The Auditor-General’s 2024 report has again raised concerns about the Fiji Meteorological Services (Meteorological Office) not collecting money owed by the Civil Aviation Authority of Fiji (CAAF) and Airports Fiji Limited (AFL). The debt totals about 1.89 million and traces back to a 2005 Cabinet decision that aimed to have CAAF and AFL reimburse the Meteorological Office for half of aviation-related meteorological costs, a backdated arrangement spanning from July 1, 1978. The plan also envisioned a cost-structure review funded by the Meteorological Office and a formal weather-services contract between the Meteorological Office and AFL, effective from January 1, 2006. The audit finds that compliance has been inconsistent.

Key details from the report show that AFL’s payments were initially 50 percent of total expenditure rather than the aviation-specific costs, and from 2008 AFL shifted to a fixed monthly payment of $50,000 while awaiting an independent study to determine the accurate aviation-related costs. The Meteorological Office is criticized for not performing the required cost-structure review or entering into a contract with AFL, and for failing to collect the $1.89 million owed by CAAF as of July 31, 2024, as well as for ceasing to bill AFL entirely since 2008. The Auditor-General’s recommendations call for prioritizing the cost-structure review and working to resolve disputes with AFL and CAAF.

In response, the ministry notes progress on a cost-recovery framework. A World Meteorological Organization-appointed consultant began guiding the review and the framework development in December 2023. The consultant has since returned to South Africa and submitted a draft report, which the ministry is refining. The recommendations are awaiting agreement from the director of Meteorology, the CEO of the Aviation Authority, and the CEO of Fiji Airports Ltd. Once those parties sign off, the cost-recovery framework will form the basis for a formal agreement, followed by a Cabinet Paper through standard channels. The ministry expects to complete the process in the 2024/2025 financial year.

Context from recent governance and aviation reporting adds nuance to the issue. The 2023 audit cycle highlighted similar shortcomings at the Meteorological Office, including the ongoing revenue shortfall and the need for a clear cost-recovery framework. The situation is set against a backdrop of ongoing financial and governance reform efforts in Fiji, with public officials stressing transparency, accountability, and better management of infrastructure-related finances as essential for sustaining aviation safety and other critical services. Notably, CAAF itself faced financial pressures in 2023, reporting a pre-tax loss that year, underscoring the broader need for clarity over funding arrangements within Fiji’s aviation sector.

What this means going forward
– A formal, transparent cost-recovery framework could finally align payments with the actual costs of aviation meteorological services, restoring funding streams that were intended by the 2005 Cabinet decision.
– Finalizing an agreement among the Meteorological Office, AFL, and CAAF—and obtaining cabinet approval—would enable standardized invoicing and timely revenue collection.
– The effort aligns with wider government push toward stronger governance and accountability in public finances, with continued emphasis on improving infrastructure and public services through better budgeting and oversight.

Summary
The 2024 Auditor-General findings reaffirm long-standing arrears and governance gaps in how meteorological aviation services are funded in Fiji. While arrears of about $1.89 million remain, progress is underway toward a formal cost-recovery framework guided by a World Meteorological Organization consultant. Agreement among key agencies and cabinet endorsement are still required, with a target completion in the 2024/2025 financial year. If successful, the reforms could enhance financial clarity, strengthen aviation safety funding, and support more accountable public-sector spending.

Additional notes for editors
– Consider highlighting the potential impact on aviation users if cost-recovery reforms succeed, including any implications for ticketing fees or service pricing, once the framework is signed.
– You may want to provide a brief explainer of Cabinet Decision (05) 310 of 2005 for readers unfamiliar with the policy background.
– A follow-up update once the cabinet paper is submitted or the framework is agreed would help readers track progress on this long-running issue.


Discover more from FijiGlobalNews

Subscribe to get the latest posts sent to your email.


Comments

Leave a comment

Latest News

Discover more from FijiGlobalNews

Subscribe now to keep reading and get access to the full archive.

Continue reading