The movement for improved disclosure and anti-corruption regulations gained further attention and momentum in the U.S. Congress this fall, as the Extractive Industries Transparency Disclosure Act picked up new sponsors in the House and the Senate. RWI has pushed hard with Publish What You Pay US over the past year and a half to get this bill introduced and approved in Congress.
On September 24, Revenue Watch board members, partners and authors testified in two different Senate hearings in support of the EITD bill (S. 3389), which would require oil, gas and mining companies to publish payments to foreign governments in greater detail in annual SEC filings. Country-by-country reporting would shed much-needed light on an industry that operates in some of the most corrupt and unstable regions in the world. The ability of local communities to keep their governments honest will also help stabilize the nation, yielding safer investments and a more secure supply of resources for consumers.
The first hearing was chaired by EITD co-sponsor Senator Russ Feingold of Wisconsin of the Africa Subcommittee of the Foreign Relations Committee. Witnesses included RWI advisors Paul Collier of Oxford University and transparency and extractives expert David Goldwyn, who is also the author of Revenue Watch’s Drilling Down guidebook. RWI Director Karin Lissakers testified in support of the EITD bill earlier this year, at a legislative hearing of the Financial Services Committee.
Another co-sponsor, Senator Richard Durbin of Illinois, chaired the second hearing. Witnesses included Revenue Watch board member Bennett Freeman, Senior Vice President of Social Research and Policy, Calvert Group, as well as Simon Taylor, Director of Global Witness, a founding member of the Publish What You Pay coalition. The hearing focused on the human rights responsibilities of American oil, mining and gas companies operating in conflict zones or countries with repressive governments, and allegations that extractive industry companies have been complicit in human rights abuses in Burma, the Democratic Republic of Congo, Indonesia Nigeria, and other countries. Chevron and ExxonMobil were invited to represent the extractive industry, but declined the invitation.
The Senators attending both hearings appeared very supportive of the efforts of RWI, PWYP and other EITD supporters, and were receptive to David Goldwyn’s argument that a more unified governmental presence on transparency issues is needed to advance and protect America’s energy security.
Revenue Watch, Publish What You Pay and our partners have watched with excitement as the list of co-sponsors has grown for both the Senate bill its counterpart in the House of Representatives (H.R. 6066).
Though the meltdown in the financial markets understandably focused attention elsewhere, and the House Committee concluded there would not be time during this session to mark up the bill and bring it to a floor vote, Chairman Frank has promised to reintroduce the bill early next year. We expect Senator Schumer to do the same in the Senate. In the meantime, the PWYP coalition continues its intense efforts to build grassroots and congressional support for the legislation, and RWI will continue to pursue legislative advocacy on the bill’s behalf.
LEARN MORE
- "Resource Curse or Blessing? Africa’s Management of its Extractive Industries" PWYP US Report (pdf)
- "Senate Hearings on Natural Resources Highlight Need for Extractive Industries Transparency Legislation" (pdf)
- VIDEO: Senate Committee on Foreign Relations (9/24/2008)
- VIDEO: Senate Committee on the Judiciary (9/24/2008)
- Revenue Watch Hails Senate Transparency Bill as a Vital Tool to Protect U.S. Energy Investors and People in Oil-Rich Nations
- Revenue Watch Tells Lawmakers: Disclosure Fosters Security and Economic Stability
To find out more about the EITD Act and learn how you can get involved, please go to www.OpentheBooks.org.
