Local Government in Asia and the Pacific:
A Comparative Study
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Country paper: Fiji
Description
of the Country
Evolution of
Local Government
Local Government
Categories
Local Government
Functions
Local Government
Finances
Personnel
Systems
Central-Local
Links
Public
Participation
The
Way Ahead
References
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Brief Description of the Country and its
National/State Government Structure
Demography
Fiji is located in the South Pacific Ocean between latitude
15 and 22 degrees South and longitude 175 degrees East and
178 degrees West. The national territory contains some 330
islands, only about 100 of these are inhabited. The total
land area is 18,272 square kilometres. The two largest islands,
Viti Levu and Vanua Levu, account for about 87 per cent of
the total land area and contain most of the population and
economic activities. Overall population density in 1996 was
42.3 persons per square kilometre. The islands of the Fiji
Group are volcanic in origin and generally mountainous. Only
16 percent of Fiji's landmass is suitable for agriculture.
Major river systems are the areas of intensive agricultural
activity and river deltas are cultivated extensively. Several
of the larger urban centres are located in or near the river
deltas. The climate is subtropical and is conducive to the
production of a variety of tropical products. However, the
country lies within an area occasionally traversed by tropical
cyclones, mostly during the months of November to April. On
average, some ten to twelve cyclones per decade affect some
part of Fiji and two or three can be very severe, causing
serious damage to crops, buildings and infrastructure.
In 1996, the population amounted to 772,655 with a multi-ethnic
composition: Fijians 51 per cent; Indians 43 per cent and
others 6 per cent. The category others comprises people of
Chinese, European, partly European, Rotuman and other origins.
The estimated annual rate of population growth is 1.6 per
cent. The main features of population growth during the last
decade, as identified by the Bureau of Statistics are:
- Declining growth rates overall, recording an inter-censal
growth rate of 8 per cent, being the lowest growth rate
between censuses since the 1901 census;
- Smallest increment in population size in recent decades,
with international migration being the most significant
determinant;
- Dramatic change in the ethnic composition of total population,
with native Fijians now accounting for the majority;
- Intensified urbanization, more especially by Fijians;
- Decrease in the proportion as well as the size of the
overall rural population.
In 1995, life expectancy at birth was estimated to be 61.4
years for males and 65.2 for females. Access to health care
is 100 per cent and access to safe water is 95.9 per cent
in urban areas and 68.8 per cent in rural areas.
Fiji's central position in the South Pacific region has been
strengthened by recent developments in sea and air communications
as well as transport. Today Fiji plays a major role in regional
affairs and is generally recognized as the focal point of
the South Pacific. The economy is based largely on agriculture,
mining and tourism and considerable emphasis is placed on
expansion of exports. The Gross Domestic Product per capita
in 1995 was estimated to be FJ$ 2,976 (US$ 2,083). The consumer
price index, with a base of 100 in 1987 was 152 in 1994. The
1996 census indicated a workforce of 241,160 of whom 19,668
or 8.2 per cent were unemployed. Some 10 per cent of the population
are believed to be living below the poverty line. The national
economic policy emphasizes the deregulation of the economy
and transfer of state enterprises to the private sector.
Land policy plays a crucial role in national development
as well as in many aspects of local government and urban management.
Some 83 per cent of the land in Fiji are classified as Native
land, 10 per cent as freehold and some six per cent as State
land. Native land is owned by individual land-owning units
and is administered by the Native Lands Trust Board on behalf
of the owners. Native lands may be leased for different urban
uses for varying periods of time but not sold like freehold.
Lands within Fijian villages are declared as native reserve
and the land under reserve usually extends beyond the villages
to include native lands required for use by the landowners.
These lands cannot be leased to non-Fijians. State land is
administered by the Director of Lands and is leased for varying
periods for all types of uses. Land information systems are
fairly advanced and all maps and land records are regularly
updated. Urban development in Fiji has reached a stage where
in most urban centres State land and freehold land are already
developed and future development would have to be accommodated
mainly on native land. The current mechanisms for the development
of native land do not fully meet demand in many urban centres
and this is causing the growth of squatter settlements in
peri-urban areas as well as legal difficulties for municipal
councils to collect the land rates due from unalienated native
land located within municipal boundaries.
The growth of urban settlements has been a constant feature
of Fiji's development and the provisional results of the 1996
census indicates that urban dwellers comprise 46.4 per cent
of the total population, compared to 38.7 per cent in 1986.
This is because of increasing densities within the urban boundaries
and additional population from extensions made to urban boundaries
during the 1996 census to include settlements adjacent to
urban areas where economic activity had become predominantly
non-agricultural. Overall, the urban population increased
by 29.3 per cent between 1986 and 1996, resulting in an annual
growth rate of 2.6 per cent. This growth is due to natural
population growth as well as migration from the rural areas.
At the time of the 1986 census the population resident in
proclaimed municipalities was 136,755, that in the peri-urban
areas 126,786 and that in the unincorporated towns 13,492.
