Everyone who holds a Fixed Term Estate or a registered Lease is required to pay annual land rent.
In this article I explain more about these fees, how they are calculated and their importance.
When a Fixed Term Estate or Lease is purchased, it usually comes with a Premium price and an ongoing annual rental payment.
The way in which these fees are calculated varies according to the situation.
The fees attached to the lease of a parcel from a Solomon Islander who owns the Perpetual Estate to another party will depend upon the negotiations between those two parties, and they may refer to a land valuation as the basis to determine Premium and land rent.
Where the Perpetual Estate is owned by the Commissioner of Lands on behalf of the Solomon Islands Government, the Land Board has an established policy that guides the calculation of the Premium and land rent.
The policy states that the Premium is calculated as 10 per cent of the unimproved value of the land, except for churches, schools and non-government organisations in which case the Premium is 2 per cent of the unimproved value of the land.
The land rent is then calculated as 10 per cent of the Premium, meaning that for most cases the amount to pay each year is 1 per cent of the unimproved value of the land.
There may be special circumstances where the Land Board departs from the standard calculations, and these cases are recorded in the Board’s Minutes which are publicly available on the Ministry of Lands website.
It may seem like a bargain that rights over government land can be obtained at an initial up-front price (Premium) of just 10 per cent of the actual land value, but consider the fact that there is an ongoing annual Land Rent to pay.
After 90 years the full land value would finally have been paid, i.e. 10 per cent as premium plus 1 per cent multiplied by 90 years for land rent.
Fixed Term Estates issued in the last few years though only run for 75 years, after which the Fixed Term Estate holder would need to apply for a “renewal” of the Fixed Term Estate and a new Premium and annual land rent will be calculated and be payable at that time.
So, a Fixed Term Estate owner keeps paying for the rights over the land over and over again, but with reduced and stretched-out fees.
Unlike Council rates, no services are rendered in return for the payment of land rent.
It is simply a way of spreading the cost of buying the rights over a parcel of land over time, so that the initial price (Premium) is not such a large financial burden, and the price is spread out over time in the form of annual payments.
Rents can however be revised over time, either in accordance with conditions in a lease agreement that allow for increases over time, or in the case of Fixed Term Estates, to match updates in the Valuation Roll maintained by the Valuer General.
Lessees and Fixed Term Estate holders must remember to pay their land rents annually, otherwise they face the real prospect of having their Lease or Fixed Term Estate forfeited.
The Ministry of Lands does not mail out statements each year, and it is incumbent on the Fixed Term Estate holder to be proactive and come forward to pay the land rent each year.
If you don’t know your annual land rent figure or if you have lost track of when you last paid the land rent, please visit the Ministry of Lands customer service section to obtain a statement.
Land rent payments can be accepted at the cashier’s office adjacent to customer services.
MOST tourism operators are looking forward to international borders reopening, but are they ready?
Like other tourism operators in the region, local operators have felt the brunt of COVID-19.
In Western Province, Agnes Getaway Lodge (Munda) and Kesoko Inn (Noro) have to dig deep to keep their doors open during the pandemic.
The closure of international borders in April 2020 and five months of domestic travels restriction have taken a toll on these local operators.
They were tested financially and mentally over the past 29 months but their resilience to get back to business is tremendous.
Vincent Mayamaya, the General Manager of Agnes Getaway Lodge said the closure of international borders was a huge blow to Agnes Getaway lodge as it depended almost entirely on international tourists.
Vincent Mayamaya and his staff at Agnes Lodge Reception office
Agnes Getaway Lodge was lucky to have signed up for the ‘Umi Tugeda Holiday” travel bubble – a local tourism bubbled launched in 2022 which aimed at boosting the country’s domestic tourism numbers, Mayamaya said.
“We focus on the domestic market for the past months. We worked closely with Solomon Airlines through the “Umi Holiday” package and we also work closely with Dive Munda to accommodate local divers who were part of a diving training organized by Dive Munda and former Miss Solomon Islands Gladys Habu.
“This was our lifeline and it gives little justice to our financial pressure,” Mayamaya said.
Bungalows at Agnes Lodge Munda
For many tourism businesses in Western Province the low point of their COVID-19 journey arrived with domestic travel restrictions.
