From Resource Curse to Political Ecology
Edited by Aled Williams and Philippe Le Billon
Chapter 6: Misuse of the Malampaya royalty fund
A combination of massive royalty funds and institutional context influenced biased funding choices by local government in the case of the Malampaya natural gas project in Palawan, Philippines. A public inquiry into the Malampaya scandal demonstrated the vulnerabilities of existing governance arrangements to undue political and personal interests. This case reflects the importance of alternative and strategic mechanisms of natural resource revenue sharing that can prevent funds from falling prey to the self-interest of local politicians. Keywords: Philippines, natural gas, royalty funds, revenue sharing, corruption, local politics
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