Mickela Panday
The structure of government in T&T has changed dramatically since Independence. It is less centralised that it used to be and several functions once performed by Central Government have been given to state agencies and state enterprises which are staffed by contract employees and not by staff of ministries of government.
For example, the postal service, once part of the Public Service, was scrapped and TTPost created. Many of the functions Ministry of Works once performed are now done by public bodies like Nidco, Udecott and the Rural Development Company of T&T. It is the RHAs, not the Ministry of Health, that are primarily responsible for public health care and the EFCL, not the Ministry of Education, builds our schools.
Whilst functions for the delivery of essential utilities eg, water, electricity and telephone continue to be performed by state bodies, namely WASA, T&TEC, and Telco (since absorbed into TSTT, which is majority owned by the State), modern functions are now performed by new specialist public bodies eg, the EMA, SWMCOL and E-TecK.
Add to that those public bodies like the Central Bank, the ADB, the Port Authority, the Airports Authority, Petrotrin and NGC, as well as those which are arguably no business of the State eg, CNMG and CAL, and it becomes apparent that these public bodies control billions of dollars of our money. There are over 200 of these public bodies, including 45 state enterprises. They are companies created by statute or incorporated by Parliament or under the Companies Act. In respect of power, prestige and expenditure, certain of them are arguably bigger than any ministry and their boards bigger than any minister.
Notably, it is the government in power that appoints the boards of directors of these public bodies, and herein is where the first problem lies. There is no buffer or assurance of autonomy as is the case in the public service where appointments are made by independent service commissions established by the Constitution. As a result, in respect of these public bodies, often there is direct control by the political executive.
Unfortunately, as we have seen time and time again, in such circumstances, political allegiance and loyalty, cronyism and nepotism often trump competence, experience, merit and ability when making these appointments. The Government of the day, wielding its power as principal shareholder, places the emphasis on unswerving dedication to towing the political line and connections, causing boards to disregard or ignore their fiduciary duties (which are paramount) to the public bodies themselves and by extension, to the country that owns these state assets. Friends and family are given plum positions without regard to their lack of qualifications or experience, the outcome of which is mismanagement, inefficiency and wastefulness in our public bodies.
Political allegiance, cronyism and nepotism, as the dominant factors, work their way down through the system from the political executive to the boards to management and to the workforce. A minister may direct the board, and the board aided by submissive management will, pursuant to the directive, terminate employees perceived to be disloyal or disruptive, without due process.
It is no secret, cronyism and nepotism perhaps reached an all-time high during the last administration. It became obvious that a certain select group of contractors and attorneys were favoured by these public bodies as well as by the Central Government. There appeared to be a complete subordination by these public bodies to the political executive in the engagement of professional services without regard to merit and competence.
Then of course, there is the insidious matter of corruption in its different forms, whether by bid-rigging the procurement process, kickbacks, bribes, selection of unqualified and inexperienced contractors, dummy legal invoices to channel cash payments, or payments made for work known to have not been done and for services known to have not been provided. Who can forget the $400 million Life Sport programme, and the astonishing revelation that a company received $34 million for work never done?
As previously stated, it is therefore imperative that our institutions eg, the Auditor General, the FIU, the BIR, the Integrity Commission, the Police Service, the DPP and the courts are strengthened so as to highlight and effectively address the extent of cronyism, nepotism and corruption in public bodies and to make errant boards, ministers, contractors and attorneys account, and in some cases, pay.
It is equally imperative that merit, competence, experience, independence, honesty, and suitable qualifications be the only criteria for board appointments if we are to have a productive and efficient state sector which is both accountable and transparent–and that applies to both sides of the political divide.