MAKING TRANSPARENCY POSSIBLE - Publish What You Pay · 2006 2016 2006 2016 P Y ay Innholdsfortegnelse Vision of PWYP Norway: Value creation from the oil, gas and the mining industry

MAKING TRANSPARENCY POSSIBLE

Successes, results and impact2006 - 2016

2 3Publish What You Pay Norway

Successes, results and impact | 2006 – 2016 Successes, results and impact | 2006 – 2016

Publish What You Pay Norway

Innholdsfortegnelse

Vision of PWYP Norway:Value creation from the oil, gas and the mining industry will benefit the society.

The development goal of PWYP Norway:Citizens in countries with natural resources such as oil, gas and minerals have access to mobilize

capital that can contribute to a sustainable development and economic justice.

Published by: Publish What You Pay Norway (PWYP Norway)Year of publication: 2016ISBN 978-82-93212-54-6

Written by: PWYP NorwayCover photo: Luis Arguello

Print: Copy Cat

This report was made possible with financial support from the Norwegian Agency for Development Cooperation (Norad).

We welcome any questions or clarification needs in writing to [email protected]

Legal disclaimer:This publication is based on information provided to Publish What You Pay Norway (‘PWYP Norway’) and individuals acting on behalf of PWYP Norway. The conclusions presented herein are based only on information so provided. PWYP Norway and those acting on behalf of PWYP Norway have strived towards acquiring full overview of all relevant information and data to prepare this publication. We do not accept liability whatsoever for any insufficiency or inadequacy of the information and data that this publication is based upon.

While PWYP Norway has taken all reasonable care to ensure that the information contained in this publication is accurate, publicly available information and data has not been verified by the companies or users and neither PWYP Norway nor any person acting on behalf of PWYP Norway in the drafting and preparation of this publication can be held legally responsible for the content or guarantee that it is totally free from errors or inaccuracies.

Any references contained in this publication pertaining to any kind of sources, publications or websites from third parties, are inserted for convenience only and are purely for informative purposes. They do not constitute endorsement of material on those sites, publications or sources. PWYP Norway and those acting on its behalf accept no liability whatsoever for any loss or damage arising from the use of such information.




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• It is not easy to sum up 10 years in a few paragraphs. Yet, the purpose here is to share some of our successes, results and impact from 2006 up until 2016.

• PWYP Norway works in a particular political and economic context compared to our colleagues in over 800 organisations from over 70 countries in the world that form the global Publish What You Pay network.

• Many issues that civil society in other states struggle with, are things we take as a given in Norway. PWYP Norway works for the overarching goals in the global campaign and sees these as the minimum requirements for the transparency that a country should have in place.

• Norway is considered one of the world’s best in natural resource governance with mechanisms for control and integrity. Norwegian expertise along the whole value chain of extractive industry has been requested by other states.

• Yet, our system is not perfect. PWYP Norway has an independent responsibility and duty to develop our objectives for our own country, priorities and strategies that reflect the issues of concern for our local civil society organisations and the relevant needs and necessary priorities in our country context.

• PWYP Norway’s programme areas are interconnected and interdependent, designed to work together to achieve our goals. Very briefly, PWYP Norway has focused on knowledge production and evidence-based investigations on how to discover what leakages occur and what should be done with the leakages. This knowledge has been made available through direct cooperation with civil society in the global South and information work.

• Developing countries loose more money on illicit capital flows than they receive in aid and foreign investments combined. Illicit capital flows have increased by 9,4% per annum in developing countries in the period 2003-2012. This is around twice as much as the increase in global GDP over the same period.

• The global inequality has reached a tipping point. Governments all over the world are under pressure to provide more transparency. Unfortunately, governments in many states have answered with crackdowns on civil society.

• The picture on our front page is from a demonstration in Ecuador, where an activist is wearing “the anonymous” mask. It can symbolize that many people now think that Wikileaks is more useful source of information than governments. History has shown what happens when governments fail to provide relevant and necessary information and welfare to its citizens.

Introduction

Introduction. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .5

Knowledge production – why?. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

Direct cooperation with civil society in the South – why?. . . . . . . . . . . . . . 8

Information work - Why?. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10

Our work presented in timelines . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

Join the debate . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22

Thank you! . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23

CONTENT




2Financial secrecy has been used to cover enormous profits from trade of non-renewable and finite natural resources, like oil and minerals. For over 50 years, revenues from oil production have been kept hidden from the general public to the benefit of corrupt elites and the firms involved. Financial secrecy has made it difficult for ordinary citizens to know the extent to which the funds are reinvested for domestic development or exported to secrecy jurisdictions.

The foundation for PWYP Norway’s work is knowledge pro-duction and investigations to provide evidence-based infor-mation and document praxis in order to understand and to formulate our arguments and suggest policy mechanisms.

Through these ten years we have witnessed an increasing international focus on tax evasion and avoidance. At the same time we have seen corporations investing heavily in efforts to influence policy so that the intended policy effect is not achieved, and privileges are maintained. We have observed wanted misinterpretations, misuse of terminology and use of legal language that distorts the intentions of formulations, on purpose. Financial secrecy is a wanted policy. This is such a complex field that it is difficult for people to understand what is happening and how it can be possible to intervene in a way that can reveal what is happening, what it means and how to stop it.

What have we achieved?

Reports: 17Briefings: 12Seminars/conferences: 12Opinion pieces: 13

The publications are available on our website in Norwegian, English and Spanish., both as full reports and as two-paged briefings. Briefings are particularly important for politicians and civil society as brief introductions for feature articles, media reports and campaign work.

For ten years now, PWYP Norway has been contributing with our knowledge about which leakages occur where, what magnitude the leakages may have, which techniques are being used and which transparency measures can do something about which leakages. We have made this knowledge available in reports, briefings, opinion pieces, hearing submissions, lectures and by arranging seminars and conferences and used it in all our political advocacy work worldwide.

Our very specific and continued focus over time has contributed to a situation where we had to carve out a policy and financing space to be able to work on this topic at all, in the fringes of Norwegian politics, to a situation where we have contributed strongly to moving our topic to the centre of Norwegian politics and already have achieved impact.

The knowledge production is also an integrated part of our direct cooperation with civil society and our information work.

Through our highly complex, demanding and long-term work we have contributed substantially with our continued pressure. Financial secrecy is now one of the most fast moving agendas, we have a multitude of voices behind our proposals and with our work, we have contributed to making transparency possible, although some of our policy recommendations remain to be fully implemented.

The Minister of Energy and Minerals, Peter Lokeris, reads thorugh one of the reports pub-lished by PWYP Norway under a debate in Kampala, Uganda 2014. Photo: PWYP Norway.

Knowledge production – why?

What is the effect on society?

Lost billionsTransfer Pricing in the Extractive Industries

• Can a strict duty of confidentiality for lawyers harm the global market? • What is the rationale for the strict duty of confidentiality? • What should be safeguarded? What should not be safeguarded?

• Does a strict duty of confidentiality stand in the way of human rights?

APRIL 2013 pwyp.no

Silence is golden

Protection from derivative abuse

BRIEFING

Downstream pollution of upstream numbers

• Because of downstream numbers in Statoil’s upstream country-by-country report the report is not transparent

• Reporting only the purchase of goods and services, and not all costs, creates the illusion that profi ts from the extraction activities (upstream) are higher than they actually were.

• Statoil’s report is so misleading that Statoil should republish with correct numbers for upstream activities

MARCH 2015

in Statoils fi rst country by country report

BRIEFING

15 out of 18 elements have already been implemented in the extended country-by-country reporting. However, 3 critical elements are still missing for the legislation to work as intended and prevent companies from avoiding tax. How YOU can ensure that we rectify the last few omissions.• Investors can trace their money and assess how companies manage assets.• Lawmakers can treat companies equally and create a level playing fi eld.• Citizens can hold their governments and companies accountable.

