2. • The NNRC provides guidance for governments and societies
on how to best manage the opportunities created by natural
resources for development.
• It is a monitoring and evaluation tool for tracking progress
towards better management of Nigeria’s oil sector.
• Founding premise is that if a country’s natural resources can
be well managed in a sustainable manner it can lead to
increased prosperity and improved welfare of the people.
Nigerian Natural Resource Charter
(NNRC)
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3. NNRC (2)
• It provides step-by-step guide to how countries have
successfully avoided the resource curse, and draws on cutting
edge research and expert knowledge
• It is NOT prescriptive for countries to follow. Charter is both a
standard to which countries can aspire and a resource for
technical and practical guidance.
• The NNRC, at its core, constitutes a set of 12 ‘precepts’, or
recommendations, intended to inform decision making in
relation to resource extraction.
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4. The 12 NNRC Precepts
• Precept 1: Securing the greatest social and economic benefit
• Precept 2: Promoting Transparency and Accountability
• Precept 3: Fiscal Regime and Contractual Terms
• Precept 4: Award of contracts and sector roles
• Precept 5: Managing Local Impacts
• Precept 6: Nationally Owned Resource Companies
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5. Precepts (2)
• Precept 7: Investing for Growth
• Precept 8: Stabilizing Expenditure
• Precept 9: Efficiency and Equity of Public Spending
• Precept 10: Private Sector Investment (beyond the oil sector)
• Precept 11: Role of Home Governments and Extractive
Companies
• Precept 12: Role of Private Sector Companies
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6. NNRC Expert Advisory Panel
• An expert advisory panel worked in partnership with CSEA to
design and implement the Charter in Nigeria and will
ultimately be responsible for ‘scoring’ each precept through a
traffic light system.
• NNRC Expert Advisory Panel for Nigeria is a monitoring and
evaluation tool for tracking progress towards better
management of Nigeria’s oil sector.
• The Panel is constituted with experts carefully selected, based
on their professional knowledge of the oil
industry, governance framework of the oil sector, public
credibility and non-partisanship.
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7. Expert Panel (2) Aims
• The panel is designed to support FOSTER’s goal of improving
oil sector transparency and overall sector governance.
• The Panel was assembled to lead a robust benchmarking
exercise, to assess the performance of the Nigerian oil sector
in accordance with the twelve NNRC precepts.
• The long-term aim is to use the NNRC, with the panel, to
increase awareness, participate in the dialogue, and influence
government policy on the importance that oil sector
governance has on securing social and economic benefits for
Nigerians.
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8. Expert Advisory Panel (3)
• Panel charged with two tasks:
- convening of a multi-stakeholder dialogue process
- final assessment against the benchmarking criteria
• Panel will through a series of multi-stakeholder
forums, evaluate the progress of FOSTER and the wider
governance environment in which the oil industry operates
biennially.
• Panel will produce a benchmarking report that assigns scores
to Nigeria’s oil sector against the 12 NRC Precepts.
• Panel will assist in the dissemination of the NNRC through
forums stakeholder workshops, media events and interviews.
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9. NNRC and NEITI
• NEITI is a global initiative, which seeks to promote due
process, transparency and accountability on company
payments and Government receipts of revenue from the
extractive industries.
• The payments under consideration are: Royalty, Ground
Rents/Annual Surface Rents, Taxation, and Levies
• The NNRC is designed as a complementary effort to
NEITI, both to feed expert analysis into this work- spanning a
wider range of issues; and also to allow NEITI to focus in on a
narrower set of issues identified in its mandate
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10. How does NNRC relate to good
governance on natural resources?
• The creation of an unrivalled source of knowledge and
reference on the comprehensive span of sector and
resource-related issues
• Each actor might know about a specific aspect of natural
resource management but not necessarily about others
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11. Achieving NNRC Objectives
• Annual Benchmarking Exercises
• Briefing Notes and Peer Review
• Activities coinciding with current events: fuel
subsidy, PIB, local content, and critical situations
• Workshops with media, CSOs, IOCs & NOCs, government
officials
• Media interviews: print, TV and radio
• Publication of Blogs, articles in newspapers
• Website, Facebook, Twitter
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