Category: News in Brief

Amendment to Decentralisation Act allowing joint development projects among atolls defeated in Majlis vote

An amendment to the Decentralisation Act was rejected by a 5 vote majority in the yesterday’s sitting of the Majlis – 37 MPs against, 32 MPs in favor.

The current Decentralisation Act states that only the Majlis can authorise inter-atoll projects or combine two or more administrative units (an atoll or part of an atoll designated as an administrative unit) for economic, social or administrative purposes.

The amendment aimed to provide more leverage to the administration to implement joint economic and social projects between two or more atolls, or administratively divided parts of an atoll, reported Miadhu Daily.

DRP MPs spoke strongly against the amendment, and criticised the current administration.

President Nasheed (a member of the MDP) signed the Decentralisation Act into law on 17 May 2010.

MDP MPs criticised the DRP and other opposition parties for voting against government proposals which would benefit the Maldivian people, reported Miadhu Daily. MDP MPs said that the DRP’s words do not match their actions which they described as a sign of an irresponsible opposition, and MDP MPs said that DRP’s main strategy at the moment was gaining support through creating fear against the MDP administration and destroying the trust between the administration and the people, reported Miadhu Daily.

MDP MPs also said the opposition parties were conducting a major smear campaign in its efforts to oust the executive government before the end of its 5 year term, reported Miadhu Daily, and MDP MPs also cited examples from EU and ASEAN showing that joining two or more administrative units for economic purposes would bear fruit because unity is the key to development.

The amendment had been presented to the Majlis by the MP for Henveiru-South, Hamid Abdul Ghafoor.

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Island Aviation Services Rf100 million shortfall to be covered by government

The government will cover the Rf100 million annual shortfall projected for Island Aviation Services (IAS) from the privatisation of Male International Airport, according to company managing Director Ibrahim ‘Bandu’ Saleem. “We are a government company controlled by government policies.”

“It is not a loss, actually. It is a shortfall of Rf100 million annually. That means we are making profits. We are paying dividends to the Finance Ministry. But we are short of cash for our operations.” The government will provide a monthly instalment of around Rf8 million.

Saleem added that “the turbulence” was caused by delays in opening new resorts set for 2008-2010. “The resorts did not open when we brought aircraft after making contracts based on that. So we are short of cash because we have to settle the aircraft loan. That is not something we can do alone. Our operations will improve when the resorts open,” he said. Projected revenues “vanished in a puff of smoke” when Seenu (Addu) atoll Herathera resort stopped operations in mid 2009. “That shortfall is plugged by other operations.”

“We are increasing fares by Rf50 every six months,” said Saleem. “That is not a secret… but when we consider the reality, Island Aviation is the cheapest on per kilometre basis.”

Fares must increase because the prices of engine spare parts increase by 10 percent annually, and also due to inflation, Saleem explained.

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US$150,000 allocated by UNDP for community based projects in 2010

US$150,000 has been allocated by the UNDP for community based projects in 2010 delivering biodiversity conservation, climate change mitigation, protection of international waters, prevention of land degradation and elimination of persistent organic pollutants. The amount will increase to US$200,000 in 2011.

The programme will help more vulnerable areas and communities to overcome local environmental problems, says UNDP Resident Representative Andrew Cox.

Community based organisations, NGOs, small businesses, youth groups and academic and scientific groups are invited to make proposals, which must be in line with the Country Programme Strategy developed for Maldives.

Despite a maximum of US$50,000 being allocated for projects for up to 24 months, most applications are expected to be for lower amounts. Planning grants of up to US$2,000 may be issued to enable people and groups to develop proposals that serve as precursors for full scale projects.

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The Police are the law enforcement agency, not Islamic Ministry and Fiqh Academy: Islamic Minister Baari

The Islamic Ministry and the Fiqh Academy are not law enforcement or investigative agencies, but serve as advisory bodies to relevant government offices, said the Minister of Islamic Affairs Dr. Abdul Majeed Abdul Baari while answering questions from MPs in the Majlis yesterday.

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Demands for exclusive licence delay establishment of Islamic bank in the Maldives

The Maldives Monetary Authority (MMA) has confirmed that two banks have applied for the licence to establish an Islamic bank in the Maldives.

The first proposal is a public private partnership (PPP) between a multinational company and the Maldives government, and the second is for a PPP between a UAE company and the Maldives government.

The Finance ministry says that the new bank will focus on issuing loans to businesses, and the government is hoping that services will be extended to the atolls as well.

Both the government and the licence seekers are responsible for the delay in establishing an Islamic bank, according to Finance minister Ali Hashim. “Each party wishes to get an exclusive license but the government cannot give an exclusive license to any party. So the negotiations have dragged on and this has delayed the process,” the minister explained.

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SAARC Summit – new road and convention centre for Addu atoll

The hosting of the next SAARC Summit in southern Maldives is the subject of government consultations in Male, according to reports claiming that senior government officials, the State Minister for South Province Mohamed Naseer, and citizens of the southern province have attended the meetings.

The construction of a convention centre in Addu atoll, and a new road, were also discussed.

People attending the meetings believed that it would be better if the convention centre could be built so it could be converted into a single hall once the SAARC Summit is over.

The Summit budget is expected to be US$10 million, and the government of Maldives hopes it will be raised from friendly countries and donors, says the President’s Office press secretary Zuhair. The government has begun fundraising for the event, he added.

“We have already got some kind of assistance from donors which could be utilised for the SAARC Summit. When these donations are connected with the projects for the Summit, we hope that the total budget for the meeting can be reduced,” says Zuhair.

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Police regulations need Majlis scrutiny – amendments to Police Act proposed

All police regulations would need Majlis approval in amendments to the Police Act proposed by MP for Fares-Mathoda, Ibrahim Muththalib.

Police can amend regulations at any time, and such unconditional powers are not necessary, says Muththalib.

According to the new proposals, police regulations on Using Weapons, Police Immunities and regulations concerning the Police Integrity Commission, would have to be sanctioned by the Majlis.

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