Regulation and governance
Results to June 2012
In the 12 months to June 2012, AusAID delivered training to 294 people from 25 developing countries through the International Mining for Development Centre (IM4DC). This included:
- cadastral management in a GIS environment
- rehabilitation on mined land
- occupational health and safety
- management of large volume waste facilities in mining
- local procurement.
The IM4DC has also commissioned 11 research projects into mining for development issues, including a good practice guide on the management of occupational health and safety.
Australian funding supported the United Nations Development Programme (UNDP) to develop a methodology for cost/benefit analysis of mine sites. It will support informed policy making for the growing Mongolian mining sector.
In 2010, Australia supported the strengthening of the legal and environment framework around Mongolia’s mining and mineral sectors, by providing targeted assistance for the review and amendment of the Minerals Law 2006.
AusAID provided support to mining governance and policy development in Africa. 412 ministers, parliamentarians and officials from 32 African countries participated in mining governance study tours to Australia in 2011 and 2012.
In 2012-13, the IM4DC will deliver training to over 400 people relating to:
- governance and regulation
- community and environmental sustainability
- operational effectiveness.
Australia will support local authorities to manage groundwater resources in the South Gobi region of Mongolia, a key mining area that is also home to communities of pastoral nomads.
AusAID is partnering with the World Bank to implement local procurement frameworks in Liberia and Burkina Faso. The project aims to develop national regulatory and policy guidance to promote procurement from local suppliers to the mining industry.
AusAID is supporting the African Union–led implementation of the Africa Mining Vision, including through a recent commitment of $5 million to support the establishment of the African Minerals Development Centre.
Australia is providing $10 million to the Governance Partnership Facility (GPF), a flagship governance engagement activity for the World Bank. GPF has started to work increasingly in the extractives sector, for example strengthening governance and reducing leakages in Indonesia’s non-tax revenue regime (the majority of which is generated from natural resources).
AusAID is working with Geosciences Australia to improve geological capabilities in developing countries. A design is underway for an activity that improves geoscience data management. This will allow partner governments to plan for their long term economic, physical and social needs.
Extractives revenue management
Results to June 2012
Australia is supporting greater transparency in the extractives sectors of resource-rich countries through the Extractive Industries Transparency Initiative (EITI). Since Australia became a major donor to the EITI, 18 countries have achieved compliance with the standard; and the Solomon Islands, Indonesia and the Philippines have committed to implement it. EITI is a combined government, industry and non-government initiative to promote transparency in the payments made by extractives companies to governments.
AusAID funds the IMF to improve management of natural resource wealth in partner countries. So far it has:
- developed economic models and training to forecast income from petroleum revenues in Timor Leste
- facilitated change to processes in Mongolia’s large taxpayer office and revised fiscal legislation
- reviewed transparency provisions in Sierra Leone’s draft Extractive Industries Revenue Act
- supported legal drafting of income tax provisions in the Solomon Islands.
AusAID has supported the development and dissemination of the Natural Resource Charter, which is a series of economic principles for governments and societies on how to sustainably manage the opportunities created by natural resources.
AusAID is helping Liberia to improve revenue collection and management, by providing technical support to establish a Natural Resources Tax Unit within the Treasury.
The IM4DC published a guide to mineral royalties and other mining specific taxes. It reviews various mining revenue collection options to guide governments considering implementing a ‘best practice’ mining sector taxation regime.
AusAID is providing Australian Mining Awards to over 30 students commencing in 2012. They are studying degrees in fields such as geology, environmental management and engineering.
AusAID is working with the World Bank to study the social and economic impact of extractive industry jobs and how the benefits can be maximised. A case study on PNG will be published in the 2013 World Development Report.
AusAID is providing $4.9 million to the World Bank’s Extractive Industries Technical Advisory Facility, which provides short-term, rapid assistance to developing countries to help them understand, negotiate and analyse the complex financial, legal, environmental and related technical aspects of mining agreements.
Australia will host the Extractive Industry Transparency Initiative global conference on 23–24 May 2013 to broaden implementation in the Asia Pacific and consider future directions for the initiative.
$5.65m is committed to providing scholarships and fellowship opportunities in mining related fields in 2012-13.
Through the Australia-Africa Partnerships Facility, AusAID will:
- support the governments of Cameroon, Namibia and Uganda to improve their minerals sector tax administration
- provide technical assistance to the South Sudanese Ministry of Petroleum and Mining.
AusAID and other donor support to the IMF for managing natural resource wealth in developing countries will:
- address fragmentation in responsibility for revenue collection in DRC
- support revisions to the Mining Code in Guinea which will establish more transparent and equitable taxation of the mining sector
- support legal drafting and fiscal forecasting in Mozambique.
Direct benefits to communities
Results to June 2012
AusAID funded the production of a leading practice guide to social responsibility in the mining and metals sector in developing countries.
Through the Public Sector Linkages Program (PSLP), AusAID:
- supported the University of New South Wales to include sustainable development in mining education at the University of the Philippines
- supported a group of Mongolian journalists to learn about Australian professional practice in mining and journalism so that they can produce more informed reporting and analysis, which will contribute to strengthened government accountability to citizens
- built capacity of local agencies, individual researchers and government officials to conduct social and environmental impact assessment in Sulawesi, Indonesia.
AusAID supported the development of frameworks for mitigation of social impacts in mining affected areas in Mongolia.
The IM4DC produced a good practice guide to social impact assessment in mining.
The AusAID Development Research Awards Scheme is funding research on:
- gender and social safeguards in mining
- the impacts and policy implications of illegal mining
- issues with seabed mining and implications for countries considering issuing seabed mining licenses.
AusAID is partnering with the Minerals Council of Australia and the University of Queensland to research gender in mining land use agreement making. It will inform strategies for maximising the benefits of mining to women and girls.
The IM4DC will provide short course training to over 400 students in 2012-13. Training will address the cross-cutting themes of:
- social and environmental safeguards