The European Parliament has voted to mandate that
European companies that extract nonferrous metal ores anywhere
in the world must disclose payments over 100,000
($133,140) per year made to governments starting in 2015.
The new rules are part
of a reform of the European Unions accounting directive,
which has been backed by an overwhelming majority of members of
the European Parliament.
The rules will apply
to any company extracting natural resources, including mining,
oil, gas and logging companies. Under the new law, annual
reports of ore-extracting companies will be required to
disclose payments on a country-by-country and
project-by-project basis. The types of payments to be disclosed
include income, production and profit taxes, royalties and
national coordinator of the Democratic Republic of the Congo
(DRC) branch of Publish What You Pay, said he welcomed the
"We have copper and
cobalt, which are mainly extracted by European companies," he
told AMM sister publication Metal Bulletin.
With the United States and European Union adopting the rules on
disclosure of payments made to the Congolese government by U.S.
and European companies, 90 percent of the companies extracting
resources from DRC are now covered by transparency rules,
"This is history in
the making," said Arlene McCarthy, British Labour member of the
"We only have China
left," Katende added, noting that he was hoping to convince the
Congolese government to include a similar transparency rule in
national legislation. This would oblige Chinese companies
operating in the DRC to also disclose their payments to the
Congolese government, he said.
"This is a wake-up call for legislators and businesses,"
McCarthy said, adding that she hopes that similar legislation
will be passed by more regions and countries in the
A version of this
article was first published by AMM sister publication Metal