Resource Allocation in Oil-Dependent Communities: Oil Rent and Benefit Sharing Arrangements

Tulaeva, Svetlana; Nystén-Haarala, Soili

doi:10.3390/resources8020086

Cited by 6 publications

(5 citation statements)

References 20 publications

(32 reference statements)

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“…Opinions about principles of rent withdrawal and assignment vary: either rent should be distributed among citizens and transferred to their personal accounts, or it should be withdrawn for the benefit of certain groups of the country population, or rent should be used centrally: to establish funds, etc., [32][33][34][35][36][37]. However, what method of rent redistribution is appropriate for Russia and its regions that have their own peculiarities?…”

Section: Methodsmentioning

confidence: 99%

Issue of Accumulation and Redistribution of Oil and Gas Rental Income in the Context of Exhaustible Natural Resources in Arctic Zone of Russian Federation

Kirsanova

Lenkovets

Hafeez

2020

JMSE

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The significant resource potential of the Arctic has attracted the attention of its adjacent countries and extra-regional states. The mineral and raw material base of the Arctic Zone of the Russian Federation (AZRF) comprises a wide range of minerals. However, due to its hydrocarbon reserves, the Arctic is considered to be the most important geopolitical and geo-economic macro-region for Russia. A significant portion of the Arctic hydrocarbons (about 19%) is concentrated in the territory of Russia’s shelf. The extraction of Arctic marine oil and gas resources and ensuring the sustainability of the Russian energy complex depend significantly on the level of Arctic development. Thus, the pace and quality of the development of AZRF are strategically important to ensure the national interests of the country. It has been proven that the implementation of the state program for AZRF development and strategic plans of the largest companies operating in the region consolidate the raw material nature of AZRF development. Rent becomes the main form of income. This article addresses the main directions of the region’s development and the factors that prevent a high level of industrialization, which increase attention to the withdrawal and redistribution of rental income. The article considers the Russian and foreign experiences of withdrawal and redistribution of oil and gas rental income, and analyzes the level of socio-economic development of AZRF. The authors suggest a methodology for assessing the impact of a country’s area and population size on the ability to achieve a high income due to hydrocarbons. The authors also explain the principles of rental income redistribution in the region as a basis for improving the level of AZRF’s socio-economic development and as a condition for transition from the “colonial model” of development to the “sustainable development” model. The study results can be used to elaborate a mechanism for rental income redistribution in AZRF and state programs for the region’s development.

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Section: Methodsmentioning

confidence: 99%

Issue of Accumulation and Redistribution of Oil and Gas Rental Income in the Context of Exhaustible Natural Resources in Arctic Zone of Russian Federation

Kirsanova

Lenkovets

Hafeez

2020

JMSE

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“…The main thing is to preserve our traditional way of life." 3 Another source of funding and material assistance received by reindeer herders in their transition to market economy is the support given by oil and gas companies (Tysiachniouk and Tulaeva, 2017;Tulaeva and Nysten-Haarala, 2019). The arrival of oil and gas corporations and the acquisition of agricultural land for industrial purposes are accompanied by infrastructural development and additional material assistance (Tysiachniouk et al, 2018).…”

Section: Russia's Case (Yamal)mentioning

confidence: 99%

Indigenous economies in the Arctic

Gladun

Nystén-Haarala

Tulaeva

2021

Elementa: Science of the Anthropocene

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There is a growing global interest in Arctic natural resources that have a strong influence on the local economies. The Arctic economy is a rather unique phenomenon encompassing Indigenous practices, local economic activities, and industrial development. Indigenous economies vary across the Arctic states and exhibit divergent economic mixtures. In globalizing societies and full market economies, traditional Indigenous economies are changing and perceived especially by the non-Indigenous to be a tribute to old customs rather than a way of life that is being followed by the young generation. However, certain groups of the contemporary Indigenous populations in the Arctic continue to preserve their culture and ensure the continuation of Indigenous ways of life. The development of Indigenous communities is closely linked to their economic well-being, on the one hand, and to their culture and traditions, on the other. Our article contributes to the discussion on the significance of Indigenous economies in providing sustainability in terms of Indigenous communities, their culture, and traditions. The research objective is to identify strategies and tools that sustain Indigenous economies as well as the goals of various stakeholders in encouraging and supporting the traditional economic activities of Indigenous peoples. We contrast three countries—Russia, Finland, and the United States (Alaska)—and discuss some governmental strategies that can be employed for preserving unique Indigenous economies. The research methods consist of a content analysis of state and regional legislation and strategies, social studies of stakeholders’ opinions, case studies describing market infrastructure, and economic activities as well as features of traditional lifestyles and Indigenous knowledge typical of these regions.

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“…It is inherently difficult to classify and systematize these diverse practices. However, a growing volume of studies of benefit sharing in Arctic communities provides an opportunity to reflect and synthesize our knowledge on these arrangements or benefit sharing regimes [8,[20][21][22][26][27][28]. This paper describes these regimes in respect to principles, models, mechanisms, and scales/targets of benefit sharing in order to provide more systematic and focused, yet nuanced, insights about benefit sharing in the Arctic.…”

Section: Towards a Conceptual Framework Of Benefit Sharing In The Arcticmentioning

confidence: 99%

Benefit Sharing in the Arctic: A Systematic View

Petrov

Tysiachniouk

2019

Resources

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Benefit sharing is a key concept for sustainable development in communities affected by the extractive industry. In the Arctic, where extractive activities have been growing, a comprehensive and systematic understanding of benefit sharing frameworks is especially critical. The goal of this paper is to develop a synthesis and advance the theory of benefit sharing frameworks in the Arctic. Based on previously published research, a review of literature, a desktop analysis of national legislation, as well as by capitalizing on the original case studies, this paper analyzes benefit sharing arrangements and develops the typology of benefit sharing regimes in the Arctic. It also discusses the examples of various regimes in Russia, Alaska, and Canada. Each regime is described by a combination of principles, modes, mechanisms, and scales of benefit sharing. Although not exhaustive or entirely comprehensive, this systematization and proposed typologies appear to be useful for streamlining the analysis and improving understanding of benefit sharing in the extractive sector. The paper has not identified an ideal benefit sharing regime in the Arctic, but revealed the advantages and pitfalls of different existing arrangements. In the future, the best regimes –in respect to sustainable development would support the transition from benefit sharing to benefit co-management.

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Resource Allocation in Oil-Dependent Communities: Oil Rent and Benefit Sharing Arrangements

Cited by 6 publications

References 20 publications

Issue of Accumulation and Redistribution of Oil and Gas Rental Income in the Context of Exhaustible Natural Resources in Arctic Zone of Russian Federation

Issue of Accumulation and Redistribution of Oil and Gas Rental Income in the Context of Exhaustible Natural Resources in Arctic Zone of Russian Federation

Indigenous economies in the Arctic

Benefit Sharing in the Arctic: A Systematic View

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