Planning – and Implementation

Address by Sir Peter Barter, Kt, OBE, MP at the opening of the PNG Institute of Public Affairs course on District Planning

Minister for Inter-government Relations

Welcome

I welcome the donor assistance for district training – and especially in the area of planning.  We need always to appreciate the assistance given by donors, and to realise that in key areas we could not deliver services without this assistance.

Training for District Services is a special need.  Headquarters staff – whether in Port Moresby or provincial capitals-  too often look after themselves first.  Training directed at carefully assessed competencies for the Districts fills a gap.

District Plans and Reality

I enjoy reading District Plans because they set a vision of a future where each village and district has the services and infrastructure for health and prosperity.

The Plans reflect in-depth knowledge of community and district realities, potential and problems.  They reflect some – possibly not enough – consultation. 

The Plans also reflect the wisdom of national and international analysis of priority areas in health, education and infrastructure.  In health, for example, these analyses showed the importance of immunisation, of mother and child care, toilets and water supply, and a focus on common disease and injury.  In education, they show the importance of literacy and elementary and primary schools.  They look forward to an infrastructure and extension services to enable development of local commerce and industry.

Yet there is a gap between vision and practice – to an extent that plans become self-indulgent dreams.

District Plans are not being implemented.  From your own districts, you know that much of the limited funds went into Councillors’ salaries and allowances.  You know health services are declining, schools are not resourced and maintained, that footpaths and roads are often impassable.

You also know what you see in your District applies to much – not all – of the nation.  The newspapers report that our agriculture exports – except for oil palm and vanilla - are declining.  This is income for your villagers - lost.  This is foreign exchange for our government – lost. 

Why the decline in export crops?  Reports are consistent – whether from the Department of Agriculture and Livestock, the Department of Transport and Communications, or the Bank of Papua New Guinea.  Poor infrastructure – roads and wharves not maintained for a quarter of a century.  Cargo boats which served coastal and river communities have disappeared.  Zoom for canoes and dinghies costs more than the price received for the crop.  Security for transport, plantations and cash is deteriorating.

Donor projects have borne many education expenses which are formally the responsibility of district administrations and local-level governments.  It is doubtful whether the governments will be able to take over these responsibilities.

Health services have declined.  Aid posts are closed.  Supplies are difficult.  The Measles epidemic in Gulf Province warns us what happens when immunisation levels fall.

Implications of the Decline

What will happen if decline continues?  Mining, petroleum and forestry are short-term.  Will villages regress from cash to subsistence?  Will government services and infrastructure recede to a few usually urban enclaves?

The prospect of district health services under this scenario and with a probable AIDS / HIV epidemic is terrifying.

Even Waigani politicians and bureaucrats need to worry.  There will not be foreign exchange to pay for food imports and fuel – and the transport infrastructure will not suffice to bring food for the Port Moresby population.

The Organic Law and Local-level Government Funding and Expenditure

The Organic Law on Provincial Governments and Local-level Governments gave significant responsibilities to the District Administrations and Rural Local-level Governments.  They include community development and well being, aspects of health and education, a local transport infrastructure.  These are reflected in the District Plans.

As well as the District Plans, I read the Rural Local-level Government budgets and annual financial reports.  These are depressing.  There is no relationship with objectives and targets of the District Plans. 

This is in part because of lack of funding.  Local-level Governments have been funded – inadequately – from outside.  Funding has been unreliable.  When the National Government’s finances are under strain – as last year – then the Local-level Governments do not receive the external funding for which they budgeted. 

External funding also means lack of accountability for expenditures.  Most Local-level Government Councils have one priority – whatever else is cut – Councillors’ salaries and allowances are paid.  Last year, they often paid themselves more than half the LLG funds. 

There has been no research on how people feel about Councils not delivering services.  The National Research Institute needs to appreciate that local-level elections are as important as national elections.  I know, however, that people worry about collapse of services. 

