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An Analysis of the Aid Effectiveness Agenda in Tonga

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An Analysis of the Aid Effectiveness Agenda in Tonga An Analysis of the Aid Effectiveness Agenda in Tonga Helen Mountfort Victoria University of Wellington Wellington, New Zealand Submitted to Victoria University of Wellington in partial fulfilment of the Master of Development Studies Degree June, 2013 Abstract Over the past decade, the rhetoric of international aid has significantly changed. Increased emphasis has been placed on the full participation of aid recipient countries, which are now being urged to own and drive their development planning and policy. The 2005 Paris Declaration on Aid Effectiveness sits at the core of this international consensus that calls for alignment of donor policies and harmonisation of donor procedures. This study was undertaken to investigate the influence of the aid effectiveness agenda on Tongan development policy and practice. Using both primary and secondary sources, an analysis of the Paris Declaration Principles and their application in practice was explored. A case study of the Tonga Energy Road Map was carried out in order to illustrate a more detailed unfolding of the aid effectiveness agenda at a sector and project level. The key findings of this research suggest that there has been substantial improvement to development policy and practice in Tonga. It is unclear, however, if this improvement was the outcome of commitments made to the Paris Declaration or the result of strong relationships and leadership exerted by the Government of Tonga. However, in spite of the commitment to increase aid effectiveness made by some development agencies, many still operate with their own systems and procedures which Tonga is required to meet. Although Tonga has readily adopted the Paris Declaration Principles, the aid effectiveness challenge remains at the project implementation level. i Acknowledgements To those in Tonga, To my work colleagues, malo lahi ‘aupito. I’m enormously grateful for the opportunity to have been able to work and experience life in Tonga. I would like to thank you all for the support, encouragement and assistance. Ki hoku famili Tonga, ‘oku ou fakamalo kiate kimoutolu ‘i he angalelei, anga’ofa moe tokoni kotoa pe. ‘Ofa lahi atu. I am also indebted to all my research participants. Malo ‘aupito ho’omou foaki taimi moe fevahevahe’aki mai ho’omou ngaahi ‘ilo. Malo lahi ‘aupito. To those in New Zealand, To my supervisor Professor Warwick Murray, for trusting me to paddle my own canoe. To all my family and friends, thank you for your support, thoughtfulness and encouragement. You have all helped me throughout my research in many different ways. To my Dad, Mum, sister Anna and brother Paul, thank you for your continuous support and love. To my editors and mentors, for intellectually challenging me and sharing your own experiences and insights. Your input into my thesis has been invaluable. Lastly, I would like to acknowledge the Colin Aikman Award and the Laurie Cameron Scholarship, for providing financial assistance throughout this thesis. ii Contents ABSTRACT........................................................................................................................................... I ACKNOWLEDGEMENTS................................................................................................................ II CONTENTS ....................................................................................................................................... III LIST OF TABLES …..........................................................................................................................VI LIST OF FIGURES.............................................................................................................................VI LIST OF ACRONYMS.....................................................................................................................VII 1 CHAPTER ONE: INTRODUCTION ........................................................................................... 1 1.1 OVERVIEW ................................................................................................................................. 1 1.2 ORIGINS OF MY RESEARCH ........................................................................................................ 1 1.3 BACKGROUND ........................................................................................................................... 3 1.4 INTRODUCING THE KINGDOM OF TONGA .................................................................................. 4 1.5 RESEARCH AIMS AND OBJECTIVES ........................................................................................... 6 1.6 THE STRUCTURE OF THIS THESIS .............................................................................................. 7 2 CHAPTER TWO: METHODOLOGY AND METHODS ......................................................... 9 2.1 INTRODUCTION .......................................................................................................................... 9 2.2 POSITIONALITY , LOCATING MYSELF WITHIN THE RESEARCH .................................................. 9 2.3 RESEARCHING AS AN ‘O UTSIDER ’ ........................................................................................... 11 2.4 RESEARCHING IN THE PACIFIC ................................................................................................ 12 2.5 RESEARCH DESIGN .................................................................................................................. 13 2.5.1 Qualitative Research ........................................................................................................ 14 2.5.2 Case Study Approach ....................................................................................................... 15 2.5.3 Semi-Structured Interviews .............................................................................................. 16 2.6 ETHICAL CONSIDERATIONS ..................................................................................................... 17 2.7 SUMMARY AND LINK ............................................................................................................... 19 3 CHAPTER THREE: DEVELOPMENT, PARTICIPATION AND EFFECTIVE AID ........ 20 3.1 INTRODUCTION ........................................................................................................................ 20 3.2 HISTORY OF DEVELOPMENT AND AID THINKING ................................................................... 20 3.3 THE RISE OF PARTICIPATORY DEVELOPMENT ........................................................................ 23 3.4 POWER AND PARTICIPATION ................................................................................................... 25 3.5 THE AID EFFECTIVENESS AGENDA ......................................................................................... 26 3.6 A CRITIQUE OF THE PARIS DECLARATION .............................................................................. 29 3.6.1 The Principle of Ownership ............................................................................................. 30 3.6.2 The Principle of Alignment and Harmonisation .............................................................. 31 3.6.3 A Change in Aid Delivery Mechanisms ........................................................................... 33 3.7 SUMMARY AND LINK ............................................................................................................... 35 4 CHAPTER FOUR: AID IN THE PACIFIC WITH A FOCUS ON TONGA ......................... 36 4.1 INTRODUCTION ........................................................................................................................ 36 4.2 PACIFIC ISLANDS AND THE AID EFFECTIVENESS AGENDA ..................................................... 36 4.2.1 Pacific Principles of Aid Effectiveness ............................................................................ 38 4.2.2 The Cairns Compact 2009 ............................................................................................... 40 4.3 THE KINGDOM OF TONGA ....................................................................................................... 41 4.3.1 The Tongan Constitution and the Formation of the Monarch ......................................... 42 4.3.2 The Government of Tonga ............................................................................................... 44 4.3.3 Democracy Movement ..................................................................................................... 45 4.4 TONGA ’S ECONOMY ................................................................................................................ 47 4.4.1 The Role of Remittances ................................................................................................... 48 4.4.2 Aid Inflow in Tonga ......................................................................................................... 49 iii 4.5 TONGA ’S DEVELOPMENT PLANS ............................................................................................. 52 4.6 THE GOVERNMENT OF TONGA AND DEVELOPMENT PARTNER RELATIONS ........................... 54 4.6.1 Tonga’s Core Bilateral Relationships.............................................................................. 55 4.6.2 Tonga’s Core Multilateral Relationships ........................................................................ 56 4.7 MANAGEMENT OF AID ...........................................................................................................
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