The Federal Government announced yesterday that it will postpone the application of its mandatory reporting requirements for the extractive sector to payments made to Aboriginal groups for a period of two years. The announcement comes after several months of consultation with industry and Aboriginal groups on the proposed framework. The postponement is intended to provide opportunities for further consultation by government. The government confirmed, however, that it intends to proceed with implementing the balance of the reporting regime.
As we commented earlier, the proposal to extend the reporting requirements to Aboriginal groups promised to be highly controversial and threatened the support government generally received from the extractive industry. This aspect of the proposed reporting requirements exceeded both the recommendations of the Resource Revenue Transparency Working Group and international reporting standards for the extractive industry.