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For Improving Transparency
in Extractive Industries

Azərbaycan Qeyri-Hökumət Təşkilatları Koalisiyası

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This day: 1 August 2010, Sunday | az |   VIDEO

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Azerbaijan’s joining EITI is success, but it is not solution of problems

Azerbaijan’s joining EITI is success, but it is not solution of problems
EITI Coalition has held a press conference on validation and conclusions of 9th report.
EITI Coalition has held a press conference on 11 March. Council Coordinator of EITI Coalition Azer Mehtiyev, council members Mehriban Vazir, Dunya Sakit, Oktay Gulaliyev also member of EITI Board and Coalition Ingilab Ahmadov took part in the press conference held in Caspian Plaza. Azer Mehtiyev made an opening speech, he talked about Coalition’s position on 9th report of companies’ to State and that this position had been determined quite before, but as it was not discussed together with Government and companies it was impossible to publish it: “We would like to publish it after mutual discussion of parties of the Memorandum. But, because of validation process and other causes this discussion has not been occurred yet. We hope we can get responds to our questions after this conference.”

A. Mehtiyev brought to participants attention position of Coalition on 9th report and the opinion given to him by Auditor Company: “The period of this report that involves first 6 months of 2008 was too significant time. So, exactly in that period division proportions in Azeri-Chirag-Gunashli agreement called “Contract of Century” had been changed. Simultaneously, there had been recorded gradually increasing of payments on gas-condensate deposit of “Shahdaniz” in report period.”

A. Mehtiyev noted that, considerably increasing of payments to Government in first 6 months of 2008 comparatively with 2007 year attracts attentions: “So, Azerbaijan’s share in produced benefit oil in Azeri-Chirag-Gunashli deposit was 30,349 million barrel in 2007, this number has been increased for 2,2 times in report period and was 65,705 million barrel. Inclusions by cost to government had been recorded much more than inclusions by nature on the background of rising prices of oil in World Market for 2 times comparatively with 2007 year. At the same time volume of benefit oil in payments of foreign oil-gas companies were decreased.

Expert notified that, starting payments on “Shahdaniz” deposit had raised new difficulties for point of pursuing of profits: Limitation of information about profits of Shahdaniz deposit creates difficulties on comparison numbers on reports with appropriate indicators on agreements. And this is a serious difficulty on assessment of efficiency of different agreements based on report results. That is why we think that, companies’ transformation to individual accountability or publication payments on separately agreements is now significant.”

Coalition members signified their anxiety related to prolonging time of representation of the report. So, 9th report was represented in the middle of December, as before, 3 months later that it was considered on Memorandum.

There were also mentioned in the press conference Coalition’s anxiety in direction of reports’ publication only in some newspapers, and not delivering in understandable language to society, they also noted significance of improving of the process, extending citizens’ information accessibilities.

Coalition member Ingilab Ahmadov gave information to participants of media about validation of execution process of EITI in Azerbaijan. He gave wide information about development stages of EITI, necessity of validation, works done on local and international level in this direction, also Coalition’s participation in the process, and about opinion on some validation indicators. He noted that, Azerbaijan was given a “member country” status for the first time in Doha, Qatar in 4th international conference of EITI: “Azerbaijan is one of the countries that most successfully implements EITI, we even may say Azerbaijan is first.” Ingilab Ahmadov noted that civil society’s participation in this process is important and before the Doha conference they had held meetings with auditor groups, and problems were explained to them comprehensively: “Several points that worry EITI Coalition were not reflected on primary report of auditor group. After this, Coalition Council discussed this question and suggested to create a working group and to show deadline on final report related to validation, then to send it to EITI Secretariat. “It is a good case that Coalition’s anxiety was considered while Azerbaijan became member of EITI.”

Later Council member Oktay Gulaliyev spoke and noted that Azerbaijan became a member of EITI but it does not mean that all problems were solved: “Azerbaijan’s being member of one more international body is a good step from point of impact of country, it is success, but it is not solution of existing problems. Terms forwarded to our country while becoming member, shown that we are right in suggestions we are suggested. Because when said that multi-stakeholder working group must be created related to implementation of EITI, Government Commission said that there is no any necessity for it. We were saying that there has to be a working plan that balances an action, but they said it is not important. We suggested to improve understanding memorandum and reports, and to make them accessible for community, but there were no any steps. There is no any serious works in direction of solution of these problems till present. We hope that proposals of EITI Board would be implemented with assistance of civil society institutes. We want a support from you- media representatives, in direction of improving transparency and accountability system in our country.” O. Gulaliyev also mentioned that Coalition’s position was not considered on reports published till now: “In spite of we have cooperation with Government Commission; none of 9 reports were coordinated with EITI Coalition party of Understanding Memorandum. It is not right.”