“Things (were) getting worse and we found ourselves in a situation where few local operators nearly lost (their) business,” Mayamaya said.
Francina Veo of Kesoko Inn shared similar sentiment saying that international border restrictions followed by COVID-19 outbreak nearly put Kesoko Inn out of business.
Francina Veo, the familar and welcoming face at Kesoko Inn
Kesoko was not part of the Umi Tugeda Holiday Bubble and that contributed to its challenges.
Veo had to lay off some staff and halt Kesoko Inn’s operations until further notice.
“We see our bookings reached rock bottom during the height of COVID-19 in Noro. Income was really bad that we faced an uphill challenge trying to serve our business.
“It has been five months and we are still struggling,” Ms. Veo said.
Both operators said that they have missed out on the government’s stimulus package.
Welcome to Kesoko Inn at Noro
Strategies to serve business
The most difficult challenge for both operators was to decide whether to let go of their employees to ensure survival of their company or to keep their employees and risk bankruptcy.
At Agnes Getaway Lodge, employees were given an opportunity to continue their duties.
Mayamaya said he decided to decrease employees working hours, separated his staffs into two groups and allocated separate shifts to each group.
“I see all my employees as family, so instead of terminating my employees, I put them in groups and they rotate every fortnight. Each group took turn every fortnight just to give a change to earn a living during this difficult situation,” he said.
This was not the case for Kesoko Inn.
Veo said Kesoko Inn management had no choice but to lay off seven of its staff.
“Kesoko Inn was unable to generate enough revenue and its becoming difficult to pay employees’ salaries so management decided that the best approach was to save the business.
“Only family members volunteer to keep the operation going.
“We felt sorry for our staffs but do not have other options,” she said.
Ms. Veo said Kesoko management was planning to reinstate the staff when operation is back to normal but the staff could not wait and have secured jobs elsewhere.
Now Kesoko will have to scout for new recruits when business is back to normal.
Preparation towards border reopening
Solomon Islands will open its international border next month and Agnes Getaway Lodge and Kesoko Inn are more than ready.
Seaview at Agnes Getaway Lodge Munda
They have not just survived -they have renovated and are thinking of new experiences to offer tourists..
Agnes Getaway Lodge has made refurbishments on one of its bars, upgraded its jetty, constructed new double bed rooms, improved its existing bungalows and redesigned its corridors.
Mayamaya said one of Agnes Getaway Lodge’s buildings has been transformed into an Isolation Center for COVID related cases.
His staff have undergone series of Standard COVID-19 Extra-Care Trainings which was carried out by the Ministry of Tourism and Ministry of Health.
“I’m confident that my staffs have obtained relevant knowledge and skills on how to handle a situation where a guest is positive with COVID-19,” he said.
Mayamaya further stated that Agnes Getaway Lodge has found a new product that tourists would be interested to see – a special tour to visit until-now hidden World War II sites in parts of Western Province.
New comfy double bed at Agnes Lodge
Myamaya believes the World War II relics are museum pieces that are important for history and research.
Kesoko Inn has also made huge transformation to its rooms and its staff have attended similar trainings on COVID-19 Safety Standards.
Ms. Veo said a room has been allocated for suspected COVID-19 cases, to keep the local community and other guests safe.
“Since the outbreak, we encourage guests to swab and tested negative before booking and we will be encouraging our future guest to follow the procedure.
“We have strict standard procedures when comes to COVID-19 and we hope to handle any situation and help our guests,” she said.
Ms. Veo said she is confident her staff are ready to handle circumstances when a guest gets sick.
“We have gone through bit and pieces of the process to make sure COVID-19 Standard Procedures are satisfied during our trainings, so I’m confident that we can handle any situation,” she adds.
Munda Bar at Agnes Lodge
Is Solomon Islands re-opening too late for its tourism industry?
With the July 2nd re-opening of Solomon Islands borders just days away, the tourism industry faces its biggest test yet – how to attract back tourists who have many other choices of destination.
Fiji and the Cook Islands have been open for months and other tropical destinations such as Bali and Thailand are also back in business.
According to Mayamaya, the decision to open the international borders is not too late.