• Natural resources have not helped citizens of poor countries to escape poverty.

• Cash fl ows often end up elsewhere, in the accounts of multinational companies in tax havens.

• The Norwegian Ministry of Finance has issued regulations on extended country-by- country reporting, which will show where cash fl ows end up.

Illustration: Roar Hagen

HELP US CONTINUE OUR WORK:

Do you think our work is important?Do you want to see fi nancial transparency and accountability in the extractive industries?

You can support PWYP NORWAY by sending a sms

Send SMS to 09316 with textPWYPNORWAY followed by (donation amount)e.g. pwypnorway 500(donations in NOK, international users must use +47 417 16 016)

YOUR SUPPORT MAKES OUR WORK POSSIBLE

PWYP Norway is the Norwegian chapter in a network of 800 organisations from more than 70 countries worldwide. We work for fi nancial transparency in the extractive industry to promote sustainable societies.

ISBN 978-82-93212-24-9

Piping profits

TRACE BRIEFINGS 2010-2011

The TRACE Programme and this report is financially supported by the Norwegian Agency for Development Cooperation (Norad) through the Oil for Development-programme. The views and opinions expressed in the briefings are those of the contributing authors and editors and do not necessarily represent the views of Publish What You Pay Norway or the financing institution.

Examining oil extraction and transparency in Bolivia, Ecuador and Nicaragua

• In 2012, government expenditure worldwide was USD 28 656 billion. Total tax burden was USD 18 821 billion.

• This huge discrepancy can be reduced by closing loopholes in tax systems and preventing capital flight

• This report is about analyzing and fixing loopholes in tax systems – increasing cost-efficiency and ensuring fairer competition in extractive industries.

Author: Frian Aarsnes, co-author Olav LundstølNOVEMBER 2013 pwyp.no

Illus

trat

ion

by G

ado

The Case for Windfall Taxes – a guide to optimal resource taxation

NOVEMBER 2013 pwyp.no

An Extended country by country

reporting. A policy proposal to the EU. Vol. 2.

• Natural resources have the largest value creation potential to mobilize tax revenue, but profit often ends up elsewhere

• Today, the Extractive Industries can transfer significant profits out of the source country before it’s get taxed

• One simple policy proposal, aligned with US and EU regulation, will give investors and constituents the instrument to follow their money

• The proposal links taxpayments to the audited financial statements through 8 simple accounting numbers

Written by Richard Murphy, rewritten and adapted by Frian Aarsnes

Ignoring the elephant in the room?

AUGUST 2015pwyp.no

• Sustainable development goals are wishful thinking unless we fi nance them.• Financial transparency and taxes are the keys to fi nance development.• Did you know that one mechanism that can fi ght fi nancial secrecy already exists? It is low cost, eff ective, and targeted to use. It will show where the money is built up. The only thing missing is politicians willing to use it. Wri� en by: PWYP Norway

Why fi nancial transparency is necessary to fi nance development.




3An informed civil society is what makes democracy possible and it is essential for a democracy to function. But, civil society needs a solid foundation of how to deal with financial secrecy, and the resistance civil society meets when dealing with it, requires collaboration across borders and constituencies.

The PWYP Norway’s TRACE programme is a tailored made programme offered to journalists, civil society and trade unions working for financial transparency in poor countries with substantial revenue opportunities from its extractive industries. During this programme we share our knowledge as an integral part of our direct cooperation with civil society in the global South.

The programme presents a customised opportunity for the participants to get an overview of the value chain of the extractive industries, where the red flags are, which leakages occur where in the value chain and what magnitude which leakages may have, which techniques are being used by the companies and which of the mechanisms work together to achieve which results, which transparency measures can counteract which leakages. Participants discuss what might be a relevant and effective work in their different political and economic contexts and which forms of political advocacy might be appropriate.


TRACE-participants: 118Network meetings: 10Meetings between politicians and TRACE-participants: 4Open conference day: 5

Participants accepted in the programme have been screened on a range of indicators making sure our participants are highly motivated people who are willing to contribute with their experiences and knowledge and who plan to spend more years in the fight for transparency and translate this knowledge effectively into their own country contexts.

Governments all over the world are being challenged on financial secrecy, the harmful effects on society and what they do about it.

PWYP Norway, through the TRACE programme and network, has contributed to spread the knowledge we produce and the experiences of 118 organisations working for transparency within a network of civil society organisations, so that they can be informed and demanding agents in their own countries.

The program gives participants a unique opportunity to connect, share ideas, learn and work together across countries. We have seen organisations taking an active and strong stand against secrecy in their countries, engaging in South - South cooperation both within the integrated comprehensive information work between the modules in the TRACE - programme, which has led to a well of national meetings, media spreads, reports and cross boarder work on the same issues. We also see organisations taking actions and making use of the network established that span well beyond the programme period.

What is the effect on society? Direct cooperation with civil society in the South – why?

In 2015 thousands of people from all layers of society in Guatemala came to the streets to demand more transparency. Photo: CPR Urbana

8 9Del 1 al 15 de Diciembre de 2014 Del 1 al 15 de Diciembre de 2014

Hablar de petróleo en No-ruega es sinónimo de or-gullo para sus 5.1 millones

de habitantes. Y no es para menos, ya que gracias a este recurso y su manejo eficiente se ha generado un gran desarrollo que benefició a todos los sectores de la población.El país nórdico es considerado

el mejor ejemplo de cómo superar la denominada ‘maldición del pe-tróleo’ que hace referencia a los países ricos en petróleo, pero po-bres en desarrollo.Desde el inicio de la produc-

ción en 1971, las autoridades no-ruegas aplicaron políticas eficien-tes para maximizar los ingresos y al mismo tiempo tener un alto ni-vel de austeridad cuando se trata de invertir estos recursos, además de un cuidado minucioso en el im-pacto medioambiental. Según Ingvild Bergskaug, ase-

sora del programa Petróleo para el Desarrollo de Noruega, son cuatro los factores claves que determina-ron el éxito del modelo noruego, entre ellos: un sistema político es-table, buen desempeño de las ins-tituciones públicas, una sociedad civil fuerte y el continuo desarrollo de conocimiento técnico.“La transparencia y la rendi-

ción de cuentas son parte funda-mental dentro de estos factores, que se llevan a cabo mediante un diálogo entre todos los actores involucrados”, destacó Bergskaug.La visión de Noruega parte

de comprender a los recursos hi-drocarburíferos como activos no renovables de un país, los cuales deben tener un tratamiento espe-cial, diferente a otros productos. Es por ello que este país solo

destina 4% del total de ingresos por la actividad petrolera al presu-puesto público nacional; es decir, para salud, educación e infraes-tructura. El resto es puesto en un

especial noruega

Foto: Andre Osmundsen/Statoil

┣ Conocido mundialmente por ser un modelo exitoso en la explotación de hidro-carburos, el país nórdico logró generar un progreso trascendental que lo ha posicionado en los primeros lugares de la mayoría de los indicadores de desarrollo.

Noruega evitó la ‘maldición del petróleo’ con eficiencia y austeridad

oslo, noruega. EDEN García

┏◣ MODELO. EJEMPLO PARA PAÍSES QUE BUSCAN POTENCIAR SU INDUSTRIA ESTATAL Y SALIR DE LA POBREZA

especial noruega

fondo de inversión y ahorro acu-mulativo que servirá para las gene-raciones futuras una vez se agoten las reservas de hidrocarburos.Al respecto Bjørn Geir, direc-

tor de Inversión del Ministerio de Finanzas de Noruega, señaló que el fondo petrolero se invierte en mercados y compañías interna-cionales que generan retornos favorables anualmente y, conjun-tamente con los ingresos de la industria petrolera, agrandan cada vez más la riqueza noruega.El fondo fue creado en 1990,

pero recién se hizo efectiva la pri-mera transferencia de recursos en 1996. Hasta el año pasado Geir indicó que el monto acumulado alcanzaba los $us 828 mil millones. Antes de la creación del fondo,

los recursos recibidos por el petró-leo fueron utilizados para el creci-miento y desarrollo de este país, además de pagar su deuda exter-na. Una vez lograda la estabilidad y equidad económica, Noruega optó de manera inteligente por ahorrar estos ingresos.

