Falklands : LEGISLSTIVE COUNCIL 26 SEPTEMBER 2008 Part 1
Submitted by Falkland Islands News Network (Juanita Brock) 29.09.2008 (Article Archived on 13.10.2008)
A meeting of Legislative Council was held in the Court and Council Chamber of the Town Hall at 1030hrs on Friday, 26 September 2008.
LEGISLSTIVE COUNCIL 26 SEPTEMBER 2008
(Part 1)
A meeting of Legislative Council was held in the Court and Council Chamber of the Town Hall at 1030hrs on Friday, 26 September 2008. Present were Councillors Summers (MS), Cockwell (RC), Stevens (RS), Rendell (MR), Robertson (JR) and Birmingham (JB). Also in attendance were the Financial Secretary, Mr Keith Padgett (KP), the Chief Executive Mr. Tim Thorogood (TT), the Acting Attorney General Ms Ros Cheek (ROC), the Clerk of Council, Ms Claudette Anderson-Prior (CAP) and the Acting Speaker, H. E. the Governor Mr Alan Huckle (AH).
The meeting started with prayers by the Reverend Dr Richard Hines from Christ Church Cathedral.
(AH) Just to say I am deeply honoured again to preside over this meeting of Legislative Council. I thought my last occasion would be my first and only occasion but with Luis Clifton being away I am taking the Chair in his stead. So, good morning everybody
CAP: The confirmation of the record of the meetings of Legislative Council held on the 25th of July and the 12th of September 2008. The records of both meetings were confirmed.
Papers to be Laid on the Table by the Honourable the Chief Executive.
Copies of Subsidiary Legislation published in the Falkland Islands Gazette since the last sitting of the Legislative Council and Laid on the Table pursuant to section 34(1) of the Interpretation and General Clauses Ordinance 1977.
- Taxes (Amendment) Ordinance 2008 (Correction) Order 2008;
- Capital Equalisation Fund Order 2008;
- Children and Young Persons (Tobacco) Ordinance (Amendment) Order 2008;
- Fisheries (Conservation and Management) Ordinance (Replacement of Schedule) Order 2008.
TT: Mr Speaker I have the pleasure of laying on the table the papers listed by the clerk.
CAP: Motion No 6/2008 to resolve that the Wearing of Seat Belts (Amendment) Regulations 2008 are approved by the Legislative Council. The Honourable Janet Robertson to move and this Motion and the Honourable Richard Cockwell to second.
The Motion is that THIS House, pursuant to section 36 of the Road Traffic Ordinance (Title 63.1), moves that the making of the Wearing of Seat Belts (Amendment) Regulations 2008 be approved.
JR: Yes. Mr Speaker, Honourable Members, an anomaly has recently been identified in the law seeking to require adults to wear seatbelts The relevant law was amended in May 2006, apparently with the intention of extending the law requiring persons to wear seatbelts beyond the usual application of other road traffic laws.
Unfortunately, errors in drafting the amending law meant that its affect was to remove any obligation on adults to wear seatbelts. That situation was clearly never the policy intention behind the 2006 amendment to the law.
The Wearing of Seatbelts Regulations 2008 has therefore been drafted as a matter of urgency and were made by the Governor yesterday on the 25th of September on the advice of Executive Council.
Those regulations have been published in the Gazette today, 26 September. The Road Traffic Ordinance stipulates that the regulations may not come into operation until they are approved by resolution of Legislative Council. The manner of the amendment of the law in 2006 also had the affect of creating uncertainty in relation to the extent of the requirement to wear seatbelts whilst on the MPA Road. In amending the law to correct the first anomaly, the opportunity has been taken to make certain that the law does require all persons to wear seatbelts on the road between Stanley and MPA. Identification of the anomaly in the law does potentially affect a very small number of past prosecutions for seatbelt offences. Executive Council has therefore invited the Governor to exercise his power to refer these cases to the Supreme Court for review under the Criminal Justice Amendment (Miscarriages of Justice) Ordinance 2006.
RC: Mr Speaker, Honourable Members, on standing to second the Motion perhaps I might take this opportunity to explain to some of the people in the General public who do not believe that it is necessary to wear seatbelts on all occasions. It is my opinion - I think it is the opinion of most people that we need to make sure that people wear seatbelts to prevent serious loss of life and serious injury in the event of an accident in a motor vehicle. And, it’s been demonstrated very clearly that the wearing of seatbelts actually achieves this end.
The reason why I believe – and I think everybody else on Council believes – that we should wear seatbelts on all occasions is that unless one does so – there is always going to be the time that when you wear your seatbelt and when do you not. If everybody gets used to wearing seatbelts all the time, hopefully we will save any further tragic loss of life through motor accidents where people are not wearing seatbelts.