“We still have time. I think it’s good that we open our borders late because it helps us to learn from our neighboring countries on how they handle the situation,” he said.
Mayamaya said Munda is a primary diving hotspot in Solomon Islands but – so far – few international tourists have contacted Agnes Getaway Lodge for bookings.
Expectations are high but the future still uncertain.
“I hope tourism industry will quickly pick up and return to normal, time will tell,” Mayamaya said
“For now, we are waiting to welcome tourists back in Munda and explore the richness of Western Province.
TRANSPARENCY Solomon Islands has rejected the reasons given by the Government as basis for its decision to defer the National General Elections to 2024.
Secretary to Prime Minister, Dr Jimmy Rodgers and other officials in the Prime Minister Office confirmed the Government cannot hold the elections next year because of the Pacific Games happening in the same year.
Dr Rodgers said the Government has approached the Pacific Games Council to defer the Pacific Games to 2024 after it was originally scheduled for July 2023.
However, he said the Pacific Games Council refused it because no Games should be held during the Olympic year in 2024.
The original date for the Pacific Games in Honiara was on 16 to 29 July 2023 but rescheduled to 19 November to 2 December 2023.
The Summer Olympic Games is scheduled to take place in Paris, France, from 26 July to 11 August 2024.
However, TSI Chief Executive Officer, Ruth Liloqula told a talk back show on Sunday that all the reasons given by Parliament for extension and deferment are well within the powers of Executive government to make it happen.
“All the taxpayers are paid and who have the control over that. It’s the Executive Government?
“So, it’s all about the planning and proper thinking Government to plan for the event,” she said.
Liloqula said the executive can because this year Parliament passed a budget of $6.8 million per constituency.
“So, does that mean it does not have money?
“If we can give money to a scheme that corrupt everything, surely, we can provide money for Pacific Games and run General Elections.
“For Pacific Games, it looks like we will meet cost. The participating teams will send money for food and accommodation,” she added.
Liloqula said the cost benefit analysis has not been provide by Government.
“It’s not all about the Olympic Games. What is Olympic Games compare to the Constitution of Solomon Islands?
“So, it’s within their area to actually solve it. So, they better solve and run the elections in 2023,” she added.
TSI has also launched a report regarding the proposed Extension of Parliament from Four to Five years.
The report is based on citizens speaking, perception, observations, experiences, opinions and recommendation.
SPAWNING Potential Surveys methodology is currently underway at the Honiara Hotel aimed at providing avenue for fishermen and women to discuss opportunities on management of marine resources.
Dr Gregory Bennett, Conservation Program Manager on behalf of the World-Wide Fund (WWF) Solomon Islands, said the program will enable participants to discuss the opportunities towards established and effective management of important marine resources.
Bennett said today threats are increasing due to rapid population growth expanding commercial interests and decision-making constrained by incomplete information.
“Events such as climate change and coral bleaching, cyclones and tidal waves have devastating impacts on our country’s biodiversity,” Bennett said.
“WWF-SI recognises the critical need to safeguard and manage the marine and coastal resources as people of Solomon Islands exhibit a high dependence on coral reefs and fisheries for their food and livelihoods,” he added.
Bennett said the WWF-SI values the partnerships that will be created in the three days training especially from the government line ministry and Marine Resources, Provincial fisheries officers from three provinces, Sepi Women’s Fisheries and Snap Fisheries.
Minnie Rafe, Ifuto’o Community Base Fisheries Management (CBFM) Program Coordinator, said the importance of the training is getting the communities to understand, especially community people and fisheries officers, what WWF do in terms of promoting sustainable fisheries through this spawning potential survey methodology where they introduced to Sepi women in Isabel province.
Paul Tay Tua, Chief Fisheries Officer, Research Section Inshore fisheries on behalf of the Ministry of Fisheries and Marine Resources, said the training is more on capacity building of fishers and officers who are responsible to collect data in terms of sustainable management.
NEW Zealand High Commissioner Jonathan Schwass and PM Sogavare
NEW Zealand High Commissioner Jonathan Schwass on Monday paid a visit to Prime Minister Manasseh Sogavare.
“The New Zealand PM looks forward to a formal catch up,” Schwass told Sogavare.
