Ramallah – The Coalition for Accountability and Integrity (AMAN) has recently published a diagnostic study, entitled "The Reality of Non-ministerial Public Institutions". The release comes in the context of AMAN’s contribution to efforts made to streamline the structure of the Executive branch of government, develop and improve management of public institutions, and present practical recommendations to relevant decision makers.
The study is set to strengthen the Executive’s structure, role, and priorities at this stage. It is in line with the Council of Ministers’ decision, dated 15 June 2020, on the establishment of a committee to govern and regularise non-ministerial government bodies. In support of the Palestinian government efforts, the study also seeks to help rationalise public expenditure and reduce public budget deficit.
AMAN’s study recommends the need to enact a Palestinian law to restructure public institutions in Palestine. The law will provide for those institution that need to be eliminated. For example, a decision should be issued to abolish the National House of Books, founded under the Decision No. 4 of 1997, after a presidential decree was promulgated on establishment of the National Library. In view of lacking mandates and compelling requirements, the Commission for Community-Based Organisation Affairs will be discarded. Also to be dismissed are the Palestinian Airlines, Compensation Fund for Eliminating Consequences of the Israeli Aggression, Economic Consumer Institution for the Public Security and Police Forces, and Higher Commission for Tribal Affairs in the Northern Governorates. On the other hand, some public institutions need to be merged with line ministries with the most similar functions, so that they become part of the organisational structures of these ministries. This is the case, for instance, of the General Authority of Cooperation, which was originally a component of the Ministry of Labour. The Gaza Museum of Archaeology will be placed under the supervision of the Directorate General of Museums at the Ministry of Tourism and Antiquities (MoTA). The Achievement and Excellence Fund will be assimilated into at the Ministry of Education. The Palestine Medical Complex will be assimilated into the Ministry of Health (MoH) and report to the MoH Directorate General of Hospitals. The legislative framework for the Khaled Hasan Hospital for Cancer Treatment and Bone Marrow Transplantation will be amended so that the centre serves as a specialised hospital and reports to the MoH. The MoH National Institute of Public Health will come aboard the MoH. The Ports Authority, Civil Aviation Authority, Higher Traffic Council will be integrated into the Ministry of Transportation. While the Palestinian Agency for International Cooperation should be within the Ministry of Foreign Affairs, the Palestine Academy for Science and Technology should be incorporated into the Ministry of Higher Education and Scientific Research. The Gender Policy Institute will be included as an advisory board to the Ministry of Women’s Affairs. Additionally, certain public institutions need to be merged with others of similar mandates, including the Land and Water Settlement Authority with the Palestinian Land Authority. To be managed by a public-private higher investment council, the Palestinian Investment Promotion Agency will be assimilated into the Palestinian Industrial Estate and Free Zone Authority. The Employment and Social Protection Fund and Palestinian Agricultural Credit Institution will both be combined with the Palestinian National Economic Empowerment Institution. Mergers will bring the Palestine Public Finance Institute together with the National School of Administration; the Centre for Cultural Heritage Preservation with the MoTA; and the Palestinian Fatwa Institution with the Chief Justice Office. While new public institutions can be created, the legal position of existing public institutions should be regularised, ensuring that relevant reporting relationships are consistent with the provisions of the Basic Law. A time frame will be in place to bring about this regularisation.
According to the study, in spite of unclear legal or institutional roles, a number of Palestinian public institutions cost the Public Treasury significant budget allocations. All the more so, more than one institution operate in the same area, competing over tasks and powers in view of vague reporting lines or supervision and oversight bodies. This constitutes a waste of resources and public finances, renders the public sector ineffective, and adversely reflects on public service provision.
AMAN’s study covers all 67 non-ministerial government bodies, created since the Palestinian National Authority was established until 2019 in accordance with Article 69(9) of the Basic Law. The study provides a review of general problems facing these public institutions. Among other things, a clearly defined legal framework for a number of government bodies is lacking. The bodies also need a proper understanding of the concept of financial and administrative independence. The latter can be relative.
The study monitors another challenge, namely, an excessive approach to establishing non-ministerial government bodies. Many public institutions are not needed. Their mandates could have been fulfilled by existing line ministries or other public institutions. Membership on public institution boards is also affected by mediocre expertise and specialisations. Staff members and heads of these agencies enjoy immense high benefits.
The study comes up with several recommendations with a view to reforming the current context of public institutions. First and foremost, the Council of Ministers should pass a decision, providing for the establishment of a higher national committee to restructure non-ministerial government bodies. In addition to experts, the committee will bring together representatives of the General Secretariat of the Council of Ministers, President’s Office, Ministry of Finance, General Personnel Council, State Audit and Administrative Control Bureau, Anti-Corruption Commission, and relevant civil society organisations. It will develop a guidance manual on the restructuring of non-ministerial government bodies, providing major components that set up a general framework for the restructuring process. A concept paper will clearly define a public institution, financial and administrative independence, and cases where a public institution is used to manage a public facility. The paper will also spell out the meaning of elimination, assimilation, or merger, together with relevant legal, financial and administrative consequences.
In line with the prospective guidance manual, the committee will develop a report on the current context of independent institutions and bodies. It will outline mechanisms to restructure human resources at these institutions. Restructure will lead to financially and administratively independent regulatory units, which can continue to carry out their functions without government financial support. These units will also be empowered to implement their decisions within regulated markets and sectors
The study is available in Arabic at: https://www.aman-palestine.org/reports-and-studies/13192.html
