DPM HON. BIMAN PRASAD'S PARLIAMENTARY STATEMENT ON THE AUDIT BILL 2024

MOTION
Mr Speaker, pursuant to Standing Order 85, I move that the Audit Bill 2024 be read a second time.

BACKGROUND
The establishment and functions of the Office of the Auditor- General (OAG) is legally mandated under section 151 and section 152 of the 2013 Constitution of the Republic of Fiji (Constitution).
 
The Audit Act 1969 provides the legal framework for the duties and powers of the Auditor-General. The principal objective of the Act is to provide for the salary, duties and powers of the Auditor- General, the auditing of public accounts and for other purposes connected therewith.

Pursuant to Legal Notice No. 3 of 2023 dated 5 January 2023, the Act is one of the written laws that is assigned under the responsibility of the Deputy Prime Minister and Minister for Finance and Strategic Planning, National Development and Statistics.
 
REVIEW OF THE AUDIT ACT 1969
The Ministry through the OAG undertook a comprehensive review of the Act with the focus to amend the Act to modernise it so that it is able to carry out its functions in line with international standards and best practices.
 
Given that the Act was last revised in 2006, it does not capture the developments in public sector auditing practices and standards.
 
The main objectives for the review were:
i. To strengthen the independence of the OAG, consistent with the independence granted by the Constitution;
 
ii. To clarify the public auditing mandate, and include specific mandate to carry out compliance, IT and environmental auditing;

iii. To ensure that all audits are conducted in accordance with applicable international standards on auditing namely the International Standards on Auditing and the International Standards for Supreme Audit Institutions (ISSAIs);
 
iv. To protect the delivery of roles and responsibilities by the Auditor-General and officers of the OAG from a personal, institutional perspective and how audit findings are reported;
 
v. To recognise the OAG, its budget, staffing and revenue streams, consistent with the 2013 Constitution;
 
vi. To provide for the review of audits for entities that are not subject to audit by the Auditor-General in accordance with the 2013 Constitution; and
 
vii. To enhance the powers of the Auditor-General to access data, including data held in electronic form.
 
AUDIT BILL 2024
The consultation process as facilitated by the Ministry of Finance and Strategic Planning, National Development and Statistics with the Office of the Auditor General and Office of the Solicitor- General commenced in June 2023.

The OAG conducted an extensive consultation and received technical assistance from the Pacific Association of Supreme Audit Institutions (PASAI) for which the outcome is presented before the house today.
 
A call for written submission was published on OAG’s website on 14 July 2023 and in the daily newspapers on 15 July 2023.
 
Direct invitations to attend the consultation meeting were issued to 49 key stakeholders. A total of 36 responded to the invitations through written or oral submissions. Consultation meetings were held in Suva and in the Western Division from 24 July 2023 to 15 August 2023.
 
While there was generally overwhelming support to the amendments proposed, stakeholders consulted sought clarifications on specific matters relating to different sections of the existing legislation and the proposed new sections.
 
RECENT DEVELOPMENT IN THE OAG
On 10 May 2024, His Excellency, the President, on the recommendation of the Constitutional Offices Commission appointed Ms. Finau Seru Nagera as the new Auditor General of Fiji.

Mr Speaker, I therefore urge all members to support the motion before this august house.