Causes of the Lack of Implementation

How good is a plan that cannot be implemented?

One response to failure is to condemn planners and plan – and the implementers.  You and your councillors.  There is some truth in that.

Another response is to blame the Organic Law on Provincial Governments and Local-level Governments.  There is truth in that.

The Organic Law was sped through without adequate preparation of enabling legislation which would permit – for example – Local-level Governments to raise their own taxation.

Another response is to blame national counterpart agencies.  There is truth in that.

The Department of National Planning and Rural Development never followed up on the National Charter for Reconstruction and Development.  This was an exhaustively prepared agreement between Governors and the Prime Minister to cover the partnership between the levels of government.  The Department of Finance and Treasury never passed the enabling Acts which would have permitted Local-level Governments to raise their own taxes.  The Department of Provincial and Local Government Affairs does not have qualified staff to support the National Monitoring Authority or to give legal advice and assistance to Local-level Governments.

Going Ahead

Blame is unproductive.  However, analysis of what went wrong is necessary for progress.  What are we in the Ministry going to do to ensure that the next district plans can be implemented?  What are you in the Districts going to do to plan and implement?

Funding and Handling Funds

Steps are being taken to give you access to the resources you need.  These include legislation, which will be part of the National Budget in November.  This legislation will allow Local-level Governments if they so wish to raise Head Tax of K50.00 a year.  It will allow you to grant exemptions to those who cannot pay, and allow community work. 

I calculate that this step by itself will increase Local-level Government income for use for recurrent and infrastructure by about 500%.  I believe the people will support this Tax – if they are promised and see real benefits in terms of their priorities and needs.

Councillors and district administrators will be accountable in a way that they have not been accountable before.  Your people will want to know what you are doing with their money.

The Department of Finance and Treasury is also taking steps to introduce District Treasuries.  There are obvious benefits in prompt handling of funds.

There are also dangers.  You know this better than I do.  It is your everyday experience that there are pressures from Councillors or others who want special benefits.  There is limited strength at provincial and national level to monitor how money is used.

You will require integrity and strength to take action and publicise actions required to ensure proper handling of Local-level Government and District funds.

A Brief Comment on Use of Donor Funds

I would like to comment briefly on the uses of donor project funding.

We all value and appreciate the range of donor funding that can be accessed for community development. 

However, such funding only benefits a few community projects.

In the same ways as babies leave susu, we need to learn independence.  Yes, use donor assistance!  However, consider how you can develop and use your own resources for your own sustainable services.

A Legal Basis for Orderly, Healthy and Prosperous Communities

The Organic Law on Provincial Governments and Local-level Governments gave Local-level Governments power to enact a wide range of legislation setting a legal foundation for orderly, healthy and prosperous communities.

The Governments were not given funding to buy lawyers who can undertake the complex task of drafting legislation.

Some have been fortunate and have been able to call in volunteer lawyers.

Central Province has circulated legislation among Local-level Governments.

The legislation when passed by the Local-level Government has been sent to myself and the Department of Provincial and Local Government Affairs for endorsement.  This has led to two kinds of problems:

§         Lack of lawyers within the Department has led to long delays in endorsement; and

§         Lack of expertise at Local Government level means corrections are often required.

This time-consuming process has led to long delays and much frustration.

I want now to ensure that your Local-level Governments have access to examples of good Local-level Government legislation.  I am going to use the Provincial Governors’ Conferences that we hold regularly as an opportunity to circulate sample legislation to the Governors.  I am asking the Governors to use the meetings of Provincial Assemblies as an opportunity to circulate information on what sample local-level legislation is available.

Best Wishes for this Meeting

One benefit of this kind of course is exchange of information and ideas.  This goes not only from the instructors downward – but also from your experience upward and sideways to your colleagues.

Public Servants in Waigani and Ministers in Cabinet too can learn. 

If there are messages from this course that you would like to go to us, please send them.

I look forward to seeing results from this course – plans that are implemented.

My best wishes for the course.