The two leaders discussed issues revolving around a stable, resilient and socially cohesive Pacific.
They talked about the development of an economy that enables prosperity and more equitable distribution of benefits; and deliver for all citizens and engage constructively between them as well as the region.
Along with his ambassadorial duties, Schwass assured Sogavare of his intention to rebuild a stronger SI-NZ bond.
“We are keen to pick up our relationship with Solomon Islands to post pandemic level. If there are gaps, we would be pleased to learn,” Schwass said.
New Zealand’s ongoing cooperation and assistance are in the areas of Infrastructure development, education, economy, health, Labour Mobility Scheme, Royal Solomon Islands Police Force among other sectors.
Sogavare stated “the government supports a stable region. The view that Solomon Islands will host a military base is nonsense.”
Sogavare commends New Zealand for its interest to further explore the broad issue of climate change.
He thanked the government and people of New Zealand for standing beside Solomon Islands in its good and tough times.
MEMBERS of Parliament need to listen to their people when deciding to defer the National General Elections from 2023 to 2024.
Chairman of Transparency Solomon Islands, Frank Paulsen stated this following legal argument that Members of Parliament are mandated to represent the people after the election and do not need to consult people on policy matters.
Responding to a question during the talk back show on Sunday, Paulsen, a lawyer by profession, said it is true they (MPs) are the voice of the people, “but one thing people in authority or our MPs must understand is they cannot operate in isolation or in a vacuum”.
He said they (MPs) must be sensitive of the fact that they are leaders of the people.
“They must also understand they exercise authority where people give to them.
“It does not mean they take it forever,” he said.
Paulsen, former Chairman of Law Reform Commission, said this is the kind of inalienable rights that people have that cannot be taken away by anybody.
“You are just exercising the voice and mouthpiece of the people, so you must listen to people.
“I think it’s common sense and logic that you stay there, you represent the people, you listen to people,” he added.
“I remember one Parliamentary debate where one MP said his chiefs said he must not support one certain agenda in Parliament.
“He (MP) goes against that.
“How I see it is irresponsible.
“What if the people decide not to vote you next time around?
“Not try to put fence between people and yourselves because you are the property of the people,” he added.
Furthermore, TSI executive officer Ruth Liloqula said the big question here is the Prime Minister stood as Independent.
She said Our Party was formed after elections.
Our Party is led by Prime Minister Manasseh Sogavare.
“This issue of extension of Parliament was not a campaign issue.
“Therefore, on this very issue, they are not the voice of the people,” she said.
“This is why they need to consult and take it as an election for the next Parliament and not this Parliament.
“How can you talk about something big like this to change constitution and say voice of people? she asked.
MP for Aoke Langa Langa constituency and Leader of the Parliamentary Opposition, Hon Matthew Wale during his constituency consultation talk in Auki town yesterday.
BY SAMIE WAIKORI
Auki
OPPOSITION leader and MP for Aoke LangaLanga constituency Matthew Wale conducted talks at Auki town on government’s proposal to defer next year’s national elections.
The talks were part of the DCGA Government’s move to seek views of their electorates on the proposed extension of the life of parliament from 4-5 years.
Wale shared his views on the proposed extension and implications it would mean on the constitution as a democratic sovereign nation like ours.
Wale urged people to be cautious with the proposal, pointing out whether the move is worthy enough to alter the constitution.
He said with there is a clear indication that there are hidden motives behind DCGA’s intention for the proposed extension of parliament life.
He also pointed out that his office is aware that DCGA has already agreed on the proposed extension of parliament last year.
Wale said DCGA has the number and the current constituency consultation is just to say that they seek peoples’ views and agree on the proposal.
“Whether the electorates agree or not on the proposal, if the MPs say people agree on it, that’s it,” Wale said.
He said MPs have been visiting their constituencies and people across the country seem not in support of the proposal.
“This is because people honor the constitution, stand for proper processes to amend the constitution and even aware of motives behind the proposal.
“But the issue now is whether government will listen to its people or not on this very important matter.”
Wale called on the people to pray and hope that government will listen to their concerns on the issue.
