OTTAWA, June 1, 2015 /CNW/ - The Honourable Greg Rickford, Canada's Minister of Natural Resources and Minister for the Federal Development Initiative for Northern Ontario, today announced that the Extractive Sector Transparency Measures Act (ESTMA) has come into force. Today's announcement delivers on our government's commitment with our G7 counterparts to enhance transparency and accountability of payments made by the extractive industry to all levels of government.
Canada is a secure, responsible and reliable producer and supplier of natural resources to the world. This multilateral mandatory reporting initiative will help to ensure that Canada's resource industries continue to prosper and to provide the broad economic benefits that are fundamental to Canada's success. The implementation of this Act ensures that Canada remains at the forefront of international standards of transparency.
The Extractive Sector Transparency Measures Act received Royal Assent on December 16, 2014. After June 1, 2015, all extractive companies subject to the Act will be required to report payments including taxes, royalties, fees, and production entitlements of $100,000 or more to all levels of government in Canada and abroad.
Details of this legislation are consistent with the outcomes of last August's annual meeting between federal, provincial and territorial ministers responsible for energy and mining, held in Sudbury, Ontario. Ministers agreed the Act would include a two-year deferral for reporting entities to report on payments made to Aboriginal governments in Canada – until June 1, 2017.
"Working together with our largest trading partners, Canada is delivering on its commitment to supporting transparency and accountability of our extractive industries. Canada's contribution is an important step toward establishing a global standard of transparency while supporting jobs and growth both at home and abroad."
Honourable Greg Rickford
Canada's Minister of Natural Resources and Minister for the Federal Development Initiative for Northern Ontario
"The Extractive Sector Transparency Measures Act maintains Canada's position as a global leader in the fight against international corruption. CAPP is pleased to work with the federal government to continue to assure Canadians and the international community that Canada's upstream oil and gas producers are among the most transparent and responsible energy developers in the world."
Tim McMillan, President and CEO, Canadian Association of Petroleum Producers
"The Act is important to the mineral exploration and development sector as it will highlight the financial contributions and benefits that come from resource development. The legislation aims to provide companies with reporting standards to help demonstrate economic contributions made to local governments."
Rod Thomas, President, Prospectors and Developers Association of Canada
"This legislation places Canada at the forefront of international efforts to eliminate corruption and promote transparency. The Mining Association of Canada and its members are proud to have played an active role in collaboration with the Government of Canada and civil societies in the promotion and design of this important legislation."
Pierre Gratton, President & CEO, The Mining Association of Canada
"The coming into force of the Extractive Sector Transparency Measures Act marks yet another important step toward a global transparency reporting standard in the oil, gas and mining sector and is a welcome development on the part of the Government of Canada."
Kady Seguin, Acting Director, Publish What You Pay Canada
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SOURCE Natural Resources Canada
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