Transcript Document 7233536

Oil, Gas and Mining Sustainable
Community Development Fund
CommDev
Extractive Industries: Legal and Fiscal Regimes, Revenue
Management, and Good Governance
May 17, 2007
What is CommDev?
A $12 million fund focused
on helping communities receive
sustainable benefits from
extractive industry (EI) projects.
Provide funding and knowledge
Initial geographical focus: Africa (60 – 70%)
Tri-partite approach with key stakeholders – community,
EI investors and local/regional governments – in order to
ensure sustainability.
Support capacity building, training, technical assistance,
tool development and information clearinghouse
Draws on breadth and depth of expertise in the World
Bank Group.
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What is Community Development?
The process of increasing the strength and effectiveness
of communities, improving peoples’ quality of life, and
enabling people to participate in decision making and to
achieve greater long-term control over their lives.
Community development empowers and helps
communities to
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improve their social and physical environments
increase equity and social justice
overcome social exclusion
build social capital and capacities
involve communities in the strategic, assessment, and decisionmaking processes that influence their local conditions
Source: ICMM Community Development Toolkit
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Evolution of Approaches to
Community Development
Isolation
Ad hoc philanthropy
Strategic social investment
Strategic integrated community
development
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Importance of
Local Revenue Management
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Key factors for the sustainability of EI:
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Lessons learned from Latin America:
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the local management of royalties
the populations’ perception of the benefits generated
by EI for their communities
Insufficient absorptive capacity
Unresponsive allocation pattern
Poor fiscal reporting
Role of local civil society – the demand-side of good
governance
Bottlenecks need to be addressed at micro and macro
level
CommDev Revenue Management
Project in Colombia
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Objective:
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Deliverable:
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To improve municipal performance of the use of oil
royalties in Colombia by helping selected local
governments incorporate management tools and
improve their internal organization.
Intention is to contribute to a more efficient allocation
and leverage of oil royalties in those areas where oil
companies operate, which should translate into
benefits for local communities
Replicable module of training for municipal royalty
management.
Create Multidirectional
Accountability
EI
Companies
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Civil Society
Tools for tracking inputs
and outputs:
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Communities
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Local/Regional
Government
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Citizens Report Card
Community Scorecard
Participatory Budgeting
Tool
Companies publish what
they are paying authorities
Community Development
Strategies M&E Approach
Monitoring & Evaluation
If you don’t know where you’re going, you’ll probably end up somewhere else
– Yogi Berra
M&E as much about building relationships, trust and
mutual learning as it is about collecting and reporting
data.
Participatory forms of M&E include viewpoints of all
stakeholders - integrate diverse priorities and concerns
M&E offers the opportunity to demonstrate a company's
value in the community
Participation and engagement of communities are key to
designing and measuring projects adequately
Good M&E Upfront = Good Project Design
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Participatory Environmental
Monitoring in Guatemala
CommDev is funding a community-based monitoring
committee to conduct water testing.
Brings together a broad array of stakeholders
Build capacity within community
Serves as a model for constructive dialogue
between local communities and the extractive
industries throughout Guatemala
Program was awarded a prize by the Latin American
Mining Organization as the region’s most innovative
effort to integrate a mining operation with its local
communities.
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Features of Effective
Community Development
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Community consultation
Clear understanding of the local context and the impact
of EI on the community (early baseline data)
Trust, shared ownership – processes are key
Expectations contained by clearly defined roles and
responsibilities of all stakeholders
Capacity building – build social capital
Participatory Community Development Strategies
Resources (companies, govt,…etc.) allocated to deliver
outputs
M&E integral part of programs (measurable goals;
monitor and report on progress)
Strategic partnerships
Sustainability
Most Important Question…
WHO BENEFITS???
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CommDev
THANK YOU!!
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