

၂

၃

႕ 43

၂ ႕ ၈ ႕ ႕

M

႕

Total Exploration & Production Myanmar Authority of Thailand Exploration & Production (၂၅ ၅

(၃ ၂

Chevron (၂၈ ၂၆

MOGE ( ၅

Petroleum

႕

၆

႕

႕

႕

၃ ၆

၆၃ ႕

႕

၂ ႕

႕

႕

႕

Yadana Socio-Economic Programme

(SEP)

၉၉၅ ႕

၃ ၆

၉၉၈ ၂

၃ ၇၈ ၃၉

၆

၃

႕

V

႕

႕

႕

၈ ႕ ႕

႕

၂ ႕

43

CNPC

MOGE

CNPC, MOGE, Daewoo International, KOGAS, Indian Oil

႕ GAIL

႕

See the EITI Standard, 4.1 (e)

႕

77

႕

႕

႕

႕ ႕

၂

၃

႕

႕

-

“ (

) ႕

( ႕

)

႕

႕

Environmental Impact Assessments ႕

႕

႕

”44 ႕ CNPC

CSR ၂

၂

႕ ႕

၂

၂

45

၂၂ ၂ ၂

၂

၂ ၆

၂

၈

၅ ႕

၃

၂ ၈

46

႕ CNPC

၃

၃

႕

Good Governance and the Extractive Industry in Burma, Shwe Gas Movement, pp5-6

44

45

႕

http://csr.cnpc.com.cn/en/press/Features/Caring_for_Myanmar_communities_along_the_pipeline.shtml?COLLCC=3706698166&COLLCC=2938205027

& 46

Ibid.

႕

78

19)

၃၃

႕

79

၂

(၅)

႕

(

)

( ၂)

႕

႕ ႕

႕

(၅)

႕ ႕

႕

႕

႕

႕

Shan State Army

(Restoration Council of Shan State – RCSS y

)

႕

Ta-ang National Liberation Army (TANL)

)

)

႕

United Wa State Army (UWSA)

Shan ႕

႕ -

47

(

› ႕

) ႕

› /

› ›

/

႕

( ႕

›

)48

( ) ( ၆)

›

႕

၂,

႕

49

›

(

) –Robbing the Future ( ၂)

›

႕

႑ ႑ ႕ ႕

47

Although not published in this report the authors have the beneficial ownership breakdown for these mineral assets

48

See http://www.ruby-sapphire.com/foreign-affairs.htm

49

http://www.sourcewatch.org/index.php/Tigyit_coal_mine

႕

80

႑

႑ ႕

႑

႕

႕

႕

႕ ,

၅ , ၇ %

႕ ႕ ႕

႕

႕

႕

႕ ႕

၃

၂ -

Karen National Union (KNU) ( ၂- -၂

၂)

႕

႕

႕

႕

KNU ႕

႕ ႕ ႕

႕

81

႑ ႑

႕ ႕

၃

႕

၅

႕

႕

၇

, ၉၂

႕

၂

၂ ၂

၂

၆

႕

50

႕

႕ ႕

႕

႑

႑ ႑

႑

၂

႑

၇

၂၇ ၉

၆

႕

႑ ႑

႕

႕

႕

႕ ႕

၂

႕

႕

၂

၆

႕ ၈၇

၂

႕

႕

႕

၂ ၆ ၂

႕

၃၆ ႕

႕

႕ ႕

၂

၂

၆

၃

႕

၂

၆ ႕

႕ ႕

႕

50

႕

႕

See http://www.european-times.com/countries/union-minister-national-planning-economic-development/

႕

82

႑

႕ ႕

႕

႕

၂ ႕

႑

႕

႕ ႕ ၂ -

႕

႕ ႕

႕

႕

႕ ၂

႕

႕

20)

႕

83

႕

၅

႕ ႕

open pit

႕

underground

႕

႕ ႕

႕

႕ ႕

၅

၆

႕ “

”

႕ ႕ ႕

႕

႕

႕

Development Company (KSDC)

Kayin

State

႕

႑

KSDC ႕ ႕

႑

႕ ႕

႕

၂

႕

႕

႕ ႕ ႕ ႕

႕ ႕ ႕

႕

၇

႕

႕ ႕

႕

႕ ႕ ႕

႕

84

၅ ၅ ၂

၂

၃

၃

႕ 51

.

႕

၂

၃

႕

52

႕

›

Retained earnings)

› ႕

›

႕

›

႕

›

႕

› -

› ›

႕

›

၂

၃

႕

-

› › ႕

›

႕

›

႕

႕

႕

51

52

႕

EITI Requirement 3, 3.2 EITI Requirement 3.6

႕

85

၅၂ ႕ ၂

႕ ႕

႕ ႕

႕

႑ Performance

Compensation Contracts (PCCs),

Improvement of Marginal Recovery Agreements

Reactivation Agreements

႕ ႕

႕

၇ PSC

႕ ႕

႕ ႕

› › ›

၇

7) Production Rate in

MOGE Share

CONTRACTOR Share (%)

Barrels per Day

(%)

0-10,000

60

40

10,001-20,000

65

35

20,001-50,000

70

30

50,001-100,000

80

20

100,001-150,000

85

15

>150,000

90

10

႕

86

႕ 8) Production Rate in

MOGE Share

CONTRACTOR Share (%)

Million Cubic Feet per Day

(%)

Up to 60

60

40

61-120

65

35

121-300

70

30

301-600

80

20

601-900

85

15

>900

90

10

“

”

႕ ၉



႕



၉၇





႕

႑

၉

႕ ႕

၂၅

၉

MOGE ႕

႕ ႑

၃

႕

87

၃ ႕ ႕



႕



႕

53

၃

၅

၉

႕

႕

၃

၅ 

၉

႕

၂

႕

၃

႕

၅

႕

၃

႕

၃

႕

၃

၂ 

၉ ၃



၉

႕



၉

႕

၅

၆

႕ 

႕



၃ ၉

၅ ႕

႕

၃ 

၉

႕

၉ ၉

႕

၂

႕

၂ ႕

႕

၃

႕

႕

႕

၆

႕

႕

႕

၉

႕

၃ 

႕

၅ ၃



၆

၃

၃ 

၉ ၃

53

၆

Chapter 6 also provides a summary of Non-Tax Revenues under Production Sharing Contracts.

႕

88

၇ MOGE 

႕



၇၂

54

55

၇၂

၉

56

႕ ႕ ႕

႕ 

႕ ႕

 ႕

႕



 ႕ ႕ 

႕ ႕





54

Withholding tax for the payments made for goods and services and for all Income Tax and other levies if any, for which expatriate personnel of

Contractor. 55

Payment to appropriate authorities import duties, customs duties, sales tax and other duties levied on motor vehicles brought into Myanmar for

personnel use and not for field use by Contractor. 56

Income Tax imposed upon Contractor under the Income Tax Laws of the Republic of the Union of Myanmar.

႕

89

 ႕

႕

၉ ၅

၂၅

႕

႕

MOGE

၃

›

၉၃

၂

›

၅ ၈၇

႕

႕

၂၃

႕

႕ ႕ ၂၃ ၃ ႕ ၂၃ ၇

႕

႕

႕

႕

႑ ၆

႑

႕

၂

90

႕

႕

၅ ›

L

-

၃ ၂

၂၈ ၂၆

၂၅ ၅

၅ ႕

›

႕

Export Gas Sales Agreement (EGSA) ႕

႕

› ႕

႕

Export Gas Transportation Agreement (EGTA)

Moattama Gas Transportation Company (MGTC)

› ›

႕

Gas Pipeline Operating Agreement (GPOA) ႕ -

၉ ႕

57

၂

- ၂

57

Ministry of Energy, 2011-2012 Oil and Gas Companies Information, excel file 2011.

႕

91

10)

႕

MOGE (PSC)

Export Gas Sales Agreement

BUYER (PTTEP)

TOTAL

UNOCAL

PTTEP

MOGE

31.24%

28.26%

25.50%

15.00% Export Gas Transportation Agreement

Production Operating Agreement

MGTC TOTAL

(SHAREHOLDING)

Gas Pipeline Operating Agreement

(Operator)

TOTAL

UNOCAL

PTTEP

MOGE

31.24%

28.26%

25.50%

15.00%

႕

92

9) Company Name

Origin

of

႕ Location

Initial Year

Company

Workplace

Area

(Square Miles)

Initial

Capital

Block

(MMSU$) (MIC Permit)

TEPM (Yadana Natural Gas Project)

France

Mottama Offshore

9.7.1992

5150/4988

455.00

M-5, M-6

PCML (Yetagun Natural Gas Project)

Malaysia

Tanintharyi Offshore

3.5.1990/ 29.9.1992

4834/2712/3205

338.50

M-12,M-13,M-14

Daewoo (Shwe Natural Gas Project)

Korea

Rakhine Offshore

4.8.2000/ 18.2.2004

1519/2618

58.40

A-1,A-3

PTTEPI (Zawtika Natural Gas Project)

Thailand

Mottama Offshore

12.11.2003/ 7.8.2004/

3000/4535/2810

22.00 M-3,M-9,M-11

25.7.2005 CNOOC

China

Rakhine Offshore/ Mottama

14.12.2004

2888/5320

Offshore InnTaw/Monywar

25.1.2005/4.1.2005

6.294/10.234

32.30 43.40

A-4,M-10 C-1,C-2

MPRL

Myanmar

Rakhine Offshore/ Man

18.1.2007/6.10.96

3795/ 31.52

27.60

A-6/MOGE-2

Goldpetrol

Indonesia

Chauk/ Yenanchaung

4.10.1996

389/306

21.00

IOR-2,MOGE-1

Rimbunan Petrogas

Malaysia

Mottama Offshore

9.3.2007

4013

35.00

M-1

Daewoo

Korea

Rakhine

25.2.2007

650

13.00

Offshore

(Deep

AD-7

Site) MGTC(Natural Gas Transportation)

France

Yadana Gas Pipeline

30.1.1995

TPC(Natural Gas Transportation)

Malaysia

Yetagun Gas Pipeline

10.3.1997

Geopetrol International Holding Inc

Panama

Pyalo, Pakhuku

11.3.2012

SINOPEC

China

Mahutaung

3.9.2004

D

Nobel Oil

Russia

OoRu

6.9.2008

A,B-1

North Petro Chemical Corporation

China

Ngahlaingtwin

16.6.2010

F

Chinnery Assets Limited

China

Rakhine Offshore

15.1.2007

AD-1,AD-6,AD-8

Petrovietnam Exploration

Vietnam

Mottama Offshore

2.10.2008

M-2

984

26.00

႕

RSF-9

93

၂

႑ ႕

႕ ႕

႑ ၂ ၂

၃

႕ ၃ ၅

႕

၃၉

58

၂ ႕

႕ ၂

႕

၅၃ ၉၈၉

႑ ႕

›

႕

› › ႕

႕ 59

58

Information provided by the MFMA.

59

z

“

v

y

v

y

” L

v w

႕

94

႕

႕

၅ ၉-၇-၂

၂

႕

၇ ႕ ႕ ႕ ၃ ႕

၂၂ ႕

႕

႕ 60

႕

႕ ႕

61

၅၅

႑

၂

၃

EITI ႕ ၂ ႕

၃

၃၉

႕

-

 

60

Ministry of Mines and Petroleum of Afghanistan, http://mom.gov.af/en/page/1384

61

Natural Resource Governance Institute, http://www.resourcegovernance.org/rgi/reporting

႕

95

  ႕ ႕ ၂

၃

၃

႕

႕ ႕ ႕

႑

႕

႕

႑ 62

႕

႕ ႕ “ ႕

”

႕

႕ ႕ ႕

႕

႕

႕

႕

႕ ႕

႕

႑

႕

႕ ႕

႕ Myanmar Centre for Responsible Business

႕ ႕

M

63

႕

႕

႕ ႕

62

63

EITI Requirement 3.6 (c) Transparency in Myanmar Enterprises Report, July 2014, Myanmar Center for Responsible Business

႕

96

Harvard Ash Report (2013)

႕ ၅

၂

“ ႕

”

၇

၂ “

႕

”

Global

၇

႕

Witness

Report

႕

႕ “

႕ ”

Global

Witness

႕ ႕

Securities Exchange Commission (၂ ႕

၂

၅

႕ ႕

၅၆ ႑

၉ ၈ ႕

႕ ႕

႕

႕ ႕ ႕

႕

႕

႕

၉၉ ႕

႕

97

၂

႕

႕ ၂

၉၅ ႕ ႕ ႕

႕

၉၈၉

႕

၉ ၈၉

၉၈၈

႑

၉ ၈၉ ႑ ၉၉၇ ႕

၉၇

႕ ႕

၅၇ ၉၉ ႕

႕

႕

၂

႕

UMEHL

႕

MEC

႕ ၉၅

Defence Services Institute (DSI)

၉၆၂-၈၈

DSI

႕

႕ ၃

(UMEHL)