MODELO CREADO ANTES DE LA LLEGADA DEL PETRÓLEOEl modelo empresarial e insti-

tucional noruego fue desarrollado antes del descubrimiento del pe-tróleo, por lo que una vez encon-tradas las primeras reservas, este país ya contaba con todo un siste-ma moderno y transparente que le permitió sacar el mayor provecho de esta industria.

Sin embargo, este progreso es algo relativamente reciente comparado con otras potencias europeas que tienen una gran tra-dición de desarrollo proveniente de siglos pasados. De hecho No-ruega consiguió su independencia recién en 1905, cuando se disolvió la unión que mantenía con el rei-nado de Suecia.De acuerdo a Espen Løken,

encargado de Administración de Energía Industrial, una federación de sindicatos de trabajadores del área industrial y energética, No-ruega tuvo diferentes conflictos sociales y laborales, ya que entre 1910 y 1935 se registraron una se-rie de protestas y manifestaciones de trabajadores inconformes con el sistema vigente. Es por ello que los noruegos

decidieron iniciar un proceso de modernización de su país tanto industrial como social. Fue impor-tante la participación de todos los sindicatos industriales, como tam-bién de pescadores y campesinos que eran una amplia mayoría.Løken indicó que este diálogo

social permitió definir los objetivos e intereses de los diferentes sec-tores, así como la visión de país a largo plazo. Con ello se logró crear una sociedad con importantes beneficios para los noruegos, una economía sólida y la paulatina re-ducción de las desigualdades.Además se fortaleció el mar-

co legal y el desempeño de las instituciones públicas que desde

■ DATOS

INGRESOS. Es el goverment take de Noruega en la industria petrolera, bajo un sistema de contrato de concesiones.

PRODUCCIÓN. Es el volumen producido actualmente, mien-tras que el gas alcanzó los 3.7 TCF en el 2013.

78 1.9% MMBPD

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1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

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a reducir el presupuesto nacional porque se requiere ser austero, nosotros confiamos en que es lo mejor para el país”, manifestó el re-presentante de Energía Industrial.Esto implica que existe una

confianza de los noruegos en que su gobierno distribuirá el dinero de manera sensata y para el bene-ficio de todos los sectores.La economía del país nórdico

goza de una bonanza económica que es sostenible en el tiempo, no solamente por el fondo petrolero acumulado que con $us 828 mil millones es suficiente para conver-

tir millonarios a todos los norue-gos, sino por un sentido de previ-sión, austeridad y transparencia en el manejo de los recursos.Posee uno de los Producto

Interno Bruto (PIB) per cápita más alto del mundo con un poco más de $us 56.000. Esta bonanza alcan-za a todos los sectores de la socie-dad, ya que de acuerdo a datos del Banco Mundial, Noruega es el segundo país con mayor equidad en el mundo, después de Suecia, con un coeficiente de Gini de 25.8 (0 absoluta equidad 100 absoluta inequidad). ▲

gas en el 2013 fue de 3.97 trillones de pies cúbicos (TCF por sus siglas en inglés), del cual un 96% fue des-tinado a mercados de exportación y el resto al consumo interno. Reino Unido y Francia son los mayores compradores del gas noruego.En petróleo, el consumo inter-

no tampoco es considerable, ya que de los 1.9 millones de barriles por día (BPD) de producción, solo un promedio aproximado de 700 mil BPD se quedan en Noruega y el resto es exportado principalmente a Europa.Cabe señalar que la generación

eléctrica proviene casi en su totali-dad de centrales hidroeléctricas que aportan un 97% del total de capacidad instalada en Noruega, que supera los 32.000 megavatios (MW), por lo que no existe necesi-dad del consumo de combustibles fósiles en este sector.En Noruega la explotación

de hidrocarburos se rige bajo un sistema de concesiones, siendo la empresa nacional Statoil la princi-pal productora con un aproximado del 70%.El resto de la producción está

en manos de compañías interna-cionales como Total, Conoco Phi-llips, Exxon Mobil, entre las más importantes.

Producción de gas satisface 21% del mercado europeo

entonces han estado manejadas por autoridades competentes y probas.En este sentido, cuando llegó

el desarrollo de la industria petro-lera, ya existía un modelo empre-sarial e institucional que garantizó una eficiente explotación de los recursos y el uso de los ingresos petroleros en el potenciamiento de la economía y en incrementar el desarrollo humano y calidad de vida.Prueba de ello es que Norue-

ga es el país con mayor índice de desarrollo humano (IDH) a nivel

mundial, según un reporte al 2013 del Programa de Desarrollo de las Naciones Unidas.

CONFIANZA EN EL GOBIERNO Y BONANZA SOSTENIBLEEl exitoso modelo institucional

y empresarial, potenciado por la producción petrolera, ha repercu-tido favorablemente en este país. Existe un alto nivel de confianza de los noruegos en las decisiones que toman sus autoridades, producto de la transparencia con los que es-tos se desempeñan.“Si el gobierno nos dice que va

▶ Noruega no solamente es un importante exportador de petró-leo, sino que también produce gas y es el segundo mayor proveedor de este recurso a Europa, después

de Rusia, con un 21% del mercado, según datos de la Administración de la Información de Energía (EIA, por sus siglas en inglés).La producción estimada de

La alta confianza de los noruegos en sus autoridades es producto de décadas de decisiones acertadas que se ven reflejadas en la actual prosperidad.

Solamente un 4% del total de los ingresos recibidos por hidrocarburos se destina al presupuesto nacional noruego.

Statoil tiene el 70% de la producción total de hidrocarburos.

4.000

3.500

3.000

2.500

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1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012

2007 2010 2013 2016 2019 2022 2025 2028

producción

exportaciones

consumo

Fuente: EIA

Fuente: Ministerio de Finanzas de Noruega Fuente: Directorio Petrolero de Noruega

■ Fondo petrolero noruego (en mil millones de $US) ■ Pronóstico de reservas y producción

■ Producción de petróleo (en miles de barriles por día)

recursos no descubiertos recursos en campo

recursos en descubrimientos reservas

MM

. sm

3 o

.e. p

or

año

Foto: Johan Sverdrup/Statoil




4Wealth accumulation gives elites the financial means to invest in consulting and lobbying services from legal, accounting or communication firms who can lobby on their behalf in order to maintain privileges, hinder transparency or unwanted regulations. It also provides power to dominate the public policy debate.

We see that elites often influence political priorities. This undermines transparency efforts, democratic processes, social cohesion and justice. At the same time as we make progress in challenging governments around the world on

transparency, we also see a clamp down on civil society world wide, often in the form of reduced budgets, administrative changes or civil society being burdened with control systems.

It is more important than ever to have independent voices from civil society that are not controlled by the elites that can share reliable and relevant information about how financial secrecy affects inequality in the world, and share our analysis of why and how it happens and what can be done about it.

Information work - Why?

TRACE-participants, Abena Afari and Winnie Ngabirwe, from two African countries are on their way in to the Norwegian Parliament to meet politicians and discuss policy suggestions.


News articles in media: 173

Press releases: 7

Videos: 79Voices from South in Norwegian media: 11Number of newsletters sent in Norwegian: 115Number of recipients of the newsletter: 1134Number of newsletters sent in English: 6Number of followers on Facebook: 1611Number of followers on Twitter: 645

PWYP Norway has made sure that the general public as well as different interest groups, have been exposed to our knowledge production and information about secrecy in the extractive industries, the scope of the leakages from the tax base which measures can prevent the leaks and weaknesses in the regulations. Ten years ago, there was a great lack of knowledge about the mechanisms and techniques extractive industry uses to channel away profits before it is taxed.

