SUBJECT: INCLUSION OF ENVIRONMENT AND NATURAL RESOURCES DATA IN THE ELECTRONIC STATEMENT OF RECEIPTS AND EXPENDITURES SYSTEM FOR LOCAL TREASURERS
WHEREAS, the Department of Finance (DOF), in line with the Philippine Extractive Industries Transparency Initiative (PH-EITI) and the Philippines Poverty-Environment Initiative (PPEI), is committed to promote transparency and good governance in managing the country’s natural resources;
WHEREAS, the annual report of PH-EITI requires the participation of all Local Government Units (LGUs) hosting extractive operations to ensure that the payments made by extractive companies are reported accurately and in a timely manner;
WHEREAS, data management initiatives on environment and natural resources revenues and expenditures (including the disaggregation of the shares from the national wealth by sector) under the PPEI are being institutionalized at the LGU level, through the Environment and Natural Resources Data Management Tool (ENRDMT);
WHEREAS, Department Order No. 8-2011 mandates the official reporting and monitoring of local government fiscal and financial operations through the electronic Statement of Receipts and Expenditure (eSRE);
WHEREAS, the Bureau of Local Government Finance (BLGF), being the agency directly responsible for maintaining the eSRE system and for overseeing the fiscal and financial affairs of local governments, commits to the goals of the PH-EITI and PPEI for greater transparency in local fiscal and financing management;
NOW, THEREFORE, in consideration of the foregoing premises, the following guidelines are hereby issued:
Section 1. Inclusion of Environment and Natural Resources Data in the eSRE System for Local Treasurers. The data requirements for the PH-EITI and the PPEI annual reports shall form part of the quarterly SRE reports submitted by local treasurers to report the payments made by extractive industries and detailed account of the shares from national wealth.
The eSRE system shall include the ENRDMT to provide a facility for the LGUs to report of the following direct and non-direct payments:
- Local taxes, fees , and other charges;
- Receipts of shares from national wealth within the LGU’s jurisdiction;
- Expenditures of LGUs coming from receipts/collections from the extractive industries and shares from national wealth; and
- Such other monetary and non-monetary benefits received by LGUs from extractive industries and shares from national wealth.