႕

႕

႕ ၂

၉၉

UMEHL

၉၅

႕ ႕

႕

L ၉၉

၂ ႕

၇

UMEHL 98

၇၇

႕

၉၉၇

႕

(MEC)

၉၉၇

၉၈၉

႕

႕ ႕

MEC

၉၈၉

EITI ႕

႕

႕

႕ ႕

႕

႕ -

-

႕

႕

႕ ႕

႕

႕

၉၉

၂

႕ ၉၉

၂

႕ ႕ ႕

႕

၅ ၈ UMEHL

MEC ၂

UMEHL

MEC

႕

႑

၂ ႕ ၂

၈

႕

႕

99

႑

႕ ႕

႕

› ႕

›

႕ ႕

›

႑

၂

႕

႕

႕ ႕ ႕

႕

႕ ႕

႕ ၂ ႕

၂

႕

၃

႕ ၂

၂

၂

UMEHL ၉၉

႕

၂

႕

၂ ႕

႕

႑

L

L ႕

႕

႕ ၂

-

႕

100

10) 2007

Shareholder Category A

789.73

1,196.81

personnel 1,467 military units

33,745.31 military

43,885.52

1,265.53

personnel

L

(in millions of kyat)

808.33

8 v

Distributions of

(in millions of kyat)

Ministry of Defence

retired

by

profits 1990-2007

330

6,069

held

categories of stakeholders

Directorate of Procurement

35,444 Active duty military

B

capital

’

427.96

႕

႕

႑

International Crisis Group (ICG)

L

႕ ႕

L

႕

႕ L

႕

UMEHL

၃ ႕

၂ L

႕

UMEHL

႑

Imperial Jade Company

Myanmar Ruby Enterprise

႕

Myanmar

႕

႕

႕

L

႕

UMEHL

႕

႕

L L

႕ ႕

႕

101

MEC (MEC) L

၉၉၇ ႕

႑

UMEHL

MEC

႕

L ႕

႕ L

႕

႕

႕

႕

႑

႕ ၇

႑

L

L ႕ 11) UMEHL

Region/State

Area

Type

Mandalay

Kyaukpukhet

Limestone

Mandalay

Hsin Mountain

Granite

Mon

Mayangon

Granite

Mon

Kyauk Mae Mountain

Granite

Mon

Tin War Mountain

Granite

Sagaing

Kyay Sin Mountain

Copper

Sagaing

Kyauk An Che

Coal

Sagaing

Letpadaung Mountain

Copper

12) MEC

Region/State

Area

Type

Kayin

Than Dai Mountain

Limestone

Mandalay

Yathayt Mountain

Marble

Shan (East)

Mongku

Coal

Tanintharyi

Maw Taung

Coal

Shan (North)

Man Kaung

Gypsum

႕

102

၆ ၆ 64

႕

›

၈ ႑

› ႕

႕ ႕

႕ ႕

65

႑ ႕

-

“ ႕ ႕

၂

၃

႕ ႕ ႕

66

၂ “

႕

”

႕

႕ ႕

႕ ႕

႕ ႑

႕

႕

64

႕

၂၃

EITI 2013 Standards, Requirement 2

65

“Natural Resources and Subnational Governments

66

Ibid. p11.

y

y

” MDRI & The Asia Foundation, June 2014

႕

103

22)

႕

104

-

၂၂ ႕

႑

႕

၂၂

67

႑ ႕

႕ ႕

၂

၃

ၰ ႕

႑ ႕ ႕ ႑

႕

႕ 68

႕

69

႕

႕ ၃ ၃ ၉ ၅ ၇

70

႕

၂

- ၂

၂၅

႕

႕

67

68

PFM World Bank 2014 report

69

PFM World Bank 2014 report

70

See the World Bank PEFA report for Myanmar (2012), p26.

႕

105

႕

႕ ႕

႕

႕ ႕

႑

႕

႕

႑

႕

106

11) ၂ ႕

႕ ႕ ႕

၂

၈

႕ ႕ ႕

၂ ၂

၃ ၃

႕

႕ ၅

၃

႕

၅ ၅

႕ ၂ ၆

႕

၂

၅ ၃-၆-

၂

႕ ႕

“၂

၃၅

- -

၇ ”

႕

107

၆၂

႑ ႑

႕

႕

႑

၃

၃

႕

႕

71

-

(CIT) ၂၅ ၃၅

႕ ႔

႕

႕

၃

႕

႑

၃

႔

႔

႔

႔ ႔

(

႕

႕ ႕

႕

72

႔ ၎တို႔၏

71

႕ 72

E&Y Myanmar Tax Guide January 2014

႕

108

႔

႑

ၸ

13) CIT Taxable Income or Taxpayer

Tax Rates

Salaries received by foreigners under special permission in State-sponsored projects

20%

Salaries received by foreigners working for entities created under the Foreign

Resident

Investment Law (Progressive rates)

Non-resident 35% (related currency)

0%

to

25%

(Kyats)

Salaries received by foreigners working for non-Foreign Investment Law companies – not approved by the MIC (Progressive rates) 0% - 25%

Resident foreigners

35%

Non-resident foreigners 14)

73

Tax Rates for Tax Residents Net profit on business activities

0%-25%

Net profits on business activities for foreign entities under Foreign Investment Law

(5) Years of consecutive income tax exemption from the beginning of business on commercial scale and 25% from net profit before deductibles in the later years.

Capital gains tax

10%

Withholding tax on Interests

-

Withholding tax on Royalties from patents, trademarks and know-how

15%

73

Source: PWC, Myanmar Business Guide February 2014

႕

109

Withholding tax on payments made by State organizations, foreign companies, local authorities, co-operatives, partnerships, entities formed under existing laws for

2%

procurement and service rendered in Myanmar under agreements Advance income taxes on import and export of goods and services collected by the IRD

2%

႔

႔

၅ ၆

႕ ႔ V

V

V ႕

႕ ႑ 74

႕

႕

74

World Bank, PEFA, 2012

႕

110

႕

›

၅ ႕

႕

၂ ၃

› ›

၂

›

႕

၂ ႔

႕ ႕

႕

႕

၆၃ ႕

႑

၂

၆ ႕

႕

႕

၂

႕

၆ ႑

၃

၉

႕

႕ ႕ ႕ ႕ ၂

႕

႕ ၂၅

႕

111

24)

Energy Planning Department` (EPD)

Central Bank controls National Bank Accounts Myanmar Economic Bank

Myanmar Oil and Gas Enterprise (MOGE) UPSTREAM SECTOR

Royalties Production Split Land Rent Signature Bonuses Production Bonuses Data Fee Training Fund Research and D. Fund State Participation

႕

႑

Myanmar Petrochemical Enterprise (MPE) DOWNSTREAM SECTOR

Myanmar Petroleum Products Enterprise (MPPE) RETAIL AND WHOLE SALE DISTRIBUTION

Ministry of Finance

Potential leakages • : % revenue returns to the budget from overseas accounts • Exchange rates

Customs Duties Corporate Income Tax Commercial Tax Capital Gain Tax Stamp Duties Excise Taxes

(MEB - State Owned Commercial Bank)

Foreign Investment Law

National Currency EI Revenue

National Currency EI Revenue

Myanmar Foreign Trade Bank (MFTB/ Yangon)

Foreign Currency EI Revenue

Foreign Currency EI Revenue

Customs

IRD

Oil & Gas PSC

႕

112

15) Non-Tax

PSC Onshore Blocks

PSC Offshore Blocks

PSC Deep Water Blocks

IPRC Onshore Blocks

Data Fee

None

Amount not specified (3)

None

Amount not specified (6)

Signature

Amount not specified

Bonus

(2)

Amount not specified (2)

Amount not specified (5)

Amount not specified (7)

Royalty

12.5%

12.5%

12.5%

12.5% (8)

Production

Crude Oil:

Crude Oil:

Crude Oil:

Incremental Crude Oil:

Lowest threshold; up

600 feet or less of water

2,000 feet or less of water

Lowest threshold; up to

to 10,000 BOPD 60%

depth Lowest threshold; up

depth Lowest threshold;

5,000 BOPD 60% MOGE

MOGE and 40%

to 25,000 BOPD 60%

up to 25,000 BOPD 60%

and 40% Contractor

Contractor

MOGE and 40% Contractor

MOGE and 40% Contractor

Highest threshold;

Highest threshold; Above

Highest threshold; Above

30,000 BOPD 85% MOGE

Above 150,000 BOPD

150,000 BOPD 90% MOGE

150,000 BOPD 90% MOGE

and 15% Contractor

90% MOGE and 10%

and 10% Contractor

and 10% Contractor

More than 600 feet of water

More than 2,000 feet of

depth

water depth

Lowest threshold; up to

Lowest threshold; up to

25,000 BOPD 60% MOGE

25,000 BOPD 60% MOGE

and 40% Contractor

and 40% Contractor

Highest threshold; Above

Highest threshold; Above

150,000 BOPD 85% MOGE

150,000 BOPD 85% MOGE

and 15% Contractor

and 15% Contractor

Instruments

Split

Contractor

Highest threshold; Above

Natural Gas:

2,000 feet or less of water

Natural Gas:

Lowest threshold; up

Natural Gas:

to 60 MMCFD 60%

600 feet or less of water

MOGE and 40%

depth

Contractor

Highest threshold; above 900 MMCFD

Lowest threshold; up to 300 MMCFD 65% MOGE

depth Lowest threshold; up to 300 MMCFD 65% MOGE and 35% Contractor

Incremental Natural Gas: All additional CFD 60% MOGE and 40% Contractor

Highest threshold; above 900 MMCFD 90% MOGE

႕

113

90% MOGE and 10% Contractor

and 35% Contractor

and 10% Contractor

Highest threshold; above

More than 2,000 feet of

900 MMCFD 90% MOGE

water depth

and 10% Contractor

Lowest threshold; up to

More than 600 feet of water

300 MMCFD 55% MOGE

depth

and 45% Contractor

Lowest threshold; up to

Highest threshold; above

300 MMCFD 60% MOGE

900 MMCFD 80% MOGE

and 40% Contractor

and 20% Contractor

Highest threshold; above 900 MMCFD 90% MOGE and 10% Contractor Non-Tax Instruments Commerciality

PSC Onshore Blocks

PSC Offshore Blocks

PSC Deep Water Blocks

IPRC Onshore Blocks

None

None

None

Amount not specified (9)

Crude Oil:

Crude Oil:

Crude Oil:

Incremental Crude Oil:

Upon approval of

Upon approval of

Upon approval of

Lowest threshold; up to

Development Plan 0.50

Development Plan 1.00

Development Plan 1.00

2,000 BOPD for 60

MMUS$

MMUS$

MMUS$

consecutive days of

Highest threshold;

Highest threshold; Above

Highest threshold; Above

Above 150,000 BOPD

200,000 BOPD for 90

200,000 BOPD for 90

Highest threshold; above

for 90 consecutive

consecutive days of prod.

consecutive days of prod.

30,000 BOPD for 60

days of prod. 6.00

10.00 MMUS$

10.00 MMUS$

consecutive days of

Bonus Production Bonus

MMUS$

production 3.00 MMUS$

Natural Gas:

Natural Gas:

Upon approval of

Upon approval of

Upon approval of

Development Plan 1.00

Development Plan 1.00

Development Plan 0.50

MMUS$

MMUS$

Highest threshold; above

Highest threshold; above

Highest threshold;

900 MMCFD for 90

900 MMCFD for 90

above 900 MMCFD for

consecutive days of prod.

consecutive days of prod.

Natural Gas:

MMUS$

production 0.20 MMUS$

႕

Incremental Natural Gas: Lowest threshold; up to 15 MMCFD for 60 consecutive days of production 0.50 MMUS$ Highest threshold; above 150 MMCFD for 60 consecutive days of

114

90 consecutive days of

10.00 MMUS$

10.00 MMUS$

production 2.00 MMUS$

Exploration period:

Exploration period: 50,000

Exploration period: 50,000

Initial joint study period:

25,000 US$ per year

US$ per year

US$ per year

10,000 US$

Production period:

Production period: 100,000

Production period: 100,000

Pilot project period:

50,000 US$ per year

US$ per year

US$ per year

50,000 US$ per year

prod. 6.00 MMUS$ Training Fund

Production period; 50,000 US$ per year Excess average production over 30,000 BOPD: 100,000 US$ per year Research and

05

’

Development

share of Profit

Fund

Petroleum

State Participation

Instruments Income Tax

’

05

’

05

’

of Profit Petroleum

of Profit Petroleum

of Profit Petroleum

15% to MOGE with

Up to 20% after

Up to 20% after

15% undivided interest

extension up to 25%

commercial discovery and

commercial discovery and

up to 25% is the reserves

up to 25% is the reserves

are greater than 5 TCF

are greater than 5 TCF

PSC Offshore Blocks

PSC Deep Water Blocks

’

Non-Tax

05

PSC Onshore Blocks

5

’

5

’

5

’

IPRC Onshore Blocks

According to the Myanmar

(1) (4)

Net Profit

Profit

Profit

Income Tax Law

Sharing Profits

40% of net profit up to

40% of net profit up to 100

40% of net profit up to

40% of net profit up to

on sale or

100 MMUS$

MMUS$

100 MMUS$

100 MMUS$

45% of net profit

45% of net profit between

45% of net profit between

45% of net profit between

between 100 MMUS$

100 MMUS$ and 150

100 MMUS$ and 150

100 MMUS$ and 150

and 150 MMUS$

MMUS$

MMUS$

MMUS$

50% of net profit

50% of net profit above

50% of net profit above

50% of net profit above

above 150 MMUS$

150 MMUS$

150 MMUS$

150 MMUS$

transfer of shares

1.