GOVERNMENT says it is concerned about the way the Leader of Opposition carried out his consultation with his people of Aoke-Langalanga constituency – particularly his use of “inciting statements”, which are serious and posing threats to national security.
A statement from the Office of the Prime Minister and Cabinet (OPMC) said the office is in possession of a video clip of Matthew Wale’s consultation at the Auki Market where he made “serious and unwarranted allegations” against the government.
“Wale told people that the government is not to be trusted and it is full of liars and he backed that statement with the formation of OUR party after the National General Election in 2019,” the statement said.
“Wale further told the people that the government is prop up by loggers, miners, and a certain bilateral partner,” it added.
The statement further claimed that Wale even has the courage to call on the people to vote current Malaitan MPs in government out and voted in Ramo’s (warriors) who will form and control a government in power.
“Government is concerned that the Leader of Opposition is encouraging regionalism in politics, a view seldom advanced by educated leaders.
“As national leaders, MPs should be advocating and preaching about national unity, progress and prosperity as reaffirmed by our national anthem.
“To call for a regional grouping to take on the government is unheard of, and not reflecting a true heart of a leader.”
The statement further said it seems Wale is not satisfied with the ruling made by court on the case where he challenged the legality of OUR party.
“To remind Wale since he chooses to be ignorant about it, the case against Our Party was thrown out of the court the judge citing the case ‘as being frivolous and vexatious and an abuse of the Courts power’,” the statement added.
The Office of the Prime Minister and Cabinet stated that Wale’s usual line was that government is backed up by loggers, miners and a certain bilateral partner.
“Those are empty words as he never took up the initiative to prove that allegation in a court of law.
“Wale’s use of the court of public opinion is shameful and does not speak well of him.
“Government calls on the Opposition Leader to consult his people about the proposed delaying of the 2023 National General Election, and government encouraged Wale to refer to the four options meted out by the Governor General during the speech from the throne.
“That is all that Wale should be doing rather than spewing out hateful statements against other national leaders.
“Wale can do better than what he was saying at Auki Market,” the statement concluded.
Electorates casting their votes during the mock voting exercise data collection survey conducted in Auki town yesterday.
BY SAMIE WAIKORI
Auki
ALMOST 99% of electorates in the Aoke-Langalanga constituency have opposed to the Government proposed extension of life of parliament.
This was revealed in a mock election data collection survey carried out in all communities in the constituency.
They survey ended at Dukwasi yesterday.
The exercise was conducted with very fair explanation on the proposal to ensure people vote what they think on the matter rather than assumption.
Leader of the team, Jay Mae said the purpose for the survey is to gather a fair and accurate view from people upon fair presentation given to them on the proposed extension.
And they carried out the exercise upon mandate given to them by MP for Aoke Langalanga, Matthew Wale.
He said the survey begun on 12th June and conducted in a cluster community approach for communities in wards 1 and 30 of the constituency.
Part of the crowd that attended Hon Wale’s constituency consultation talk in Auki yesterday
Mae said prior to the mock election exercise, the team briefed the communities on reasons for the proposed extension and opposition’s views on the matter.
He said this is to ensure people are clear on the proposal and other relevant information before casting their votes.
Mae said four options were given based on what the Governor General has issued on the proposal.
He said they are no extension of parliament, early dissolution of parliament, extension of current government and subsequent government to retain 4 years term and extension of the current government and subsequent government to uphold five years term.
“As we go about the exercise, we cluster communities in ward of Auki town into five clusters and another five clusters in ward 30 of the constituency.
“Voting took place in each of these 10 cluster communities that had participation of their cluster communities within the constituency.
“The survey concluded in Auki town and Dukwasi yesterday and almost 99% of electorates supported the ‘no extension of parliament’,” he said.
Mae thanked communities in Aoke Langalanga constituency and their MP for supporting the survey to fulfill government’s constituency consultation on the proposed extension of parliament.
Chiefs & community leaders during their recent meeting at Riverside village.
Constituency leaders oppose extension of parliament life
By IRWIN ANGIKI
Leaders of Small Malaita have collectively voiced opposition to government’s proposal to extend the life of parliament.
In a meeting with their member of parliament, Rick Hou at Riverside village recently, about 140 chiefs and community elders (men and women) from the three wards of Small Malaita made their decision known.