This anomaly has come to our attention and it is necessary to make sure that the legislation achieves what we are trying to aim for. And, so I beg to second the Motion.
AH: Any Member wish to comment?
Members say Aye.
AH: So do pass the Motion.
Question Number 10/08 by The Honourable Mike Summers OBE
Mr Speaker, Honourable Members, would the Hon Mike Rendell please give an update on progress with the procurement and installation of the new camp telephone and broadband service, and advise when it is anticipated that the proposed new C&W users group will first meet?
MR: Mr Speaker, Honourable Members, procurement of equipment for the new telephone and broadband service is proceeding according to plan and on time, except for some of the generators, which have been affected by unforeseen shipping delays. The generators are currently delayed and the latest estimated arrival date is 21st of October after the Elizabeth Boye finishes dry-dock. The shipping company are currently trying to arrange an alternative connection that could mean a small number of the generators may arrive earlier. This may result in a minor delay in connectivity at just one site.
The installation programme is proceeding well and it is anticipated that all Camp subscribers who will be connected to the new system by 27 March 2009 – the planned project completion date.
There have been problems regarding warranties with the wind turbine bases and delays in the arrival of the MSAN Vender engineer. In both cases these problems have been satisfactorily resolved - and, as regards to the later, integration of 100% of the new MSANs should be completed by the end of 2008. And, for those that are not Au-fee with the terminology, MSAN is a multi-service access node and is one of the key hubs situated all the way around the Islands. They are a very important part of the whole network.
Civil works at Bombilla, Channel Hill and Cook Hill were put on hold until the spring due to access and weight restrictions. However, work will start on Channel Hill in the next week. The end date for completion of the new Back-hall Network will now be the end of November. However, this should not affect the over-all end dates.
Fitzroy was connected up to the new system in March and Mullet Creek, Camber House and Stanley Dairy have just been connected, too. Positive feedback has been obtained on our new broadband service. Murrell Farm and Bluff Cove will be connected in the next two weeks. Planned connectivity in the next two months include nine from Fitzroy Ridge and thirty Goose Green subscribers at the end of September or early October. It is also planned that a further twenty-four subscribers at Port Howard, thirty-four at Fox Bay and five from the Mt Kent MSAN ought to be connected before the end of October.
To date, FIG has contributed £1,213,178.00 towards the project cost, which represents eighty-three percent of its total commitment. That excludes the £470,000.00 which FIG is responsible for in relation to roads.
As a general observation, thirty-seven percent of the total project cost is spent on overseas equipment, fourteen percent on third-party professional services and forty-nine percent on Falkland Islands Suppliers.
In regard to the second question, it is anticipated that the new telecommunications user group will meet on the 17th of October.
MS: Mr Speaker I thank the Honourable Member for that answer which, I think, very adequately describes the progress on the project. If you just re-assure us, please, that the additional cost arising from errors in the civil works on the bases and from apparent failures of turbine blades are not to the Government’s cost?
MR: I can confirm that. I don’t think there is any more need to go into any more detail but I confirm that that’s the case.
MS: Thank-you.
Question Number 11/08 by The Honourable Mike Summers OBE
Would the Hon Richard Cockwell please advise the House when the new Port Development Manager will arrive in the Falklands, and what is the expected timeframe for recommendations to the Government on the feasibility and the location of a new port?
RC: Mr Speaker, Honourable members, I am very pleased to reply to this question but as the questioner will already realise that there has been a press release on this issue. However, to just go into detail, following interviews in London on the 17th of July Ken Johnson was appointed to the post of Port Programme Manager. Following contractual discussions and a long, previously planned, period of family leave, it has now been arranged that Mr Johnson will visit the Islands in mid October and start work in November.
One of his first tasks will be to provide an achievable project plan for developing and agreeing the feasibility and location of the new port. Subject to the project plan and given the amount of previous work it should be possible to obtain the final agreement for the port during 2009.
And, Mr Speaker, I have gone on record with my responsibility of this portfolio to make every effort that this will happen during the first quarter of 2009 – at least is as far as that the location of the port – not at all the rest of it. But until we decide on a location it is going to be very difficult to produce a full project plan. And I believe it is necessary for us to actually do so.
MS: Thank-you Honourable Richard Cockwell. May I ask you whether you have any idea at the present time of the amount of additional investigative work that will be necessary to determine the preferred location?
RC: Mr Speaker I personally am not aware of exactly what the requirement will be. There will be further requirements. However, I believe that all the other circumstances involved in the siting of the new port will actually, in the end, give us virtually one option. And I think we just need to work through all the other options. But wherever it’s designed to go – is proposed to go – there is still going to have to be further investigation into certain – into things like water depths – well not water depths but the silt and such like – turbulence caused by the erection of breakwaters and such like, which will have to be developed once the site is actually chosen. But I believe the actual siting of the port, from where I am sitting, appears to be the first decision we are going to make and go further into investigation.