During the intercensal period the boundaries of some towns
were extended in accordance with the legislation to cover
the peri-urban areas. For the 1996 census urban centres were
demarcated to include peri-urban areas adjacent to municipal
boundaries.
A distinct feature of urban development in Fiji is the primacy
of Suva and the metropolitan area, which is demonstrated by
adding the populations of the adjacent areas of Lami and Nausori
to the population of the Suva Urban Centre. The metropolitan
total of 207,984 people represents a total of 27 per cent
of the national population and 58 per cent of the urban population.
Lautoka, the next largest city accounts for 12 per cent of
the urban population.
In addition to the urban population recorded by the census,
there are increasing numbers of non-agricultural settlements
along important roads outside some of the main urban areas.
The location of such settlements is often decided by factors
such as unsuitability for agricultural use, land tenure and
land cost. Some of these settlements are being developed without
the necessary approvals in zoning, land subdivision, provision
of services and building construction and there is no security
of tenure. Some of these settlements have been initiated through
the entrepreneurship of landowners to meet a strong demand
for affordable land for housing. It is the policy of the relevant
government authorities to provide peri-urban settlements with
basic amenities such as water supply and electricity. A further
characteristic that needs to be considered is that most urban
centres serve as regional centres for viable agricultural
hinterlands and also as employment centres for large numbers
of people who have their residences in the agricultural settlements
outside the urban centres. Moreover, major secondary schools
in the District are located in urban centres. Consequently,
there is an influx of daily population into the urban centres
that is considerable compared to the resident urban centre
population.
Table 1. Population of Urban Centres (1996)
| Urban centres |
1996 |
1986** |
Per cent change |
Relative share of total per
cent 1996 |
| Suva |
167,421 |
141,273 |
18.5 |
46.8 |
| Lautoka |
42,917 |
39,057 |
9.9 |
12.0 |
| Nadi |
30,791 |
15,220 |
102.3 |
8.6 |
| Labasa |
24,187 |
16,537 |
46.3 |
6.8 |
| Nausori |
21,645 |
13,982 |
54.8 |
6.0 |
| Lami |
18,918 |
16,707 |
13.2 |
5.3 |
| Ba |
14,596 |
10,260 |
42.3 |
4.1 |
| Sigatoka |
7,940 |
4,730 |
67.9 |
2.2 |
| Vatukola* |
6,635 |
4,789 |
38.6 |
1.9 |
| Savusavu |
4,962 |
2,872 |
72.8 |
1.4 |
| Rakiraki* |
4,833 |
3,361 |
43.8 |
1.4 |
| Navua* |
4,220 |
2,775 |
52.1 |
1.2 |
| Levuka |
3,745 |
2,895 |
29.4 |
1.1 |
| Tavua |
2,418 |
2,227 |
8.6 |
0.7 |
| Pacific Harbour* |
1,607 |
N/A |
N/A |
0.5 |
| Nabouwalu* |
590 |
N/A |
N/A |
0.2 |
| Seaqaqa* |
388 |
N/A |
N/A |
0.1 |
| Korovou* |
318 |
340 |
-6.5 |
0.1 |
| Total |
358,131 |
277.025 |
29.3 % |
100.0 |
Source: Fiji Bureau of Statistics, Statistical
News, 21 February, 1997
* Denotes Urban Centres not incorporated as a
Town under the Local Government Act.
** The Urban Centre includes the municipality
and the adjacent peri-urban area, e.g. Suva Urban Centre includes
the peri-urban settlement known as Nasinu, lying between Suva
and Nausori which in October 1997 was undergoing the statutory
process for consideration for designation as a Town under
the Local Government Act.
National governmental and political structure
Fiji gained Independence in 1970 and became a Dominion within
the Commonwealth, with a Governor-General representing the
British Queen and a Prime Minister as the head of the government.
It was declared a republic in 1987 after two military coups
d'état. A new Constitution, formulated in 1990, was
implemented in 1992. This Constitution provided for a President
as Head of State and a Prime Minister as the head of government.
In accordance with that Constitution a Constitution Review
Commission (CRC) undertook a comprehensive review through
an extensive system of public consultations. A revised Constitution,
which is based on the recommendations of the CRC and which
addresses many of the shortcomings of the previous one, was
adopted in July 1997. Fiji rejoined the Commonwealth in September
1997, after having been suspended in 1987.
Fiji's Parliament largely follows the procedures and customs
of the British Parliament. It has a parliamentary system of
government, with a President as Head of State and a Prime
Minister as the head of the government. The Parliament has
a two-chamber system with an Upper House, the Senate and a
Lower House, the House of Representatives. Under the current
Constitution, communal constituencies elect parliamentarians
to the House of Representatives but members of the Senate
are nominated. A multi-party system of representation has
been a regular characteristic of national political activity
in Fiji since the 1940s and this characteristic has been provided
for in the new Constitution.
The parliamentary leader of the party that has most of the
seats in the House of Representatives becomes Prime Minister.
