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Georgia Country Profile

Frontpage » Country Profiles » Europe & Central Asia » Georgia » Corruption Levels » Environment, Natural Resources and Extractive Industry

Environment, Natural Resources and Extractive Industry

Business Corruption

According to Global Integrity 2009, there are no uniform public environment regulations, and therefore business inspections by government officials cannot be carried out in a uniform and even-handed manner.

The oil and gas industries are mired in secrecy. According to Transparency of Public Finance & Open Society Georgia Foundation 2006, there are some concerns about the transparency of some companies' disclosure of payments to the Georgian state as well as the volume of resources that have been extracted.

Political Corruption

Georgia is endowed with abundant natural resources - oil, gas, magnesium, copper, gold, vast forests and mineral water - which serve as present and potential revenue. Transparency is hampered by the state agency that oversees the extractive energy industry, the State Agency for Regulation of Oil and Gas Resources (SAROGR). According to Transparency of Public Finance & Open Society Georgia Foundation 2006, SAROGR is supposed to make public all information pertaining to state revenues: the extracted volumes, the terms for exploration and extraction rights granted in Georgia, etc. However, this is not done in a clear, systematic way and SAROGR keeps no statistical information.

Frequency

EBRD & World Bank: BEEPS Georgia 2005:
- 2% of the companies surveyed identified bribery as frequent when dealing with environmental inspections.