Govt shifts power to LLGs and districts

THE government has initiated a shift in power from Waigani to the provinces, districts and local level governments (LLGs) to empower people for inclusive and sustainable growth.
In yesterday’s 2013 Budget, the government announced a series of commitments such as various support grant agreements and commitments under the umbrella benefit-sharing agreements (UBSA).
The government had earlier indicated a major focus on the rural population and backed that up yesterday with an 87% increase to nearly K3.6 billion to sub-national levels of government.
The flow of direct funding under these agreements was estimated at K1.9 billion in 2012.
The O’Neill government had transferred K1.492 billion in direct funding to the provinces, districts and LLGs.
From 2013 onwards, each district would receive K10 million each year (totalling K890 million per year).
Provinces will receive K5 million per district (totalling K445 million per year), in addition to the existing functional grants.
LLGs will receive K0.5 million each (totalling K157 million per year).