He or she and other Ministers form the Cabinet. Government
policies are made by the Cabinet and special subcommittee
coordinate and plan details of government activities. In addition,
the Cabinet also advises the President on governmental matters.
Ministries undertake the administration of governmental affairs
with defined portfolios. As of September 1997 there were seventeen
ministries each having jurisdiction over relevant government
departments or units staffed by career public servants that
do not relinquish their appointments upon a change of government.
Since the late 1980s, the government has been pursuing policies
aimed at reducing and reforming the role of the public sector.
There are a number of statutory bodies and government-owned
corporations that have responsibility over certain defined
functions. These include telecommunications, electricity,
radio and television, ports, social security funds, native
lands and housing. Boards comprising governmental and private
sector representatives direct all of these bodies but there
is no representation of municipal councils even though local
governments exist.
Sub-national government
At sub-national level, governmental and administrative activities
are undertaken through four distinct systems: the government
administration, the Fijian administration for matters concerning
exclusively native affairs, the municipal administration and
rural local authorities.
Government administration
Fiji is divided into 14 provinces, each comprising of a number
of Districts. For administrative purposes the country is divided
into four Divisions (Northern, Eastern, Southern and Western)
each comprising of two or more provinces. Divisional Commissioners
and District Officers, whose main function is to coordinate
all governmental services and development activities respectively,
head the Divisions and Districts. Divisional and District
Development Committees, comprising public servants and private
individuals, prepare programmes for development to be carried
out through government funds.
Fijian administration
The Fijian Affairs Board, constituted under the Fijian Affairs
Act (Cap. 120) governs all matters concerning the administration
of native Fijian affairs, including Fijian custom services.
The Board refers certain matters to the Great Council of Chiefs,
constituted by the President under the same Act. The fourteen
provinces are administrative units each governed by a Provincial
Council with an executive head (Roko Tui). The functions
of the Provincial Councils are: "to promote the health, welfare
and good government of Fijians resident in the province and
to carry out such other duties and functions which the Minister
or the Fijian Affairs Board may see fit to delegate to such
council". The councils have similar powers as are vested in
municipal councils, including making of by-laws, levying of
rates and control of building construction in Fijian villages.
The Fijian Affairs Board approves the appointment of these
executive heads and approves all rates and by-laws applied
by the Provincial Councils. The basic unit in the system of
Fijian Administration is the village (Koro) headed
by a Turaga-ni-Koro elected or appointed by the villagers.
Several Koros form an administrative sub-unit of
a province (Tikina). A province consists of a number
of Tikinas.
Municipal government
The major urban centres are proclaimed City or Town under
the Local Government Act (Cap. 125) and are administered by
councils elected by the eligible population residing within
proclaimed boundaries. The Ministry of Local Government, Housing
and the Environment has overall responsibility over municipal
government.
Rural local authorities
All areas outside the jurisdiction of proclaimed cities,
towns and Fijian villages come under the purview of the rural
local authorities, which are public health authorities constituted
under the Public Health Act (Cap. 111). Their primary responsibility
is to control public health, building construction and other
matters governed by The Public Health Act. Many of them have
considerable peri-urban housing development power but they
have no rating powers even though under the Town Planning
Act they are the planning Authority for their areas. The Central
Board of Health, constituted by the Minister for Health, maintains
overall coordination of the activities of the rural local
authorities.
Evolution of Local Government, its Legal
and Political Background
Historical development of local government
Fiji became a British Crown Colony after the Chiefs ceded
Fiji to the British Crown under the Deed of Cession of 10
October 1874.This deed was executed in Levuka which was the
largest urban centre of that time, being the main seaport
servicing commercial activities in eastern Fiji. A colonial
administration was set up, with its capital in Levuka.
Local government was first established in Fiji under the
Towns Ordinance of 1877.The Town of Levuka was proclaimed
under this legislation. As a result of the changing economic
geography of Fiji after the introduction of indentured labour
from India and of the need for a deep water harbour, an urban
centre was established at Suva, the present capital. Suva
was proclaimed a Town in 1881.
With the expansion of sugar plantations in western Viti Levu
and northern Vanua Levu urban centres grew up in the vicinity
of the big sugar mills (e.g. Lautoka, Labasa, Ba and Nausori).
Other urban centres grew at the point of navigational limit
on rivers that were part of the sugar cane transportation
system (e.g. Nadi).
Townships were proclaimed under the Municipal Institutions
Ordinance of 1909 that was succeeded by the Townships Ordinance.
Town Boards that comprised mainly nominated members and a
number of civil servants serving in their ex-officio capacities
administered townships. The Local District Officer, who was
the head of the government administration in the District
usually headed the Boards.
Suva and Lautoka were each proclaimed as a Town under the
Local Government (Towns) Ordinance (1935) and were administered
by elected councils. Legislation covering municipalities was
streamlined with the enactment of the Local Government Act
of 1972, after which the Township Boards were designated as
Towns. Suva was proclaimed a city in 1952 and Lautoka in 1977.
