Mining companies supported the implementation of international accounting standards industry
October 27, 2014
October 23, Kyiv hosted the conference was focused on the application in Ukraine International Standard Extractive Industries Transparency Initiative, which Ukraine joined as a candidate country in October last year and pledged to implement rules which are in 2015. According to the mining companies such standard important for Ukraine, as do the rules work in transparent and understandable to investors.
At the same time EITI standard provides disclosure and administration of payments received from the mining companies, which allows more public control over financial revenues and expenditures of the target area. To the idea of mining companies joined profiling Association "Ukraine subsoil." In his speech, President Association of Roman Storozhev noted that Ukraine has European course of development and has signaled its intention to perform Transparency Initiative Extractive otrasley̆ (EITI), so should make all necessary efforts in order to meet international requirements.
"The implementation of EITI as an international standard will stimulate public dialogue of all interested parties on how should be the management of natural resources of Ukraine, development of mineral resource base. Government gets "tested" in other countries for the effective management dobyayuschey industry and tools for improving cooperation with foreign investors, improve processes conduct geological work on the fields, the introduction of technological innovations in the field of tax collection, and the result - increased stability in the sector "- said Storozhev.
Applying the principles of EITI impact also on social issues, people can get reliable information about the sector, local social infrastructure investments and the impact of certain companies on the environment. For example, in countries that have used standard EITI, to require public companies to report on income, including income from the sale of equity resources of the state; any expenditure on social services, public infrastructure or fuel subsidies. Or another example: if countries receive significant revenues from the transit of oil, gas or other resources, the government should disclose: income.
For speedy implementation of EITI principles in Ukraine must first provide a qualitative change legislation that can improve management practices and investment climate in the country as a result of projects related to mining. To note: only the oil and gas sector in terms of production 129 governing laws and regulations. Thus, on the one hand, there is the problem of improving the legislation under which the act authorized supervisory and regulatory bodies in the mining industry, and a reconciliation of basic legal terms of European and Ukrainian legislation.
On the other hand, the bureaucracy hinders the adoption of the main document area, namely, the new edition of the Code of mineral wealth, which could unite all legislative provisions mineral resources and ensure implementation of European standards transparent and understandable. To deal with bureaucratic provolchkami and establish open dialohs subsoil promised State Service of Geology and mineral resources, which has already started the process of public discussion of a new project of the issuance of special permits for subsoil use. For its part, the Office has opened the registers of subsoil users, a simplified procedure for access to geological information, Launching geographic information disclosure system will be tested a new procedure for issuing special permits (based on electronic auctions), is preparing a new procedure of inspection (based on criteria revision risk).
Support initiatives expressed Minenergouglya workers, members of the Multi-stakeholder groups for the implementation of the EITI, representatives of the parliamentary committee, the World Bank, experts diplomatic missions of the EU, the US, Germany, Norway, UK, Sweden and others. Mining companies in Ukraine, experts.
According to the deputy head of "Naftogaz Ukraine" Alexander Todiychuk, the issue of introducing standards of transparency Ukraine should focus on advanced countries - such as Norway. This position is supported by well-known expert, president of the Center for Global Studies "Strategy XX" Michael Potter, insisted on the highest level of political representation in government EITI (until authorized by the Cabinet for the implementation of the EITI is ex officio the Minister of Energy).
Participants noted significant assistance from NGOs, the International EITI Secretariat involved consultant bank. Alexei Orlov, director of the "democratic practice" International Fund "Renaissance", who for many years supported the EITI process in Ukraine, said that it is necessary to speak not only the challenges but also the success stories: for example, in transit and transportation of hydrocarbons included standard after EITI pilot group of countries, including Ukraine. And according to all the participants, the standard EITI should be the basis of the legal framework mineral resources industry, the basis of a new draft Code of mineral resources, and as a result - the basis of the investment policy of Ukraine in cooperation with mining companies.
October 27, 2014
Press office of the Association "Subsoil User's of Ukraine"