At the end Coalition members responded to questions of journalists.

 


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Last correction date of the file: 26/12/2009 - 14:59:30

 

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CONTENTS NEWS

26h number of information bulletin of “Improving Transparency in Extractive Industries” Coalition has been prepared

“Implementation of EITI in Azerbaijan: retrospective view to a 5 years period” Press release of the Conference (17th June 2008 )

Report:  “ improving transparency of oil revenue expenses” project(26/05/2008)

Extractive Industry Transparency Initiative NGO Coalition Azerbaijan, Round-Table Discussions on “Management of SOFAZ’s Assets; how can they protected from risks?” Press-Release (Baku, 18/04/2008)

Azerbaijan discloses seventh EITI report

STATEMENT by the EITI Coalition on the 10th Report

23th number of information bulletin of “Improving Transparency in Extractive Industries” Coalition has been prepared
“Implementation of EITI in Azerbaijan: retrospective view to a 5 years period” Press release of the Conference (17th June 2008 )
Report:  “ improving transparency of oil revenue expenses” project(26/05/2008)
Extractive Industry Transparency Initiative NGO Coalition Azerbaijan, Round-Table Discussions on “Management of SOFAZ’s Assets; how can they protected from risks?” Press-Release (Baku, 18/04/2008)
Azerbaijan discloses seventh EITI report
Press-release: General Assembly of ITEI Coalition #10(20/10/2007)
Press-release: The coalition of local NGOs Increasing Transparency in Extractive Industries (ITEI) holds its 10th General Assembly at the AF-HOTEL-AQUAPARK in Novkhany, a settlement on the outskirts of Baku (19/11/2007)
"Stealth" Oil Agreements Threaten Azerbaijan's Reputation and Policy Progress
EXTRACTIVE INDUSTRY TRANSPARENCY JOURNAL ISSUED IN AZERBAIJAN
20th number of information bulletin of “Improving Transparency in Extractive Industries” Coalition has been prepared
Azerbaijan’s joining EITI is success, but it is not solution of problems
Information about XII General Meeting of Coalition “For Improving Transparency in Extractive Industries” of Public Unions
19th number of information bulletin of “Improving Transparency in Extractive Industries” Coalition has been prepared
Statement of Public Unions’ Coalition for Improving Transparency Initiative  In Extractive Industries (6 February 2009, Baku)
Meeting has been held with Validator at the Coalition
Statement by “Improving Transparency of Extractive Industries” NGO Coalition
18th number of information bulletin of “Improving Transparency in Extractive Industries” Coalition has been prepared
Information on “5th year of Mutual Understanding Memorandum: profits of past period and claims of future     period” organized by “Improving Transparency in Extractive Industries” Coalition of Public Unions
Gubad Ibadoglu had participated at the international conference on EITI
Moore Stephens to collate next EITI reports
Coffey International Development to validate EITI process in Azerbaijan
17th number of information bulletin of “Improving Transparency in Extractive Industries” Coalition has been prepared
Information about meeting with students from Princeton University and Global Witness International Organization held in 28th October 2008
Results of interrogatory held among 500 responders within the project supported by Norwegian Embassy in Azerbaijan Republic
The appeal addressed to candidate of Azerbaijan Republic's President post by National Budget Group's Board and NGO Coalition Council of " For Improving Transparency Initiative in Extractive Industries"
Azerbaijani oil: revenues, expenses and risks (view from 2007)
EITI NGO Coalition of Azerbaijan held a wide round table on "Centuries contract and transparency initiative in oil industry" on September 19, 2008
16th number of information bulletin of “Improving Transparency in Extractive Industries” Coalition has been prepared.
Statement by civil society associations of Azerbaijan on the events in the Republic of Georgia (Baku, August 12, 2008)
Coalition of Public Unions for Increase of Transparency in Extractive Industries has opened its opinion on 8th Report (on results of 2007) regarding the mutual payments of Azerbaijani government as well as of companies from oil-gas sector.

 

 
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