Disclosing information about license allocation systems enables citizens to access essential information about how the country’s natural resources are being developed.
It is also a first step towards ensuring that licenses are not obtained through inefficient or corrupt practices or acquired by politically connected individuals.
This information must include a summary description of the fiscal regime, including the level of fiscal devolution, an overview of the relevant laws and regulations, and information on the roles and responsibilities of the relevant government agencies.
Where licenses are awarded through a bidding process during the accounting period covered by the EITI Report, the government is required to disclose the list of applicants and the bid criteria.
Where the requisite information set out in 3.10(a) and 3.10(b) above is already publicly available, it is sufficient to include a reference or link in the EITI Report.
The multi-stakeholder group may wish to include additional information on the allocation of licenses in the EITI Report, including commentary on the efficiency and effectiveness of these systems.
Information on licensing procedures in Trinidad and Tobago
In Trinidad & Tobago, the Ministry of Energy and Energy Affairs publishes detailed information about licensing procedures on its website.
As per the Standard Terms of Reference for Validators:
The validator is expected to document whether the information about the process for awarding or transferring the license(s) set out in provision 3.10.a has been comprehensively disclosed for any license awards or transfers pertaining to the companies covered by the EITI Report during the financial year covered by the EITI report. Where companies covered by the EITI Report hold licenses that were not awarded or transferred during the financial year covered by the EITI Report, the validator may wish to comment on the disclosure of information related the allocation of these licenses. Where relevant, the validator may wish to comment on the disclose of information regarding license awards and transfers made during the financial year covered by the EITI report that did not generate material revenues in that period, but are expected to generate material revenues in the future. The validator’s findings will not have implications for compliance with the EITI Standard.
The validator is expected to document whether the government has disclosed the list of applicants and the bid criteria related to any bidding processes that took place in the accounting period covered by the EITI Report (3.10.b).
The validator is expected to document whether the EITI Report includes any additional information about the allocation of licenses, including whether the EITI Report includes commentary on the efficiency and effectiveness of these systems (3.10.d). Such disclosures are encouraged, but not required and should not be considered in assessing compliance with the EITI Standard.