၃

႕

115

2.

၃

3.

၃

4.

၃

5.

၃

6.

၃

7. 8.

၃

႕

႕ ႕

႕ -

႕

႑

႕ ႕

႕

႕

႕

႕

၅

၂၃ ၇

႕ ႕

႕ ႕

.75 ႑ MF ႕

႑

႕

75

http://www.dw.de/is-money-from-gas-deals-fuelling-the-myanmar-junta/a-5212992 and page 43 of the ERI report on the Yadana Pipeline

http://dg5vd3ocj3r4t.cloudfront.net/sites/default/files/publications/total-impact.pdf

႕

116

၆

႑ ႕

႕

႕

႕

႑ ႕ ၅

›

၇၅

၃

›

၅

›

၃ PSC ၃

၇

႕

႑ ႕

၂၆ ႕

႕ ႕

႕

႑

႕

႕ ႕

႕

႕ ႕ ႕

႑

႕

႕

႑

117

27)

႑

-

Large-Scale Mining Company

႕

118

28)

႕ ႕ ၃၅ ႑

၆၅

၂၅

၅

႕

႕

119

12)

႑

-

၂၈

၂

႕

႕ .

႕

120

13)

႕

-

၃ ၇

႑

႕

႕

၉ ၂

-၂

၂

“

႑

၃ ၈၅ ႕

” ၃ ၃၉၈

႕

႕

႕ ႕

၃

႕

121

၆၅ ၸ

႔ y

႔

႕ 76

႕

႕

႕

႕

၅၂ 

-

႕

႕





႕

Generally Accepted Accounting Principles (GAAP) ႕ Myanmar

Accountancy

Council

႕ Myanmar Institute of Certified Accountants (MICPA)

(MAC) ၂

၃

၂

၂

၃

၂၉

၈ ၂

International Financial Reporting Standards (IFRS)

- -၂

႕

76

႕

႕

-

PFM World Bank 2014 report

႕

122



IFRS 9: Financial Instruments;



IFRS 10: Consolidated Financial Statements;



IFRS 11: Joint Arrangements;



IFRS 12: Disclosure of Interests in Other Entities;



IFRS 13: Fair Value Measurement;



Standing Interpretations Committee (SICs) and International Financial Reporting Interpretations Committee (IFRICs)

႕ ႕

၈ ႑

႕

႑ ႕

႕

႕ ႕

႕

႑

-



၅

   

႕

၅



႕



၃ -



၂ -၃-၂

 

၂ -၃-၂ ၂

၂၈-၃-၂

၂

႕

႕ ႕

႑

႕

႕

123

၆၆ ၂

EITI

၂

Public

Expenditure and Financial Accountability (PEFA) PEFA

International Organisation of Supreme Audit

Institutions (INTOSAI) ႕ ႕

L

PEFA

၂

၈

႕

႕

႕

႕ ႕ ႕ ႕ ႕

႑

၈

႕

႕

႕

႕

႕

႕

႕

႕ ႕

႕

႕

႕

EITI

၂

႕

႕

႕

၂ ႕

႕ ႕ ႕ ႕

႕

႕

႕

124

႕

႕

႕

၆၇ ႕

႑

႕ ႕

႕

႕

႑ ႑ ႕

M

၂

႕

႕ ႕ ႕

႕

႕

၂

၃-

၈

႑

႕

႕ ႕

႕

“

y

”

႕ ႕

႑ ႕

႕

႕ ႑

႕

125

၇

႑

၇ ႑ 

y

8

႔ ၉၆၇



၉၈



၉၈၅ ၂ ႕

႑ (၂)

၂ y

-

၃

႔

႕ ႕

႕

y

႕

v

႕

႑

႕

႕

႕

႑ ႑ ႔

၃ ႔ ၂

၈

႕

႔

႑ ႕ ႔

႑

႔

႔

႔

႔

႕

126

၇၂ ႑ ၃ ›

(DHPP)

›

(DHPP)

-

(DHPI)

›

(HPGE)

›

႔ › › ›

၇ ႔ ႔

၇၃ ၉၆ ႔ ႕ -၂

႕

၂ ၈

႔

႕

၉၆

၅၉၅ -၂

၉၇ ႔

(၃ )

၂၆

(၈) ႕

၂ ၂

႔

၂

၅

၇၅

၂၈ ၂

၅

၂

,၉၃၅

(၈

႕

127

၂

-

႔

၆

၇၉

႔

၂

၈

၂

-

႔

႔

၂

-

႔

-

(၆) ႔

(၃)

႔

၅ ၅

၂

႔

၂

( ၆)

16) ၂ Power plant

၂

Location

77

Operational

Rated capacity (MW)

GWh/annum

Small Baluchaung BHP 1

Kayah

1992

28

200

Y ’

Bago

2007

25

123

Zaungtu

Bago

2000

20

76

Sedawgyi

Mandalay

1989

25

134

Zawgyi 1

Shan

1995

18

35

Zawgyi 2

Shan

1998

12

30

w

Large

77

Thaphanseik

Sagaing

2002

30

117

Mone

Magwe

2004

75

330

Paunglaung

Mandalay

2005

280

911

Khabaung

Bago

2008

30

120

KengTawn

Shan

2008

54

378

Shweli 1

Shan

2008

600

4,022

Yeywa

Mandalay

2010

790

3,550

Dapein 1

Kachin

2011

240

1,065

Shwegyin

Bago

2011

75

262

Source ADB Energy Sector Initial Assessment: Context and Strategic Issues.

႕

128

Power plant

Location

Operational

Rated capacity (MW)

GWh/annum

Kun

Bago

2011

60

190

Kyee On Kyee Wa

Magwe

2012

74

370

Baluchaung BHP 2

Kayah

1960

84

595

Baluchaung BHP 2

Kayah

1974

84

595

Kinda

Mandalay

1985

56

165

2,635

13,268

Totals

၂ ႔

၂

၃

၂,၇၈

၃ ၉၈၆

၃၅

၃ -

-78 ၂

›

၃ - ၃ ၅၂

› ၃

›

၂

၅

၂

၅

၆ ၂၈

› w ၆ ›

78

၂

၅၂

)

႔

(Keng ၅

႔ ၃

၂

႔

Note that the capacities of these stations quoted here are not fully consistent with those given in tables 17 and 18 below.

႕

129

၂ ၃

႕ -



79

၅



႕



၇ ၃ ၅



၇

႕ -

၂

၉

-

၂

႔

၂

႔ ၇

၇၂၃

႔

႔ ႔

80

၂ ႔

႔

၇၅ ၃

-

႔

› ›

› ႑ ႔

႔ ၇

၈

၉

႔

၅ ႔ ႔

79

The National Energy Policy Chapter 4

80

Equation for tariff or charges per unit of energy consumed or produced

႕

130

၇၆ 81

V

-

V

႔

( V

NPV ႑

႕ -

› › ႕

›

႕

› ›

႔

၅ ၂၂

၂

႔

႔ ႔

႔

႔

81

The present value of a time series of cash flows. It is a standard method for using the time value of money to appraise long-term projects.

႕

131

29) ၂

၃-

1,200 MW 1,000

800

600

400

200

0 May

June

July

August

September October November December January

႕

February

March

April

132

17) Power Plant

MW

GWh

Upper Paunglaun

104

454

Nancho

40

152

Middle Paunglaun

100

500

Shweli 3

1,050

3,500

Kun

60

190

Phyu

40

120

Upper Yeywa

280

1,600

Bawgata

160

500

Manipur

380

1,903

Tha-htay

111

386

Ann

10

44

Upper Buywa

150

534

Upper Keng Tawng

51

267

Totals

2,536

10,150

18) Power Plant

MW

GWh

Local Implementing Companies

Thaukyegat-2

120

605

Gold Energy Co., Ltd

Baluchaung-3

52

334

Future Energy Co., Ltd

Middle Paunglaun

29

134

Shweli 3

9

38

Kun

64

236

Phyu

280

1512

Upper Yeywa

6

45

Upper Baluchaung

30.4

-

New Energy Oasis Development Co, Ltd.

Bilin

280

-

Asia World Co., Ltd.

Ngotechaung

16.6

-

New Energy Oasis Development Co, Ltd.

Totals

887

2,904

႕

133

19) Power Plant

Implementing Companies

Capacity

Energy

MW

GWh

International

6,000

30,860

CPI

Myitsone

Chipwi

3,400

17,770

CPI

AWC

Wutsok

1,800

10,140

CPI

Wutsok

Kaunglanhpu

2,700

14,730

CPI

Kaunglanhpu

Renam (Yinang)

1,200

6,650

CPI

Renam (Yinang)

Hpizaw (Phisaw)

2,000

11,080

CPI

Hpizaw (Phisaw)

Laza

1,900

10,440

CPI

Laza

Chipwinge

99

599

CPI

Chipwinge

168

775

DUHD

Dapein 2 (Tarpain)

100

552

YPIC

GawLan

60

327

YPIC

Wu Zhongze (Wukyongkye)

YPIC

IGOEC

YPIC

IGOEC

YPIC

IGOEC

HHGL

AWC

HYDROCHINA Corp.

IGOEC

HYDROCHINA Corp.

IGOEC

CTGC + EGAT

IGOEC

Sinohydro Corp & EGAT

IGOEC

CDOI

STH

Myitsone (suspended)

Dapein

2

(Tarpain) GawLan Wu

Zhongze

(Wukyongkye) Hkan

Kawn

(Khetkan)

140

769

Tongxingqiao (Htonshinche)

320

1,746

435

2,401

1,400

7,338

(Naungpha)

1,000

5,290

Mantong

200

924

(Mongton)

7,110

35,446

Hutgyi (Hatkyi)

1,360

7,325

Tamanthi

1,200

6,685

Shwezaye

660

2,908

Saingdin (Saidin)

76.5

236

Lawngdin (Laungdin) Upper

Thanlwin

(Kunlong) Naopha

Upper

Local

Thanlwin

႕

134

Lemro (Laymyo) Lemro

600

3,576

2

(Laymyo)

90

273

Ywathit

4,000

21,789

180

920

Capacity

Energy

MW

GWh

Nam

Tamhpak

(Nanttabat) Power Plant

Htu

Kyan

(Htonkyang)

105

551

Hseng Na (Hannu)

45

234

Tha

Hkwa

(Thakwa)

150

776

Palaung

105

536

Bawlake (Bawlakhe)

CDOI

STH

CDOI

STH

CDOI

STH

CDOI

STH

Implementing Companies

International

Local

CDOI

STH

CDOI

STH

CDOI

STH

CDOI

STH

CDOI

STH

180

918

(Thaninthayi)

600

3,476

ITD

Shweli (2)

520

2,814

HLRHC

96

536

YNPG

(Wantaping)

25

138

YNPG

So Lue (Silu)

165

742

YNPG

50

274

YNPG

(Kyaingyang)

28

155

YNPG

He Kou (Hiku)

88

483

YNPG

(Nangkha)

200

937

YNPG

Mawlaik (Mawlite)

520

3,310

China Guodian Corp.

HTMC

China Guodian Corp.

HTMC

(Nanttabet)

200

1,106

Totals

41,276

218,535

Taninthayi

Keng

Tong

(Kyaingtong) Wan

Ta

Pin

Mong

Wa

(Maingwa) Keng

Yang

Nam

Nam

AWC

Kha

Tamhpak

႕

135

Abbreviations: CTGC - China Three Gorges Corp. CPI - China Power Investment Corp DUHD - Datang (Yunnan) United Hydropower Developing Co., Ltd. YNPG - Yunnan Power Grid Corp ITD - Italian-Thai Development Co., Ltd. Thai CDOI - China Datang Overseas Investment Co., Ltd. YPIC - Yunnan Power International Energy Corp. EGAT - EGAT International Co., Ltd. (Thai) AWC - Asia World Co., Ltd. IGOEC - International Group of Entrepreneurs Co., Ltd. STH - Shwe Taung Hydropower Co., Ltd. HLRHC - Huaneng Lancang River Hydropower Co., Ltd. HHGL - Hanergy Holding Group Ltd. HTMC - Htun Thwin Mining Co., Ltd.

