EITI DRC AFrewatchMining tax Mining in DRC 

AFREWATCH suggests the inclusion of ETD and provincial declarations in the draft framework for EITI-DRC’s 2018-2019 reports

The African Natural Resources Observatory (AFREWATCH) has just published, during this month of August, its analysis note of the draft framework for the EITI-DRC reports 2018-2020. The latter must determine the scope of application of the EITI declarations process, the collection and declaration tools as well as the reliability of the data. The analysis note is focuses on two main points: – the mining royalty and the SICOMINES mining project. 

Regarding the mining royalty, AFREWATCH comments on the integration of provincial boards in the perimeter and believes that the DRC report would contain a big hole if the ETDs and the provinces do not declare.

“The draft scoping report clearly delineated the provinces whose mining projects will be included in the EITI-DRC reports 2018-2020, in all 9 provinces are concerned out of 26. This makes the task very simple for the TS because each province has one agency and some agencies are already making declarations to the EITI “, explains the AFREWATCH analysis note.

For the royalty collected in 2019, AFREWATCH believes that the DRC should not exclude ETDs and provinces from reporting, if not its report will be lacking in exhaustiveness.

“According to the CORDAID report, in 2019 the amount paid by mining companies of the mining royalty is 544,459,556 UDS2 … The total amount of the royalty represents 1/6 of 3.1 billion of the total revenue of the state in 2018, according to the draft Scoping report and the ETD royalty represents almost 2.1% of all revenue. By excluding ETDs and reporting provinces, the report will lack ‘completeness’, suggests the same analysis note.

In order to facilitate the collection of information, AFREWATCH offers two types of forms. These have been improved by other civil society organizations. They relate to the declaration of the fee collected and the projects financed from this fee by the ETDs.

In light of all these elements, AFREWATCH recommends that the provinces and ETDs be integrated as state entities invited to make the declaration for the EITI-DRC reports 2018-2020.

Note that it is the Executive Committee of the DRC, through the Technical Secretariat that this draft scoping report was produced. 

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