Debate in the Assembly continued today with legislators adopting two key Reports. The Report of the Committee on Accounts and that of the Committee on Agriculture, Tourism and Natural Resources were debated and adopted.
The Committee on Agriculture and Natural Resources presented the Report on the spot assessment of the extractive and mineral legislative framework in the Partner States. The Report presented by the Chairperson, Hon Isabelle Ndahayo, indicates the spot assessment was aimed at enhancing Members’ overall understanding of progress with regards to formulation of the regulatory and institutional framework in the extractive and mineral processing industries.
The Committee met with stakeholders from various institutions such including those representing Mines and Energy, environment and the National Assemblies Parliamentary Committees responsible for Minerals, Ministries in charge of East African Community/Co-operation and other organisations.
All Partner States were covered in the assessment. The Report which makes interesting reading indicates the absence of a regional law on mining while stating that the existing tax legislation is static and has few fiscal incentives. On resources, the Report indicates that the region has few qualified personnel in the field with a high corresponding high turnover of staff who after benefiting from Government training, pursue better opportunities in the Private Sector.
It calls on Parliaments in the Partner States to scrutinise mineral agreements before Governments engage in tendering and bidding processes through use of well constituted negotiating teams with knowledge in the area of extractive industries. At the same time, EALA wants the National Assemblies to develop laws governing the mining sector.
EALA also reiterates the importance of building the capacities of officers working in the sector and organising training to build their respective capacities.
During debate, Members supported the Report remarking that the region is rich in natural resources but remain underexploited due to lack of enough capital and unskilled labour. Hon Christophe Bazivamo remarked that EAC Partner States did not seem to benefit enough from the mining and extractive sectors and stressed on the need to come up with a framework to help the region to accrue benefits from the same. This was supported by Hon Abubakar Zein Abubakar, Hon Dr. James Ndahiro and Hon Dan Kidega in their debates.
In his contribution, Hon Jeremie Ngendakumana noted the need to undertake thorough oversight of the sector while encouraging the EAC to embrace policies that would see citizens of the region enjoy the dividends. Hon Taslima Twaha called for enhanced efforts to protect the environment noting the hazardous environmental impact resulting from mining. In her contribution, Hon Valerie Nyirahabineza remarked that locals (East Africans) should be considered first when it comes to opportunities in the mining and extractive industries before consideration of other nationals.
In response, the Council of Ministers through the Deputy Minister for EAC, United Republic of Tanzania, Hon Dr. Abdulla Saadala urged the region’s experts to move with caution to ensure resources remained within the EAC in the wake of globalization.
‘This is a key sector capable of enhancing our Gross Domestic Products and taking the EAC economies to the next level,’’ the Deputy Minister remarked.
On its part, the Report of the Committee on Accounts tabled by Hon Jacqueline Muhongayire reviewed the audited consolidated financial statements of the EAC and its projects, Lake Victoria Basin Commission (LVBC) as well as the East African Court of Justice and the East African Legislative Assembly for the year ended 30th June 2011.
The Committee recommends to the Assembly to urge the Council of Ministers to expedite (pending completion of the institutional review), operationalisation of the quota system and to immediately unfreeze recruitment of staff in order to enable adequate capacities to enhance the operations of the Community.
At the same time, the Accounts Committee is urging the EAC to ensure harmonisation of the Information Management System in all the Organs and Institutions of the EAC. ‘At the moment, there is lack of uniformity with different institutions using different software for accounting’, a section of the Report noted. The EAC Organs and the Lake Victoria Basin Commission are currently using the Sun system while IUCEA utilises the Solomon system to record its transactions.
On procurement matters, the Committee of Accounts is of the view that the policy needs revision to include procurement matters outside the station (Arusha) to ensure the EAC gets value for money and that it adheres to due dilligence, objectivity and transparency.
Generally, the Committee wants EAC institutions to ensure appropriate methods of procurement of goods and services, streamlining accounting systems and putting in place stop-gap measures to ensure timely response and implementation of recommendations made by the internal audit. It further wants a scenario where all creditors are promptly paid upon delivery of the goods and services.
The Committee recommends to the Assembly to urge the Council of Ministers to compile all the outstanding Value Added Tax (VAT) owed to all EAC Organs and Institutions detailing the recovery plan and report to the Assembly by April 2013.
Members who contributed during debate included Hon Chris Opoka-Okumu, Hon Pierre Celestin Rwigema, Hon Susan Nakawuki, Hon Nancy Abisai and Hon Dr. James Ndahiro. Others were Hon AbuBakr Ogle, Hon Patricia Hajabakiga, Hon F. Mukasa Mbidde, Hon Frederic Ngenzebuhoro and Hon Abdulkarim Harelimana.
The Chair of the Council of Ministers, Hon Shem Bageine assured the House that the Council of Ministers would ensure it implements all recommendations emanating from the Report.
Earlier on, the Chair of the Council of Minister had laid on the table three Bills for the first reading. They are the East African Community One Stop Border Post Bill 2012, the East African Community Vehicle Load Control Bill 2012 and the east African Community Supplementary Appropriation Bill 2012.
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