႕

136

၇၇

႕ 82



:

(MoU) ႕

႕

႑

႔

MoU

႔

၂

၈

(

၃ )

MoU



(MoA)

၈ ႕

႑

MoA ႕



႑

႕

႔

MoA

(MIC) (EIA &

ESIA)

႔ ႔



(JVA) ႕

႕

႑

႔

JVA 

JVA

႔ ႕

႔ ႔

႔

႔

( ) (၂

႕

႕

(၃)

႔ ၃

၆

႕

၂ ႕ 83

82

႕

Hydro projects with a capacity of less than 30MW are the responsibility of the State governments. The development procedures are the same and the

Ministry of Power will provide assistance to the State as required. 83

e.g. the CPI JVC has seven hydro projects

႕

137

႔

30)

႑

China EXIM ႕

႕

႕

႕

138

႕

၇၈ ႔

-



(



%

Commercial Tax (



(

)

( ၂၅



၅%

) ၅

) )



-



-

၅% ၃.၅%

႔ ၇

84

႔

႔

( )

႔ ႔ ႔

႔ ၃၅

၃

၅

႔

85

႔

84

Equation for tariff or charges per unit of energy consumed or produced

85

The International Energy Agency assumes a figure of 2.2% of capital cost for the O&M cost of large hydropower projects.

႕

139

၇ ၂ ႑ ႔

႑

႕

႔ ႔ ႑ ၂

-

႔

(၅)

႔

႔

႕

140

၈

႔

႔

႕ ႔

႕ (ESIA ႕

႕

႔

႔ ႔

႕

႔ ႔

႕

႑

႔

႕

႕ ၇

႕

႑ ႔

၈ ၂

၈

႕ ႔

၉၉ ၂

၂

႕

141

ၰ ႔ ႔ ႕ ႔ ႔ ႔ ႕

၅- ၂- ၉၉

၂၆ ၉

၂

20)

86

Legislation

Status

Key Objectives

Environmental

Promulgated

Provides

Conservation Law, 2012

the

overarching

framework

for

environmental

protection

and

conservation of natural resources in Myanmar. Specifically: To integrate environmental conservation values in the sustainable development process; to enable a healthy and clean environment, as well as cultural preservation; to reclaim disappearing ecosystems; to prevent or manage loss of natural resources; to promote public awareness; to enable international cooperation; to promote cooperation between government, international organisations, NGOs and individuals in matters of environmental conservation. (These objectives summarise Chapter II, Objectives, of the Environmental Conservation Management Law, 2012). Note that this law does not include provisions for MOECAF to conduct Strategic Environmental and Social Assessments (SESAs).

Nonetheless, MOECAF is

considering undertaking SESA and may require development partner support in this regard. Environmental and

Approved in June 2014

These are regulations for the Environmental Conservation Law.

Conservation Rules, 2013 (for the Environmental Conservation Law)

86

v w

q

y

y

“

”

“

႕

v

”

142

ESIA Environmental

Drafts have been

Provide guidance on how to operationalise the requirements outlined in the

Impact Assessment

completed and

Environmental Conservation and Foreign Investment Laws.

Procedures, 2013

stakeholders consulted. The Procedures are due to be submitted to the Minister of MOECAF at the time of writing.

Environmental Quality

Being drafted at the

To be used alongside ESIA procedures to specify the environmental thresholds

Standards

time of writing

that must be met by development projects and activities. These are proposed interim ambient air, noise and water quality standards, and industry emission standards referenced against those being applied internationally and by Greater Mekong Sub-region (GMS) countries.

ESIA Technical Guidelines

Foreign Investment Law,

Being drafted at the

To provide ESIA practitioners and third parties with a common framework for

time of writing

ESIA reporting.

Passed

Sets out foreign investor ESIA requirements for identification and management

2013 Foreign Investment Rules,

of negative social and environmental impacts of development. Passed

y

2013

v

’

social and environmental impact must be submitted with the proposal for investment and subjected to comment by the MOECAF.

႕ ႔ ႕

y -

v

L (၂

၂

- L

႔

႔

႔

႕

႔

႕ ႔ ႔

႕ ႔ ႔

႕

143

31)

(Thevelvetrock.com)

႔ L

v

y

5

5 y

50

႔

႕

႕

႕

၂ ႔

၂

၂

႔ (ILO, 2013) ႕

L

႕

႔

႔

႔

21)

႔

-

Legislation

Status

Key Objectives

Settlement of Wage Dispute Law, 2012

Passed and being implemented.

To

provide

guidance

management

issues

mechanisms

for

dealing and

to

dispute

with

labour-

recommend resolution.

Disagreements between employers and workers are to be settled by an ascending system of dispute

resolution

coordinating

bodies

committee,

(workplace

conciliation

body,

arbitration body, arbitration council). Only after the dispute has gone through the arbitration body may the union call a strike. Foreign Workers Law and Rules

The Ministry of Labour,

The law will cover the appointment, dismissal,

Employment and Social Welfare

suspension, entitlements of the foreign workers

is, at the time of writing drafting

working

a foreign workers law and

employer requirements regarding job site safety

႕

in

Myanmar.

It

will

also

specify

144

accompanying rules.

and occupational health.

Legislation

Status

Key Objectives

Labour Organisation Law, 2011

Passed and being implemented.

To provide a framework for Unions in Myanmar. ILO has commented that although the law provides the right of workers to organise for the first time since military rule, protection against dismissal and discrimination are still weak. There are no effective penalties against employers who fail to comply with reinstatement orders from the

arbitration

bodies

and

the

arbitration

council.

၈၂

႕ ႕ ႕ ၂

၃

႕

၂

႕ (MOECAF) ႕

႔

႔ ႔ ႔

၂

႕

၂

႕ ႕

၉

႕

၂ ႔ (ADB, 2013)

႕

145

႕

(MNPED)

၂ ႕ ၃ ႕

႕

(၃၉)

႕

႕

(MIC) ႑ ႔ ၂

၃

႑

႑

႔

႔ ႑ ႔

႔ ၂

႔

႔

႑

႕

႔

87

၈၃ ႕ ႑

87

႔

Our team did not meet with the Ministry of Labour, therefore this report contains no substantive information on the SIA framework under that

ministry.

႕

146

႔

႕

႔

႕

႔ ႔

႔

32) လက ႕

၉၉

(EarthFirstNews.org)

႕

႔ ၂ ႔

႔

႔ ႕ ႕

႔ ႔

႔ ႔

႕

147

22)

88

Issue

Description of Problem

Relevant Regulatory Framework (formal or informal)

Compensation for Negative

A lawsuit brought by local villagers

Even in the absence of approved environmental

Impacts

in the Tanintharyi Region seeks

assessment rules, the Department of Mines and

The community is seeking

judicial

Mining Enterprise 2 are required to follow the

compensation for years of

complaints concerning a tin mine.

resolution

to

their

existing environmental requirements in the Mining

damages to houses and farmlands

Law, The Environmental Conservation Law, 2012

allegedly caused by wastewater

also

from a large tin mine.

management plans that should mitigate negative

specifies

requirements

for

environmental

environmental impacts of mining activity.

Conflicts over Minerals

Fighting between the Shan State

Territories between the two ethnic rebel groups have

Two EAGs are fighting for the

Army South and the United Wa

been delineated via mutual agreement, and rules are

control

State Army was reportedly taking

in place that prohibits incursions into the other's area

place as recently as April 2014 with

of control. Both EAGs provide security for affiliated

the fighting brought on by a dispute

gold mining enterprises in Shan State. See the case

over Wa gold mining activities in

study on Shan state towards the end of Chapter Four

southern Shan State.

above for more on mining in the area.

Labour Disputes

The most recent dispute involved

The new Settlement of Wage Dispute Law should be

Protests have been taking place at

224 local trainees from 26 villages

implemented in these types of disputes, as well as

a major copper mine in central

in the area staging a protest along

the Organisation of Labour Law, (the former

Myanmar over labour issues. The

the main road leading up to the

specifying conditions to be followed before strike

of

gold

in

Eastern

Myanmar.

recent protests (April/May 2014)

y’

orkers

action

is

considered

to

be

legal).

However,

follow many others taking place

are protesting for higher wages and

significant discrepancies in these legal frameworks

over

better

have been noted by the ILO.

the

regarding

past various

12

months

social

working

conditions.

and

Allegations of extremely poor wages

environmental problems related to

and lack of proper safety equipment

the mine.

have been raised. Many of the trainees are the sons and daughters of

parents

whose

land

was

confiscated to develop the mine. Destruction of Sacred Sites

Rumour

planned

The ESIA for one of the major copper mines is the

Local residents fear destruction of

destruction of the religious buildings

first of its kind of a large scale mining project in

a pagoda on a mine site where

has fuelled local protests.

Myanmar. It has been the subject of much

significant

88

development

is

regarding

the

discussion and scrutiny and is still in draft form (and

It should be noted that the examples here have been reported in the media or in studies undertaken by CSO groups. It was beyond the scope of this

study to investigate all sides of the issues to determine their veracity. www.minesandcommunities.org provided the source of much of the material unless otherwise stated.

႕

148

occurring for copper mining. The

is currently being reviewed by the ESIA Review

structure

Committee,

was

recently

deconsecrated (March 2014).

as

noted

above).

Community

consultations were scheduled to be completed in a six-week period from the beginning of March 2014. It is expected that issues related to the preservation of sacred sites will be raised during this process and incorporated into the environmental and social management plan.

Abuse of Workers Labour

According

conditions

environmental

and

management

to

Development

the

Kachin

Networking

Group,

jade miners are working in unsafe

practices are acknowledged by

conditions,

many CSOs and media outlets to

managers, and are exposed to

be extremely poor in the jade

numerous

mining sites in Kachin State.

“ operate

facing

abusive

additional openly

risks.

alongside

some

large jade mines. The

common

use

of

needles

contributes to the high rates of HIV in the township of Hpakant in Kachin state. There are estimates that up to 40% of heroin-using jade miners are infected with HIV.

Issue

Description of Problem

Relevant Regulatory Framework (formal or informal)

Waste Water Damage

It appears as though the farmland

The local township has stated that 13 mining firms

The villages of Chaung, Hmawbi

and houses of many families in the

received 1-year licences to mine an area of around

and Gyan Kap located in the

villages have been affected by poor

100 acres.

Ayeyarwaddy Valley are reported

discharge of waste water. Sludge is

to have been affected for many

created by high pressure jets used

years

to expose pebbles beneath the

from

environmental

the

significant

impacts

of

the

nearby firms that are mining for pebbles,

considered

to

sand, creating a constant stream of muddy water that causes flooding.

be

valuable construction materials. Relocation of Communities v

y

’

second largest iron ore deposit in Shan

State

additional communities

could

result

relocation

The Pa-O Youth Organisation has

An ESIA was completed but has not published. The

noted (Robbing the Future, 2009)

Ministry of Industry now owns/manages the mine.

“

v

in

2004, and work includes the

of

conversion of around 11,000 acres of surrounding land for construction

႕

149

of a cement factory and iron (NOTE: it has been alleged that

processing plant. The steel factory

those already relocated have not

is still under construction and due to

received adequate compensation

0 5”

for destroyed farmland although this

has

not

been

verified).

The Pa-O Youth Organisation has also reported that more than 25 v

’

000

mainly ethnic Pa-O people could be destroyed by the mining project and that a number of people have already been forced to move and have not received adequate compensation.

14)

႕

(wtaq.com)

႕

႕ ႕ ၂

၂ ESIA

႕

႕

150

23) Issue

႕

႑ ႕

Description

Relevant Regulatory Framework

Shwe Oil and Gas Pipeline The controversial Shwe Gas Pipeline, a joint venture between the China National Petroleum Corporation (CNPC) and MOGE as well as three other foreign firms: Daewoo International Ltd. (51 percent stake) in consortium with the Korea Gas Corporation (KOGAS), ONGC Videsh Ltd. of India, and GAIL Ltd. of India.

y ’ cutting

through

Y

many

’ v

ethnic

An ESIA was completed by the project but has not been released

minority

for public information. Therefore, it

territories including those in Shan and Kachin

is unclear as to the social and

States where conflicts are still ongoing.

environmental impacts identified. It

Human rights groups have protested the

is also not clear whether an ESMP

project, claiming that there have been

was ever drafted to deal with risks

farmland seizures without compensation or

identified

unfair compensation; forced labour; unfair

concerned CSOs have called for the

working conditions, threats and intimidation

v

in

the

ESIA.

Many

“

against locals; increased militarisation of

”

The oil transport pipeline is constructed

territories and other forms of human rights

ESIAs, particularly in the case of the

parallel to the gas pipeline and will

abuses. The pipeline may be responsible for

Shwe Pipeline, a project that has

enable oil to be imported to China from

increased fighting in Northern Shan state

far-reaching ramifications for large

the Middle East and Africa. The 2,380 km

between rebels and the State Army.

groups of people living along its pathway.

crude oil pipeline will run from Maday Island in the Bay of Bengal off the coast of Arakan to Kunming, China. It is estimated to cost US$ 1.5 billion and although already operating, once a full operational capacity transport 12 billion cubic meters of crude oil per year to China. Maday Island Port CNPC is heading up the Maday Island deep-sea port construction project. The construction of the facility has been the subject of CSO scrutiny and protests.