Table 2. Proclamation of Local Authorities
and Dates of Incorporation
|
|
Local authorities
|
Dates of incorporatioin |
| Levuka |
1877 |
| Suva |
1881 |
| Lautoka |
1929 |
| Nausori |
1931 |
| Labasa |
1939 |
| Ba |
1939 |
| Nadi |
1946 |
| Sigatoka |
1959 |
| Savusavu |
1969 |
| Lami |
1977 |
| Tavua |
1992 |
In late 1997 the statutory process was in train for the proclamation
of a Town over Nasinu, a large peri-urban settlement between Suva
and Nausori. In addition, a proposal for the creation of a town
covering the urban development at Navua and the tourism-oriented
development at the adjacent Pacific Harbour was under public exhibition.
Local Government Categories and Hierarchies
Prior to Fiji gaining Independence, a membership system of government
was introduced, whereby selected Members of the then Legislative
Council, assumed responsibility for specific functions of government,
including local government. After Fiji obtained Independence in
1970, the Local Government Act was enacted in 1972. It consolidated
and amended, as necessary, the various colonial ordinances that
governed towns and townships. Under this Act the administration
of towns was transferred to elected councils. The Act was consolidated
and amended in 1980.
After the military coup of 1987, Government Decree no. 21 of 25
February 1988, empowered the Minister responsible for Urban Development
to appoint members of the council on a yearly basis. At the same
time the provisions in the Local Government Act relating to the
election of councillors were repealed. Matters were returned to
normal after 1993 when new elections were held in accordance with
the Act.
The political composition of the elected councils indicates that
most elected councillors represent one or other of the major political
parties active at the national level. It is quite normal in the
local government sphere for the majority in a council to come from
a political party different from that in power at the national level.
There have been very few cases of independent councillors or those
representing organizations that are not political parties, such
as the Ratepayers Associations. In Suva City Council a number of
political parties in recent years have decided to work together
as a Ratepayer's Association. The Constitution Review Committee,
in its review of the Constitution, declined a request for a certain
number of seats on municipal councils to be reserved for community
groups.
Under the Local Government Act and other legislation, local authorities
are charged with responsibilities that include issues concerning
public health, town planning, subdivision of land, roads and traffic,
markets, purity of foods and licensing of businesses, including
shops, restaurants and hotels. At the National Economic Summit held
in 1995, one of the resolutions passed was that local government
should play an active role in facilitating economic development
and growth. Over the years certain functions initiated by local
councils or the private sector (e.g. electric power supply in towns)
were taken over by the government when it decided to consolidate
certain services on a national basis in order to achieve efficiency
and economy of scale. During 1995 the fire services managed by the
various city and town councils were taken over by the newly constituted
National Fire Authority and the fire equipment and personnel of
all local authorities were transferred to this new authority. Local
government did not have any direct recognition in the 1990 national
Constitution nor does it have any recognition in the revised Constitution
of 1997.
The Constitution Review Commission considered that the Constitution
should not expressly recognise local government or guarantee local
government autonomy. However, it recommended that: "the Government
should commission a broad and comprehensive review of all local
government arrangements in Fiji to be carried out by an independent
and broadly representative body. The review should, in the light
of modern needs, re-examine the organization, functions and powers
of all the existing local government bodies provided by law. The
terms of reference should include a review of the Local Government
Act (Cap. 125). Ministerial supervisory powers over local government
and electoral arrangements should also be re-examined. It should
also include a review of the operation of those bodies that exist
without a statutory basis. The reviewing body, among other things,
should be required to inquire into appropriate democratic systems
of local government for rural areas".
Organization of local government
The Local Government Act Cap. 125, makes provision for the Constitution,
by the Minister for Local Government, of two classes of municipalities,
i.e. cities and towns and districts. As of October 1997, there were
two Cities (Suva and Lautoka) and nine Towns (Ba, Labasa, Lami,
Levuka, Nadi, Nausori, Savusavu, Sigatoka and Tavua). There are
as of yet no Districts proclaimed under the Act. The Act also provides
for the Minister for Local Government to upgrade an existing Town
to be a City. The 1980 amendment to the Act provided for the appointment
of a Local Government Committee to undertake certain functions including
the undertaking of enquiries relating to proposals by local authorities
to extend their boundaries. The national Electoral Commission divides
each city and town into wards such that each ward has the same number
of adult inhabitants, but this criterion may be varied to take into
account geographical features, means of communication and density
and mobility of the population. The Act provides for the Constitution
of a council for the government of each municipality. Legally each
council is a body corporate with perpetual succession and a common
seal. The Electoral Commission decides on the number of councillors
that constitutes a council as well as the number of councillors
from each ward. This Commission also conducts the municipal elections.
However, these were suspended after the military coup in 1987 until
1993 during which period the Minister appointed the councillors
under a decree of 1988.
Every person of or over the age of twenty-one years who is a citizen
of Fiji and who is the occupier or owner of land or house within
the municipality is eligible to be enrolled as an elector. In addition,
commercial concerns operating in the municipality and deceased estates
have the right to nominate electors. The Act also prescribes the
qualifications and disqualifications for electors within a municipality
who wish to be elected as a councillor. Voting is not compulsory
but this matter is currently under review. A councillor may hold
office for a period of three years and is eligible for re-election.
