BY LORETTA B MANELE

Gordon Darcy Lilo, Central Honiara Member of Parliament and Independent member has strongly suggested that government apply direct tax on capital gains.

Speaking on the floor of parliament on Monday, May 12 he said the country is missing taxation and stamp duty is not enough to get the real value of income that is moving around.

Lilo said there are only two forms of tax and they are direct tax and indirect tax.

While direct tax is paid directly by a person or organization, indirect tax is tax passed off by the government on goods and services.

He stressed that one form of direct tax is to tax capital gains; a tax on the profit when you sell something such as an asset that has increased in its value.

Lilo said this involves taxing the wealthier.

“There is huge money going around in the country right now. Assets have been transferred from one to the other.”

Lilo said as Solomon Islands is a small economy, we have to balance this now in the way we apply tax.

He reiterated that they must choose to apply direct tax or indirect tax, balance the two or not.

Lilo encouraged government that given the current situation, taxing capital gains is one avenue that should be taken.

“So, my submission is this. If you want to strengthen the fiscal situation more, you need to tax now.”

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BY LORETTA B MANELE

Manasseh Maelanga, Member of Parliament for East Malaita and member of the Independent Group stressed on the execution of policies in parliament on Monday, May 12.

In early remarks, he said the National Buildings Standard Bill, the re-establishment of the Public Works Department and the Provincial Works Department and a new draft Government Vehicle Policy are positive steps, however are not new ideas.

Maelanga mentioned that many of these policies were initiated or drafted in previous terms.

Speaking of policies, he expressed that the test now is not policy design but in executing these policies.

In terms of infrastructure, Maelanga voiced that today, we often see ground-breaking ceremonies followed by silence.

He added that there are roads after having being laid, crumble within a season and commissioned buildings without water or electricity.

“This must change.”

He pointed out that infrastructure must reflect total value, not just cost, but quality, longevity, accessibility and community belief.

Maelanga, said it has been a previous challenge and will continue to be a challenge for the hard-working officers of the Ministry of Infrastructure (MID).

He stated that building new roads and maintaining our infrastructures will always be a national challenge until we have a permanent fixed rate.

“I encourage the government and our new Minister for Infrastructure to consider establishing a National Infrastructure Delivery Authority with the capacity and autonomy to implement complex projects.”

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BY SAMIE WAIKORI

The newly appointed Minister for Mines, Energy and Rural Electrification (MMERE), Dereck Manu’ari says major reforms are currently underway in the ministry.

Speaking in parliament this week, Manu’ari said a major agenda among them is the “Minerals Resources Bill 2025” which is now before parliament.

The bill reflects the commitment of MMERE to carry out a wide-range of reform on important areas under the ministry. 

Seeking clarity on MMERE’s program, Leader of Opposition, Matthew Wale has this week, questioned the ministry, cited GNUT’s 100 days policy, as they promised reformed on the mining sector.

He referred to the promise as “largely unfulfilled” while no progress is observed to separate administrative and regulatory powers, leaving the sector vulnerable to ongoing unchecked ministerial control.

He added although a Mining Cadastre System was introduced, the system can be bypassed and enforcement mechanisms remain weak.

“Promised reforms to outdated mining laws and stronger environmental protections have yet to materialize. Revenue transparency and benefit-sharing with resource owners remain distant goals.

Despite bold claims of mining sector transformation, the reality is that governance weaknesses persist, reforms are stalled and the promised new era for sustainable mining has yet to begin.

At this time, the minerals beneath our soil continue to be exploited and one fears, at a loss to the government and resource owners,” Wale said.

In a gesture of response, Minister Manuari highlighted some of the significant reform programs MMERE is currently pursuing.

He emphasized that one of the major reform agendas of the Ministry is the Minerals Resource Bill 2025, which is now before parliament.

“The bill reflects solemn duty to ensure the mining sector operates transparently, sustainably in the best interest of Solomon Islanders, particularly our resource owners.

The reform holds a significant potential to contribute meaningfully to the economic development and prosperity of our country,” Manu’ari said.

The minister echoed that far too long, the mining sector has been operated under outdated laws and fragmented regulatory frameworks that no longer reflected the complexity of modern mining industry.

Meanwhile, Manu’ari said the aim of the Minerals Resource Bill 2025 is to establish a clear, transparent and legal framework that responsibilities and processes across all stakeholders; government, landowners, investors and communities.

He added it gears to strengthen governance and regulatory oversight that involve regulatory bodies to ensure robust balance and enforcement mechanisms.

Manu’ari said in terms of operation, the bill promotes social environmental safeguard in operations and includes free prior and inform concept and mandatory Community Development Agreements (CDA).

