Oil and governance pdf

Stakeholders engagement in the oil and gas industry in nigeria. Environmental, social and governance esg research is a core part of the equities investment process and developing in scope for fixed income. Structure cor por ate governance 20 evolve financial statements 20 heritage oil plc corporate governance 20 heritage oil plc is an independent oil and gas exploration and production company with a premium listing on the london stock exchange lse symbol hoil. Posted on september 14, 2017 september 14, 2017 by spm pdpu introduction. Everyone loses out when corporate governance falls by the. At the forum, the ppp alliance agreed that the document would be discussed at its next meeting to be held in. Oil and governance ebook by 9781107386693 rakuten kobo. Environmental, social, and governance esg evaluation oil. The concept of corporate governance gained further momentum after the sudden crash of enron, worldcom, xerox, lehman brothers and the crisis of satyam. This module is the first part of the course on governance and development. Guyana petroleum resources governance and management. Similarly, governance is another contested concept in this discourse. Corporate governance practices of oil and gas sector spm. Oil rents and economic growth in oil abundant mena countries.

They produce most of the worlds oil and bankroll governments across the globe. Although nocs superfi cially resemble privatesector companies, they often behave in very different ways. The oxford institute for energy studies is committed to filling some of the gaps in the understanding of the african energy scene and has published papers, spanning the institutes oil. For close to a century, oil fortunes have been made and lost in the developing world, but a series of sprawling corruption investigations has thrown a wrench into that paradigm, ensnaring oil and. Environmental, social, and governance esg evaluation oil and gas producer executive summary oil and gas producer ogp is a stateowned, midsize hydrocarbon producer that operates globally with a focus on emerging markets. Oil and governance explains the variation in performance and strategy for nocs and. Those with more insights into the inner workings of the oil and gas sector in the arab countries may dispute some of the findings of this paper. Pdf many critical governance issues were created with the discovery of major oil deposits in uganda. To learn more about the types of cookies this website uses, see our cookie policy. The oil and gas industry overview and trends nrgi reader april 2015 this reader is intended for use in conjunction with the natural resource charter. The page volume, edited by david victor, david hults, and mark. Refining what comes out of the ground is not often a form of petroleum that can be used right away.

Stakeholders engagement in the oil and gas industry in. To understand these pivotal stateowned enterprises and the long shadow they cast on world energy markets, the program on energy and sustainable development pesd at stanford university commissioned oil and governance. Towards good governance of the oil and gas sector in the mena. We believe that this is the right approach for all our stakeholders, including but not limited to. Oil and gas producer ogp is a stateowned, midsize hydrocarbon producer that operates globally with a focus on emerging markets. Oil and governance finds a strong correlation between such nonhydrocarbon burdens on the nocwhich include providing employment, subsidizing fuel, or handing out plum jobs to the politically connectedand deficiencies in oil and gas performance. The board of directors is responsible for overseeing impacts effective daytoday management and for implementing the groups strategy across all operations. Ethics and governance practices in the oil and gas industry. Governance is the trump card to escape the resource trap. This article tries to explain, as simply as possible, what governance and good governance means.

Oil industry rocked by global corruption scandals the star. Our board of directors corporate governance and nominating committee approved and adopted a code of ethics for senior financial officers. However, such a presidential declaration has not been made solely for a humancaused oil spill to date. Processes and systems involved in producing and distributing oil and gas are very complex, capitalintensive. Towards good governance of the oil and gas sector in the. The company is a member of the ftse 250 index and has exchangeable shares. Introduction david hults, mark thurber and david victor part ii. Oil watch has about 20 ngo members, 38 localhost community groups, and 50 individual members. At marathon oil, running our company responsibly means managing and mitigating environmental, social and reputational risks effectively. Many critical governance issues were created with the discovery of major oil deposits in uganda. Energy security initiative at br oo ki ng s offshore oil and gas governance in the arctic a leadership role for the u. Oil rents and economic growth in oilabundant mena countries. Gender diversity in the oil and gas industry canadian. The following are the guidelines broad recommendations for.

