2 April 2009, Honiara, Solomon Islands with Parliamentary Secretary for International Development Assistance, Bob McMullan
Joint Press Conference, Honiara, Solomon Islands
Subjects: PACER Plus trade agreement, Solomon Islands’ Truth and Reconciliation Commission
Simon Crean: Well, thank you for coming and we’ve just finished a meeting with Sam and Joy and we have an announcement to make in terms of the Truth and Reconciliation Commission, in a moment but if I could just give context to the reason that Bob and I are here. We’ve just come from Vanuatu, we’re now visiting the Solomons, from here we go to Tonga and then to Samoa.
The purpose of this visit is to talk to governments about the way forward in terms of advancing Pacer Plus negotiations. The reason that both Bob and I are here is because we have a commitment from the Australian perspective to put substance into the “plus” associated with PACER Plus.
We do believe that trade liberalisation is an important vehicle for economic sustainability going forward but trade liberalisation on its own is not enough unless there’s an ability for countries to build a capacity to take advantage of that trade liberalisation they’re not going to maximize the benefit to them.
And so very much our exercise has been to talk with governments about what more we can do on that capacity building front. Now with the Solomons we start with a very solid basis of cooperation and commitment to shared values - you are aware, of course, of our commitment through the RAMSI framework for addressing issues of governance and economic management, law and justice.
You’ll also be aware of the partnership framework that has been entered between Prime Minister, Kevin Rudd and Prime Minister Sikua, this to is the basis of addressing important infrastructure and skill formation issues going forward.
We are finding that there is some misunderstanding as to what is intended by PACER Plus and part of the exercise is to address those misconceptions but clearly we have a responsibility to discharge here.
PACER Plus was triggered as a consequence of an agreement entered into by all Forum Island countries, a trigger that occurred once they concluded an economic agreement with the European Commission. And secondly the Leaders of the Pacific Island countries directed Trade Ministers last August in Niue, at the Pacific Island Forum Leaders Meeting, to present to the upcoming meeting in August a roadmap for advancing the Pacer Plus negotiations.
So we’ve been engaged in discussions along that path, we think that there are mutually beneficial outcomes from the PACER Plus agreement if we can get the equation right, in term of the “plus” and it’s our intention to not only understand those issues a lot better but to work with the Island nations to achieve that outcome.
We’ve met with the Prime Minister today, we’ve met with the Minister for Foreign Affairs, and they’ve been very constructive meetings. I think from those meetings both sides have got a much better understanding of each other’s position and we are of the view that from that better understanding we can work forward in a sensible way.
Now as to the announcement today, we have just recently concluded the meeting with Sam. Obviously an important part of the government agenda in dealing with the consequences of the tensions in the Solomons of past years, has been the determination to address this in a cohesive way, in an inclusive way with the community. They’ve established the Ministry which Sam now heads, but they have also committed to the establishment of a Truth and Reconciliation Commission. Obviously Commissions need support, they need funding and I’m very pleased to be able to say because of discussions that we’ve had over a couple of months now, about the functions and the importance of this to reconciliation in the Solomon Islands, Australia is able to announce financial contribution to the Commission of half a million Australian dollars (in exchange rate terms, two and a half Solomon Island dollars).
We see this initiative as being an important part of what we’ve also been very supportive of as part of the rebuilding the country through the RAMSI framework, the importance of the nation itself understanding the causes of the conflict and seeking through better understanding, better dialogue to address and avoid it, avoid ongoing conflict going forward. So we are here to announce that, Sam congratulations. You’ve got a very difficult task on your hands I must say, but we wish you well with it and we are delighted to be able to support it.
Bob McMullan: Let me just add two sentences, because essentially why I’m here is to ensure that in this process of discussion around opening up markets for trade, that we help countries in the region to develop the ability to take advantage of those opportunities, to develop their businesses and their industries that can successfully take advantage of any opportunities that trade liberalization creates. So I’m delighted to be associated with it and to be part of this announcement about the Truth and Reconciliation Commission. It’s very exciting, but that’s not my primary purpose, my primary purpose is the other one, but I’m delighted to be associated with it and to support what the TRC proposes. Thank you.
Sam Iduri: Hon Simon Crean, Minister for Trade, of the Government of Australia; Hon Bob McMullan, for International Development Assistance, and your delegations; Australian High Commissioner to Solomon Islands, His Excellency Mr Peter Hooton; Australian Government officials of the Australian High Commission, Honiara.
I am pleased to be part of this media conference and also thank you for the very cordial discussions we have had on important bilateral issues between our respective governments and peoples of our two countries.
I realise that both distinguished leaders Hon Simon Crean and Bob McMullan are on a regional tour covering Vanuatu, Samoa, Tonga and New Zealand. And while here in Honiara, discussions have been held with appropriate Ministers and Ministries of Government, in the area of trade, in particular on the matter of a free trade agreement within the region.
Sir, in addition to the above areas, as the Minister for National Unity, Reconciliation and Peace on behalf of the Solomon Islands Government, I say thank you, for the announcement of the package of assistance from the Government of Australia that would go towards the work of the Truth and Reconciliation Commission (TRC) for Solomon Islands.
This package totals $A500 000. Sir, it is a significant level of assistance towards the TRC for Solomon Islands. The Solomon Islands Government acknowledges the assistance as it reflects the shared belief and trust of the Government of Australia in the peace building programs through reconciliation in Solomon Islands.
The CNURA Government prioritises reconciliation and rehabilitation as its overarching priority policy that covers all sectors. Because the Government sees the rebuilding of human and social relationships between peoples of our islands as also fundamental to sustained development, peace and harmony in Solomon Islands.
