China says Solomon Islands can benefit from Belt and Road Initiative

China’s Ambassador to Fiji, Qian Bo, has stated that Solomon Islands can transform its infrastructure with China’s help. The Ambassador said that, theoretically speaking, the situation in Solomon Islands can be turned to the better overnight if all the development partners, including China and other partners, work together. (Source: ABC, 14 May 2019)

The statement appear not only aimed at Solomon Islands – and the DCGA Government who may be contemplating a switch to China – but also at other partners which may include other countries in the Pacific region who have diplomatic ties with China and are part of China’s Belt and Road Initiative. China’s partners in the Pacific – Papua New Guinea, Fiji, and Vanuatu, who have strong economic and political ties with Solomon Islands – may have a significant role to play in promoting the benefits of having China as a development partner. Other countries with an interest in Solomon Islands – Australia, New Zealand, and the United States of America – may also have their own views about whether Solomon Islands switching to China would be in their national interest. The uncertainty over whether Solomon Islands will establish diplomatic ties with China continues.

#tappingup

No market for coffee

A coffee farmer has raised his concern with the Solomon Star newspaper after the only coffee buyer in Solomon Islands stopped buying coffee. The coffee farmer said that he and other coffee farmers were facing marketing problems because of this. The coffee farmer said that most coffee farmers were being turned back because of the lack of domestic market for coffee. The coffee farmer said that the current situation may discourage farmers from engaging in the coffee farming business. The coffee farmer appealed to the Government to create a market by inviting coffee investors into the country as this would then encourage people in the rural areas to engage in coffee production. (Source: Solomon Star, 15 May 2019)

Coffee farming may no longer be a viable business venture in Solomon Islands given the apparent low local demand, the apparent limited access to an overseas market, and the apparent lack of Government assistance.

#supplyanddemand

Government prepares to acquire more customary land

The Ministry of Lands, Housing & Survey has launched a 3-day workshop to train land acquisition officers. Minister, Willie Marau, speaking at the launching, said that the training was important because the Government would be appointing acquisition officers in the future. The Minister stressed to those attending the training, and who may be appointed acquisition officers in the future, the importance of understanding the acquisition process properly to avoid the acquisition process being overturned by the courts due to mistakes in the acquisition process – as has happened in the past. The Minister also used the opportunity to promote the DCGA Government’s Traditional Governance System Bill and the associated Land Reform Bills. (Source: Solomon Star, 15 May 2019)

Economic growth has been hampered by the fact that the land required for national development is usually customary land, which is owned by the customary landowners rather than the Government. The acquisition process is a way for the Government to acquire customary land from the customary landowners. Through this acquisition process, customary land, once validly registered, is converted to registered land, and is therefore capable of being owned by the Government. Once the Government owns the registered land, it can then develop it – or sell or lease it to another commercial entity to develop it. The training of acquisition officers therefore represents a first step, and an important one, that will probably lead to more acquisition of customary land, which the Government will hope, will not be overturned by the courts. It will be interesting to see what Land Reform Bills the DCGA Government are proposing and what impact they will have on existing laws relating to customary land ownership, the acquisition process, and the registration process.

#dontworryimfromthegovernmentandimheretohelp

Communities affected by mining will have place to get advice

Preparations are underway for the setup of a new independent centre called Solomon Islands Mining Advisory Centre (SIMAC) under the Government’s National Minerals Policy. The Chief Mining Inspector, during a public consultation of the new mining law, said that SIMAC will provide more support to landowners and communities who are impacted by mining projects. This support could be in the form of legal advice, awareness training, financial management support, and other services to enable effective participation by landowners, communities and other project impacted persons. (Source: Solomon Star, 15 May 2019)

Mining operations tend to have significant impact on the environment and on the lives of people who live in and around, and depend on, that environment. Recognising this, it seems that the Government has set up SIMAC to address this issue, where those affected by mining can go and get advice. Apart from giving advice, it is not clear what else SIMAC will do. While the Government describes it as an independent body, it is not clear who will comprise SIMAC, how SIMAC will be funded, and whose interests SIMAC will ultimately represent.

#dontworryimfromthegovernmentandimheretohelp

Government roadshow of new mining law to end in May

The Ministry of Mines, Energy and Rural Electrification recently finished a successful consultation with members of the landowning groups at Gold Ridge Mine about the National Mineral Policy, the new mining law, and the Solomon Islands Minerals Advisory Centre (SIMAC). An important topic discussed during the consultation was SIMAC, which will be an independent body like a watchdog to oversee the operation and provide feedback as well as recommendations for the purpose of influencing the Ministry. Also discussed at the consultation was the need to improve how the mining sector is regulated given the recent experience in Rennell, Isabel, and Guadalcanal. The Ministry added that the consultation for the new mining law took place in Honiara in September 2018 and is planned for Guadalcanal, Isabel, Rennell, and Choiseul in May 2019. (Source: Solomon Star, 15 May 2019)

With the consultation timetable set to end in May 2019, the new mining law may be ready for Parliament by late 2019 or early 2020. The Government may be keen to fast-track this new mining law to ensure Government revenue continues to flow with logging revenue expected to decline in the future.