JR: Could the Honourable Member perhaps let us know if he is able whether what the full remit Port Development Officer will be and whether he will fully be able to concentrate solely on the port or there might be other areas that he could look into? I am thinking particularly of jetties, which have been an issue in Stanley Harbour and has been discussed for a number of years with no satisfactory solution arising, whether part of his remit would include this aspect or not?
RC: Mr Speaker, I haven’t actually seen his final remit, however, my opinion is that his main job is to actually decide and project-manage the development of the port. However, hopefully he will have some time to actually spend on the matters that you raised because we do need some expertise – I agree – we do need that expertise. However, I don’t want to see him diverted from his original purpose for employing him to investigate these things and I hope – hopefully – he will have spare time but the major objective is to actually – to mastermind the port development.
JB: Mr Speaker, Honourable members, the first part of my question is I recall the Honourable member is guaranteeing that the – by in large we will have a location organised and is he aware that the new port person would also be looking into the what is known as the dockyard project?
RC: Mr Speaker, I never guaranteed anything. I said it is my wish that we are actually able to do it. My intention is that we should be able to do it. If we can’t do it, the Honourable Member will know from a lot of his own projects you can’t actually dictate when a decision is going to be made because there are other people other than myself involved – or myself and the Port Development Officer - so there are a lot of unknowns in here. And I understand that it has been mentioned that he may look at the dockyard project. However, I think we have to wait until we (he) get(s) here and we mustn’t overload him with all sorts of projects and take his attention away from his main objective.
Question Number 12/08 by The Honourable Mike Summers OBE
MS: Could the Hon John Birmingham please advise how many Government houses are currently not occupied and the average time between tenants in Government houses, and does he have any estimates of how many privately owned properties are currently empty and what incentives might be provided to get these properties into occupation?
JB: Mr Speaker, Honourable Members, Yes, the easy ones first at the moment there are eight vacant properties. I have a substantial answer to this question but I shall shorten it as much as I can.
The average vacancy for contracted properties – that is properties that are let just for contracted staff who are working for the Falkland Islands Government is 57 days. The average for those properties that residents rent out is 5.2 days. Sheltered accommodation – the average there where the properties are vacant is 55 days.
On the subject of private accommodation and are renting, the taxation department advise that on a private property that is being rented out there is a basic rule that any costs incurred wholly or exclusively for the purpose of renting the property – that being repairs, maintenance, mortgage interest, etc – insurances – can be claimed. If the property is built by the owner then rented depreciation can be claimed on the building using a 10% straight line method. However, if the owner bought the property from somebody else then rented it out, depreciation cannot be claimed. This was brought in to encourage people to build houses privately and rent them out. It hasn’t really had the desired effect and is something that is going to be looked at during the tax policy review, which is due to take place very soon.
Legal costs of setting up a lease cannot be claimed as these are classed as Capital Costs and no depreciation can be claimed on those costs. So, they are lost, I’m afraid. There are no taxes charged on property owners who have properties but don’t rent them at present.
Regarding the numbers of private houses that are empty within Stanley I am afraid we don’t have that information.
MS: Mr Speaker, Honourable Members, thank-you Councillor Birmingham for that information. It is unfortunate perhaps that we can’t have an estimate of how many properties are empty in Stanley but I do appreciate your position in not being able to provide that. It’s not something in which you keep a record but I think it is a common observation, not only amongst members of the Government but members of the public that there are a substantial number of privately owned properties around Stanley that are unoccupied, which detract obviously therefore from the amount of occupied of property available as it were. And, it’s unfortunate therefore that these can’t be brought into occupation. I wonder if the Honourable Member would agree that we should be thinking about as many incentives as we can to get all these properties back into occupation to alleviate the housing shortage that does still exist.
JB: Mr Speaker, Honourable Members, I agree.
Question Number 13/08 by the Honourable Janet Robertson
JR: Could the Honourable John Birmingham advise this house if the heat exchange system at the swimming pool and KEMH is operating successfully, and in particular could he specify how the efficiency brought about through the use of wind generated power might be affecting the systems?
JB: Mr Speaker, Honourable members, the heat recovery systems for the swimming pool and the KEMH are completely separate. One system installed in 2006 which recovers heat from the generator engine exhaust gasses and is distributed to the KEMH and the Falkland Islands Community School. This system is not working at the moment due to a defect which has caused problems with the heat exchange units, which is being actively addressed. In fact, there are two engineers here this week looking into ways of rectifying the problem.
The other system installed in 1989 recovers engine jacket water heat and it’s then distributed to the swimming pool.
The addition of phase 1 of the wind farm reduces the amount of heat available from that in recent years but is still more than would have been available in the first 10 years of the system being operational.