The establishment of the TRC is an important mechanism that could support other governments’ efforts; that is through restorative justice activities; in promoting sustainable peace and national unity. Hence, the principal objective of the TRC is to promote national unity and reconciliation.
The TRC is an important goal that successive governments have prioritized over the last 8 years or so, and have made careful consideration. From day one, it is a TRC that people have called for through our civil society and churches; and have also participated in its formulation and establishment. National ownership of the processes, we realise, is key to the success of the TRC.
The Government is well aware of the challenges that come with the TRC process, but having considered all related issues and in particular the Solomon Islands’ contextual issues, the Government took a deliberate decision to take the necessary legal instrument to Parliament last year, and the TRC Act 2008 received bipartisan support in Parliament.
This assistance from the Government of Australia will further add to other donors like the EU, UNDP and New Zealand Government who are also assisting Solomon Islands under an International Support Facility Program.
With both the financial and technical assistance support, and knowing our friends are with us, this further strengthens our confidence in the credibility and integrity of our TRC process. We know that it is in line with international human rights standards and best practices. While at the same time, we must ensure that the TRC is also relevant to our own specific conflict and post conflict contextual issues.
Since September 2008, with the assistance of our donor friends, we have made much progress in the operations of the TRC in that I had invoked the necessary provisions in the Act to appoint important groups to implement the TRC Act 2008 including the National Selection Committee. The Selection Committee has already called for nominations for the three National Commissioners.
While at the same time the process provided for under the Act has also been put into place to get nominations for the positions of two National Commissioners. With the TRC office already being established since the beginning of the year, the Government is confident that the TRC Commissioners should come on board by the beginning of June 2009 as scheduled.
In terms of finance, the Government has also played its part by taking the lead in committing its own contribution of $US1 million towards the cost of setting up and getting the TRC up and running.
Finally, Hon Minister convey our sincere gratitude to your government for its support and I can assure you that this will further strengthen the already strong relations between Australia and Solomon Islands.
With that, Honourable Minister, thank you very much for your time with us.
Questions
One News [TV], Koroi Hawkins: Some regional NGOs have accused Australia and New Zealand of heavy-handedness in pushing PACER Plus. What would you have to say to this?
Simon Crean: I don’t accept that. We’ve been very open about the opportunities that are presented here, but we can’t force this on anyone. In a sense the trading relationship between us and the region is in our favour, but it’s not huge. Our future isn’t dependent on trading here, but the stability of the region is dependent on developing an economic sustainability. We can only do that in partnership. We’ve talked here of manifestations of that partnership, but to us it makes sense to broaden it.
Koroi Hawkins: Some economists are of the view that for small Island States to actually give up this little, little income that they get out of duties and such although they seem small would really kill the economics in the sense that would the governments of Australia and New Zealand be increasing aid or some other forms of compensate the revenue loss that the governments of some small islands will incur.
Simon Crean: The most effective mechanism for compensation is economic growth which broadens and deepens the revenue raising capacity of a nation simply by growth - more corporate profits, more returns, more people in work - these are what are referred to as the growth dividend.
Australia itself had to give up significant revenue from tariffs in the eighties but we know as a relatively small nation in the world, we can’t just produce for ourselves and trade with ourselves. We’ve got to trade with the rest of the world and for that you have to undertake the structural reforms internally.
What we want to do is assist the island nations within the region undertake those structural reforms in a meaningful and lasting way.
The other point that I think is important is there are other ways to secure the revenue base through duty collection. There are other methods for governments to take that are consistent with the WTO that can plug some of the holes in a number of areas. And the other thing that I think is interesting is that the revenue collections in Solomons have already gone up quite significantly over recent years because of the capacity building and transfer that we’ve been able to develop through RAMSI in better accountability, in better anti-avoidance mechanism and the like. So there’s a suite of measures that can address those concerns that I’ve seen referred to.
Solomon Islands Broadcasting Cooperation [radio], Charles Stennet: Were you able to sort of see your [inaudible] the Solomon Islands discussion on PACER Plus [inaudible] we discussion with the Prime Minister.
Simon Crean: Yes there were very good discussions with the Prime Minister and with the Foreign Minister. Obviously the Cabinet needs to make its decision before it proceeds to the Leaders’ meeting and there will be a meeting of Trade Ministers before that. But I can say that both the Prime Minister and the Foreign Minister have committed themselves to going forward in the PACER Plus negotiations and they want to play a constructive role. A number of issues have been identified and we are better informed as a result. We both understand each other better, that’s why it’s important to have the face to face exchanges, and I think we’ve made some good progress as a result of today’s discussions.
Island Sun [Newpaper], Richard Toke: Q: What is Australia’s condition to [inaudible] Australian dollars given to the Truth and Reconciliation Commission?
Simon Crean: What is the Australian?
Richard Toke: Condition for the money?
Simon Crean: Condition?
Richard Toke: Yes?
Simon Crean: No condition. It’s a response to support what the government has determined as an important part of the healing and building process for the nation and again I think it’s a very good example of us not only not imposing any conditioning but responding constructively to requests for assistances where the decisions that have been taken are committed to the rebuilding exercise. So it’s being supportive of the constructive agenda by the Solomons.
Koroi Hawkins: So Minister from seleni wea bae iufala tekem ia iufala bae plan fo expandim TRC or just for supportem wanem iufala garem finis?
Translation: So Minister with the money that you will be getting will you be planning to expand TRC or just support what already have?
Sam Iduri: Yes, we have an Action Plan in place so we will use the money to the run the program of the TRC.
Koroi Hawkins: Fo karem plan blo
Translation: To carry out the plan of…
Sam Iduri: Yes, yeah.
[ENDS]
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