Ramallah (Ma’an) – PA spokesperson, Dr. Ghassan al-Khatib, announced that the government intends to continue to carry out a series of procedures that aim at reducing public spending, which in turn will reduce dependence on foreign aid. However, he said that the government has not yet finalized these procedures.
Dr. Khatib told Ma’an correspondent in Ramallah that reducing dependence on foreign aid does not solely depend on reducing government spending. It would have to be accompanied by increasing revenues through an increase in investment, development of the Palestinian national economy, as well as an increase in the national income hence an increase in taxes.
At the level of reducing government spending, Dr. Khatib indicated that the government took several steps to control what is known as “ghost civil service employees” (i.e., individuals who receive salaries without being on duty); this is only one of many issues that need to be addressed, he added.
He also pointed out that the decision to withdraw government vehicles and limit their use during working hours was one of a series of procedures that aimed at reducing expenditures and putting an end to squandering of public funds. He said that “it is difficult to discuss these procedures at the present time since they have not been finalized as of now”.
Dr. Khatib was in agreement with the decision to withdraw government vehicles despite complaints from unreliable individuals who attempted to spread rumors and incorrect information In order to oppose the implementation of the decision. He was pleased that the public reaction was quite positive towards the decision.
Legislative member, Dr. Hassan Khreisha, applauded the PNA’s decision to withdraw government vehicles and hoped that this will set precedence (policy and procedure) to future decisions regarding protection of public funds.
Khreisha further expressed that there are several additional issues, which require investigation such as the large amount of fuel used at government’s expense, in addition to other unnecessary expenses related to government vehicles including having access to several vehicles from several Palestinian official institutions.
For example, "I know several officials who have several vehicles - a government car, another from the PLO, and a third of their own,”.
Khreisha also emphasized the importance of retrieving government vehicles that were shipped to neighboring countries and which retain a Palestinian license plate.
Moreover, ”We hope that actual steps ate taken,” stressing the need to act on ending renting headquarters for ministries and other institutions, apartments for civil servants,” ghost employees”, unchecked distribution of fuel vouchers for government officials, and excess and or luxurious furniture of ministry offices. He stressed that these issue should be examined closely in order to curb public spending - something that the public have been awaiting for years.
In relation to this, a high-level EU official said that the EU was attentively following the policy adopted by Prime Minister Fayyad to reduce dependence on external aid. He stressed that the success of the PA and the government in this regard represents a positive indicator that deserves the support and encouragement of the EU.
The official applauded Fayyad’s plans, policies and positions in this regard saying they indicate a clear vision for the future of Palestine as it relates to Palestinians depending on themselves in running their own institutions hence becoming better prepared for their future Palestinian state. The official stressed that the EU will continue its support of the PA until a Palestinian state is established.
Dr. Salam Fayyad has repeatedly sought to stress the importance of continuing efforts to reduce dependence on foreign aid adding that the government has in fact succeeded in reducing this dependence by 54 percent in 2009, and by 65 percent in 2010. Fayyad said this plan for reducing dependence of foreign aid would be incorporated in the 2011 budget.
Fayyad’s vision is in harmony with his statement given on August 30 of this year of the government’s plan for next year to launch a program called “A date with “Liberty”. The plan, which is already in its second year, specifies the mechanisms that the government will adopt to resume its institution building. The plan calls for 4 essential aspects of action. 1st - enhancing performance of government sector employees through a series of reform measures that include combating corruption and joining anti-corruption international agreements. 2nd - holding government officials accountable within a transparent and professional framework. 3rd - enhancing communication channels between the government and the public through mass media and opinion polls to measure the extent of the public’s satisfaction with the government performance for the purpose of reform.
The fourth aspect in the government’s plan aims at empowering the public sector as a means to develop the national economy, which will eventually lead to an end to dependence on foreign aid. The government is expecting a reduction in the current budget deficit of up to 13 percent of the 2011 gross domestic product in comparison with 18 percent for 2010 and 22 percent for 2009. Dependence on external foreign aid earmarked for government running expenditure will be reduced to 1.0 billion in 2011 from 1.8 billion USD in 2008.
Among the practical steps taken by the Prime Minister in this regard is the cabinet’s decision to withdraw all government vehicles from civil servants. The decision restricted the use of withdrawn vehicles to field movement as approved by the official in charge and in coordination with the director of administrative affairs. The director would specify the practical need for the mentioned vehicles and the departments in charge. The Ministry of Transport and Communications will collect all extra vehicles and distribute them to other departments requiring vehicles or sell them at public auctions.