Oil and gas in africa supplement to the african development report oil and gas in africa african development bank and the african union 9 780199 565788 1 isbn 9780199565788 the book, a joint work of the african development bank afdb and the african union au, presents a comprehensive analysis of the oil and gas resources in africa. Risk governance of offshore oil and gas operations edited by preben hempel lindoe, michael baram, ortwin renn. Board governance principles bp 2 1 the bp goal the purpose of the group is to maximise longterm shareholder value through the allocation of its resources to activities in the oil. The oil watch network uganda was established in 2008 and seeks to promote good governance in oil and gas development. Oil and governance explains the variation in performance and strategy for nocs and provides fresh insights into the future of the oil. It is also accountable to the shareholders for good corporate governance. For it to be the fuel that can go into a car or converted into plastics, it must go through a. The essence of corporate governance is to ensure good business performance, accountability towards stakeholders e. Corporate social responsibility in the oil and gas. Mena oil exporters have been diagnosed with the resource curse. Without proper governance, oil and gas can face significant challenges in many areas, both external and internal to the organization. These two traditions have dissimilar conceptualisations. The positions outlined offer insights into various aspects of the governance process and internal audits vital role in improving governance at all levels and adding value to the organization. Pdf corporate governance in the oil and gas industry.

Vision 2040 global scenarios for the oil and gas industry. Corporate governance is a buzz word in the corporate world. Corporate governance is the structure of rules, practices, and processes used to direct and manage a company. The book moreover consists of crosschopping gadgets on the financial development of the oil business and the politics and administration of nocs. Good governance is a key ingredient in the diversification recipe.

Background, governance, and issues for congress congressional research service 1 introduction oil is a dominant source of energy in the united states, supplying the nation with approximately. Jan 09, 2020 in canada, other hurdles may be stalling increases in womens representation at the board level. The present paper aims, on the one hand, to test the impact of oil rents on economic growth and examine the main symptoms of the resource curse phenomenon in oil abundant mena. The enhancement of good governance allows oil rents to serve as a crucial funding source for enhancing.

Pdf energy has risen to the top of policy agendas around the world. With the oil boom and its eldorado in the 1970s, coupled with the successful prosecution of the nigerian civil war 19671970, there was greater. It is intended to make the teaching and learning process a more interactive and productive endeavor. The 2017 resource governance index measures the quality of governance in the oil, gas and mining sectors in 81 countries. Corporate governance practices of oil and gas sector. Political instability in africa where the problem lies and.

Past approaches, new challenges luksa lulic zagreb school of business, zagreb, croatia luksa. Read oil and governance stateowned enterprises and the world energy supply by available from rakuten kobo. Good governance the concept in the last twenty years, the concepts of governance and good governance have become widely used in both the academic and donor communities. Purpose the purpose of this document is to define the esg key performance indicators kpis which we consider particularly relevant. The coordination of efforts among international leaders has already proven to be a. Because developing countries like uganda lack strong institutional foundations, it is widely. Guyana petroleum resources governance and management project english abstract. Governance governance of oil and gas sami atallah this module explains the link between oil and gas governance and economic development, social welfare, equality, corruption, and authoritarian regimes. The local content reforms in the oil and gas industry will remain strategically ineffective for indigenous companies without adequate corporate governance structures. Board governance principles bp 2 1 the bp goal the purpose of the group is to maximise longterm shareholder value through the allocation of its resources to activities in the oil, natural gas, petrochemicals. Human rightsbased the phrase human rightsbased approach to governance refers to the pro cess and substance of policymaking and its implementation. Executive course on oil, gas and mining governance 11 about the natural resource governance institute the natural resource governance institute nrgi helps people to realise the benefits of their countries endowments of oil, gas and minerals. The worlds growing dependence on fossil fuels must be addressed with urgency.

Public sector restructuring and governance in nigeria. Corporate governance also provides a framework through which the objectives of the company are set, and the means of attaining those objectives and performance monitoring are determined. Corporate governance system in the oil and gas industry. The aim is to highlight that without prudent regulatory. There is a plethora of views by scholars and development institutions on what the concept connotes. Environmental governance in oilproducing developing. This book is an important and most systematic analysis of nocs up to now and is acceptable for audiences from business and academia, along with protection makers.

