Project Case Study
UK Partnerships in the Extractive Sector
Strengthening partnerships in the extractive sector between UK institutions and their counterparts
The UK’s Department for International Development (DFID) is developing an initiative to leverage British expertise to further the UK’s contribution to improved governance of the extractive industries in resource rich, developing countries.
This new initiative will provide British expertise to developing countries, addressing ongoing governance challenges which act as a barrier to converting mineral wealth to widespread social and economic change.
On behalf of DFID, Adam Smith International (ASI) undertook an initial scoping exercise to map the supply, appetite and capacities for partnerships within the extractives sector of UK institutions. The study also investigated the demand from partner countries for UK support as well as identifying the optimal institutional arrangements required to set up a successful partnership. To match supply with demand, detailed interviews were conducted with officials in Zambia, Nigeria and in Ghana.
The meetings with stakeholders focused mostly on government institutions that have a regulatory responsibility for the extractive sector. These comprised those charged with mining and/or oil and gas regulation including inspection, licensing and geological survey; environmental protection and management; land management; financial matters including taxation and collection; and trade and investment. Initial findings demonstrated that of the 38 interviewed UK institutions, 61% expressed a very high interest in building a partnership. On the demand side, all of the institutions were interested, with 89% expressing a strong appetite to participate in the initiative.
This collaborative, multi-stakeholder effort to strengthen governance and support host countries will ensure that UK institutions are able to leverage their expertise in the sector and develop a new approach for targeted support to resource-rich developing countries.