The construction has already taken its toll on y

’

It is assumed that the ESIA for the entire pipeline project would have

environment and about 2,400 residents living

included the identification of social

in six villages. Locals have complained that

and environmental impacts of the

farmlands are being confiscated on Maday

construction of the deep sea port.

Island in order to build the port and refinery

However, as noted, this has been

and in Kyaukpru, for construction of an

difficult to determine due to the

international airport, hotels, golf courses and

secrecy

hospitals. In addition, about 500 acres of

process.

farmland

near

Kyaukpru

were

Gangawtaw

Pagoda

confiscated

for

surrounding

the

ESIA

in the

construction of a gas refinery. Some

CSO

groups

contend

“ v

mountains on Maday Island have already been demolished and many plots of garden

႕

151

land have already been confiscated and ”89

They

further

allege

that

operations for seaport construction in late October 2009 around Maday island killed hundreds of fish and destroyed important local fishing grounds where local people have been fishing for centuries.90

89

http://www.burmanet.org/news/2011/03/01/irrawaddy-maday-island-deep-sea-port-no-boon-to-locals-%E2%80%93-khin-oo-thar/

90

http://news.nationalgeographic.com/news/energy/2014/09/140905-myanmar-china-burma-drilling-oil-energy-asia-petroleum/

႕

152

၉

႕ ႕

၂

၆

႕

၈

႕

႕ ႑ ႕

႕

႑ ႑

႕

႑

႑

႕

႑ ႑

၂

၃

႕ ၂

- ၅

႑

႕ ၃

႕

႕

႕

153

၂

၃

႕

႕ ႕

႕

႕

႕ ႕ ႑ ႕

႕ ႕

႕ ႕ ႑

႑ ႕

International Financial Reporting Standards (IFRS) IFRS ၉- ၃

႕ ႑

႕

႕ ႕

႑

“

႕

႕ ”

႕

154

႕ ႕ ႕

႕

႑

႑ ႕ ႕

႕ ၂

႑

၃-

႑

႕

၂

၂

၆

- ၅ ႕

႕

၂ ႑

႕ ၂

႕

႕

႕

၆

႕

႑

႕

႕

႕

႕

၂ ႕

၈

႕

႕

႕ ႑ ႑

MEITI MSG

႕

႕

႕

႕ “

”

႕

႕

႕

႕

႕

႕

႕

EITI

႕

155

႕

႕

႕

MEITI

႕ ႕

႕

႑ ၂

၅

႕

႑

႕ ႕

႑

႕

႕

႕

႕

႕

႕

႕

႕ ႕ ႑

႕

႕ ႕

႕ ႕

႕ ႕

႕

႕

MAT ႕

႕

႕

႕ ႕ ႕ ႕

႑ ႑ ႕

႕

႕

႑ (

႕

156

႕

႕

႕

၂

႕

၃

႕

႑ ႕ ႑

႕

႕

႑ ႑ ႕

႑

› ႑

› › › ›

႑

› ›

“

”

႕

› ၅

› ႕

႑

၂

၅ ႕

›

›

႕ ႕

›

› ›

႑

› ၃

႕

157

34) MEITI

႕

158

.

႕

159

Global

Witness.

2014.

Who

y

’

L

?

http://www.globalwitness.org/myanmaroilandgas/

၂ Albert Chandler Law Offices. Myanmar Upstream Oil and Gas Sector, PP Presentation. Thailand, August 2013 Aung, U Zaw. 2013. The Oil and Gas Sector in Myanmar PP Presentation. Ministry of Energy, Myanmar Oil and Gas Enterprise. 0

’

Asian Development Bank. 2012. Energy Sector Initial Assessment. 0

y

’

w

www.bnionline.net;

www.mmpeacemonitor.org Bullion Street Monthly Newsletter. www.Bullionstreet.com, April 2014 CIA World Fact Book. 2014. Annual Report on Myanmar, 2013 www.cia.gov/library Davis, LLP. 2014. Economic Opportunities Continue to Grow in Myanmar, Bulletin, May 30, 2014 IHRPS.

2011. Education in Transition: A Preliminary Study of Capacity Development for Civil Society Actors in

Burma/Myanmar. Institute for Human Rights and Peace Studies. Mahidol University. Study funded by SIDA ICG. 2001: Myanmar, The Role of Civil Society. International Crisis Group Asia Report, No 27, 6 December, 2001. Human Rights Watch. 2013 World Report on Burma Kachin News Group, Burma Army Exhorts Money from miners in Hpakant, January, 2014 MEITI Candidacy Application. 2014. MEITI Secretariat, MDRI. Ministry of Energy. 2014 Draft Energy Policy, Republic of the Union of Myanmar Ministry of Mines, 2012. Policies and Regulations Toward a Sustainable Mining Development. Power Point presentation, Republic of Union of Myanmar Ministry of Mines, 2013. Current Mineral Activities in Myanmar. Geological Survey PP Presentation. Department of Mines, Republic of the Union of Myanmar MOGE, 2013. Myanmar Oil and Gas Enterprise. PP Presentation.

႕

160

Myanmar Centre for Responsible Business. 2014. Draft for Distribution: Sector--‐Wide Impact Assessment (SWIA)of y

’

&

0

Myanmar Legal Services. 2012 Online PP Presentation on legal and regulatory framework in Myanmar. Myanmar Times. Illegal Mining Takes its Toll, January 2014 OECD. 2013. Multi-dimensional Review of Myanmar, Volume 1, Initial Assessment Pa-O. 2009. Robbing the Future. Pa-O Youth Organisation, Burma Petrie, C., South, Ashley. 2012. Mapping of Myanmar Peace building Civil Society. PRIO Paper. Oslo: Peach Research Institute Oslo, 2012. Proximity Designs. 2013. Creating a Future for Myanmar: Using Natural Resources for new Federalism and Unity. Harvard Ash Centre. y

0

y

y

’

Republic of the Union of Myanmar, Policies and Laws: Mining Sector: The Foreign Investment Law, 2012 and Rules 2013; Gemstone Law, 1995; Mining Law 1995 and Rules, 1996; Pearl Law, 1995; Salt Enterprise Law, 1992 Petroleum Sector: Petroleum Law, 1937; Model PSC; Energy Policy (Draft), 2013. v

0

w

y

’

v

y www.rwi.org.

Shwe Gas Movement. 2013. Good Governance and the Extractive Industry in Burma. South China Post, Dragon on the Doorstep, May, 2014 0

y

’

Thomas, J. 2012. New Era for Myan

w ’

v

0

y www 0

v

y

v

’

Borderlands. USGS, 2013. 2011 Burma Minerals Year Book. United States Geological Survey USGS, 0

0

’

v

Vanderbruggen, Edwin.

w

v y y

’

? V

L

Note, March 2014. Wyn, Cho Cho. New FDI Law and new Opportunities fo

v

y

’

w

v

L w

sector. Ministry of Investment and Company Registration, 2013 World Economic Forum. 2013. New Energy Architecture: Myanmar

႕

161

၃ 0

’

Curse: The Case for Revenue Transparency in the Oil and Gas Sector. Arakan

Oil Watch Bissinger, Jared. 2012. Foreign Investment in Myanmar: A Resource Boom but a Development Bust? Contemporary Southeast Asia Vol. 34, No. 1, pp. 23–52 Buchanan, John, Tom Kramer, and Kevin Woods.2013. Developing Disparity. Regional Investment in ’

y 0

.

Deed. Stuart. Foreign Direct Investment in Myanmar Climbs Again. Myanmar Times, September, 2010 Gaung, Juliet Shwe. FDI jumps by more than half in July, says CSO. Myanmar Times, Monday, 18 October, 2010 Eleven Media Group, Explosions Rock Shan State Town, May 2014 Eleven Media Group, Kachin Meeting on Violence and Displaced People, May 2014 Governor of the Bank for Myanmar. 2013. Statement by the Hon. U WIN SHEIN, WBG Annual Meeting IMF. Country Report, 2013. International Monetary Fund. International Crisis Group (ICG). 2012. Myanmar: The Politics of Economic Reform. Asia Report, International Crisis Group, July 27, 2012. w

0

’

v

w

w

y

J y

17, 2013. MEITI Candidacy Application, MEITI Secretariat, May 2014 Oo Naing, Aung. 2013. Investment Policy Reform in Myanmar Power Point Presentation, Deputy Director General Directorate of Investment and Company Registration, May, 2013 Oo Naing, Aung. 2013. OECD Investment Policy Review of Myanmar, Director General, Department of Investment and Company Registration, Ministry of National Planning and Economic Development. October, 2013 y

0

y

y

’

y

J y

0

Spectrum. 2013. Pre-scoping study on implementation of EITI in Myanmar. Yangon: Spectrum World Bank Group. 2012. Republic of the Union of Myanmar Public Financial Management Performance Report Executive Summary March 2012

’ L

y

0

Losing Ground: Land Conflicts and collective action in Eastern Myanmar. Karen Human Rights Group. March 2013.

႕

162

Robbing the Future: Russian-backed Mining Project Threatens Pa-O Communities in Shan State, Burma. By the Pa-O Youth Organisation, 2009. Pipeline Nightmare: Shwe ’

v w

’

Y

y

v 0

Natural Resources and Subnational Governments in Myanmar, MDRI/The Asia Foundation, June 2014-06-27 w

’

y

w

2012. y

’

0

y

Subnational Governments and Business in Myanmar: Feb 2014. MDRI/Asia Foundation State and Region Governments in Myanmar: September 2013. MDRI/Asia Foundation ’

y

0

Burma: Insurgency and the Politics of Ethnicity, Martin Smith, 1991 w

“

y

Yadana Gas Pipeline in Military-

v

”

Total Impact: The Human Rights,

’

00

v

v

’ Y

j

Military-Ruled Burma, September 2009.

၅ y

’

w

y

y

’

omic

reform (Chapter Title), Chapter written by Aung Min and Toshihiro Kudo, Book edited by Hank LIM and Yasuhiro YAMADA, Published

in

2014

by

Bangkok

Research

Center,

IDE-JETRO,

Bangkok,

Thailand.

(Web

Link-

http://www.ide.go.jp/English/Publish/Download/Brc/13.html) The EITI 2013 Standard, EITI International Secretariat July 2013. Myanmar Ministry of Energy website, http://www.energy.gov.mm. June 2014 z

“

v

y

v

y

” L

v w

0

2013, Melinda Tun. The Republic of the Union of Myanmar, Ministry of Mines, Department of Mines brochure. Ministry of Mines website, http://www.mining.gov.mm. Accessed June, 2014 Myanmar Gems and Jewellery Entrepreneurs Association, http://www.mgjea.org. June, 2014 Ministry of Mines, Department of Mines brochure, Organization Chart of the Ministry, Legal Framework, Investment Information, Procedures for the Foreign Investment in Mining Sector. Myanmar Foreign Investment Law promulgated on 30th November 1988 and 2nd November 2012.

႕

163

Republic of the Union of Myanmar Procurement Assessment Report, the Electric Power Sector (Ministry of Electric Power and Ministry of Energy), The World Bank, 2013. International Development Association Project Appraisal Document on a Proposed Credit to the Republic of the Union of Myanmar for a Modernization of Public Finance Management Project, the World Bank, February 2014. US Energy Information Administration (EIA), Country Analysis Note, Myanmar website. Last visited June 14, 2014. The Republic of the Union of Myanmar, Ministry of Mines, 11th International Conference on Mining at Chiang Mai Session “

L w”

Chandler & Thong-

L w

L

v

0

“ y

v

Z w &

”

y

v

”

“

y

w

st 2013.

y

L w &

-General, 2013. y

“

”

0

Ministry of National Planning and Economic Development, Directorate of Investment and Company Administration, website. y

y

’

J y 0

European Union with the support from the Int

“

v

Cooperation Instrument, Strengthening Policy Development to meet MDGs in Burma/Myanmar, Environmental and Land Component, The Extractive Industries Transparency Initiative (EITI) Options Study, MEITI Guidebook (Draft Version), October, 2013. v

v

“

y

”

2012. v

y

v

“ y

’

q

w

y w

”

y

Dyveke Rogan, 31 March 2014. EITI website. “

y

”

The State Law and Order Restoration Council The Myanmar Mines Law (The State Law and Order Restoration Council Law No 8/94) The 2nd Waxing Day of Tawthalin, 1356 M.E. (6th September, 1994). The Government of the Union of Myanmar, Ministry of Mines, The Myanmar Mines Rules, The 5th, Waning day of Nat taw 1358 M.E ( 30th, December, 1996 ). The Government of the Unio

y

y

“

v

y

”

w

presentation, Presented by U Kyaw Thet Director of Department of Mines, June 2012. v

y

y

“

y

L w ”

w

presentation, Presented by U Kyaw Thet Director of Department of Mines. Ministry of Energy, 2011-2012 Oil and Gas Companies Information, excel file 2011.