He noted that it also aimed at revising royalties and implementing strategy transfer of revenue sharing mechanisms to ensure fair return to landowners, communities and the nation.

Moreover, the minister stated that the bill is designed to attract quality and long-term investments and to provide legal certainty while aligned with global standards.

While the bill is before parliament, he stressed the focus is also on national ownership and interest of resource owners that mineral remains the property of the state.

At the same time, Manu’ari said the bill recognises community rights and participations, where landowners and communities are the active partners in the mining sector.

He mentioned that the bill will also encourage community reserve areas or permits for communities under small scale mining activities.

The minister assured that there is a lot to the bill that is designed to address loopholes currently experienced in the mining sector.

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BY JOHN HOUANIHAU

The situation the country is now facing in terms of illegal mining is almost like a gold rush.

New Minister of Mines and Rural Electrification, Derick Manu’ari, said this when he responded to Opposition Leader Mathew Wale, MP for Small Malaita, Rick Hou and MP for West Are’are John Maneniaru on the floor of Parliament Thursday this week.

He was responding to questions raised regarding illegal alluvial mining operations in the upper Balasuna River in Guadalcanal province, which is now under police investigation.

“You know our situation now is almost like a gold rush. People come in to try to apply for a licence. Not only alluvial mining, but also, other forms of mining. And like alluvial itself, at the moment, the total number of current alluvial mining permits is 17. The locals who are currently engaged in mining.”

“We can only effectively manage a certain number of operators. So, we do interviews for vacant positions in the ministry,” said Manu’ari.

He told the three opposition MPs that with the Ministry’s reforms, more transparency and accountability processes are anticipated.

“To ensure that we engage with genuine investors. Not only on a small scale, but also in terms of prospecting and mining operations,” he said.

He also assured the leaders that he has noted their comments to strengthen the ministry’s roles and responsibilities to ensure similar mistakes are not repeated in the future.

“It’s a point that has been duly noted and that’s the objective of the ministry. To ensure that there are transparent and accountable processes to deal with genuine investors to be able to maximise the benefits we have from utilising our non-renewable resources,” said Manu’ari.

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BY NED GAGAHE

Ministry of Culture and Tourism (MCT) is set to launch the country’s first-ever Collective Management Organization (CMO) on Wednesday, 21st May, marking a major milestone for the Solomon Islands’ creative sector.

The Solomon Islands Performing Rights Organization (SIPRO) is the first CMO to be established in the country.

Key highlights will include the official unveiling of the SIPRO logo and banner as well as the signing of the founding certificate.

A Collective Management Organization, also known as a collecting society, is responsible for licensing copyright and related rights on behalf of creators such as musicians, composers, writers, visual artists, and producers.

Director of Culture, Dennis Marita, said SIPRO represents a significant step in strengthening the country’s music sector.

“This initiative represents a long-awaited advancement in ensuring that our talented musicians and music producers receive the recognition and financial benefits they deserve for their creative works,” Marita said.

“Aligned with the provisions of the Copyright Act and intellectual property laws, SIPRO will also contribute to generating vital revenue for the country’s economy. Given the richness of artistic talent in our music sector, SIPRO aims to safeguard the economic interests of creators and producers, fostering sustainable growth and development in our cultural industries.”

Earlier this year, from 3rd to 10th February, the MCT and the UNESCO Office in Apia, Samoa, co-hosted a six-day workshop focused on copyright in music.

The idea to establish SIPRO emerged from discussions during the workshop, highlighting the need for a structured system to protect artists’ rights and enable them to earn a sustainable income from their creative work.

Marita said that following that workshop, MCT and Ministry of Justice and Legal Affairs have been collaborating working on the establishment of the CMO until its successful establishment.

“Our two ministries have been collaboratively working on the establishment of a Collective Management Organization (CMO) for the Solomon Islands, aimed at managing the rights and royalties of our local musicians both locally and internationally.

“With the support of international partners such as UNESCO and the Fiji Performing Rights Association (FPRA), we are set to officially launch SIPRO on Wednesday next week at the National Art Gallery.” Mr Marita said.

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BY JOHN HOUANIHAU

Fisheries Minister Bradley Tovosia said that the Prime Minister Jeremiah Manele told him that the Bina Harbour Tuna processing must proceed.

He said that building on fundamental work on securing land access and formalising land tenure, clarifying infrastructure needs and developing stakeholder partnerships, for the projects is now on generating the evidence-based and operational readiness required to transition from design to construction.