A Mayor who is elected annually by the council from among the councillors
heads each council. The councillors may elect the mayor for further
one-year terms. The mayor's primary functions are to chair meetings
of the Council and to represent the council at civic functions.
In meetings of the Council, the Mayor does not have the power of
veto but has a casting vote. He is not involved in the day-to-day
administration of the council's operations. The one-year term of
the Mayor is not considered to be a drawback since the council's
overall policy and its development programme is formulated by the
whole council and the executive staff abolishment is usually of
a permanent nature. In addition to the elected councillors, the
Minister may nominate advisers to assist the Council and such advisers
are entitled to attend meetings of the council but they do not have
a right to vote. Municipal councils are required to hold meetings
each month and are empowered to make their own rules of procedure
to supplement the provisions of the Act. Councils are also required
to annually transmit to the Minister a copy of the financial statement
prepared by the council together with a report of the auditor thereof
as well as a report containing a summary of the proceedings and
activities of the council during the preceding year.
Villages in urban centres
A feature of almost all city and town councils is the location
of Fijian villages within the built-up area of the municipality,
although not necessarily within the municipal boundary. These villages
enjoy many of the benefits from the services and amenities provided
by the council but do not pay any municipal rates. As a result only
ad hoc arrangements are being made with the council for the provision
of specific services, especially garbage disposal. In the case of
the Fijian villages in the Nadi urban centre, arrangements are made
with a private company for the disposal of garbage. There has been
a growing trend in most of the urban villages for the construction
of buildings in permanent materials, as a result of which these
villages are consolidating their character of being part of the
built environment of the town.
Municipal councils may, with the approval of the Fijian Affairs
Board and the Minister, make by-laws concerning the manner in which
Fijian villages may be incorporated in the municipality, for the
method by which rates may be levied in such Fijian villages and
for the minimum standard which is required to be attained in the
construction of buildings. So far no initiatives are known to have
been made in this regard. In the case of Lautoka City Council the
village of Namoli is within the municipal boundary and city rates
have been levied for many years. However, no payments have been
made by or on behalf of the landowners and the arrears in the payment
of rates have mounted to FJ$ 297,445 by the end of 1995. This amount
may be compared to the council's total rate of $ 2,075,699 in 1995.
As many attempts over the years to resolve the matter have proved
unsuccessful the matter is to be resolved through the legal system.
The government has established an Urban Fijian Programme Unit within
the Ministry of Fijian Affairs to address the problems and needs
of Fijians living in urban centres. Among the matters that have
received specific attention is the question of the inclusion of
Fijian villages into the municipal boundaries. Besides the government
has set out the principles for exploring the inclusion of those
Fijian villages that are located within urban areas with full consultation
with the people of the villages and other related authorities. Such
consultation must take into consideration that:
- The village was in existence before the municipality came into
being and the sacrifice made by the villagers in compromising
their traditional village lifestyle by allowing urban development
to occur around the villages;
- The villagers have contributed significantly towards the development
of the municipality through the use of their land;
- Fijian sensitivities are linked to the sacred surroundings,
life style and milieu;
- Villages included in the municipalities shall be assessed for
special rates only for special services provided. Villages shall
not be assessed for general rates and such exemption is granted
under section 60 of the Local Government Act.
Committee structure of councils
Councils appoint standing or special committees for consideration,
enquiry, management or regulation of specific types of matters.
However a council may not delegate any of its powers and duties
relating to borrowing money, making a rate, making by-laws, executing
a contract, or instituting a legal action. Most local authorities
appoint committees for specific functions such as finance; personnel
and industrial matters, town planning, building development, land
subdivision, development works, etc. Nadi Town Council, being located
in an area of considerable tourism activity and next to the country's
main international airport, has appointed a Tourism Committee which
coordinates its activities with the Fiji Visitors Bureau. In all
Councils the terms of reference for each committee are clearly set.
In accordance with the Act, many councils appoint persons who are
not councillors to these committees to provide information and advice
on particular matters. Some committees appoint a number of subcommittees,
usually of limited duration, to consider special matters.
Joint committees
The Act also provides for the appointment of joint committees among
municipal councils, provincial councils established under the Fijian
Affairs Act and a rural local authority constituted under the Public
Health Act, for purposes in which they are jointly interested. To
date, no such joint committees have been appointed but proposals
are advanced to form one such committee for the management of the
new garbage dump a Naboro outside Suva. This joint committee is
to comprise the Suva City Council, the Lami Town Council, the Suva
Rural Local Authority and the Namosi Provincial Council, as each
of these bodies would be involved in the management of the disposal
site.
Local Government Functions
Each council is required under the Local Government Act to do all
such things lawful and expedient to promote the health, welfare
and convenience of the inhabitants of the municipality and to preserve
amenities. Specific functions of municipalities elaborated in the
Act include public utility services, purchase of land and dealings
in land, housing schemes to provide dwellings for persons of small
means, streets and drainage. Under the above broad provisions councils
undertake a large variety of developmental works and services.
