PAC expresses ‘worry’ as AusAid withdraws from NTF soon
THE Australian High Commission Head of Mission Sally-Anne Vincent has announced the imminent withdrawal of their financial support to the National Transport Fund (NTF).
The announcement was made when the Australian High Commission team appeared before the Public Accounts Commission (PAC) on the 2021 Appropriation Bill 2021 inquiry, Tuesday.
But the announcement has worried the Public Accounts Committee.
Outspoken Leader of the Opposition and one of the PAC members Mathew Wale said Australia is the largest donor of NTF.
Wale and other members of PAC expressed that if Australia pulls out from NTF that fund will become another political quarry for MPs or people who have access to it.
Wale further asked why Australia had to move out from NTF but Sally-Anne said that they always have expiry dates for their programs so they cannot continue continuously.
“While we are not putting new funds into the NTF there remains undispersed funding within the NTF and the Solomon Island Government can continue to disperse for another period of time.
“We had been funding the NTF since 2011 so it’s been a 10 years investment as well,” Sally-Ann told PAC.
But Wale is concerned and further expressed that it was only recently that the governance around the NTF came out reasonably good.
“And now that you are moving on to support Solomon Islands Infrastructure Program (SIIP) which is great, I think this will probably live the NTF quite vulnerable to ‘Scavenger’,” Wale described.
He further stated that he is very worried about Australia’s departure from supporting NTF.
It’s understood that the NTF was enacted by the National Parliament of Solomon Islands as the National Transport Fund Act 2009.
NTF has helped to fund the construction and maintenance of old and new roads and bridges around the country.
NTF was established as a special fund for the purposes of maintaining, developing, and managing transport infrastructure in Solomon Islands. It serves as a mechanism for the government and development partners to fund the transport sector.
Meanwhile, as part of the Pacific Step-up, in December 2018 the Australian Government announced a $2 billion Australian Infrastructure Financing Facility for the Pacific (AIFFP), and during Prime Minister Morrison’s June 2019 visit to Solomon Islands, he announced a new 10-year $250m bilateral infrastructure program (SIIP)
The SIIP will complement the AUD$2 billion Australia Infrastructure Financing Facility for the Pacific (AIFFP).
SIIP will improve the availability and condition of climate-resilient, inclusive and accessible infrastructure in order to improve access to services and contribute to broad-based, inclusive, and sustainable economic growth for the people of Solomon Islands.
By ANDREW FANASIA
Newsroom Honiara