We have also made sure that opinions from civil society in the global South affected by corruption and capital flight have been given a voice in Norwegian media. We have connected our own work with the work of civil society in the global South.

We have an increasing circle of supporters and the public is more engaged in informed discussions and vibrant democratic debates today, than we were ten years ago. With increased understanding of why it’s important to work together across countries to deal with tax evasion, more people are now able to make more informed political decisions.

What is the effect on society?

D E S E M P E R

9. JANUARYDeadline for the EU

consultation on country-by-country

reporting for multinational companies.

4. FEBRUARYJournalist and author Nicholas Shaxson presents his latest book, Treasure Island,

at the House of Literature in Oslo, Norway. A debate on tax havens

followed.

15. MARCHThe

government launches an action plan

against financial

crime.

4. APRIL On behalf of PWYP

Norway, law firm Arntzen de Besche presents a

consideration of Dodd-Frank and a legal

consideration of how country-by-country reporting may be implemented in Norwegian law.

4. APRILRoger Schjerva, State Secretary, Ministry of

Finance, confirms that he will send PWYP

Norway's law proposal on an internal

consultation in the Ministry of Finance.

2.-6. MAYTRACE in Bolivia: 17

participants from Nicaragua, Bolivia and Ecuador meet in Santa Cruz to go in-depth on

the four thematic priorities: Illegal capital flow and

secrecy jurisdictions, contract transparency, indigenous rights and the extractive industry, environment and the

extractive industry.

23. MAYThe report "Defining

Elements” was launched as a draft for discussion. It addresses

which elements that should be object for

regulation in a country-by-country reporting,

and why.

23. MAYThe conference,

Global Investors for Financial Transparency is held at KLP in Oslo. Representatives from the authorities, civil

society and investors meet to share views

and discuss the details of country-by-country

reporting.

2. JUNEIn letters to the

financial supervisory authority and the tax administration, the Ministry of Finance

asks for comments to PWYP Norway’s report on implementation of

country-by-country reporting in

Norwegian law.

23. JUNEThe financial

supervisory authority delivers their

comments to PWYP Norway's report, and states that «...it is not practically possible to

extract the information in the

format proposed per today». Translated

from Norwegian by PWYP Norway.

26. AUGUSTThe tax administration delivers its

comments to PWYP Norway’s report, and states: «Through country by country

reporting, the tax administration will get access to valuable information about the companies' business in each country, and

in the tax administration's opinion the new reporting standard will contribute to the correct taxation of these companies».

Translated from Norwegian by PWYP Norway.

21. SEPTEMBERSeminar at

Utviklingshuset in Oslo. Together with

Legal aid for women, PWYP Norway highlights how

corruption and capital flight hinders womens'

justice in poor countries.

21. SEPTEMBERLaunch of Piping Profits. The report

reveals that ten of the world's largest

extractive companies control at least 6038

subsidiary companies, and that 1/3 of these are registered in tax havens. The report

findings receive broad media coverage, over

50 pieces, mainly in international press.

25. OCTOBERThe EU Commission

delivers their proposal for country-by-country

reporting for the extractive and forest

sectors.

7. DECEMBERThe Norwegian

Ministry of Finance sends the EU

commission's proposal for country-by-country

reporting on a consultation. The

deadline is set to 31. January 2012.

J A N U A R Y F E B R U A R Y M A R C H A P R I L M A Y J U N E J U L Y A U G U S T S E P T E M B E R O C T O B E R N O V E M B E R D E C E M B E R J A N U A R Y

31. JANUARYDeadline for the

Ministry of Finance's consultation on

implementation of country-by-country

reporting in Norway.

3.-5. OCTOBERTRACE in Ecuador: The 17 participants meet in

Quito to share advocacy experiences,

present articles they have written and hear

reports from representatives from Norad’s Corruption

Hunter Network.

6. OCTOBERPiping Profits is launched in

Spanish in Quito, Ecuador, in cooperation with TRACE

participants.

Lost Billions: PWYP Norway's research reveals that between 2000 and 2010, over 110 billion dollars has «disappeared» through mispricing

of crude oil in the US and the EU.

Protection from Derivative Abuse: PWYP Norway warns against the

increasing use of derivatives among extractive companies, and proposes a measure that can be implemented independently by

countries that want to hinder abuse via this financial

instrument.

An extended country-by-country reporting standard: PWYP Norway

builds on the draft proposal published in May, and develops a

proposal to the EU and to Norwegian authorities, detailing

how an extended country-by-country reporting for the

extractive industry should look, and how to easily implement it. The proposal is delivered as part of PWYP Norway's consultation

statement to the Ministry of Finance.

19. JANUARYA joint and official launch of the three

reports that were produced in the fall of 2011: Lost Billions, Protection from derivative abuse, and An extended

country-by-country reporting standard.

THE 2011 POLITICAL PROCESSES AND MILESTONES IN NORWAY AND IN THE EU

PUBLISH WHAT YOU PAY NORWAY'S WORK IN 2011

"We favour common EU rules in this area. However, taking into account

the importance of this issue we cannot rule out the possibility to implement

such measures in Norway on an individual basis."

Roger Schjerva (statssekretær, Finansdepartementet)

”Today I can tell you that we are ready to take a new step forward. The Ministry of

Finance will send a proposal on a possible country by country reporting requirement in

Norway out on a public hearing.”

Roger Schjerva (statssekretær, Finansdepartementet)

"MEASURE 46: The government considers whether there may be reason to implement country-by-country principles, either as part of the EU-process in the area, or on an independent basis. Responsible party: Ministry of Finance.» Translated from Norwegian by PWYP Norway.»

2-3 MARCH PWYP Norway

participates in the EITI Global Conference,

representing civil society in the Norwegian

stakeholder group.

«Things are moving in the right direction, and I hope this measure will prove useful for our common goal of a better organized and

more just world»

Roger Schjerva (State Secretary, Ministry of Finance)Translated from Norwegian by PWYP Norway.

«Today we are sending this report from the law firm on a consultation in the Ministry of finance»

Roger Schjerva (State Secretary, Ministry of Finance)Translated from Norwegian by PWYP Norway.

2.-3. MARCHThe EITI Global Conference is held in Paris.

Norway becomes the

first OECD country to be awarded the status of EITI compliant.

Beskyttelse mot derivatmisbruk

An extended country by country reporting standard

A Policy Proposal to the EU

12 13

J A N U A R Y F E B R U A R Y M A R C H A P R I L M A Y J U N E J U L Y A U G U S T S E P T E M B E R O C T O B E R N O V E M B E R D E C E M B E R

19. JANUARYPWYP Norway hosts a debate

meeting at Fritt Ord, launching three new reports. The reports reveal information about the

scope of capital flight and suggest concrete measures. The EU

Commission also participates and clearly state that Norway can and

should take the lead when drafting their law. The reports that

are launched are: An extended CBCR standard, Lost billions, and Protection from derivative abuse.

31. JANUARYDelivering a consultation

statement to The Ministry of Finance.


FEBRUARYGathering and publishing

information about the Dodd-Frank Act, section 1504, for a Norwegian

audience.

21. MARCH PWYP Norway participates

in a seminar on law and ethics in Bergen.

AUGUSTThe Publish What You Pay campaign marks its 10th

anniversary, with a conference in Amsterdam and the launch of a global

strategy, Vision 20/20. PWYP Norway participates, sharing information about its work

with the rest of the network.

DECEMBERSeveral interviews and opinion pieces on transparency and PWYP

Norway's proposal are published. PWYP Norway's secretary general, Mona Thowsen, is interviewed by A-magasinet and Her

og Nå. Chairman of the board, Frian Aarsnes is interviewed in Bergens Tidende. PWYP Norway and ForUM writes a joint opinion piece for NRK Ytring. We look ahead, and ask whether the Minister

of Finance will keep his promises in 2013.