Traffic management
This includes construction and maintenance of roads, footpaths
and traffic junctions, street and traffic lights, parking metres
and municipal car parks as well as bus stations.
Public health
This includes policing under the Public Health Act, including inspections
of residential, commercial and industrial premises, policing under
the Pure Foods Act and Regulations, construction and maintenance
of drains, mosquito control works, rodent control, stray dogs' removal,
solid waste collection and disposal, gully emptier service for dislodging
septic tanks and community health education through health education
programmes conducted on mosquito breeding and proper refuse disposal.
In addition to the above, particular emphasis is placed on reducing
the incidence of litter in municipalities, for which a specific
legal mandate is provided under the Anti-Litter Decree. All Councils
organize regular clean up campaigns and free collection of garden
refuse is undertaken as a way of fostering participation in the
upkeep of the municipal environment. Councils take an active role
in the observation of the National Environment Week.
Markets
All councils and rural local authorities build and maintain markets
primarily for the sale of vegetables and marine produce. Stalls
are rented out to persons residing within or outside the municipal
boundary. Rural local authorities construct the market buildings
from the funds accumulated from the stall charges only as they do
not have the legal authority to generate revenue by levying municipal
rates.
Public amenities
This includes construction and maintenance of public conveniences
and swimming pools. Some councils provide library services but many
have found them to be expensive to maintain efficiently but have
continued to provide this service as a public amenity. Efforts by
some councils to hand over this service to the Fiji Library Service
have been unsuccessful. The Levuka Town Council, being the first
capital and the site of important events in the history of the nation,
undertakes maintenance of a number of historical buildings and sites.
Most of this work is funded from the rates revenue.
Recreation
This includes the construction and maintenance of parks and gardens,
botanic gardens, children's parks, major sports stadiums in consultation
with the Fiji Sports Council. Town beautification programmes include
tree-planting programmes, an active role in the observation of National
Harbour Day and control over advertising.
Waste management
All councils provide a solid waste disposal service to remove household,
commercial and industrial waste. In most councils the refuse disposal
and garbage collection undertaken six days a week and additional
services are provided during clean up campaigns. There has been
a growing trend towards contracting out this function to local contractors
and the experience of most councils has been satisfactory.
Many councils have found difficulty seeking satisfactory sites
for garbage disposal to replace the current sites which are located
on environmentally unsatisfactory sites. Sigatoka Town Council has
been notified by the Director of Lands to vacate the present dumpsite
at the sand dunes. However, until now the council has had no option
but to continue since it has been unsuccessful in acquiring an alternative
site despite considerable efforts. Nadi Town Council does not own
a garbage dump of its own and uses the one operated by the Lautoka
City Council. Potential sites it has identified have been considered
to be unsuitable on account of possible interference with the operations
at the international airport, potential leaching from sites in the
hills behind the town and probable damage to the marine environment
from sites close to the foreshore. Lautoka City Council's garbage
dump, located on state land in the delta of a neighbouring creek
and accessible through unalienated native land, has had its access
occasionally blocked by native owners of the access road land. Garbage
disposal in the Suva metropolitan area has reached a critical situation
since the dumpsite on the foreshore in the adjacent town of Lami
has become the source of a range of environmental problems.
In order to address the issue of garbage disposal the government
has set up a National Waste Management Committee that has been actively
pursuing possible solutions. In the case of the Suva metropolitan
region a new site has been selected some twelve kilometres from
the city after feasibility studies indicate suitability from environmental
aspects. For other areas, while the search for the necessary alternative
sites is proceeding, serious consideration is being given to alternatives
to dumping for land fill, including converting waste to energy through
incineration and through the use of biowaste.
Land and building development
Some councils have been able to engage in land and building development
projects to promote development within their areas. The Lautoka
Town Council successfully undertook a medium size land subdivision
project for private housing. The Nadi Town Council undertook an
industrial subdivision on State land in order to facilitate relocation
of industries not conforming to the town-planning scheme. The project
was successful, except that the stipulation of the Director of Lands
restricting the generation of a profit denied an opportunity to
the council to make a surplus. The initial tenants made this surplus
in the value of the subdivided industrial sites. The Suva and Nadi
Councils have constructed office and commercial buildings respectively
for rental to the public. The Councils in Suva, Lautoka and Savusavu
have undertaken Land reclamation projects on the foreshore for civic,
commercial and industrial purposes.
Town planning and land subdivision
Municipal councils are designated as planning authorities under
the Town Planning Act Cap. 139. They are required to prepare land
use planning schemes and relevant town planning development control
provisions for the area under their jurisdiction and control all
land and building development in accordance with the national legislation
covering town planning, subdivision of land, public health, traffic
and related issues. The actions include the preparation and public
exhibition of a provisional planning scheme, calling for public
objections and the preparation of the council's comments on the
objections for submission to the Director of Town and Country Planning
for his review. The town planning function also includes surveillance
of illegal developments to bring them into conformity with the planning
scheme. Regular updating of the planning scheme is undertaken as
well as the consideration of isolated applications for re-zoning.
