Denis Naughten (Roscommon-South Leitrim, Independent)
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20. To ask the Tánaiste and Minister for Foreign Affairs and Trade the steps being taken to promote transparency, accountability and fair use and allocation of proceeds from natural resource exploitation in Africa; and if he will make a statement on the matter. [7988/14]

Joe Costello (Dublin Central, Labour)
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The discovery of substantial new natural resources in Africa in recent years, especially oil and gas, brings both opportunities and risks. These resources, if used well, can help to reduce poverty significantly on the continent. Because of the development challenges many of the resource-rich African countries still face, it is vital to ensure that these non-renewable resources are extracted in a way that protects the environment and that revenues generated from them are used to improve the lives of the poor, with full transparency.

We know that the so-called ‘natural resource curse’ can be avoided when the right institutions and policies, that support transparency and accountability at national and international level, are in place.

The Government strongly supports the efforts being made to improve transparency among EU multinational companies involved in extractive and logging industries in developing countries. During Ireland’s EU Presidency last year, revisions to the EU Transparency and Accounting Directives were approved by the European Parliament. Ireland played a central role in the final negotiations of these Directives.

Under this new legislation, multinational companies based in the EU are now required to disclose full details of their payments to developing country Governments for every project that they operate in the oil, gas, mineral and logging sectors. These revised Directives complement the Extractive Industry Transparency Initiative (EITI) initiative, which has been developed under the EU-Africa Governance Partnership.

Capital flight remains a major obstacle to developing countries’ efforts to raise more of their own revenue. Ireland’s new policy for international development ‘One World One Future’ commits us to working at global level to combat illicit financial flows and capital flight and to helping developing countries raise their own domestic revenue in ways that better promote good governance and equitable and inclusive development. It also commits to strengthening our procedures to help developing countries recover the proceeds of corruption and to combat bribery in line with our obligations under international agreements.

Ireland’s International Tax Strategy which was launched in October 2013 also includes commitments to counter aggressive tax planning through our work with the OECD, the EU, through domestic legislation and through our engagement with developing countries.

We continue to support efforts at the country level through the strong partnerships we have built with Governments, civil society and the private sector in Africa. In this way we are promoting improvements in governance and accountability, the protection and promotion of human rights, and the efficient and effective use of domestic revenues derived from natural resources.