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Jill Shankleman for the U.S. Institute of Peace
Lifting the Veil: What Can We Learn From EITI Reports?
›November 22, 2011 // By Wilson Center StaffThe original version of this article, by Jill Shankleman, appeared on the United States Institute of Peace’s International Network for Economics and Conflict blog.
The Extractive Industries Transparency Initiative (EITI), launched in 2002, now has 35 participating countries that have committed to publish annual, independently verified reports on all mining, oil, and gas payments made by companies to governments and all revenues received by governments from these extractive industry companies. The EITI is based on the premise that making public reliable information about extractive industry payments will make corruption and theft of “resource rents” more difficult and will enable informed debate amongst citizens and politicians about how to use resource wealth. While initially some governments could object to joining on the grounds that EITI was “a bad boys’ club,” Norway is now a fully engaged member; the United States has just announced that it will participate; and Australia stated it will pilot-test the system.
The participants in EITI also include Liberia, East Timor, Sierra Leone, and Côte d’Ivoire, which, as post-conflict states, depend more than most on effective management of their resource wealth to establish the foundations for sustained economic growth. Citizens, journalists, and government officials in all the EITI countries now have access to some information on what extractive industry companies are paying to the government and what the government is receiving.
However, examination of country EITI reports reveals several shortcomings in reporting. What do the reports tell us beyond the headline numbers (i.e., total revenues and the size of any discrepancy between what companies report paying and what governments report receiving)? What do they tell us about revenue trends or about the significance of these revenues in total government receipts? How many countries have a pattern similar to Tanzania whereby the largest contribution documented in their first report was through companies collecting payroll taxes on behalf of the government? What is the value of “social investments,” training levies, or research and development contributions made by extractive industry companies? Where, and to what extent, do oil, gas and mining companies make payments to local governments?
Continue reading on the International Network for Economics and Conflict blog.
Jill Shankleman is a senior scholar at the Woodrow Wilson Center and former senior social and environmental specialist at the World Bank.
Video Credit: “Transparency Counts,” courtesy of vimeo user EITI International. -
Book Review: ‘Plundered Nations? Successes and Failures in Natural Resource Extraction’
›The principal argument of Plundered Nations? Successes and Failures in Natural Resource Extraction is highlighted by the question mark in the title. In many resource rich countries, natural assets have not led to development. The book advances the hypothesis that “for the depletion of natural assets to be converted into sustained development, a series of decisions has got to be got sufficiently right” (p. 1). That series of decisions is examined in detail through case studies on Cameroon, Chile, Iran, Kazakhstan, Malaysia, Nigeria, Russia, and Zambia, produced by a diverse group of academic and practicing economists under the auspices of the Center for the Study of African Economies and the Oxford Center for the Economics of Resource Rich Countries (OxCarre).
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Watch: Geoff Dabelko on Climate Adaptation and Peacebuilding at SXSW
›November 16, 2011 // By Wilson Center StaffThe problems of climate adaptation, poverty alleviation, and peacebuilding are common to many parts of the world. Yet the efforts to address them are often pursued separately or with little coordination. Capturing the co-benefits of building institutional capacity critical to all three areas is an idea that will likely receive little attention at next year’s Rio+20 Earth Summit in Brazil, says ECSP Director Geoff Dabelko.
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In Colombia, Rural Communities Face Uphill Battle for Land Rights
›November 14, 2011 // By Kayly Ober“The only risk is wanting to stay,” beams a Colombian tourism ad, eager to forget decades of brutal internal conflict; however, the risk of violence remains for many rural communities, particularly as the traditional fight over drugs turns to other high-value goods: natural resource rights.
La Toma: Small Town, Big Threats
In the vacuum left by Colombia’s war on drugs, re-armed paramilitary groups remain a threat to many rural civilians. Organized groups hold footholds, particularly in the northeast and west, where they’ve traditionally hidden and exploited weak governance. Over the past five years, their presence has increased while their aims have changed.
A recent PBS documentary, The War We Are Living (watch below), profiles the struggles of two Afro-Colombian women, Francia Marquez and Clemencia Carabali, in the tiny town of La Toma confronting the paramilitary group Las Aguilas Negras, La Nueva Generacion. The Afro-Colombian communities the women represent – long persecuted for their mixed heritage – are traditional artisanal miners, but the Aguilas Negras claim that these communities impede economic growth by refusing to deal with multinationals interested in mining gold on a more industrial scale in their town.
For over seven years, the Aguilas Negras have sent frequent death threats and have indiscriminately killed residents, throwing their bodies over the main bridge in town. At the height of tensions in 2010, they murdered eight gold miners to incite fear. Community leaders know that violence and intimidation by the paramilitary group is part of their plan to scare and displace residents, but they refuse to give in: “The community of La Toma will have to be dragged out dead. Otherwise we’re not going to leave,” admits community leader Francia Marquez to PBS.
La Toma’s predicament is further complicated by corruption and general disinterest from Bogota. Laws that explicitly require the consent of Afro-Colombian communities to mine their land have not always been followed. In 2010, the Department of the Interior and the Institute of Geology and Minerals awarded a contract, without consultation, to Hector Sarria to extract gold around La Toma and ordered 1,300 families to leave their ancestral lands. Tension exploded between the local government and residents.