Suva and Lautoka City Councils have their own by-laws for land
subdivision. Under these they examine and approve all proposals
for land subdivision and engineering works and undertake inspections
throughout the construction period to ensure compliance with the
approved standards. They also approve the survey plans prior to
these being lodged in the office of the Registrar of Titles. All
other city councils as well as rural local authorities have the
opportunity to comment on proposals for land subdivision within
their areas lodged with the Director of Town and Country Planning
in accordance with the subdivision of the Land Division Act Cap.
140.
Building control
Municipal councils receive and process all applications for building,
including extensions, demolitions and remodelling, to ensure that
the building proposals conform to the town planning scheme and building
and health regulations. This function includes inspection of the
building during the construction process to ensure compliance with
the building standards and to acceptable levels of workmanship in
the quality of construction. In addition, councils undertake investigations
for unauthorized developments and non-conforming uses. An important
aspect of this function is the advisory service provided to prospective
developers on the requirements of the major legislation and by-laws.
Fair rent administration
The Town Clerks of both the Suva and Lautoka City Councils are
designated as the Fair Rents Officer under the Fair Rents Act for
the resolution of rental disagreements between landlords and tenants.
Dredging of rivers
The large rivers beside the towns of Ba, Labasa, Nadi and Nausori
are subject to regular silting arising from agricultural activities
upstream. These towns suffer from severe flooding during the rainy
seasons and especially during the cyclones. Damage caused to buildings
and infrastructure is often considerable but the town councils do
not have the financial capacity to undertake the necessary dredging
of the riverbeds to avoid the flooding. This is a national problem,
caused by activities undertaken in the river catchments located
well beyond the municipal boundaries. Suva City Council, sometimes
with financial support from the government, undertakes regular dredging
of Nabakalou creek that flows through the central business district.
Subcontracting of services
In line with the global trends towards privatization of services
there is some consideration being given to involving the private
sector in the provision of some of the municipal services. Actions
taken so far are not actual privatization of the service but contracting
out of specific services. For example, the Lautoka City Council
has contracted out services concerning garbage removal, street sweeping
and washing, cleaning of market and public conveniences, drain cleaning
and grass cutting, maintenance of traffic lights, street lights
and the floodlights at the major sports stadium.
General
Municipal government is the second tier of government in Fiji and
has important responsibilities to discharge in the overall development
of the nation. With increasing population density and urban development
their responsibilities are expanding continuously and councils are
placing emphasis on their role in environmental management at local
level. This increase in responsibilities is not matched by new initiatives
of municipalities to mobilize more revenue. Furthermore, although
an increasing portion of the national tax income is collected in
municipalities, there is very limited financial assistance from
the government to municipalities. In order to increase the efficiency
of the available resources the Labasa Town Council has adopted a
set of policy guidelines for its operations and approved a three-year
development programme. Some of the smaller town councils appear
to have very limited revenue to be able to provide the full range
of local government services.
Rural local authority functions
Rural local authorities cover large areas outside towns and deal
with varying amounts of urban development within their boundaries.
In addition to their main function as public health authorities,
they undertake a variety of functions usually undertaken by urban
local authorities such as building control, town planning and garbage
disposal, arranging dislodging of septic tanks and issuing business
licences.
Local Government Finances
Municipalities are self-financing authorities funding a large part
of operations from the revenues generated from the land tax (generally
known as the town rate) and other local incomes. Councils base the
town rates on the Unimproved Capital Value of land (UCV); the income
from this source usually accounts for some two thirds of the total
income. State land within a municipality is legally exempt from
the payment of rates but the Director of Lands pays a grant-in-lieu
approximately equal to the rate calculated for the UCV. The remaining
income stems from rents of commercial premises, fees from the market
and the bus stations, business licence fees, building fees and parking
fees. The level of income from building fees declined in many municipalities
after the military coup of 1987 but a number of councils had recovered
to the pre-1987 levels by around 1995. Financial grants from the
government are very rare and are only given for specific development
projects. The National Fire Authority withdrew the grant that used
to be provided for the maintenance of the fire service upon the
take over of that service in 1995.
Most councils raise loans from the local capital market to finance
capital development works. Loan finance is usually available from
commercial banks, insurance companies and the Fiji National Provident
Fund with repayment periods usually extending over 15 years. Security
for the loan is a government guarantee or a debenture over the Council's
income and assets. Councils manage their funds through the operation
of distinct funds such as the General Fund for normal operations,
the Loan Rate Fund for servicing outstanding loans and other specific
funds. For example, Suva City Council also operates a Streetlight
Rate Fund. The rates are struck annually as part of the annual budget
and are set at different levels for different purposes. The Local
Government Act empowers councils to levy rates up to 10 per cent
per dollar of the UCV for the general rate and up to an additional
five per cent for loan purposes.