31. OCTOBERPWYP Norway puts forward its findings, its arguments and its proposals at the

oil industry's tax conference.

11. SEPTEMBERMona Thowsen explains the

proposal on extended country-by-country reporting in the magazine, International Tax Review. Thowsen talks about the advantages of the

new transparency standard when it comes to stopping tax avoidance, and also about the advantages for

the companies.

NOVEMBERThe proposed

extended country-by-country reporting

standard is produced in a short version, and a

new briefing is launched.

16. FEBRUARYIn 2010, the US adopted a

law demanding that extractive companies

publish information about the payments they make

to US and foreign authorities. This was a part

of the so-called Dodd Frank Act, and a

groundbreaking step towards country-by-

country reporting. The oil lobby works against the

proposal in the US and tries to water down a similar proposal, which is being

launched in the EU.

7. JUNENorway's third

EITI report is presented.

31. JANUARYDeadline for The Ministry of Finance's consultation on

implementation of country-by-country reporting in Norway.

16. JULYLabour union leaders publically support

PWYP Norway's suggestion for extended country-by-country reporting in an opinion peace in Aftenposten, one

of Norway's leading newspapers («Åpenhet mot ressursplyndring»).

8. FEBRUARYFreedom of expression has been under pressure in Ecuador

for the past years. In February 2012, the previous TRACE participant, Christian Zurita Rón and his journalist colleague,

Juan Carlos Calderón are convicted and sentenced to pay one million USD each to the Ecuadorian president. Their

offence is the publication of a book that made the president look bad. A while later, the president «pardons» them.

MAYThe organization ONE

launches a petition supporting a strong EU transparency law.

18. SEPTEMBERThe EU

parliament votes in favor of

country-by-country reporting.

5. DECEMBERThe case against

Transocean is initiated in Oslo District Court.

11. OCTOBERThe oil lobby,

represented by The American Petroleum

Institute (API) sues the US for their adoption of transparency law in the Dodd Frank Act.

The oil companies file a lawsuit against the SEC in order to avoid

having to publish payments made to

other countries' governments.

18. OCTOBERAPI member, Statoil, refuses

to renounce the lawsuit.

NOVEMBERIn the EU,

PWYP campaigns to support the

transparency law.

THE 2012 POLITICAL PROCESSES AND MILESTONES IN NORWAY AND INTERNATIONALLY

30. OCTOBERThe Ministry of Foreign Affairs works on a white

paper on redistribution, and PWYP Norway delivers

input. Several organizations, in addition to PWYP

Norway, meets with State Secretary, Arvinn Gadgil, to hand over the comments.

The Norwegian newspaper on development aid,

Bistandsaktuelt, publishes a piece about PWYP Norway's

views.

1. NOVEMBERPWYP Norway meets State Secretary, Roger Schjerva, to

discuss the implementation of extended country-by-country reporting in Norway.

14. NOVEMBERPWYP Norway launches a new, weekly newsletter.

23-25. NOVEMBERThe international and interdisciplinary conference, Financial secrecy, society and vested interests, is held in Bergen. PWYP Norway hosts the conference in cooperation with The Norwegian School of Economics

(NHH). The programme boasts exciting lecturers from all over the world.

«I believe that a part of the progress we have seen the last couple of years is in great part thanks to civil society organizations. They have made it impossible for the politicians to ignore the facts.»

Tine Søreide, economist and researcher at the University in Bergen, Faculty of Law.

«The impression still prevails, that the needs and problems of small, poor countries are secondary to the problems of large, rich countries»

Allison Christians, professor at the Faculty of Law, McGill University, Canada.

«I believe that it is essential for networks in the North to partner with those in the South, in order to secure a positive influence.» Daniel Reeves, former senior advisor in IRS.

7. MARCHStatoil

publically defends financial

transparency and country-by-country reporting.

14 15

5. APRILLaunch of the white paper, «Sharing for prosperity» (Meld.St.25), concerning the

relation between growth and redistribution in developing countries.

PWYP Norway gives input to the report, particularly on extended country-by-

country reporting. The report makes use of a visual map of company structures, which PWYP Norway discovered when working

on Piping Profits in 2011.

30. APRILMinistry of Finance working group

comes with a report with suggestions on what kind of

country-by-country reporting Norway should introduce. The Working Group presents PWYP Norway's demand for extended

country-by-country reporting, and provides for rules that go beyond

what the EU has proposed.

JUNEThe US oil lobby sued the US Securities

and Exchange Commission (SEC) for the requirements of transparency of

tax payments. The verdict falls in June, in the Washington DC District Court, and it is a partial victory for the oil

industry. SEC is forced to write a new draft for regulations.

14. OCTOBERMinister of Finance, Sigbjørn Johnsen,

presents the government's proposal for country-by-country

reporting. The proposal receives

criticism from a unison Norwegian civil

society, particularly for not including a goal to

reveal tax flight.

15. NOVEMBERIn the budget

compromise between The Liberal Party

(Venstre), The Christian Democratic Party (KrF),

and the new government, tax is reintroduced in the

purpose of the law. The budget compromise

states: The Norwegian Parliament requests the government to ensure

the inclusion of goals to reveal unwanted tax adjustments in the

rules on country-by-country reporting.

5. DECEMBERThe Norwegian

Parliament adopts new regulations for

country-by-country reporting. The rules

go beyond the EU rules, but they still

have shortcomings, such as the lack of

inclusion of tax havens and no demands for

real accounting figures.


5.MARCHPWYP Norway participates in Norwegian Church Aid's development conference,

discussing extended country-by-country

reporting with France's minister of development, Pascal Caufin, Norway's

minister of development, Heikki Holmås, and director

of European Network on Debt and Development,

Jesse Griffiths.

28. NOVEMBERThe seminar «Politics, not Charity» at the House of

Literature in Oslo gathered 25 TRACE participants, as

well as decision makers and business representatives from Norway and the EU.

Remarks and presentations by, among others, two

TRACE participants, Hans Olav Syversen (KrF), Bård Vegard Solhjell (SV), Inger Coll (Norwegian Economic Forum), Jose Correia Nunes

(European Commission), and Bjørn Otto Sverdrup

(Statoil).

28. NOVEMBERLaunch of the report «The Case for

Windfall Taxes». The report addresses the ways in which

countries may enforce a more efficient and just natural resource

taxation. It also provides an overview of different tax

mechanisms, and their respective advantages and disadvantages.

• Government expenditure amount were USD billion in 2012

• In the same year tax revenue were USD 18821 billion – a huge discrepancy

• The large loopholes in the tax system need to be closed – starting with extractive industries with resource rents

Author: Frian Aarsnes, co-author Olav Lundstøl

NOVEMBER 2013 pwyp.no

Illus

trat

ion

by G

ado

The Case for Windfall Taxes – a guide to optimal resource taxation

28. NOVEMBERLaunch of volume 2 of the report ”An Extended

country-by-country reporting standard”. The report demonstrates how Norway could and

should take the lead with an extended reporting standard, both easier and more effective than the

EU and US standards. There are also specifications and clarifications of arguments that

have come up in the aftermath of volume 1.

11. APRILAUF Telemark decides that AUF will

demand extended country-by-country reporting.


18-25. NOVEMBERTRACE modul 1 is held in Oslo. 25 participants from

civil society in Uganda, South Sudan, Ghana,

Mozambique and Tanzania learn more about natural

resource taxation, contract law, EITI and strategic

communication.

PWYP Norway has focused particularly on promoting the TRACE participants as

expert sources for Norwegian media. One

example is the news story in Dagens Næringsliv on 29

November featuring Winnie Ngabiirwe (photo).

She encourages Norwegian authorities to lead the way

in the fight against tax fraud.

23-24. MAYEITI holds its global

conference, and agrees to recommend

companies to inform about beneficial

owners. This has been a key demand for PWYP

Norway for a long time. Erik Solheim, Chair of

OECD DAC states: «The key word is tax».