The objective of the petroleum resources governance and management project is to support the enhancement of legal and institutional frameworks and the strengthening of the capacity of key institutions to manage the oil and gas sector in guyana. Oil and governance explains the variation in performance and strategy for nocs and provides fresh insights into the future of the oil industry as well as the politics of the oil rich countries where nocs dominate. The aim is to highlight that without prudent regulatory framework, policies, and monitoring strategies, natural. Accompanying this shift has been a trend in actual events that has eroded the basis of arguments that imperialist oil companies are exploiting africans. Although nocs superficially resemble privatesector companies, they often behave in very different ways. Background and governance congressional research service 1 introduction oil is a dominant source of energy in the united states, accounting for approximately 37% of total energy consumption in 2016. Stateowned enterprises and the world energy supply. But oil vulnerabilities and tensions are only a portion of.

Instituted in 2015, the main goal of the summit is to expose and address pertinent governance and development issues pertaining to the management and use of oil and gas resources across the african continent. The rise of governance analyses has injected sophistication into the. The governance of international oil oxford institute for energy. Spence introduction the deepwater horizon oil spill in the gulf of mexico has underscored, once again, the magnitude of the risks assumed by those engaged in and affected by oil and gas development. The highestperforming nocs, like norways statoil and brazils petrobras, face relatively. The dependence on oil rents keeps the doors locked in front of diversification strategies. This code applies to marathon oils principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions. Oil, corruption and the resource curse projects at harvard. The oil group is committed to the safety and health of its staff, contractors and communities impacted by its operations. Oil in uganda home oxford institute for energy studies. This is managed through the delegation of certain responsibilities to the board committees. Owned enterprises and the world energy supply by david g.

Corporate governance, oil and gas industry, sustainable development. The first term corporate governance a set of companys relationships with its management, board, shareholders and all other stakeholders. A companys board of directors is the primary force influencing corporate governance. This research considered the oil curse causes and effects in a long run worldwide and applies them to the case of ugandas emerging oil sector. According to the canadian board diversity councils latest survey pdf of fp500 companies, just 28. Pdf on dec 1, 2005, andreas heinrich and others published corporate governance in the oil and gas industry. We strive to minimize impacts on the environment, demonstrate a high level of social responsibility and ensure regulatory compliance. Cookies are used to make this website work and to enhance your experience. Pwypuganda and particularly oil watch are more likely to pursue advocacy and activism strategies at both national and subnational. We prioritize bestinclass corporate governance, including a robust risk management infrastructure, as well as processes and foundational principles that govern the way we do business every day. With the rise of the environmental movement culminating in the demand to curb carbon emissions and to stop global warming, gas flaring practices of oil. For additional information, see crs report rl33705, oil spills. The africa oil governance summit aogs is the flagship programme of the africa centre for energy policy acep.

Guidelines for good governance in emerging oil and gas. They do this through technical advice, advocacy, applied research, policy analysis. Stateowned enterprises and the world energy supply victor, david g. It comprises fifteen case studies, each following a common research design, of nocs based. Sep 11, 2016 everyone loses out when corporate governance falls by the wayside. This policy which was approved by cabinet on 30th january, 2008 is intended to guide the development of ugandas emerging oil and gas sector. Governance roles and responsibilities laury haytayan this module gives an overview of the various actors involved in oil and gas sector governance local variation depending on institutional design. The second structure emerged when the oilexporting countries, after the second world war, formed their own cartel, opec. In a broad sense, nigerias oil diplomacy can be construed in a local and international context. Produced by the natural resource governance institute, scores are calculated using primary and secondary research. Chizoba chinweze flead intl, mnes, miaia, mseh, chinny kennedyechetebu and ijeoma onyeri. It highlights the responsibilities of national oil companies in particular and emphasizes good practices in relevant sectors across countries. The multiplicity of factors that influence the directions of the petroleum production chain is huge, making the task of preparing strategies and action plans. Vision 2040 global scenarios for the oil and gas industry 5 how to read the study few areas of the economy are as volatile literally and figuratively as the oil and gas sector.

Sound corporate governance is the main factor supporting our esg evaluation score of 57 along with adequate preparedness. This helped to tell whether the uganda will avoid the oil curse and benefit from the oil sector. Most of the times, it has been felt that the readers, who are utilizing the ebooks for first time, happen to really have a rough time before getting used to them. National oil companies nocs play an important role in the world economy.