However, most councils levy a total rate of 1.0 to 2.5 dollar cents.
In some councils there have been considerable political objections
to raising the level of rates beyond current levels. Consequently,
in many cases the level of rates levied has not kept up with the
rate of inflation and there has been at least one case of deficit
budgeting in recent years. Agricultural lands within municipal boundaries
are rated at a lower level compared to land under urban use. The
UCV is based on the value of land in its original state, disregarding
the nature or value of buildings and other improvements on the land.
A town-planning scheme is a prerequisite for the valuation process.
Reassessment of the UCV is undertaken every six years and is usually
undertaken by the Valuation Unit of the Lands Department. The City
Councils use private valuers for this exercise. There is growing
concern among some councils that the UCV system of valuation does
not result in an equitable sharing of the financial burden since
sites with considerable building development and with land uses
benefiting from various types of municipal services, are levied
at the same rate as vacant or underdeveloped lands. There is a consensus
that instead of switching entirely to a new system, possibly based
on the Improved Capital Value (ICV) or on the Assessed Annual Value
based on rental, Councils should choose between the different valuation
systems, possibly one which would value properties in accordance
with the level of use of the municipal services.
Arrears in town rates
A matter of increasing concern is the growing level of arrears
in the collection of rates, which is sometimes more than the total
rate levied for the year. These arrears have mounted to serious
levels due to less than optimal collection of the annual rate and
the low level of collection of the outstanding rate. The level of
collection of the annual rate is usually 60-70 per cent and the
collection of arrears 10-20 per cent. For example, in 1995 Sigatoka
Town Council collected 70 per cent of the annual rate and only six
per cent of the arrears, resulting in a collection level of 40 per
cent of the rates due. Sigatoka Council's rate levy for 1997, based
on 2.08 cents to the dollar of the UCV was $ 160,500 whereas the
rate arrears at the end of December 1996 was $ 387,351.Similarly,
Lautoka City Council's rate levy for 1997 was $ 2,097,920 and the
arrears in rates was $ 2,938,517.
In order to collect the arrears of rates councils do have recourse
to the law, which includes the charging of a 10 per cent interest
on all outstanding rates and the power to repossess property for
this purpose. In the Suva City Council the recovery of the arrears
in payment of rates is the main function of the Council's legal
staff. Many Councils believe that commercial concerns are that the
rate of interest charged on overdue rates is less than the rate
of interest charged for commercial loans. Some councils consider
that the ability to register a caveat on property with arrears so
as to ensure the payment of the arrears prior to any dealings on
the land would strengthen their capacity to collect arrears. In
some cases a large part of the arrears is due from unalienated native
Land; these lands have a native Fijian land-owning unit but the
land is not leased. In the case of Sigatoka Town Council, the arrears
of rates on native land account for some 75 per cent of the total
arrears. The situation is similar in the case of Lami town, lying
on the western side of Suva City. The insufficient capacity for
the development of native lands ripe for development is thus affecting
the efficiency of certain councils. Not only are the arrears mounting
on unalienated land, but the potential for rates generated from
sites that could be developed on those unalienated lands and the
rental income that could be generated for the native owners is not
realized.
The pattern of expenditure by most councils indicates that the
large bulk of annual expenditures is devoted to recurrent expenses
such as personnel costs, maintenance of infrastructure and providing
various services. A very limited amount is devoted to new capital
works that usually include reconstruction or improvement of roads
and drains. During 1996-1997 the Suva City Council constructed a
commercial office complex that is to generate rent revenue. In Levuka
Town the municipal boundaries were revised to exclude some native
land due to the inability of the owners and residents to pay municipal
rates. No council has been able to establish a financial reserve
out of savings from annual revenues.
Accounts and audits
The annual accounts of each council are audited each year by the
Auditor General of Fiji. The accounts as well as the report of the
Auditor General are tabled in Parliament. The Auditor General sometimes
contracts the audit function to major audit firms in the private
sector. Councils do not have any involvement with the Public Accounts
Committee. Councils are not subject to normal income or corporate
tax but all services provided by the Councils are subject to Value
Added Tax that is accrued by the government. At present the financial
accounting of all municipalities except Lautoka City Council is
undertaken on a cash basis but it is planned to change to the accrual
system of accounting from 1998. Under this system the performance
and financial position of councils will be measured in ways similar
to those in the private sector, providing a better appreciation
of the council's assets and liabilities, allowing the measurement
of the full cost of providing goods and services and setting the
framework for better internal control.
Financial review
The whole matter of municipal finances has been the subject of
considerable discussion between the Ministry and the municipal councils.
In 1993 the Minister appointed a Financial Review Committee for
Municipalities to review the rating and other income powers and
resources of local authorities. The Committee, headed by a senior
financial manager, considered all the issues at length and presented
a wide set of recommendations in October 1994. Some of the recommendations
have been accepted and implemented; some of the more complex proposals
and those requiring legislative changes are under active discussion
between the Ministry and the Local Government Association.
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