႕

164

၆ The EITI 2013 Standard, EITI International Secretariat July 2013. Myanmar Ministry of Energy website, http://www.energy.gov.mm. June 2014. Myanmar Gems & Jewellery Entrepreneurs Association brochure. 0

y

’

y

y

evelopment Research Institute (MDRI), May

2014. Extractive Industries Transparency Initiative, Checklist for EITI Scoping & Feasibility Studies. “ y

y 0

Myanmar Gems and Jewellery Entrepreneurs Association, http://www.mgjea.org. June 2014 Ministry of Mines website, http://www.mining.gov.mm. June, 2014 PWC, Myanmar Business Guide, February 2014 Ministry of Mines, Department of Mines brochure, Organization Chart of the Ministry, Legal Framework, Investment Information, Procedures for the Foreign Investment in Mining Sector. Ministry of Energy, Standard terms and Conditions of Production Sharing Contract for Offshore Blocks as of 09-07-2012. Ministry of Energy, Standard terms and Conditions of Production Sharing Contract for Deep Water Blocks as of 09-072012. Ministry of Energy, Standard terms and Conditions of Production Sharing Contract for Onshore Blocks as of 09-07-2012. Standard Terms and Conditions of Improved Petroleum Recovery Contract for Onshore Blocks. Production Sharing Contract between MOGE and Total Myanmar Exploration and Production (Yadana Project), January 1992. Model Production Sharing Contract Total Oil and Gas website, Burma-live-from-Yadana. Last visited on 22nd of May, 2014. Production Sharing Contract for Appraisal, Development and Production of Petroleum in the Moattama area between Myanma Oil and Gas Enterprise and Total Myanmar Exploration and Production, 1992. Ernst & Young, 2014 Worldwide Corporate Tax Guide Myanmar. Ministry of Finance (MoF), Internal Revenue Department, Commercial Tax Law, 1990 (2011 updated), MoF webpage. Ernst & Y

“ y

-

y

“L

y

“J w

y

” -

w

L w”

” 0

v y

0

w

0 -25, 2014.

ite.

IFRS Jurisdiction profile: Myanmar, last updated 5 June 2013. v

“ y

y

”

0

႕

165

y y

y ”

y

w

“

y

V

w

y

tor in nd

y

JCCP International

Symposium, January 2014.

၇ w

v

’

y

’ ”

w

L

j

”

w

00

High and Dry: the cross-

y “

v

w -torn Shan J y 00

Shan Sapawa Environmental Organisation. 2006. Warning Signs: An

w

’

Shan State, 2006 Asian Development Bank Myanmar - Energy Sector Initial Assessment Myanmar National Energy Policy 2013 Ledec and Quintero. 2003. Good Dams and Bad Dams: Environmental Criteria for Site Selection of Hydroelectric Projects Sustainable Hydropower – Information and Communication on Good Practice. Hydro Tasmania

၈ Asian Development Bank, 2012. Core Environmental Programme, ADB Thailand Regional Office. Asian Development Bank, 2012. Myanmar in Transition. Asian Times. Land Grabbing As Big Business in Myanmar, March 2012 v

0

’

v

J

0

www.bewg.org Constitution of the Union of Myanmar, 2008, Republic of the Union of Myanmar. Environment Conservation Law, 2012. Republic of the Union of Myanmar. Environmental Conservation Rules, 2012. Republic of the Union of Myanmar Environmental Impact Assessment Procedure, 2013. Republic of the Union of Myanmar, Dec., 2013 FESR-2012. Framework for Economic and Social Reforms, Republic of the Union of Myanmar Foreign Investment Law, 2013. Republic of the Union of Myanmar. Foreign Investment Rules, 2013. Republic for the Union of Myanmar. Human Rights Watch. 2012. World Report Burma Chapter International Labour Organisation. ILO in Myanmar, 2013. www.ilo.org Invest in Myanmar. 2013, The Myanmar Investment Guide. www.investinmyanmar.org. International Rivers. 2011. Environmental Impact Assessment of the Myitsone Dam. www. Internationalrivers.org

႕

166

Irawwaddy, The. Maday Deep-Sea Port No Boon to Locals, March, 2011 Kachin Development Networking Group. 2007. Gold Mining and

’

w

V

y

Mines and Communities: Various Articles Relating to Community Issues in Myanmar regarding Negative Impacts of Mining. www.minesandcommunities.org Mines Law, 1994. Republic of the Union of Myanmar Myanmar Times, The. Failing Land Policy in Burma, November 2012 Pa-O Youth Movement. 2009. Robbing the Future. PRI, Radio. 2013. Labour Laws Strengthened in Myanmar, but Workers Still Struggle, September 2013 Shwe Gas Movement. 2013. Drawing the Line – The Case Against China’

w

j

UNESCO, 2013. Country Programming Document for Myanmar, 2013-2015, United Nations Educational, Scientific and Cultural Organisation, Bangkok UNESCO office. World Bank Group, 2012. Human Development Indicators for Myanmar. data.worldbank.org/country/myanmar

႕

167

၂ No.

Organization

Region/State

Township

Mineral Type

1

Myanmar Porcelain & Earthenware Enterprise

Ayeyarwady

Kyankin

Limestone (industrial raw)

2

Myanmar Porcelain & Earthenware Enterprise

Ayeyarwady

Kyankin

Limestone (industrial raw)

3

Myanmar Porcelain & Earthenware Enterprise

Ayeyarwady

Ngapudaw

Glass Sand

4

Ayarwaddy Myit Phyar Co. Ltd

Kachin

Moe Mauk

5

Htoo International Industry Group Co., Ltd.

Kachin

Wai Maw

Iron Ore

6

San Linn International Export, Import Co.Ltd

Kachin

Wai Maw

Limestone (Industry)

7

Kayah State Mining Co. Ltd

Kayah

Hpasaung

Tin + tungsten

8

Mayflower Mining Enterprise Ltd.

Kayin

Myawadi

Zinc

9

Myanmar Economic Cooperation

Kayin

Hpa-an

Limestone(Industrial Raw Material)

10

No.(1) Cement Factory (Myaing Kalay)

Kayin

Hpa-an

Iron Ore

11

No.(1) Cement Factory (Myaing Kalay)

Kayin

Hpa-an

Clay

12

No.(1) Cement Factory (Myaing Kalay)

Kayin

Hpa-an

Clay

13

Tha Byu Mining Co. Ltd

Kayin

Kya-In-Seik-Kyi

Antimony

14

Silver Lion Mining Co. Ltd.

Kayin

Hpa-an

Granite

15

United Cement Co. Ltd

Kayin

Hpa-an

Limestone(Industrial Raw Material)

16

Mayflower Mining Enterprise Ltd.

Kayin

Kya-In-Seik-Kyi

Coal

17

Mayflower Mining Enterprise Ltd.

Kayin

Kya-In-Seik-Kyi

Coal

18

Mayflower Mining Enterprise Ltd.

Kayin

Kya-In-Seik-Kyi

Coal

19

Myanmar Porcelain & Earthenware Enterprise

Magway

Thayat

Limestone(Industrial raw)

20

No (3) Heavy Industries Enterprise

Mandalay

Mattaya

Marble

21

No (3) Heavy Industries Enterprise

Mandalay

Myitthar

Marble

22

No (3) Heavy Industries Enterprise

Mandalay

Kyaukse

Marble

23

Myanmar Golden Point Family Co. Ltd.

Mandalay

Patheingyi

Gold

႕

168

No.

Organization

Region/State

Township

Mineral Type

24

Union of Myanmar Economic Holdings Ltd.

Mandalay

Kyaukse

Limestone

25

No(3) Heavy Industries Enterprise

Mandalay

Kyaukse

Limestone

26

No(3) Heavy Industries Enterprise

Mandalay

Myitthar

Seldspar

27

Myanmar Economic Cooperation

Mandalay

Mattaya

Marble

28

U Taw Taw and Sons Co. Ltd

Mandalay

Mattaya

Marble

29

No(3) Heavy Industries Enterprise

Mandalay

Pyin Oo Lwin

Bauxite

30

No(3) Heavy Industries Enterprise

Mandalay

Thazi

Seldspar

31

No(3) Heavy Industries Enterprise

Mandalay

Kyaukse

Iron Ore

32

No(3) Heavy Industries Enterprise

Mandalay

Thazi

Seldspar

33

Union of Myanmar Economic Holdings Ltd.

Mandalay

Sint Gaing

Granite

34

UE Export and Import Co.Ltd.

Mandalay

Kyaukse

Limstone

35

Max Myanmar

Mandalay

Lewe

Limestone

36

Htoo International Industry Group Co., Ltd.

Mandalay

Thazi

Limestone

37

Myanmar Naing Group Co. Ltd.

Mandalay

Thazi

Limestone

38

Madalay Cement Industries Co. Ltd.

Mandalay

Kyaukse

Limestone

39

Shwe Taung Mining Com.Ltd

Mandalay

Thazi

Limestone

40

Myanmar Naing Group Co. Ltd.

Mandalay

Kyaukse

Limestone

41

Triple A Cement International Co. Ltd.

Mandalay

Kyaukse

Limestone

42

Green Asia LTD

Mandalay

Thazi

Limestone

43

Tet Lu Investment Group Industry Company

Mandalay

Sint Gaing

Limestone

44

Tet Lu Investment Group Industry Company

Mandalay

Thazi

Limestone

45

Tet Lu Investment Group Industry Company

Mandalay

Thazi

Limestone

46

Tet Lu Investment Group Industry Company

Mandalay

Thazi

Limestone

47

Tet Lu Investment Group Industry Company

Mandalay

Thazi

Limestone

48

Tet Lu Investment Group Industry Company

Mandalay

Thazi

Limestone

49

Directorate of Defence Industries

Mandalay

Pyin Oo Lwin

Iron Ore

50

Directorate of Defence Industries

Mandalay

Patheingyi

Limestone

51

No(3) Heavy Industries Enterprise

Mandalay

Kyaukse

Glass Sand ႕

169

No.

Organization

Region/State

Township

Mineral Type

52

No(3) Heavy Industries Enterprise

Mandalay

Kyaukse

Limestone

53

NayPyitaw City Development Committee

Mandalay

Lewe

Limestone

54

Good Brothers Missionary Company

Mandalay

Pyin Oo Lwin

Limestone

55

Triple A Cement International Co. Ltd.

Mandalay

Kyaukse

Limestone

Mandalay

Pyin Oo Lwin

Barytes

Mandalay

Pyin Oo Lwin

Barytes

Edin Energy and Natural Resources Development 56

Co. Edin Energy and Natural Resources Development

57

Co. Edin Energy and Natural Resources Development

58

Co.

Mandalay

Pyin Oo Lwin

Barytes

59

Myanmar National Prosperity Public Co. Ltd

Mandalay

Yamethin

Gold

60

Shwe Moe Yan Co. Ltd

Mandalay

Yamethin

Gold

61

No(1) Heavy Industries Enterprise

Mandalay

Thazi

Limestone

62

Mandalay Cement Industries Co. Ltd.

Mandalay

Kyaukse

Limestone

63

Shwe Pauk Pauk Mining Co. Ltd.

Mandalay

Thazi

Coal

64

Shwe Pauk Pauk Mining Co. Ltd.

Mandalay

Thazi

Coal

65

Union of Myanmar Economic Holdings Ltd.

Mon

Bee Linn

Granite (Decoration)

66

Union of Myanmar Economic Holdings Ltd.

Mon

Bee Linn

Granite (Decoration)

67

Union of Myanmar Economic Holdings Ltd.

Mon

Kyaikhto

Granite (Decoration) Limestone

(Industrial

Raw

68

Myanma Swan Pakar Industrial Company

Mon

Kyaik Mayaw

Material)

69

Zon Industrial and Production Ltd (?)

Mon

Kyaik Mayaw

Limstone (Industrial Raw Material) Limestone

70

Pacific Link Cement Industry Ltd.

Mon

Kyaik Mayaw

(Industrial

Raw

(Industrial

Raw

Material) Limestone

71

Farmer Pho Yarzar Mining Co. Ltd.

Mon

Kyaik Mayaw

Material)

72

Max Myanmar Co. Ltd.

Naypyidaw

Lewe

Limestone(Industry)

73

Naypyidaw Development Committee

Naypyidaw

Lewe

Limestone(Industry) ႕

170

No.

Organization

Region/State

Township

Mineral Type

74

SumcoSong Da Joint Stock Company

Rakhine

Taung Koke

Marble

75

Union of Myanmar Economic Holdings Ltd.

Sagaing

Sar Lin Gyi

Copper

76

Htoo International Industry Group Co., Ltd.

Sagaing

Kalaywa

Coal

77

Tun Twin Mining Co. Ltd.

Sagaing

Kalaywa

Coal

78

Union of Myanmar Economic Holdings Ltd.