MP Hou is a member of the Opposition group in parliament.
Small Malaita’s announcement is the latest inclusion to a long list of communities, organisations, churches and prominent individuals disagreeing with government’s proposal.
Early this week, the Tadai and Sahalu houses of chiefs in North West Guadalcanal publicly said ‘No’ to the proposal.
Two weeks ago, the Birau house of chiefs in East Guadalcanal voiced their opposition to the proposal.
The association of churches (SICA) which represents the main Christian denominations in the country, came out early this month blasting the infamous proposal.
The national council of women (SINCW), Transparency Solomon Islands, the parliamentary opposition and independent group, the umbrella body of civil societies – the Development Services Exchange (DSE), and other prominent bodies and individual citizens have come out since April last year disagreeing with this DCGA proposal.
Meanwhile, during the Riverside meeting the leaders of Small Malaita also made resolutions on other national issues; covid-19 regulations and legislation of traditional governance.
1. Deferment of National General Election
In a statement issued after the meeting, the chiefs resolved that they oppose any move to extend the life of Parliament, either temporarily or to a five-year term.
“The SI national constitution is the supreme law and no other laws, including the PG Charter, should be used to tamper with it.”
The statement said that the current Parliament, nor DCGA, has any mandate by the people of SI to change the national constitution in any way.
“The people’s fundamental right is to cast their ballot every four years. The Pacific Games is nothing compared to our rights under the national constitution.”
The chiefs said that Government’s proposal for MPs to conduct consultation with their people on the issue is ill-conceived and is senseless.
“How can MPs carry out any objective consultation?
“MPs either have a bias, if not a conflict of interest, in this matter.”
The statement added that the PM’s reasons for the proposal to extend the life of Parliament – including allowing time for electoral reforms to be addressed and that the registration of voters has to be updated – are all lame excuses.
“It is very disappointing that the Government is not making necessary preparations towards the 2023 national general elections. This is a total disregard of duty to the people of this country as required under the Electoral Act 2018.
“Given the situation, the right thing would be to call for an early dissolution of parliament.
“We call on the Members of Parliament for an early dissolution of Parliament. If done, this would be a great achievement by the DCGA government – that the national general election would be held as well as hold the Pacific Games in 2023. With that option, the national constitution would be preserved, and Solomon Islands would not breach the Pacific Games Charter.”
2. Covid-19
The community leaders discussed the present situation in the country under the State of Public Emergency (SoPE) Act. They noted that the SOPE has been extended several times already.
The statement said that the chiefs are very concerned about the negative impact on the economy from application of COVID protocols under the current SOPE regulations.
“Business and commercial activities in the country have been badly affected, and especially household incomes in the rural areas has declined significantly. Consequently our people are suffering,” they said.
The statement said that this situation has also caused schools to remain closed. “This is affecting the education of our children’s education and future.”
The chiefs said that the recent advice from the Government that schools will open is practically impossible in the rural areas.
“We welcome the Ministry of Education advice for schools to open for classes, but the pre-requisites make this idea impossible, as schools will need substantial funding and major capital works preparations in order to comply with these requirements.”
The chiefs call on the Government not to renew the current state of public emergency when it expires. Instead, the Government should adopt policy actions that recognise the fact that COVID is here to stay so Solomon Islands will have to live with COVID.
“The current COVID protocols and requirements are suppressing business and income, and at the same time these are an enormous cost to families, the government and SI economy as a whole.”
In that line the chiefs call on the government to remove all travel restrictions – especially domestic travel.
Meanwhile the chiefs urge the government to rigorously pursue a nationwide roll-out of vaccination and other personal hygiene practices.
3. Traditional Governance Bill
The statement said that the chiefs are pleased to note the government has finally decided to taking the proposed legislation on Traditional Governance to Parliament.
The chiefs said it is a long-awaited policy to ensure the role of traditional and other community leaders in conflict resolutions and other matters of general order in Solomon Islands.
They said this legislation – when passed – would acknowledge the important traditional chiefs play and give the much needed impetus into the formal legal system.
“We look forward to fully participating in the consultations promised by the government to take place in the Southern Region of Malaita Province.”