During that first decade there would have been no heat available to the pool during the night as demand for electricity meant that changing down to smaller generating sets was possible. Both heat recovery systems are only connected to the four large sets as the smaller ones are being assessed as uneconomic. It is anticipated that there would be a reduction in heat but this is not a real lever – this is not a level lower than was experienced previously. There is a potential for boosting the swimming pool heat from excess wind-power in the future. The swimming pool system has always called for more heat than has been available but the suggestion of an oil-fired booster boiler has previously been rejected on the basis that the swimming pool should only be heated from energy recovered from the Power Station due to the potential for significant increases in operational costs.
Heating utilising electricity generated by the wind farm will comply with this philosophy.
JR: I thank the Honourable Member for his answer but could I just clarify then that as far as the swimming pool is concerned the public should not notice any variation or decrease in the average temperature of the pool as a result of having greater wind generated power?
JB: My understanding is that it is so.
Question Number 14/08 by the Honourable Janet Robertson
JR: Could the Honourable Richard Cockwell inform this house how much a cubic metre of freight costs, including carriage on the Concordia Bay from Stanley, to each of the following destinations: Port Howard, Dunnose Head and Albermarle. Could he also inform us what the cost per head of freighting live cattle to the abattoir from each of these farms would be?
RC: Mr Speaker, Workboat Services Limited is contracted to provide a ferry service between Newhaven and Port Howard using Concordia Bay. The charges made purely relate to passengers and vehicles carried. All freight on this route is transported on private vehicles and FIG down not specify or control the freight charges.
Freight charges between Stanley and anywhere on West Falkland are set by the Private Sector and the Falkland Islands Government has no control on these charges.
JR: Thank-you for that answer but is it not the case that we set the freight charges for containers?
RC: I can only reiterate what I said before is that the freight charges from Stanley and anywhere on West Falkland are set by the private sector. This is other than the cost of crossing the Sound set by the private sector and FIG has no control over these prices. I understand that there is a charge for containers to Fox Bay – offloaded at Fox Bay but that is the only that I am aware of.
JR: And, could you confirm what these charges between (Stanley) and Fox Bay are, please – if you are able to?
RC: I don’t have the figure at hand. I – no – I’m afraid I don’t. I can inform the House later on but at this moment I’d better check that. However, there may be somebody else in this room who does have the figures.
MR: Mr Speaker, Honourable Members, I think I can confirm that the container rate between Stanley and Fox Bay is £350.00 per container.
RC: That was the figure I had but I wasn’t prepared to put my neck out because I would get the Honourable John Birmingham questioning me if I can guarantee it.
Question Number 15/08 by the Honourable John Birmingham
JB: Mr Speaker, Honourable Members, will the Hon Richard Stevens please explain by what process FI students in further and higher education and others on training courses overseas receive their grants and expenses?
RS: Mr Speaker, Honourable Members, further and higher education students receive grant payment in monthly instalments. Payment is made by a cheque which is issued by the Treasury. Payment is made to student bank accounts or directed to the student according to their wishes. Falkland Islands apprentices are paid in exactly the same way as further and higher education students. Private Sector apprentices continue to be paid by their employer whilst overseas – the FIG contribution to wages continuing to be paid to the employer during that time. Overseas apprentices earn a wage from employment in the UK. This is organised by Chichester College.
Authorised additional and required expenses are reimbursed by the Treasury on production of receipt.
JB: Mr Speaker, Honourable Members, I thank the Honourable Member for that answer. I am not quite sure – when you say the students are paid by cheque, is it that the cheque is sent from here by post by airmail?
RS: Mr Speaker, Honourable members, the cheques are sorted from the Education Department on the 1st and 2nd of the month and they are sent to the treasury for payment. As I understand it the payment of those cheques are then sent through the post to the UK.
JB: Mr Speaker, Honourable members, does the Honourable member see any merit in visiting the way that students and others on training are actually paid? To me it seems – you may agree or disagree – that it seems to be a bit of a Victorian way of sending monies 8,000 miles in the year 2008?
RS: Mr Speaker, Honourable Members, I disagree – I think it is probably medieval and that we should look at ways of trying to get over some of the problems that sending a cheque through the post brings to students. But it’s not quite as easy as one would expect. Many of the payments are different. A number of expenses are also not the same so it would be quite complex unless we can somehow round up the figures and make them not so variable. But I agree that many of the issues like a delay in the air-bridge or a problem in the British Post Office or even our own does bring issues to our students who have to pay their bills on a regular basis. So, we are in fact, or have been, looking at ways of doing electronic transfer. But again, there are costs and there are issues that at the moment aren’t easily resolved. But we are currently working – at looking and seeing if in the future that we can bring these payments to a modern conclusion.
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