Sagaing

Kalaywa

Coal

79

Asia World Industries and Mining Co. Ltd

Sagaing

Maw lite

Coal

80

Yangon City Development Committee

Sagaing

Maw Lite

Coal

81

Union of Myanmar Economic Holdings Ltd.

Sagaing

Sar Lin Gyi

Copper Mineral

82

Myanmar CNMC Nickel Co,LTD

Mandalay/Sagaing

Thabeikkyin/Htee Chike

Nickel

83

Dagon Mining Co. Ltd

Sagaing

Maw Lite

Coal

84

Shwe Taung Mining Co. Ltd.

Sagaing

Kalaywa

Coal

85

Lay Oo Group Mining Co. Ltd.

Sagaing

Maw lite

Coal

86

Max Myanmar Co. Ltd.

Sagaing

Kalaywa

Coal

87

Htoo International Industry Group Co., Ltd.

Sagaing

Kalaywa

Coal

88

Tet Lu Investment Group Industry Company

Sagaing

Maw Lite

Coal

89

Asia World Industries and Mining Co. Ltd

Sagaing

Maw Lite

Coal

90

Mandalay Distribution and Mining Co. Ltd

Sagaing

Maw lite

Coal

91

Asia Phyo Mining Co. Ltd

Sagaing

Kanbalu

Limestone

92

Htarwara Mining Company

Sagaing

Kawlin

Gold

93

Myanmar Economic Cooperation

Shan (East)

Mongsat

Coal

94

Triple A Cement International Company Ltd

Shan (North)

Thi Paw

Coal

95

Myanmar Economic Corporation

Shan (North)

Lashio

Gypsum

96

UE Export Import Company Ltd

Shan (North)

Thi Paw

Coal

97

Win Myint Mo Industry Company Ltd

Shan (North)

Namatu and Lashio

Lead-Zinc Mixed Mineral

98

Linn Pyae Mining Company Ltd

Shan (North)

Naung Cho

Lead-Zinc Mixed Mineral

99

Ngwe Yi Pa Le' Mining Company

Shan (North)

Thi Paw

Coal

100

Asein Yaung Byuu Har Mining Company

Shan (North)

Namn Kham/Kut Khaing

Quartz

101

Tet Lu Investment Group Industry Company

Shan (North)

Naung Cho

Iron Rich Bauxite ႕

171

No.

Organization

Region/State

Township

Mineral Type

102

Mine Htet Company

Shan (North)

Tant Yan

Coal

103

Mine Htet Company

Shan (North)

Lashio

Coal

104

Padamya Ooyin Mining Company

Shan (North)

Lashio

Coal

105

Ngwe Yi Pa Le' Mining Company

Shan (North)

Kyauk Mae

Iron Rich Bauxite

106

Ngwe Yi Pa Le' Mining Company

Shan (North)

Naung Cho

Limestone (Industry)

107

Ngwe Yi Pa Le' Mining Company

Shan (North)

Tant Yan

Coal

108

Ngwe Yi Pa Le' Mining Company

Shan (North)

Thi Paw

Gypsum

109

Ngwe Yi Pa Le' Mining Company

Shan (North)

Lashio

Coal

110

Defense Industry

Shan (North)

Lashio

Coal

111

First Resource Co. Ltd

Shan (North)

Thi Paw

Gypsum

112

Htun Khwe Paw Industrial Company

Shan (North)

Kyauk Mae

Coal

113

Dragon Cement Co., Ltd.

Shan (South)

Panglong

Industrial Limestone

114

Cornerstone Resources (Myanmar) Ltd.

Shan (South)

Mine Pon

zinc

115

Shan Yoma Nagar Co., Ltd.

Shan (South)

Panglong

Coal

116

No (3) Heavy Industries Enterprise

Shan (South)

117

Lay Oo Group Mining Co. Ltd.

Shan (South)

Ywangan

Coal

118

Top Ten Star Production Co. Ltd.

Shan (South)

Kalaw

Lead Enriching

119

Ngwe Yi Pa Le' Mining Company

Shan (South)

Yat Sauk

Coal

120

KBZ Industries Ltd.

Shan (South)

Taunggyi

Industrial Limestone

121

San Pya Industry Co., Ltd.

Shan (South)

Ywangan

Barytes

122

Asia World Co. Ltd

Shan (South)

Kalaw

Gold

123

GPS Joint Venture

Shan (South)

Kalaw

Lead mixture

124

Dragon Cement Co., Ltd

Shan (South)

Nam Sam

Coal

125

Myanmar Economic Corporation

Tanintharyi

Tanintharyi

Coal

126

Myanmar Pongpipat Company

Tanintharyi

Dawei

Tin + Tungsten

127

Myanma Tin - Tungsten Company

Tanintharyi

Tanyintharyi

Tin + Tungsten

128

Ngwe Kabar Myanmar Company Ltd

Tanintharyi

Pa Law

Tin + Tungsten

Mauk Mai

Gypsum

႕

172

No.

Organization

Region/State

Township

Mineral Type

129

ANA

Tanintharyi

Ye Phyu

Tin + Tungsten

130

Myanmar Porceline & Earthenware Enterprise

Tanintharyi

Bote Pyin

Maganese

131

Ngwe Tun Taut Company

Tanintharyi

Dawei

Tin + Tungsten

132

Production Development Creating Limited (?)

Tanintharyi

Ye Phyu

Tin + Tungsten

133

Mayflower Mining Enterprise Ltd.

Tanintharyi

Dawei

Coal

134

Mayflower Mining Enterprise Ltd.

Tanintharyi

Dawei

Coal

135

Mayflower Mining Enterprise Ltd.

Tanintharyi

Dawei

Coal

136

Than Phyo Thu Mining Co. Ltd

Tanintharyi

Bokpyin

Coal

137

Mayflower Mining Enterprise Ltd.

Tanintharyi

Dawei

Coal

138

Mayflower Mining Enterprise Ltd.

Tanintharyi

Hta Wei

Coal

139

Mayflower Mining Enterprise Ltd.

Tanintharyi

Dawei

Coal

140

Sein Nga Man Mining Company Ltd.

Tanintharyi

Tanyintharyi

Tin + Tungsten

141

Ngwe Kabar Myanmar Company Ltd

Tanintharyi

Kyun Su

Tin + Tungsten

142

24 Hour Mining Co. Ltd.

Tanintharyi

Tanyintharyi

Limestone

႕

173

၃ Terms of Reference Institutional and regulatory assessment of the extractive industries in Myanmar January, 2014 Analytical Context Studies have shown that when governance is good natural resources can be an important engine for growth and sustainable development. On the other hand, when governance is poor, countries dependent on these resources are disproportionately susceptible to poverty, corruption and conflict. For countries with extractive industries, a central developmental challenge is how to turn the resource curse into a resource blessing. Broad agreement exists on the appropriate macroeconomic and technical policies and institutional mechanisms to put in place to manage the resource paradox successfully. But it is also recognized that the key determinants of success for countries rich in extractive industries are the overall governance framework and the political economy of rent extraction and natural resource management. The Extractive Industries Transparency Initiative (EITI) is a global reporting standard which promotes greater transparency and accountability in extractive industries through reporting of government revenue collection, analysis of industry structures and facilitation of stakeholder consultation. Thirty-nine countries are members of EITI, of these 23 are fully compliant while 16 are candidate countries. Initiated in 2001, EITI has grown in reach and importance as a measure for improving extractive industries governance and helping countries manage the resource paradox. Several developed economies, including Australia, Germany, and the US are piloting or working toward EITI candidacy. In 2013 the reporting requirements were expanded. y

’

In less than two years, Myanmar has undergone unprecedented political and economic reforms. Elections were held in December 2010 and a mostly civilian government took office in March 2011. The new Government has embarked on a range of political and economic reforms aimed at attaining national reconciliation, improving political and economic governance, re-integration of Myanmar with the global economy, and economic development. Key reforms include agreements with non-state armed opposition groups, release of political prisoners, free by-elections, the first ever open parliamentary discussions of the budget, near elimination of the previously very stringent controls on ႕

174

media and public expression, and a general push for enhanced transparency and accountability of government. These changes are dramatic but there is much to be done. Myanmar has suffered from decades of authoritarian military rule, the longest running civil wars in the world, entrenched rural poverty, and mistrustful state – society relations. The country has among the worst social indicators in Asia, GDP per capita is between $800 and $1,000, and perceptions of corruption surveys rank the country as the second most corrupt in the world. The reform is still fragile and has yet to translate into improved well-being for citizens, amid high expectations. Improved economic governance will play an essential role in securing the success of the reform process, credibility for the government, and translating reform into socio-economic gains for the j

y

y

’

w

including oil, gas, mining, and gemstones. Currently these sectors officially account for an estimated 35% of total exports, most of which attributed to gas. With the commencement of new gas operations during 2013, the contribution from extractives to total export is expected to exceed 50%. This does not account for large, unreported earnings from the gem trade. Current off-shore gas production is estimated at 1,200 million cubic feet (MCF) per day, of which 900 MCF is exported. Central Statistical Office reported total sales figures in an amount of US$ 3.5 billion in 2011-12. 2013 is expected to see new gas fields coming into production at a rate of 800 MCF per day. The bulk of earnings come from the Yadana and Yetagun off-shore gas fields which export gas directly to Thailand. A newly constructed gas and crude oil pipeline from near Sittwe to Yunnan was inaugurated in July, 2013, to export gas from the Shwe fields. All operations are guided by standard Production Sharing Contracts in which government revenue is to be collected from (a) sign-on bonus, (b) royalty, (c) production split, and (d) taxes. These contracts are managed by Myanmar Oil and Gas Enterprises, a state owned company. Gemstone sales are considered to be the second-most important revenue stream for government although exact figures are not available. Presently, mining activities are conducted in a limited scale with reported export figures in 2011-12 of some US$ 70 million. Notwithstanding, the number of operators is large with an estimated 2,500 gemstone licenses plus an additional 1,500 active mining licenses. At the same time, investor interest indicates that a strong surge in activity can be expected over the coming years.

႕

175

Although an important source of government revenue, impacts from the extractive sector on the local economy are less notable since employment creation in the industry is limited and supply of oil and gas for the domestic market does not meet the actual and potential demand (e.g. national electrification rate is less than 25%). Further, oil, gas, and mining have been frequently subject of allegations of lack of transparency and accountability, due to the lack of publicly available information about contracting arrangements, payments made by companies, volumes of revenues received, and destination of revenues and extent to which revenues are included in budget. In addition, joint venture companies owned by the Myanmar military have participating interests, y

y

y

y

y

’ w

es are concentrated in

’

v w

v

fuelled generations of conflict. Government Commitment In December 2012, the Myanmar Government announced its intention to implement the EITI. This constitutes a welcome step in improving governance in Myanmar. Not only will compliance with EITI provide an unprecedented level of transparency with regard to revenues, it will provide a platform for discussion of larger policy goals with regard to accountable development of mineral and hydrocarbon resources and the use of the revenues earned from their extraction. As investment increases and mineral and hydrocarbon exploitation rises, it is of great importance that the extractive industries in Myanmar are subject to an accounting process which transparently records the licensing procedures and reports the flow of funds from companies to central or local authorities. Such a system would v

y

’

v

collection, support the national dialogue

on development of natural resources, and enhance the credibility of the reform process. Since the public announcement, there has been substantial progress toward EITI candidacy, and the President and leading Cabinet ministers continue to make strong statements of support the EITI. A cabinet-level Leading Authority has been established to oversee the implementation of the EITI, ’ L

y

ead ’

y

Finance and Revenue, (iii) the Ministry of Energy, (iv) the Ministry of Mines, and (v) the Ministry of Environmental Conservation and Forestry. The Center for Economic and Social Development under Myanmar Development Resources Institute (MDRI-CESD) was asked by the President to take on the role as Coordinator to implement all the necessary tasks required to form the MSG and accomplish other

EITI-related

objectives.

