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Bus Operators Demand Accountability Amid VAT Controversy

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Richard Lal, President of the Fiji Bus Operators Association (FBOA), has stated that there are strong reasons for demanding increased accountability from the chief executive of the Fiji Competition and Consumer Commission (FCCC). This call comes amid claims by Pranil Singh, the acting chief executive of FCCC, suggesting that the FBOA is taking a personal approach to its issues with the regulatory body. In response, Lal emphasized that the concerns raised by the FBOA are not personal but rather a necessary demand for accountability regarding decisions made by Joel Abraham, the FCCC chief executive.

Lal argued that it is crucial for executives like Abraham to clarify the rationale behind his decisions and reversals, as these have a significant impact on the entire bus industry. Singh had previously responded to a two-week-old statement from the FBOA that called for Abraham’s resignation, citing unnecessary delays in executing agreed-upon decisions.

Lal pointed out that while the issue of the school bus fare subsidy has been resolved, the unresolved matter concerning a VAT adjustment error made by the previous industry regulator, the Land Transport Authority, continues to affect the industry. He highlighted that the FCCC had initially agreed to rectify this VAT error a year ago but has since failed to follow through, resulting in substantial financial losses for the bus industry.

According to Lal, the matter at hand is one of principle and professionalism. In July 2023, Mr. Abraham had consented to correct the VAT adjustment error on bus fares, contingent upon the acceptance of a transaction fee imposed by the FCCC. When bus operators rejected this fee, Abraham retracted his decision to correct the VAT error.

Lal questioned the rationale behind Abraham’s change of heart, asking why he had initially agreed to the changes only to reverse them when faced with opposition from the bus operators. He further noted that the FBOA has filed a complaint with the Fiji Independent Commission Against Corruption (FICAC) in 2023 regarding Abraham’s conduct in relation to the association.

The FBOA has also initiated legal proceedings against the former Government due to the lack of an appeal mechanism for FCCC decisions. The current Coalition Government has committed to rectifying this issue by amending the FCCC legislation to remove the clause that prevents any contestation of its decisions. Lal emphasized that citizens must have the right to challenge the decisions of statutory bodies like the FCCC to uphold democratic principles.

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