Transparency in extractive industry, EITI: Albania is making significant progress

The Global Extractive Industries Transparency Initiative (EITI) Board states that Albania has made significant progress in implementing the EITI standard. The Board commended the Albanian Government and the Inter-Institutional Working Group (MSG) for the progress made in ‘improving transparency and accountability in extractive industries, using the process to address local issues not only through active dissemination of information but also through efforts to arrive on the ground as well as spreading reporting on the hydro-power sector ‘. EITI reporting on late transfer of mining revenues led to legal reforms as well as the gradual repayment of overdue payments to local government transfers, thus providing greater benefits for local communities.

Fredrik Reinfeldt, Head of the EITI Secretariat, said:

“The Albanian Secretariat EITI has done a lot. I hope that further progress in this direction will support the government’s efforts to enter the European Union. The Board welcomes improvements in the disclosure of transactions related to state-owned enterprises in order to address the existing gaps in transparency”.

Ardit Kamberi, Head of National Secretariat EITI, stated that the implementation of the EITI standard has brought considerable benefits to Albania, such as government systems, tax collection, and budget planning. He noted that a government that is politically transparent and open increases citizens’ confidence and that it will continue to consolidate EITI in its systems.

The Board appreciated Albania’s efforts to overcome the requirements of the EITI standard by extending its target to the hydro-power sector as well. The Board also praised the government’s efforts to increase transparency regarding benefiting ownership, including compulsory reporting of beneficial owners to all petroleum, gas and mining companies in the Draft Law on Extraction Industry Transparency. The board encourages the government to establish a system of transparency and accountability for the Trans Adriatic Pipeline project (TAP). The Board also issued a series of recommendations aimed at enhancing transparency, in particular by ensuring wider access to public information on state-owned enterprises and their transactions, taxes and revenue distribution at the local level, as well as increasing active engagement and efficient civil society in the EITI process.