The community – spurred in part by Marquez and Carabali – geared into action; residents called community meetings, marched on the town, and set up road blocks. As a result, the eviction order was suspended multiple times, and in December 2010, La Toma officially won their case with Colombia’s Constitutional Court. Hector Sarria’s mining license as well as up to 30 other illegal mining permits were suspended permanently. But, as disillusioned residents are quick to point out, the decision could change at any time.
“Wayuu Gold”
Much like the people of La Toma, the indigenous Wayuu people who make their home in northeast Colombia have also found themselves the target of paramilitary wrath. Wayuu ancestral land is rich in coal and salt, and their main port, Bahia Portete, is ideally situated for drug trafficking, making them an enticing target. In 2004, armed men ravaged the village for nearly 12 hours, killing 12, accounting for 30 disappearances, and displacing thousands. Even now, seven years later, those brave enough to lobby for peace face threats.
Now, other natural resource pressures have emerged. In 2011, growing towns nearby started siphoning water from Wayuu lands, and climate change is expected to exacerbate the situation. A 2007 IPCC report wrote that “under severe dry conditions, inappropriate agricultural practices (deforestation, soil erosion, and excessive use of agrochemicals) will deteriorate surface and groundwater quantity and quality,” particularly in the Magdalena river basin where the Wayuu live. Glacial melt will also stress water supplies in other parts of Colombia. The threat is very real for indigenous peoples like the Wayuu, who call water “Wayuu gold.”
“Without water, we have no future,” says Griselda Polanco, a Wayuu woman, in a video produced by UN Women.
The basic right to water has always been a contentious issue for indigenous peoples in Latin America – perhaps most famously in Cochabomba, Bolivia – and Colombia is no different: most recently 10,000 protestors took to the streets in Bogota to lobby for the right to water.
Post-Conflict Land Tenure Tensions
Perhaps the Wayuu and people of La Toma’s best hope is in a new Victims’ Law, ratified in June 2011, but in the short term, tensions look set to increase as Colombia works to implement it. The law will offer financial compensation to victims or surviving close relatives. It also aims to restore the rights of millions of people forced off their land, including many Afro-Colombian and indigenous peoples.
But “some armed groups – which still occupy much of the stolen land – have already tried to undermine the process,” reports the BBC. “There are fears that they will respond violently to attempts by the rightful owners or the state to repossess the land.”
Rhodri Williams of TerraNullius, a blog that focuses on housing, land, and property rights in conflict, disaster, and displacement contexts, wrote in an email to New Security Beat that there are many hurdles in the way of the law being successful, including ecological changes that have already occurred:Perhaps the biggest obstacle is the fact that many usurped indigenous and Afro-Colombian territories have been fundamentally transformed through mono-culture cultivation. Previously mixed ecosystems are now palm oil deserts and no one seems to have a sense of how restitution could meaningfully proceed under these circumstances. Compensation or alternative land are the most readily feasible options, but this flies in the face of the particular bond that indigenous peoples typically have with their own homeland. Such bonds are not only economic, in the sense that indigenous livelihoods may be adapted to the particular ecosystem they inhabit, but also spiritual, with land forming a significant element of collective identity. Colombia has recognized these links in their constitution, which sets out special protections for indigenous and Afro-Colombian groups, but has failed to apply these rules in practice. For many groups, it may now be too late.
As National Geographic explorer Wade Davis said at the Wilson Center in April, climate change can represent as much a psychological and spiritual problem for indigenous people as a technical problem. Unfortunately, as land-use issues such as those faced by Afro-Columbian communities, the Wayuu, and many other indigenous groups around the world demonstrate, there is a legal dimension to be overcome as well.
Sources: BBC News, Colombia Reports, International Displacement Monitoring Centre, PBS, Pulitzer Center on Crisis Reporting, UN Women. The War We Are Living, part of the PBS series Women, War, and Peace, was instrumental to the framing of this piece.
Image and Video Credit: “Countryside Near Manizales, Colombia,” courtesy of flickr user philipbouchard; The War We Are Living video, courtesy of PBS. -
Food Security, the Climate-Security Link, and Community-Based Adaptation
›In “The Causality Analysis of Climate Change and Large-Scale Human Crisis,” published in last month’s Proceedings of the National Academy of Sciences, authors David Zhang et al. write that changes in food supply are key indicators for the likelihood of climate change-induced conflict. Adding to the debate on the links between climate and conflict, the authors write that their purpose was to discover the specific causal mechanisms behind the relationship by analyzing various climate- and crisis-related variables across several periods of peace and conflict in pre-industrial Europe. They found that “climate-induced agricultural decline,” as opposed to resource scarcity caused by rapid population growth, was the clearest indicator of impending crises. “Malthusian theory emphasizes increasing demand for food as the cause,” write the authors, “whereas we found the cause to be shrinking food supply” – a distinction with “important implications for industrial and postindustrial societies.”