31. JULYPWYP Norway submit

comments to the Ministry of Finance where we

argue for an extended country-by-country

reporting, where companies provide eight

key figures as notes to the accounts.

8. AUGUSTPWYP Norway sends a letter to the Ministry of Finance clarifying the

terminology in our country-by-country reporting proposal.

8. APRILIn conjunction with the

debate, the report «Silence is golden» is

launched in a Norwegian and English version. It is a collection of articles from

Norwegian and International experts, who

address how abuse of lawyers’ confidentiality

may facilitate corruption and capital flight.

31.OCTOBEROpinion piece in Dagens

Næringsliv: Johnsen's broken promise. The

opinion piece examines the shortcomings of the

proposed law on country-by-country reporting.

5. NOVEMBERTogether with four other

civil society organizations, PWYP Norway participates in a consultation held by the Standing Committee on Finance and Economic Affairs in the Norwegian

Parliament. PWYP Norway explains how easy it is to

implement extended country-by-country

reporting.

20. MARCHDebate about PWYP

Norway's transparency proposal for extended

country-by-country reporting at the House

of Literature in Oslo. The Norwegian tax

administration, Statoil, Save the Children

Norway, EITI, KLP, The Conservative Party

(Høyre) and The Socialist Left Party (SV) were

represented in the panel.

13. FEBRUARYHans Olav Syversen (photo) submits a written question to Sigbjørn Johnsen,

Minister of Finance. He points to PWYP Norway's proposal on an extended country-by-country

reporting, and asks which information requirements the

upcoming law on country-by-country reporting will include. He also asks

when the law is to be considered by the Norwegian Parliament.

9. APRILAgreement is reached in the EU, between the EU Commission, the

European Parliament and the European Council, regarding a

compromise proposal for a new consolidated accounting directive.

6. SEPTEMBERHans Olav Syversen submits a

new written question to Sigbjørn Johnsen (photo). This

time he asks if the extended country-by-country reporting

will be based on the eight central accounting figures

demanded by PWYP Norway.

14. JANUARYOpinion piece in LO-Aktuelt: Our admiration for

corruption and capital flight.

2. SEPTEMBEROpinion piece in

Dagsavisen: Choose transparency.

2. JULYOpinion piece in

Dagsavisen: Doesn't Norway follow the

transparency trend?

28. JANUARYPWYP Norway participates in the conference «Tackling tax havens

and Illicit Financial Flows», held by Concord Denmark. We share our

report on country-by-country reporting with EU commissioner,

Algirdas Šemeta.

17. JANUARYParticipation in a webinar with

investors and Statoil: Payments to governments – Transparency in the extractive industries. Analyst

GES invited Standard Life Investment, Statoil and EITI

(Extractive Industries Transparency Initiative) to present

perspectives and answer questions, among others from

PWYP Norway.

20. SEPTEMBERLetter to the

Standing Committee on Finance and

Economic Affairs regarding extended country-by-country

reporting.

16. AUGUSTOpinion piece in Klassekampen:

Transparency law without transparency.

8. APRILDebate about lawyers’

confidentiality at the House of Literature in Oslo. The

background was the ongoing consultation on

the issue, and PWYP Norway had the opportunity to

present their consultation statement. Additional participants were the Ministry of Finance,

American tax authorities (IRS), the Norwegian Bar Association, Tax Justice Network and Amnesty

International.

23. OCTOBERLetter to the

Standing Committee on Finance and

Economic Affairs regarding extended country-by-country

reporting.

27. NOVEMBER25 TRACE participants meet with Member of Parliament,

Marianne Marthinsen (Labour Party) at the

Norwegian Parliament. - Norway plays a vital role

when it comes to oil industry transparency.

Norwegian extended country-by-country

reporting will help African governments allocate more resources to development,

Abena Afari states.


6. DECEMBERRemarks at

Transparency International's

launch of the report «Åpenhet i

selskapsrapportering» (Transparency in company reporting)

16 17

19. MARCHUSA implements EITI. Norway was the very first OECD country to implement EITI.

The way Norway resolved the task, was to be an example for other countries, both Southern and Northern. When Norway implemented EITI it revoked many counter

arguments from countries that were reluctant to implement it.

30. MARCHPWYP Norway submits input to the IMF. IMF has invited

governments, civil society, academia, and private sector stakeholders to submit their comments in their

consultation on economic spillover in international taxation. PWYP Norway challenges the terms used by

IMF in tax issues and shares findings from its own reports.

17. APRILPWYP Norway submits input to the

OECD regarding tax policy. OECD has invited stakeholders to send in their comments on a draft for discussion. The draft contains the preliminary

results from work done in three different tax policy areas, defined under «Action 6». PWYP Norway challenges the draft and shares

findings and proposals from own investigations.

4. AUGUSTUS-Africa Leaders

Summit is held for the first time in

Washington DC. 50 African leaders were

invited to the US capital to discuss how

they can improve natural resource

management on the African continent.

8. SEPTEMBERThe OECD presented the first seven measures in their BEPS Action plan, which is meant to fight

multinational tax avoidance. -Too short. Too little. Too late, says

PWYP Norway's secretary general, Mona Thowsen, in an article in DN. - The

OECD's proposal for regulations to stop the

world's largest companies from avoiding

taxes, does not go far enough, Mona Thowsen

says.

2. DECEMBERThe Scheel Committee

presents their new report: NOU 2014: 13 Capital taxation in an

international economy. In the

report, the Committee suggests to lower the

company profit tax from 27 to 20 percent.

4. NOVEMBERGerman civil society organisations

invite PWYP Norway's secretary general, Mona Thowsen, to share experiences from Norway's EITI

implementation.


11. APRILPWYP

Norway's secretary

general meets with the

Department of Energy and

Minerals in Kampala, Uganda.

1. JANUARYAdoption of a law on country-by-country reporting in Norway.

The Norwegian regulations are a copy of the EU regulations.

The transparency demands of the

extended country-by-country reporting still

remain.

20. JUNEThe Norwegian Parliament reviews the revised

national budget. The Socialist Left Party's proposed amendment concerning extended country-by-

country reporting was overruled.

28. JANUARYOpinion piece in Dagens

Næringsliv: The oil fund must demand transparency.

6. JANUARYPWYP Norway and WWF Norway

host a debate about the Norwegian implementation of EITI demands and encouragements - the status, the experiences, the priorities, and the challenges.

24. SEPTEMBEROpinion piece in Dagens

Næringsliv: Will The Conservative Party and The

Progress Party stop tax flight?

13. JUNEThe civil society

organisations, The Future in our Hands,

Norwegian Council for Africa, ForUM, LO and PWYP Norway meet with representatives

from Statoil in Statoil's head office to discuss the company's further

plans for extraction South of Sahara. PWYP

Norway shares the policy briefing «Three critical elements». (Tre

røde flagg)


10. DECEMBERWith the stakeholder group, PWYP Norway participates in an EITI

meeting at the Ministry of Petroleum and Energy.

17. MARCH Participates in a meeting about the EITI, together

with representatives from our member organisations

and EITI civil society representatives.

7.-8. APRILTRACE Module 2 is held in

Kampala, Uganda. 24 participants from five African

countries gathers again to further develop their knowledge from Module 1 (Oslo, November

2013). The participants come from Uganda, South Sudan,

Ghana, Mozambique and Tanzania. Contract transparency is the main topic for Module 2.

9. APRILThe seminar «Towards a transparent and accountable natural resource regime in Africa» was held by PWYP

Norway, PWYP Uganda and Global Rights Alert Uganda. The event takes place at Makerere University in Kampala and gathers around 150 participants from civil society,

academia, authorities and media. In her statement, PWYP Norway secretary general, Mona Thowsen, highlights the

importance of transparency mechanisms for development. Several of the lecturers criticise the Ugandan authorities for not taking responsibility. Uganda's Minister for Energy and

Minerals, Peter Lokeris, claims that transparency is not a problem in Uganda. He rejects the criticism.