Moreover, the decision clearly indicates that the government will not issue fuel vouchers for government vehicles and will not cover insurance premiums, licensing fees and maintenance costs except for those vehicles specified in the decision.
The third clause stipulates that no future funding agreements or project implementation will include supplying government departments with vehicles, or buying any vehicles using project funds without the prior written approval of the Minister of Finance and that of the Minister of Transport and Communications.
The seventh clause of the decision, it stipulates that the Police Department will confiscate any government vehicle that violates this decision and will inform the government department in question of the violation in order that the appropriate punitive measures are taken against the perpetrator according to the law. The police should also inform the general administration of government transportation in the Ministry of Transport and Communications so that the Ministry can take the proper action.
The cabinet’s decision caused a lot of anger and complaint by civil servants, particularly leaders of the Union of Civil Servants. He attacked the decision and refused to abide by it, arguing that it violated the rights of civil servants. On the other hand, the decision has invited positive reactions from the public and institutions, which advocate accountability, transparency and rationalizing public spending.
The Coalition for Integrity and Accountability “AMAN” has expressed its great relief at the government’s decision to withdraw 6,200 vehicles from high-level civil service employees below the ranks of minister or undersecretary and to restrict their use to official business only. This means putting an end to the use of government vehicles for private purposes and to the notion that these vehicles are private property. The decision aims at saving the PA treasury millions of shekels that are spent monthly on fuel, maintenance, insurance, and licensing. This expenditure amounted to 90 million shekels in 2009.
AMAN Coalition suggested that the money saved could be better used to contribute to the provision of quality education and health services or to the economic and social empowerment of the Palestinian people in its struggle to liberate itself from the Israeli occupation.
AMAN called on Prime Minister Salam Fayyad to address this phenomenon as it has exhausted the general budget greatly in addition to giving a bad impression of government officials in charge of the public money.
AMAN also stressed that this new direction has led to the success of the campaign led by AMAN in support of the initiative of the Ministry of Transport and Communications to supervise the use of government vehicles. During this awareness-raising campaign, which lasted for several months, AMAN exerted its best efforts and capacities to make the government’s move successful. It provided its hotline for the Advocacy and Legal Advice Centre-ALAC to receive information from citizens of government vehicles violating the government’s decision. It also held several symposia and field meetings and utilized TV and radio spots in local stations, newspaper advertisements as well as billboards to urge citizens to report government vehicles that are in violation of the PA decision.
AMAN Coalition said, while it greatly values the government’s reform measures, it calls on the government to take further decisions on the following: pass immediate regulations to supervise the payroll bill by stopping new job assignments, exceptional promotions, put an end to the so-called “ghost” or “fake” civil servants employees.
During its annual convention last April, AMAN disclosed the existence of 15,000 ghost civil servants who are on the PA payroll costing the national treasury tens of millions of shekels every year.
The Coalition stressed its intention to continue its activities and pressure methods in cooperation with all relevant parties, especially the Ministry of Transport and Communications, in order to abide by the enforcement of the government’s decision with full equality and justice and absence of any preferential treatment. The Coalition indicated that the success of initiatives for reform and combating corruption requires the combined efforts of all authorities, government and civil society institutions and mass media, together with the cooperation of all citizens who care about national interests.
AMAN Coalition had previously raised the issue of civil servants who use government vehicles and at the same time receive a travel allowance – a further waste of public money. AMAN called on the Prime Minister to deal with this violation of the law and to put an end to the use of government vehicles for personal purposes while getting travel allowances at the same time hence placing a great burden on the general budget and undermining the administrative and financial reform efforts exerted by the PNA.
AMAN Coalition indicated that it had received several complaints about this phenomenon mentioned above involving high-level officials working in public institutions. In its letter to the Prime Minister, the Coalition stressed that this behavior was a breach of the law, according to clause 4 of the Cabinet decision #160 for 2006. The clause stipulates, “a civil servant who is granted a regular travel allowance shall not be allowed to use a government vehicle to commute from his residence to his work. Should this law be violated by a civil servant, he/she shall be required to pay back all amounts that he/she has received illegally in addition to being subject to disciplinary accountability.”
AMAN Coalition called on the Cabinet to issue orders to all relevant parties to follow up on this issue immediately in order to hold those who violate accountable including paying back has any amount received illegally from the public treasury in compliance with the cabinet’s decision.
As mentioned above, the Coalition had launched a campaign to support the efforts of the Ministry of Transport and Communications in an attempt to control the use of government vehicles. The campaign has received the support and cooperation of citizens, who continue to report complaints to AMAN regarding government vehicles that are violating the decision.