The unavailability of human resources is seen as the main factor in the National Drainage and Irrigation Authority (NDIA) not being able to manage its finances independent of the Ministry of Agriculture.
The issue was discussed yesterday at Parliament when Permanent Secretary of the Ministry of Agriculture Dindial Permaul and a team from the agency appeared before the Public Accounts Committee (PAC) of the National Assembly as the 2007 report of the Auditor General was perused.
GAP/ROAR parliamentarian David Patterson stated that three years have passed since the issue had been highlighted and according to him nothing has been done to date. He questioned what was preventing the NDIA, “from putting in place a system so they can be financially accountable as a separate
entity”.
Permaul stated that the NDIA has a financial department, which has a functioning accounts staff and according to him the relevant persons there are part of a structure which ensures that taxpayers’ money is accounted for. He said that governance structure of the entity dictates how the entity is run and elaborated that the NDIA has a board of directors, which is chaired by government engineer Walter Willis. According to him the board is answerable to the subject minister.
PPP parliamentarian Bibi Shadick stated that at board meetings, the issue should have been discussed and given priority. She stated that in solving the ongoing “unlawful” situation, it may give some measure of comfort. The permanent secretary stated that the issue had been communicated at the board level and monthly meetings, as Auditor General Deodat Sharma noted that the situation continues to be in contravention of the Financial Act.
The issue was highlighted in the AG report of recent years, including the 2008 report where it was noted that the amounts totalling $975.984 million were expended on provisions to the agency by the Agriculture Ministry, with a total of $502.482 million being utilized from the overall total. In the recently released 2008 report, the Audit Office recommended that the Agriculture Ministry take appropriate action to hand over all subventions to the NDIA so that the entity could, “properly assume its responsibility as enshrined under its governing legislation”.
The report stated that the NDIA is a separate and legal entity and is required by law to maintain its own accounting records and is subject to separate reporting and audit.
The 2008 report also noted that the NDIA should have been in receipt of subventions appropriated by Parliament, adding that the ongoing situation has resulted in a failure to have related financial statements prepared and submitted for audit. The NDIA in response stated that it is currently building its capacity and as soon as the body is capable, steps would be taken to maintain separate accounting records, reporting systems and procedures in keeping with appropriate legislation.