#dontworryimfromthegovernmentandimheretohelp

Taipei funds not part of Government budget

A Taipei envoy in Honiara has responded to an article in the Island Sun which reported that the DCAG Government wanted increased funding from Taipei. The envoy said that Taipei looked forward to consultation with the DCAG Government and Prime Minister Sogavare to further strengthen their mutual cooperation but denied that the DCAG Government had consulted it about Taipei providing funds for the DCAG Government’s 2019 budget. (Source: Solomon Star, 15 May 2019)

The DCAG Government has about 2 weeks to complete its 2019 budget before Parliament resumes. The envoy’s admission that the DCAG Government has not requested any budgetary support from Taipei for the 2019 budget raises questions over whether Taipei still has a role to play in Solomon Islands. It will be interesting to see what moves Taipei makes in the coming days to secure its ties with Solomon Islands. The uncertainty over whether Solomon Islands will establish diplomatic ties with China continues.

#ghosted

TSI wants change to electoral laws

Lobby group, Transparency Solomon Islands, in an article in the Solomon Star, wants the Minister of Home Affairs, Chris Laore, to change the electoral system. TSI recommended that the first past the post system be replaced by a limited preferential voting system where the voter must rank the candidates according to their preference which will ensure that the candidate that is ‘most preferred’ wins. TSI also recommended that provision be made for absentee voting to ensure that voters need not travel to their constituency to vote given problems with the high costs of travelling. (Source: Solomon Star 14, May 2019)

TSI’s recommendations suggest some dissatisfaction with the results of the 2019 national general elections. A change in the electoral system may not necessarily achieve the desired result and may in fact lead to more problems. The underlying premise of TSI’s recommendation may need to be further scrutinised.

#becarefulwhatyouwishfor

Government begins roadshow for new mining law

The Ministry of Mines, Energy, and Rural Electrification will soon conduct a nation-wide public consultation with important stakeholders about the new mining law. A senior official from the Ministry said that the consultation was an opportunity for the stakeholders to comment, question or scrutinize the new mining law. The consultations will take place at: Gold Ridge Mine, Turarana Alluvial Mine community, Honiara with Guadalcanal Provincial Government, East Honiara with quarry companies, Buala, San Jorge Mine communities, West Rennel Bauxite Mine, Sivai community, and Wagina Island. (Source: Solomon Star, 14 May 2019)

The DCGA Government looks keen on bringing in the new mining law and the public consultations, in what appears to be strategic locations where the valuable minerals or the resource owners are probably located, may be an important public relations exercise. It will be interesting to see how the Government reports on the success of the public consultation.

#dontworryimfromthegovernmentandimheretohelp

Resource owners promise not to disturb Bina Harbour project

The DCGA Government has entered into a Memorandum of Understanding with the ‘resource owners’ of Bina in West Kwaio, following a ‘reconciliation’ ceremony, to allow the development of the Bina Harbour project. Member of Parliament for West Kwaio, Titus Fika, was confident that the MOU would allow the Bina Harbour project to go ahead without any dispute by or disturbances from the ‘resource landowners.’ (Source: Solomon Star, 14 May 2019)

The DCGA Government has wasted little time in laying the groundwork for the development of national infrastructure projects. While the MOU is a good start, a more concrete legal framework for the intended development may be required as feelings may change in the future, especially when money starts flowing into the project.

#dontworryimfromthegovernmentandimheretohelp

Government eyes customary land for economic development

The DCGA Government has started the process of mapping the boundaries of the customary land of a tribe in Northwest Guadalcanal under its Land Recording Program. According to the Minister of Lands, Willie Marau, this process will lead to customary land being converted into a commodity which the tribe can then use to participate in the economic development of themselves and the country. The Minister reiterated that land is critical to economic, social, and cultural development and plays a key role in Government’s effort to eradicate poverty and to achieve the Sustainable Development Goals. The Minister assured tribal leaders and the community that the Land Recording Program was not there to alienate their lands but to assist and facilitate security of their land rights. (Source: Sunday Isles)

Customary land disputes – varying from disputes over rival business interests, land boundaries, and access to benefits – have tended to stall attempts by previous Governments and businesses to bring economic development to the rural areas. The existing system to resolve customary land disputes, from a business perspective, is time-consuming, costly, and unpredictable. With national infrastructure projects ready to be funded by foreign states and multinational development banks, the Government may be now laying the groundwork to ensure that customary land earmarked for the projects will be ready for registration, and if necessary, acquisition, thereby fast-tracking economic development.

#dontworryimfromthegovernmentandimheretohelp