He said that the key deliverables through the Bina Harbour Projects Office in the next 12 months include a 30% concept design report and associated cost plan, documenting the total development, a detailed business case and the governance structures required to represent the interests of Bina area villages and water and harbour rights holders.

“Mr Speaker said, when I was given the portfolio, the Honourable Prime Minister said, Bina project, must proceed. It is one of the flagship programs of GNUT,” said Tovosia.

He said that the Public-private partnership structure presented to the Cabinet for approval and the associated rebate scheme policy enabling regulations finalised.

 “To deliver this work programme, the project office will be reorganised and streamlined, become more outward-focused and work closely with the stakeholders, including the Malaita Provincial Government and other national government agencies, government parties and potential investors,” said Tovosia.

“This is very important to us, Mr Speaker said, to move this project,” he said.

He said that the land and marine geotechnical site investigations have recently been completed for the Bina Harbour Port and enabling landslide infrastructure to support the operation of the tuna processing operation.

“The findings will inform the development of the 30% concept design report and cost plan,” he said.

He said the other studies and inputs to inform enabling infrastructure planning and design, including constraints and mapping that consider potential risk to the site, flooding and coastal inundation and to identify important cultural sites and land use features such as dwellings, plantations and natural resources, will be completed by June 2025.

He said that construction materials surveyed, sustainable resources for the supply of the land, field and other local materials will be supported by the Ministry of Infrastructure Development.

He adds that Water supply and wastewater studies have been undertaken with the Ministry of Mines, Energy and Rural Electrification and the Solomon Islands Water Authority are likely to confirm the Kwailegwa River as the project site’s sustainable water source.

He said that the Solomon Islands Water Authority is providing information to support project engineering.

“We are exploring the potential to participate in the construction of Bina Harbour,” he said.

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BY JOHN HOUANIHAU

Leader of the Opposition Mathew Wale has strongly urged the Minister of Mines, Derick Manuari, to take stern action against illegal mining activities.

Wale made the call after the cessation of illegal mining operations in the upper Balasuna River in Guadalcanal this year.

The case, which is now under police investigation, involved a company that was identified as AAA after a collaborative inspection from the Police, the Ministry of Environment and the Ministry of Mines and Rural Electrification last month.

“I wonder if the Ministry, I mean, this kind of behaviour, we have seen in logging for many, many years. They go in a concession, and then encroach all over the land that is not signed up for in that concession. And get away with it, and they find it too easy to get away with it.

“So I’m wondering if the Ministry should take steps to put up a blacklist so that companies, company directors, company shareholders, company workers and individuals involved in this kind of blatant arrogance, illegal activity of mines, get on that. And then they will never be able to deal with the Ministry again in any way, form, whether on behalf of someone or consultant, or apply for a licence themselves, or speculate or anything,” said Wale.

He said that this would be a very good way to respond administratively to this kind of blatant arrogance and flouting of our laws.

In February this year, a report was submitted to the Ministry that machines were being moved to Balasuna.

On the 21st of the same month, a letter was delivered to the Guadalcanal Provincial Police to request the operators to immediately cease the activities.

However, no actions were immediately taken at that time and an inspector was sent to visit the site on 24th March this year, conducting a verification report and issuing a verbal order to stop operations.

A few days later, on 28th March, another stop notice was issued, along with a verification report, delivered to the Guadalcanal Police.

A week later, the police went to visit the site and ceased all operations and removed all machines.

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BY SAMIE WAIKORI

Leader of the official Opposition group in Parliament, Matthew Wale has questioned GNUT of its promise to reform the forestry sector of the country.

The forestry sector, under the Ministry of Forest and Resources (MFR) has long been faced with controversy for industry such as logging and other programs or activities that need to be properly regulated.

Speaking in parliament this week, Wale said “in the forestry sector, the government’s 100-day policy promises remain largely unmet.

He said the review and reform of the Forest Resources and Timber Utilization Act is still incomplete, with no clarity on whether it will be a full repeal or amendment.

Wale added the enforcement of the 8% milled timber quota remains weak, undermining efforts to create local jobs and value-adding.

“Monitoring and compliance across log ponds, a key 100-Day action, is crippled by underfunding and manpower shortages, allowing revenue leakages to persist.

“Plans to promote downstream processing and launch sustainable carbon trading initiatives have stalled,” he noted.

Wale said in a sector that should be a pillar of wealth, government negligence and mismanagement of our forest resources has left only stumps where forests and opportunity should stand.

“There is nothing that gives hope in an industry that should be a natural strength in our economy.

“Government’s approach in forestry seems to me to be one of merely managing the diminishing industry.

“There are opportunities in forestry, but government seems uninterested in them,” he expressed.

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