German federal cabinet decides in favour of candidacy in EITI international raw materials transparency initiative

D-EITI will mean the introduction of disclosure requirements in the German raw materials extraction sector. The BDI and DIHK are coordinating industry representation.

During the preparation process for D-EITI candidacy, the German Federal Ministry for Economic Affairs and Energy (BMWi), supported by BDI and DIHK, organised a round table of industry representatives to discuss EITI. It was agreed that the umbrella organisations BDI and DIHK would coordinate industry representation in the EITI multi-stakeholder group. To this end, the “D-EITI” BDI-DIHK task force first met with interested federation and company representatives in August 2014, and developments and discussions in the MSG are regularly relayed to them.

The implementation of EITI entails the recording of company payments and government revenues from raw material transactions that are ultimately published annually in an EITI report. Germany is not explicitly within the target group of the initiative, which aims to curb corruption in the raw materials sector. However, the implementation of EITI in Germany will pose challenges for German industry. Parallel to this initiative, far-reaching disclosure requirements are already being introduced in the German raw materials extraction industry as part of the national implementation of the EU Transparency Directive (in Germany with the Accounting Directive Implementation Act – BilRUG). The BDI will work to avoid the country’s EITI candidacy requiring two different reporting standards.

The detailed structure of the German reporting standard will be decided by a multi-stakeholder group (MSG), which is comprised of five representatives each from the government, industry and civil society. The MSG was introduced in November 2014 as part of a transparency summit that the BMWi organised as the official launch event for D-EITI.

During the preparation process for D-EITI candidacy, the German Federal Ministry for Economic Affairs and Energy (BMWi), supported by BDI and DIHK, organised a round table of industry representatives to discuss EITI. It was agreed that the umbrella organisations BDI and DIHK would coordinate industry representation in the EITI multi-stakeholder group. To this end, the “D-EITI” BDI-DIHK task force first met with interested federation and company representatives in August 2014, and developments and discussions in the MSG are regularly relayed to them.