1. The Framework for Extractive Industries Governance in ASEAN: Comments Yose Rizal Damuri Centre for Strategic and International Studies

2. Discussion Outline Some areas of framework Implementing the framework: Country level ASEAN institutional support

3. Economic Management of Revenue from Resources Natural resources curse Mechanism to collect revenue – Balancing between investment attractiveness and state revenue Economic consequences of spending – Macroeconomic stability: how to handle Dutch disease and windfall revenue – Where to spend the money?: Optimal social return, doesn’t mean to spend in related activities, e.g. Indonesia and fuel subisidy

4. Possibility of Implementation South East Asia is quite a diverse region – Different level of economic development – Different governance and legal system – Should have a detail benchmark in the implementation of good governance – Assessment on the current situation

5. ASEAN Institution Should ASEAN adopt such framework in their legal structure – Perhaps, but in what forms? ASEAN guidelines – ASEAN’s guidelines on certain issues are normally broadly defined and never really touch detail problems, e.g. guidelines on competition policy or IP And how to ensure implementation at regional level – ASEAN has relatively poor track record in implementation – There is no compliance mechanism in ASEAN – There is even no sufficient monitoring mechanism – Transparency is the key, but ASEAN countries prefer to keep issues in the closet