19. MARCH Opinion piece in Vårt Land: Tax avoidance

takes lives.

20. JUNELaunch of the briefing

«Three critical elements» (Tre røde flagg).

This policy briefing by PWYP Norway concerns extended country-by-country reporting, and

demonstrates how only three elements are lacking, in order for the law to work

as intended.

27. JULY-2. AUGUSTThe seminar «Law,

Politics, Economy and Mass Media» is held in

Golitsyno outside Moscow, Russia. PWYP

Norway's secretary general, Mona Thowsen, lectures and takes part in the seminar on behalf of NUPI. All the participants

are associated with Moscow School of Civic

Education.

16. OCTOBERPWYP Norway's

secretary general, Mona Thowsen, lectures at NUPI

for Russian participants

associated with Moscow School of

Civic Education. The seminar is a follow-up to the

seminar held outside Moscow

at the end of July.

23. OCTOBERPWYP Norway has a stand at

Industry Energy’s annual

congress.

10.-21. NOVEMBERModule 1 of TRACE 2014/2015 is held in Oslo. 21 participants from civil society in Ecuador, Bolivia, Colombia and Guatemala arrive to learn more

about natural resource taxation, contract law, EITI and strategic communication. Various side

meetings are held with Norwegian civil society organisations, press and EITI. Voices from the South

are heard in the Norwegian media.

1. MARCHThe Ministry of Finance suggests

closing the shareholder register from public access. Minister of Finance, Siv

Jensen, sends the proposal on a consultation.

16. APRILMarianne Marthinsen (Labour Party) submits a question to the Minister of Finance, Siv

Jensen (Progress Party), about extended country-by-country reporting. Siv Jensen

replied that she maintains the weaknesses.

20. JUNEThe council of state appoints

the new EITI stakeholder group. Mona Thowsen, secretary

general in PWYP Norway, is appointed. The new stakeholder

group will sit for two years. KFUK/KFUM, Industry Energy, WWF Norway, Transparency

International, Fagforbundet and PWYP Norway represents the

civil society.

25. MARCHPWYP Norway submits a consultation statement to the Ministry of Finance

regarding the shareholder register. In the statement, PWYP Norway underlines that

the suggestion to close the register is directly opposed to the transparency initiatives in

the EU and the rest of the world.


19. NOVEMBEROpinion piece in Dagens

Næringsliv: Yes to financial transparency. It

was written by Erik Solheim, chair of OECD

DAC, in cooperation with PWYP Norway, and in conjunction with our

seminar, «The Industry of Tax Avoidance».

21. NOVEMBERPWYP Norway hosts the seminar, «The Industry of Tax

Avoidance. How can we fight secrecy with policy», at the House of Literature in Oslo. The seminar consists of three parts. In the

first part, Grace Perez-Navarro from the OECD tax administration and tax director, Hans Christian Holte, explain how to fight

multinational companies' tax avoidance in Norway and internationally. This is followed by a political debate with State Secretary in the Ministry of Finance, Paal Bjørnestad (Frp), Truls

Wickholm (Ap), Heidi Nordby Lunde (Høyre) and Unni Borge (SV). The last part focuses on consequences in Latin America. Mariel Støen and Benedicte Bull give initial remarks, followed by talks

with four of our TRACE participants.

20. NOVEMBER21 TRACE participants visit

Truls Wickholm (Labour Party) at the Norwegian

Parliament. They challenge the opposition to speed up the process for an extended

country-by-country reporting. The Government wants to wait three years to

evaluate. - Way too late, participants think.

12. DECEMBERIn a meeting at the Association of Norwegian Editors, PWYP

Norway discusses the Government's wish to close

the shareholders

register.

31. DECEMBERThe report, «Transparency

Agreement» was completed in December 2014, in English and Spanish. Frian Aarsnes,

and co-writers Olav Lundstøl and Morten Eriksen write the

report. Per today, tax administrations do not have

access to the entire document chain in

multinational companies. The transparency agreement

can change this, on a sampling basis, so tax

authorities get the insight they need.

9. DECEMBERPWYP Norway arranges the seminar «Break the

corruption chain» together with UNDP at the House of Literature in Oslo. PWYP Norway's secretary general,

Mona Thowsen, head of FOKUS, Gro Lindstad, and head of UNDP Norway, Jamshed Kazi, are part of the panel.

19

J A N U A R Y F E B R U A R Y M A R C H A P R I L M A Y J U N E A U G U S T S E P T E M B E R O C T O B E R N O V E M B E R D E C E M B E R

11.FEBRUARYPWYP Norway gives initial remarks and takes part in a panel discussion

at the seminar in Bergen

26. JANUARYPWYP Norway co-signes an opinion piece on beneficial

owners, published in Dagbladet.

2. MARCH PWYP Norway hosts the seminar

«Financial transparency and democracy» at the Parliament, together with The Socialist Left

Party.

3. MARCHMona Thowsen has an article

about tax avoidance and human rights in Human Rights

Week 2015's magazine.


25. MARCHIn cooperation with ICEFI,

PWYP Norway held an international seminar on

financial transparency in the extractive industries in

Guatemala City. 160 people showed up to take part in the seminar, and it stirred a lot of

activity on social media. PWYP Norway's secretary general,

Mona Thowsen, gave remarks and attended a panel

discussion on international initiatives for transparency in

the extractive industry.

19. MARCHMona Thowsen, secretary

general in PWYP Norway, held a presentation for 25

representatives from Guatemalan civil society through

the Cordaid network. The organisations wanted to hear

Norwegian experiences with and reflections around EITI, in order to discuss EITI Guatemala in the

context of the country's suspension from the EITI.

23-25. MARCHModule 2 in the TRACE-

programme was arranged in Guatemala together with ICEFI. The participants met to go in-

depth on contract transparency.

31. MARCHOn 19 March, Statoil delivered

the world's first country-by-country report. PWYP Norway

analysed the report and published the briefing paper

«Downstream pollution of upstream numbers in Statoil's

first country by country report».

15. JUNEOpinion piece in

Klassekampen, by Mona Thowsen: «Siv Jensen's evasions». It claims that The Minister of Finance wriggles away from the

facts in the debate concerning measures

against tax evasion in tax havens.

12-13. AUGUSTPWYP Norway was present at

Arendalsuka, taking part in debates and speaking with local politicians

about our work.

21. SEPTEMBERPWYP Norway's secretary general, Mona Thowsen, is keynote

speaker for auditor general offices from all over the world, members of the INTOSAI WGEI network. The Office of the

Auditor General of Norway hosts the three-day seminar in Oslo.

31. AUGUSTThe briefing paper «Transparency

Agreement – A tool for multinational transactions. How to expand and fix the toolbox of tax administrations»

was completed and published at pwyp.no in August. The report was

distributed and discussed in Eva Joly's Corruption Hunter Network, and later among auditor general

offices from all over the world.

21. OCTOBERMona Thowsen gives a presentation in Stockholm, at

Nordic public employees (NOFS) electoral meeting, on how companies to an extended degree are able to

organise themselves away from unwanted responsibility, such as tax and employers liability.

20. MAYThe Norwegian Institute of

Public Accountants arrange an annual conference for the accounting and advisory

business (Dnr-dagen). This year they focused on aggressive tax planning, and Mona Thowsen

held the opening remarks.

15. MAYMona Thowsen gives a

presentation to the participants at MSCE in

Stockholm, on behalf of NUPI. Since the last presentation in Moscow, the organisation has been added to a Russian list of

«foreign agents».

31. AUGUSTThe fact leaflet, «Ignoring the elephant in the room» was completed in August.

The fact leaflet explains connections between

capital flight and financing for development, and is

written for young people aged 18-25.