MDRI-CESD

has

established

a

Myanmar

EITI

office

and

appointed/recruited an EITI team. Capacity and knowledge of EITI within the MDRI team has ႕

176

deepened significantly. MDRI has undertaken a continuous stream of meetings, formal and informal, with Government, civil society, and operators in order to build awareness, maintain support, and complete the steps necessary for Myanmar to become a candidate. In addition civil society, with support from Pyoe Bin and Revenue Watch Institute, has undertaken a wide range of outreach and w

v

v

y

’

y

v

media. It is anticipated that the MSG will hold its first meeting in early January2014. Civil society has created a representative national structure for the purposes of selecting MSG representatives. In July 2013 Government appointed a Working Committee of high level officials to progress EITI candidacy and it is anticipated that this will form the basis of Government representation on the MSG. The Working w

y

’

Deputy Minister of Finance, Dr. U Maung Maung Thein is chair of the Working Committee. Operators have selected their representatives to the MSG. Work has started on a TOR for the MSG. It is anticipated that Myanmar will prepare its candidacy application to target the March or June 2014 EITI Board meeting, and that the October Board meeting will be held in Myanmar. The World Bank, together with DfID, is the lead source of international support to EITI in Myanmar, providing advice on task planning, sequencing, and technical matters to MDRI, as well as coordinating overall donor support to EITI through informal monthly donor meetings. With funding from DfID, the World Bank is also recruiting high-level technical expertise to carry out a series of studies, including Scoping Study, Legal Review, and technical training. Purpose of the Assignment It is proposed to conduct an institutional and regulatory analysis of the extractive industries in Myanmar including hydrocarbon, mining, gemstone and hydropower. The outcome of the study is expected to be an improved understanding of the political economy context and the value chain of moving mineral deposits to the market, including the various drivers that stand to influence EITI implementation and extractive sector governance in general. The analysis will be designed and conducted jointly with MDRI and draw on a recent political economy analysis conducted by the Pyoe Bin, a civil society strengthening project funded by DfID. The output will be a report. 1. Scope of work The consultant will undertake a political economy analysis, focused particularly on institutional and regulatory

v

y ႕

“

v 177

V

” y

y y

w

v

“

-

”

y

full scoping study once the MSG has been established and taken decisions on the scope of EITI in Myanmar, based on the Options Study. The EI value chain is focusing on: 1. Transparent, non-discretionary award of extractive contracts, including assessment of land issues related to extractive contracts; 2. Good practices in legal, contractual, regulatory, and institutional frameworks, including continuous capacity building for monitoring and regulatory compliance; 3. Sound and fair fiscal practices for the collection of taxes and royalties, including adequate administrative and audit capacity, internationally accepted accounting and reporting standards, and regular public reporting; 4. Fair and transparent allocation of revenue, including a macro/fiscal framework adapted to volatile and finite resources and a transparent savings mechanism;

5. Sustainable policies to safeguard the environment and maintain social priorities in the development of mineral resources to ensure they were used for the public good.

. The study will focus on institutional structures, revenue flows and reporting, award of licenses, monitoring of operations, redress and grievance mechanisms, domestic operators and ownership structures, informal as well as formal trade in gems and minerals, regulatory structures among nonstate armed groups, and interactions of operators, government, and civil society. The study will encompass hydrocarbons, minerals, gems, and hydropower as the areas proposed for EITI in Myanmar, and will look at the oper

y

’

w

y

L

MEC together with other domestic operators. For each area the consultant will provide an institutional and a stakeholder analysis as well as identifying the entry points and the existing reform space for an effective and fair revenue management of the sector. The consultant will work under the guidance of the World Bank task team and the MDRI EITI team. ႕

178

The consultant(s) specifically will examine: 

Baseline description

of hydrocarbons, minerals, gems, and hydro-power sectors, with

reference to approximate number of operators/license holders and planned operations. This will also document what the ownership structures are for operations in different sectors. 

Institutional analysis for each of the three industries – this include the formal regulatory, v

w

v

;

‘

’

w

regulations, institutional mandates) and informal (social norms, de facto practices), that shape the behaviour, interactions, incentive and power of the stakeholders in the sector. The analyses must consider award (and suspension) of licenses, negotiation and approval of contracts, monitoring and oversight of operations, tax administration, and community/ public relations. 

The institutional analysis will document the decision-making, both official and de facto, for each sub-sector and regulatory functions. What are the official procedures? Are they clear and known from the different stakeholders? Is there a clear chain of responsibility between the different public institutions? Who benefits from discretionary powers? How has sector governance changed since the start of the reform process in 2011? In this regard the assessment will also document ownership structures of both private sector operators and related SEEs, such as Myanmar Oil and Gas Enterprises and the SEEs under the Ministry of Mines. The assessment should also look institutional capacities and gap analysis in light of an expected rapid increase in investor interest and sector operations.



Revenue flow – how do payments of taxes, fees, royalties, and production shares move from operators to the Ministry of Finance/Treasury. This will include a review of contract arrangements, identify major points of leakage or underpayment and who benefits from these, and identify which payments stay within relevant ministries, authorized under which legal frameworks.



Provide an overview of MEC and UMEHL . These are military-owned holding companies, but treated as private enterprises by Government. This overview will include the scope of their investments in the extractive sectors, decision-making, governance structures, use of revenues (i.e. military pension funds), and accountabilities. Analysis will also include assessment of links formal and informal between companies, Ministry of Defense, and key decision-makers . Analysis of role of Ministry of Finance. Parliament, and the Office of the Auditor General and the Accountant General, with respect to the audit function. The study will look at existing capacities for tax administration and revenue collection. Moreover, the Consultant must assess ႕

179

the performance of audit, by whom, how frequently, and how used. The study will also examine the role of Parliamentary committees in providing oversight for extractive sectors and also interaction of voters, members of Parliament and state politicians vis-à-vis extractive sector, including the increasing demand for constituency services. 

Analysis will encompass the findings of the recent political economy study conducted by Pyoe Bin and discuss how the interests, views, and pressures brought to the EITI process by civil society will interact with those of other stakeholders. Review governance and regulatory arrangements at sub-national level and in the conflict affected areas. This will also include examining institutional, legal, and constitutional issues which may affect EITI and extractive industries at the sub-national level. It will further include how non-state armed groups have licensed, taxed, or overseen extractive industries, largely but not exclusively mining. At a minimum this should look at how two groups, preferably including the Kachin Independence Organization h interact with the extractive operations. This portion of the study should be well-coordinated with the conflict analysis conducted by MDRI in conjunction with International Alert.

Based on the above, the consultants will provide an analysis of implications for EITI and selected entry points for improved governance in the extractive sectors. This analysis will also include a review of how EITI fits into and strengthens the overall reform agenda. The analysis will assess whether institutional structures and regulatory agencies are in possession of sufficient capacity and information to answer the needs and questions of the EITI. The analysis should also consider prevailing incentive structures (formal and informal) in order to assess whether regulation and requirements are likely to be implemented. The consultant will take into account the potential political opposition related to each entry points, and include strategies for (i) navigating stakeholder opposition and shaping political constituencies of support; (ii) addressing the challenges associated with weak institutional capacity, and (iii) enhancing the participation of non-government stakeholders. The consultant will work closely with the World Bank task team and MDRI in developing methodology and carrying out study. In addition to the analysis and study report, the consultant must conduct two one-day seminars targeted the members of the National EITI Committee (and possibly other representatives with strong engagement in the Myanmar EITI). The agenda of the seminars will be agreed in consultation with MDRI and representatives from the EITI Committee. Topics to be covered may include: 1) Natural Resource Management, 2) Fundamentals of the EITI, 3) Regional and international ႕

180

experience of implementing the EITI, 4) Case stories of outcomes from EITI implementation, 5) Good practice of EITI communication strategies. The dates of the seminars will agreed as part of the initial planning, but tentative timing would be for the first seminar to take place as part of the first country visit, whilst the second would be conducted immediately before or after the workshop presenting the final report. 1. Methodology TBD in consultant technical proposal. 2. Skills and Experience Required The assignment will be undertaken by a team of specialists which comprise the following areas of expertise and experience: 

Oil and gas sector expertise



Mining sector expertise



Hydropower sector expertise



Advanced (masters) degree in political science, public policy or equivalent and not less than 8 years of proven experience in political economy analysis in natural resource-rich developing countries.



Extensive knowledge of relevant political economy literature with particular relevance to the political/institutional setting, legal, fiscal regimes, revenue management and governance in extractive resource-rich developing countries.



Proven knowledge of Myanmar, preferably with previous experience of political economy analysis



Strong knowledge and, experience, and network in extractive industries and preferably the EITI.



Ability to synthesize and organize complex information from various written and oral sources into a comprehensive, policy oriented document.



Understanding and commitment to ensure that the recommendations are operationally driven and meet the needs of EITI implementation and improved extractive industry governance in Myanmar.



Strong interpersonal and diplomatic skills, as well as proven ability to communicate orally and in writing effectively and credibly with senior government officials in developing countries.



Excellent written and spoken English are required.

႕

181

3. Organization of work and Bank supervision . 4. The contract will be administered directly by the World Bank, but will be carried out together with MDRI. The location

w

’

premises of MDRI-CESD in Yangon with travel to Naypyitaw, as deemed necessary. The Consultant will provide updates and report to MDRI-CESD with copies to the World Bank and DFID, which may be shared with other development partners supporting EITI in Myanmar. Deliverables and Timing 

First draft to be completed by – TBD



Full-day workshop presenting draft final report by TBD



Final report is to be available by TBD

5. Payment Schedule (covering fees and expenses) 

10% upon signing contract



40% upon receiving the first draft report



50% upon completion

႕

182

၂

၈

႕

183

၅ 91

Mineral

Occurrences/deposits

Total Reserves (P2-P4) – Millions Tonnes

91

Columbine Tantalite

5

0.0036

Coal

495

491.84

Gemstones

68

1.25

Copper

115

1997.3

Feldspar

24

0.865

Antimony

132

1.0

Chromite

43

0.08

Lead

291

44.09

Graphite

35

2.62

Tin/Tungsten

483

39.39/0.14

Gypsum

37

35.99

Zircon sand

11

31.48

Limestone

452

58818

Dolomite

41

37

Nickel

10

162.86

Fluorite

19

0.006

Phosphate rock

17

10.88

Baryte

72

1.70

Bauxite

26

274.9

Porzolan

6

651

Molybdenum

19

0.025

Manganese

52

10.9

Data from the Department of Geological Survey and Mineral Exploration, March 2012

႕

184

Mineral

Occurrences/deposits

Total Reserves (P2-P4) – Millions Tonnes

Kaolin

67

36.97

Bentonite

22

24.1

Glass Sand

39

131.14

Gold

341

66.11 (primary) 1240.2 (alluvial)

Platinum

19

32.52

Mica

30

0.0036

Quartz

47

83.05

Iron

393

495.42

Zinc

29

19.95

Heavy Mineral

14

0.026

Decorative Stone

93

52924

႕

185

၆

႕

186

႕

187

၇

႕

188

႕

189

႕

190

႕

191

႕

192

႕

193

႕

194

၈ ႕

႕ ၂ ” ” v

“

၂

၃

w

႕

“

L

႕

’

w

w

’

-

j

v

႕ v

“

y

J

0

”

႕

႕ ႕ ႕ “ ႕ ႕ ႕ ႕

႕ ႕

႕

”

႕

195

႕ ႕ ႕

၂

၃

“ ႕ ႕

႕ ” 92 ၂ ႕

႕

ES

႕

႕

႕

႕

႕ ႕

႕ ႕ ႕

႕

႕ ႕

92

Drawing the Line, p2.

႕

196

႕ ႕

႕ ႕ ႕

၂

၂

၈ ၉

၂ ၆

႕

႕ ၈၃ ႕ ႕

႕

႕

(၂

L ႕

႕

႕

L

(၂

၃ ႕

၅,

႕ ႕

႕

႕

႕

197

႕ ႕

႕

(၅ )

“

႕

” ႕

“

႕

(၆)

( )

႕ ႕

”

93

႕

႕

( )

႕

(၅၅ )

႕ ႕

႕

( ႕ ႕ L

ES

႕

L ႕

93

Pipeline Nightmare, page 6

႕

198

႕

႕

႕

႕

၂

၆

၂

၉

႕

႕

႕ ႕

႕ ႕

႕

႕ ႕

႕

၅၆ ၆

၂၆

႕

၇

၃ ၉၅

၉၆ , ၇

႕

၂၅

႕

၉၉

႕ ႕ ႕

၈

႕

၂ ၆၅

- y z

-

-

႕

-

&

-

y z

၅ ႕

၆

(၅) (၅) ႕

႕

႕

႕

199

႕

႕ ႕

႕

94

၃၅

႕ ႕ ႕ ႕

႕

႕

၂

၇

႕

႕ ႕

၂

၂

၆

႕ ၉၉

႕ ၂ ၉၉

၂

႕

႕

၂

၈

၆

၃

႕

94

Robbing the Future p15.

႕

200

95

႑

၃၅-၅ ႕

႕ ႕

၉၉

၉၉၅

႕

ES ႕

႕

၈ ႕

႕ ႕ ႕

96

Total

95

Valley of Darkness, page 15.

96

http://www.earthrights.org/campaigns/burma-project

v

႕

႕

201

၉

႑

႕ ၂

၃

(၂ ၃ ၈၃

၃ ႕

,၉၃

,၆၅၅

,၅၅၂

,၃ ၅ -

၂ ၈၆

၅ ၃

)

)

၅၂၅

)

၂၃ ၅

၅ ၃

) )

၆ ၅

)

24)

႑

၂

၃

Installed capacity

Firm capacity

Fuel

(MW)

(MW)

Energy (GWh)

Hydropower

2,780

986

13,872

Coal

120

27

600

Gas- MOEP

715

427

3,946

Gas- BOT

216.5

215

1,457

Totals

3,831.50

1,655

19,875

႕

202

35)

(from the ADB Energy Sector Initial Assessment Report, 2012)

႕

203

႑ ၂

႕ ႕

၃ ႕

႑ ႕

၂

႕

204

႕

205