Underutilized Budget Sparks Questions – What Happened to Labasa Hospital Upgrade Funds?

Independent parliamentarian Premila Kumar questioned Health Minister Dr. Atonio Lalabalavu on why less than $1 million was utilized from the $5.1 million allocated in the national budget for upgrading Labasa Hospital.

“From the $5 million allocated for the upgrade of Labasa Hospital, less than a million dollars was used, which is 16 percent of the budget according to the information posted on the Parliament website. Can the honourable Minister explain why?” she asked during the debate on the 2024-2025 Budget in Parliament last week.

Dr. Lalabalavu attributed the low utilization of the budget to electrical issues faced by contractors.

“Because of the electricity capacity within Labasa Hospital, most of the capital projects, particularly the refurbishment of the A&E, were put on hold,” Dr. Lalabalavu said.

“We currently have new machines in Labasa Hospital such as a CT scan and laboratory equipment, but due to the electrical supply capacity within the hospital, it cannot handle the load of the new equipment.”

“Moreover, the old wiring is a concern, which is why we engaged EFL to carry out a comprehensive survey of the hospital and provide a report. We need to privatize the electrical work before we can proceed with completing the upgrades; this was the reason for the hold-up at Labasa Hospital.”

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