In “Using Small-Scale Adaptation Actions to Address the Food Crisis in the Horn of Africa: Going beyond Food Aid and Cash Transfers,” published in Sustainability, authors Richard Munang and Johnson Nkem advocate for community-based adaptation programs to increase resilience to food crises in the Horn of Africa. “Given that hunger and poverty are concentrated in rural areas,” the authors write, “targeting local food systems represents the single biggest opportunity to increase food production, boost food security, and reduce vulnerability.” The authors present a joint UNEP-UNDP adaptation initiative undertaken in Uganda as a framework for potential adaptation interventions in the Horn. They conclude that the initiative’s approach – pairing locally-focused sustainable farming techniques with a national-level emphasis on adaptation programs, and upscaling lessons learned from one level to the other – “will increase local buffering capacity against droughts, make communities more independent from direct aid, etc., build resilience and improve livelihoods overall.” -
New Report Launched: ‘The World’s Water’, Volume Seven
›“The water problem is real and it is bad,” said MacArthur “Genius” Fellow and founder of the Pacific Institute Peter Gleick at the October 18 launch of the seventh volume the institute’s biennial report on freshwater resources. “It’s not bad everywhere, and it’s not bad in the same way from place to place, but we are not doing what we need to do to address all of the different challenges around water.”
“The World’s Biggest Problem”
Worldwide, more than a billion people lack access to safe drinking water, while two and a half billion lack access to adequate sanitation services. “This is the world’s biggest water problem,” said Gleick, “the failure to meet basic human needs for water – it’s inexcusable.”
Gleick predicts that the world will fail to meet the Millennium Development Goals for water and sanitation by 2015, and noted that measures of illness for water-related diseases are rising, rather than falling.The World’s Water series provides an integrated way of thinking about water by exploring major concepts, important data trends, and case studies that point to policies and strategies for sustainable use of water. Volume seven includes chapters on climate change and transboundary waters, corporate water management, water quality challenges, Australia’s drought, and Chinese and U.S. water policy. The new volume also includes a set of side briefs on the Great Lakes water agreement, the energy required to produce bottled water, and water in the movies, as well as 19 new and updated data tables. An updated water conflict chronology looks at conflicts over access to water, attacks on water, and water used as a weapon during conflict.Peter Gleick on climate change and the water cycle.
Despite the added data, Gleick said that vast gaps remain in our knowledge and understanding about water. We lack accurate information on how much water the world has, where it is, how much humans use, and how much ecosystems need, he said. “So right off the bat, we are at a disadvantage.”
Focus on Efficiency, Infrastructure to Better Manage Water
One of the major concepts that has connected various volumes of The World’s Water is the concept of a “soft path for water” – a strategy for moving towards a more sustainable future for water through several key focus points: improved efficiency, decentralized infrastructure, and broadly rethinking water usage and supply.
Other cross-cutting themes include climate and water, peak water, environmental security, and the human right to water (formally recognized in a 2010 UN General Assembly resolution). “I would argue that all of these combined offer to some degree a different way of thinking about water, an integrated way of thinking about water,” Gleick said.
The China Issue
The role of China has been one of the most significant changes over the course of the series, said Gleick. The growth in the Chinese economy has led to a massive growth in demand for water (see the Wilson Center/Circle of Blue project, Choke Point: China), as well as massive contamination problems. The newest volume addresses these issues as well as China’s dam policies – internally, with neighboring countries, and around the world.
Gleick pointed out that China is one of the only nations (maybe the only) that still has a massive dam construction policy, and their installed capacity is already much larger than the United States, Brazil, or Canada. In addition, Chinese companies and financial interests are involved in at least 220 major dam projects in 50 countries around world. These projects have become increasingly controversial, for both environmental and political reasons, he said.
“My lens is typically a water lens,” Gleick said, but “none of us can think about the problems we really care about, unless we think about a more integrated approach.” Gleick emphasized the need for new thinking about sustainable, scalable, and socially responsible solutions. “We have to do more than we are doing, in every aspect of water,” he concluded.
Event Resources
Photo Credit: “Water,” courtesy of flickr user cheesy42. -
Minority Youth Bulges and the Future of Intrastate Conflict
›October 13, 2011 // By Richard CincottaFrom a demographic perspective, the global distribution of intrastate conflicts is not what it used to be. During the latter half of the 20th century, the states with the most youthful populations (median age of 25.0 years or less) were consistently the most at risk of being engaged in civil or ethnoreligious conflict (circumstances where either ethnic or religious factors, or both, come into play). However, this tight relationship has loosened over the past decade, with the propensity of conflict rising significantly for countries with intermediate age structures (median age 25.1 to 35.0 years) and actually dipping for those with youthful age structures (see Figure 1 below).
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Watch: Dennis Taenzler on Four Key Steps for REDD+ to Avoid Becoming a Source of Conflict
›The UN Program on Reducing Emissions from Deforestation and Forest Degradation (REDD) provides financial incentives to developing countries to conserve their forests and invest in low-carbon pathways to sustainable development. However, it may also be a potential new source of conflict, says Dennis Taenzler, a senior project manager at adelphi in Berlin, who works on climate and energy policies as well as peace and conflict issues.
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