22. SEPTEMBERPWYP Norway gives a

presentation on our work to the anti corruption group at

Bistandstorget.

8. OCTOBERPWYP Norway receives visitors from the Czech Republic and

Slovakia, in Norway to learn about anti corruption work. They are

particularly interested in control of political power.

7. OCTOBERPWYP Norway arranged a seminar with HiOA on which conflicts that arise when natural resources are

extracted on indigenous territories in Colombia, Ecuador and

Nicaragua. Christine Amdam, information advisor in PWYP

Norway, opened the debate on the role of media in such a context.

9. DESEMBEROn the International Anti-Corruption Day, PWYP

Norway and a number of other organisations, invited to a ceremony in front of the parliament, to demand extended country-by-country reporting now! Nine

organisations gathered in front of the parliament and held speeches in favour of this transparency initiative.

31. DESEMBERThe briefing paper, «What Statoil reported and what

Statoil should have reported» was finished.

26. JANUARY 2016Together with Fagforbundet, PWYP Norway co-hosted

the conference, «Tax and welfare». The conference gathered experts, business leaders, politicians,

journalists, relevant ministries and other interested parties to discuss the connections between tax and

welfare.

31. MARCHPWYP Norway publishes a press release and a briefing paper, revealing that Statoil has polluted the numbers

in their reporting.

5. JUNEDebate in the Parliament about extended country-

by-country reporting following an

interpellation sent to the Minister of Finance, Siv

Jensen, from Truls Wickholm (Ap).

Representatives’ proposal to establish a

Norwegian public ownership registry to

ensure transparency of ownership in Norwegian

companies and strengthen efforts against tax crime,

corruption and money laundering were passed

unanimously in Parliament.EndFragment

19. JUNEA united Parliament asks the government to «revise the effect of the regulations of the CBC reporting, measured against the

parliament's objective to reveal unwanted tax adjustments and secure that relevant information concerning

CBC reporting from subsidiary companies and third country support functions emerge in the accounts. The

Parliament also asks the Government to consider the possibilities for establishing

a supervisory authority for the accounting subjects according to the

CBCR regulation» (Translated from Norwegian.)


APRIL-OCTOBERMore than 100 000 people protests against government corruption and abuse of power in Guatemala. The president and the vice president

were imprisoned on accusations of large-scale corruption.

19. MARCHFor the very first time, Statoil reports under the country-by-country reporting-law.

In its consultation statement to the Scheel Committee,

Fagforbundet says that The Ministry of Finance should

adopt extended country-by-country reporting.

5. FEBRUARYThe Norwegian Parliament treated a motion from The

Labour Party and The Christian Democratic Party regarding the

establishment of a public register of companies' beneficial

owners. PWYP Norway has encouraged The Liberal Party

and the conservatives to vote in favour of the motion.

2. FEBRUARYMarianne Marthinsen from The

Labour Party submitted a written question to the Minister of Trade and Industry, Monica

Mæland, asking the minister to confirm that the Norwegian

shareholder register will remain open. PWYP Norway helped

draft the question.

5. OCTOBEROECD launches the last part of its

BEPS project (Base Erosion and Profit Shifting).

2. DECEMBERThe Ministry of Finance has released a consultation on

country-by-country reporting for tax purposes. PWYP Norway believes that the Ministry of Finance has avoided to follow up on the

parliament's objective for country-by-country

reporting. Instead, they have followed up a

completely different lead and a different basis: the recommendations from

OECD's BEPS project which concern information access

for tax authorities alone. The deadline for the

consultation is 25 January 2016.

22. DECEMBERThe Government sends on a

consultation several possible alternatives for the

establishment of a public solution for information

about company ownership. The suggestion has been

criticised.

11. DECEMBERUS Securities and Exchange Commission (SEC), voted in

favour of a proposal that demands the publication of payments per country and

per project, without any exemptions, under section

1504 of the Dodd-Frank Act. 1. OCTOBERSiv Jensen answers that she aims for the reports to be consolidated into a proposal for necessary changes in

the regulations in the course of 2016, after a standard consultation

process. .

24. SEPTEMBERTruls Wickholm (Labour Party) submits

a written question to The Minister of Finance, Siv Jensen, asking for an

update on the process to strengthen the country-by-country regulation.

8. JULYThe EU Parliament votes on

country-by-country reporting. The reporting is to be

implemented for all sectors, not only the extractive industries.

14. JULYThe Socialist Left Party added a note on extended country-by-

country reporting in their recommendations to the oil fund,

and received support from The Liberal Party.

J U L Y

15. JUNEThe Norwegian Parliament voted over

the notes to the revised national budget. The note concerning extended country-by-country reporting, proposed by The Labour Party, The Center Party and The Socialist Left Party, did not get majority.

7. MAYEU-parlamentet

stemmer for land-for-land rapportering.

24. MARCHAfter a

recommendation by the Oslo stock exchange and a lot of pressure

from civil society, including PWYP Norway, Statoil has turned, and wants to publish the company's

beneficial owners. 21




761) Spread the message on social media: • Participate in the fight against financial secrecy on social

media. Follow PWYP Norway on social media and sign up for PWYP Norway’s newsletter on the webpage: www.pwyp.no.

• Invite your friends to take part in the debate on social media and share posts and tweets you support.

2) Become a volunteer: • Contact an organization that you want to volunteer in. Your

voice, time and energy are crucial for the fight against financial secrecy!

• Take part in a political committee or a local group in your organization that focus on the fight against financial secrecy.

3) Talk about it: • Tell your friends why it is important to fight financial secrecy.

PWYP Norway has developed material that can be used to present the facts to your friends or your organization. Go to www.pwyp.no to find the material or send an email to [email protected]

• Write an opinion piece in the local newspaper on why it is important to fight financial secrecy.

Do you have any questions about how you can get engaged, pleasesend an email to [email protected]. We need your voice for financial transparency!

PWYP Norway would like to thank all those actors that make it possible for us to continue a daily, focused and long term work on a very special area. Work in this area requires a combination of specific knowledge and experiences where small nodes in a network use their different expertise, capacity and experience and work together in a global campaign.

It is challenging to work in a highly contested area where our positions and initiatives challenge the status quo and where the counter forces are financially strong, The public opinion is our only ally.

PWYP Norway’s results had not been possible without the financial support and partnership with the Norwegian Agency for International Development, Norad. We are very grateful for its continuous support and its willingness for a constructive partnership over the years.

We would also like to thank all those organisations behind PWYP Norway who continue to support the work of the secretariat through their annual and voluntary donations, and through their active or moral support. There would be no network without them.

We would like to thank all those organisations and individuals that support PWYP Norway in so many ways through their participation in the debates, raising interesting questions and comments, their contributions through their work, and for both financial donations and moral support.

To continue the work for transparency we need people to raise their voice, and we need people with expertise to use their knowledge for the benefit of the society.

This is complex, demanding and long-term work. But, the results of our efforts are very encouraging. There is nothing stronger than an idea for which the time has come!

PWYP Norway

Thank you!Join the debate

Representatives from civil society in 4 Latin American countries demands transparency. Photo: PWYP Norway

HELP US CONTINUE OUR WORK:

Do you think our work is important?Do you want to see financial transparency and accountability in the extractive industries?

You can support PWYP NORWAY by sending a text message

Text PWYPNORWAY to 09316 followed by (donation amount)e.g. pwypnorway 500(donations in NOK, international users must use +47 417 16 016)

YOUR SUPPORT MAKES OUR WORK POSSIBLE

PWYP Norway is the Norwegian chapter in a network of 800 organisations from more than 70 countries worldwide. We work for financial transparency in the extractive industry to promote sustainable societies.

ISBN 978-82-93212-54-6

MAKING TRANSPARENCY POSSIBLE - Publish What You Pay · 2006 2016 2006 2016 P Y ay Innholdsfortegnelse Vision of PWYP Norway: Value creation from the oil, gas and the mining industry

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