State participation and commodity trading Supporting public oversight of state-owned enterprises The EITI was one of the first international standard-setting bodies to introduce reporting requirements for state-owned enterprises (SOEs), which often play a major role in the extractive sector. In 2013, the EITI Standard introduced disclosure requirements related to SOE governance, including on payments to and from SOEs; the financial relationship between governments and SOEs; SOEs’ off-budget expenditures; and the level of ownership of governments and SOEs in oil, gas and mining companies. In 2019, the EITI Standard was strengthened with new disclosure requirements on state participation, SOE transactions and SOE financial statements. In 2019, the EITI launched the SOE Transparency Network to provide a platform for dialogue between SOEs and other stakeholders. In recent years, several SOEs have also signed up as EITI supporting companies with a view to strengthen their transparency and accountability practices. Recognising the need to build a peer learning platform for SOEs, the EITI held its first annual SOE Leaders’ Summit in 2020 to exchange best practices on governance, transparency and accountability. At the 2022 summit, around 20 CEOs and representatives explored how the EITI process can assist state-owned companies in planning for the energy transition scenarios and how data can be used to inform sustainable and responsible policies. The EITI’s efforts to promote responsible management of SOEs have been bolstered by its partnerships with key stakeholders, including the World Bank, the IMF and international civil society organisations. Democratic Republic of the Congo In 2020, ITIE-RDC reviewed the financial statements of nine SOEs and found deviations between policy and practice regarding their financial transfers to the state. The report offered recommendations to improve the enforcement of regulations and improve the production potential and profitability of SOEs to strengthen their competitiveness and contributions to the national economy. ITIE-RDC renewed the exercise in 2023 and provided recommendations to increase assurance over their contracts, licenses and contractual revenues. A separate study on Sicomines – a joint venture between a mining SOE and a group of Chinese companies – revealed irregularities in the project contract and its execution that disadvantaged the Congolese contracting party. This prompted a call for the government to renegotiate the deal. Commodity trading transparency Over the past 10 years, the EITI has taken important steps to increase transparency of payments that SOEs and commodity traders make to governments in exchange for their oil, gas and mineral resources. In response to increasing calls for greater transparency in commodity trading, the EITI Standard was amended in 2013 to require the disclosure of revenues from first trades of oil, gas and minerals. The requirement was further clarified in the 2016 EITI Standard and expanded on in the 2019 EITI Standard, which also encouraged governments to be transparent about their processes for selecting buyers and the related sales agreements. In 2020, the EITI launched the Reporting guidelines for companies buying oil, gas and minerals from governments, with a view to shed more light on these trades and how they are managed. The guidelines, developed in collaboration with a multi-stakeholder working group, have since been used by several major commodity traders and energy companies in their public reporting, including Equinor, Trafigura, Glencore, Gunvor and TotalEnergies. USD . trof revenues reported through the EITI were collected in kind 1234 5 6 01 0123 4 5 6 4 36 EITI Anniversary Report