1 PROCEEDINGS and RESOLUTIONS (TRANSLATION) of the NINTH SESSION of NATIONAL COUNCIL of BHUTAN a Proceedings of the Opening

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1 PROCEEDINGS and RESOLUTIONS (TRANSLATION) of the NINTH SESSION of NATIONAL COUNCIL of BHUTAN a Proceedings of the Opening PROCEEDINGS AND RESOLUTIONS (TRANSLATION) OF THE NINTH SESSION OF NATIONAL COUNCIL OF BHUTAN (19 th Day of the 4 th Month of the Water Male Dragon Year corresponding to Friday, 8 th June 2012) A Proceedings of the Opening Ceremony The Ninth Session of the National Council of Bhutan commenced on the 19 th Day of the 4 th Month of the Water Male Dragon Year with Marchang ceremony. The Session was presided over by the Hon’ble Chairperson. B Hon’ble Chairperson’s Address The Hon’ble Chairperson welcomed the Hon’ble Members, representatives from the media, other guests, and in particular, the people of Bhutan living across different regions of the kingdom watching television and listening to the radio on the proceedings of the 9 th Session of the National Council. He expressed his appreciation to His Majesty the Druk Gyalpo for following in the visionary footsteps of His Father in solving the problems of poor citizens, enhancing international relations and promoting socio-economic development in the country. He said that during the coronation address in 2008, one of the main issues highlighted by His Majesty the King was regarding the Bhutanese youth. He said that in order to solve youth related problems, His Majesty the King had personally visited numerous schools to advise and guide the students along the right path. He expressed his appreciation to His Majesty the King for taking special initiatives to guide the members of the 1 school management boards on ways and means to deal with youth related issues. The Hon’ble Chairperson also expressed his profound appreciation to His Majesty the King for conferring Kabney and Tashi Khhadar to the remaining local leaders last year, who were elected at later dates due to problems during local government elections. He said that the initiative taken by His Majesty the King was indicative of the importance His Majesty the King attached to the role of local governments in a democratic system. The Chairperson also highlighted the audience His Majesty the king had granted to 160 religious leaders from across the country during the annual religious council meeting on 28 th March last year and guiding them on their roles and responsibilities in instilling spiritual values in the hearts and minds of the Bhutanese people. Likewise, the Executive had continued its efforts towards socio-economic development of the country in accordance with the plans and programs that were wisely framed. Moreover, the country’s reputation had been enhanced throughout the world due to His Excellency the Prime Minister’s report on Bhutan’s socio-economic development philosophy to the UN General Assembly on 2 nd April 2012, which was based on Their Majesties’ vision of Gross National Happiness. The Hon’ble Chairperson thanked the Royal Government for putting Bhutan on the world stage. He also thanked the government and other institutions for recognizing, assisting and supporting the National Council in its endeavor to function as one of the highest legislative and review bodies in the country under the Constitution of Bhutan and provisions of other relevant acts. 2 With regard to the session itself, the Chairperson said that the issues that were to be discussed under legislation during the 9 th session were the Druk Gyalpo’s Relief Fund Bill 2011, the Education City Bill of Bhutan 2011 and the Disaster Management Bill of Bhutan 2011 that was passed by and received from the National Assembly. The new bills to be deliberated upon were the Contract Bill of Bhutan 2011, the Alternative Dispute Settlement Bill of Bhutan 2011, re-deliberation on the National Flag Bill of Bhutan 2011, and the Parliamentary Entitlement (Amendment) Bill of Bhutan 2011. He said that conventions to be ratified were Cape Town Convention along with its Protocol and Nagoya Protocol to the Convention on Biological Diversity. He said that the issues under review of policies were the shortage of Indian Rupee in Bhutan, matters pertaining to land, inability to implement the Local Government Act properly and submission of recommendation and reminder to the government to come up with a viable policy on income tax. He said that business and question time should be conducted as done during the earlier sessions. The Hon’ble Chairperson also expressed his hope for active, wise and sincere participation in the session by all Hon’ble Members for its successful completion. Lastly, he offered his prayers for the blessings of Kon- Chog-Sum and the country’s Ka-Sung Damchen for the peace and prosperity of the country, for the long lives of His Majesty the King, Her Majesty the Queen, His Majesty the Fourth Druk Gyalpo and members of the Royal Family and for their accomplishments to flourish like an overflowing lake in summer. 3 (22 nd Day of the 4 th Month of the Water Male Dragon Year corresponding to Monday, 11 th June 2012) C Legislative Issues (Adoption of Bills and Amendment of Acts) 1 Introduction of the Druk Gyalpo’s Relief Fund Bill 2011 The Member-in-charge of the Druk Gyalpo’s Relief Fund Bill, Hon’ble Finance Minister said that the Bill had been drafted by the Ministry of Finance as directed by Parliament under the power conferred by the Article 14.12 of the Constitution of Bhutan which stated that the Druk Gyalpo’s Relief Fund should be established. The Bill was discussed during the 8 th Session of the National Assembly and after amendments and changes were made, it was introduced to the National Council for its deliberation and adoption. Discussions were held during the past sessions for the Druk Gyaplo’s Relief Fund to be established under a resolution. Later, however, the Parliament and, in particular, the National Council recognizing the importance of the Fund, resolved that it should be established under a Bill. The Bill thus submitted had 7 chapters, which included Preliminary, Establishment, Fund Replenishment, Investments, Operation and Accounting, which were explained sequentially. On the relief fund, the Hon’ble Member of Lhuentse Dzongkhag said that while the management and operation of the Fund were clearly stated under sections 14 and 15 of chapter 5, but as to who would audit the fund once it was put under operation was not clearly provided. The Deputy Chairperson said that the Bill was 4 introduced based on the draft that had been received earlier, and asked whether the discussions should be based on the draft received from the National Assembly or on the draft that was introduced. The Hon’ble Finance Minister said that though auditing had not been included in the Bill, all audits in the country were done by the Royal Audit Authority. Similarly, the Fund would be audited by the Audit Authority. However, for the sake of clarity, he submitted that it was alright if the National Council added it in the Bill. The Hon’ble Minister submitted for the National Council to decide whether to base its discussions on the draft that he had submitted or on the draft received from the National Assembly. 1.1 Debate regarding amendments and changes to the Bill The National Council thoroughly deliberated on the Druk Gyalpo’s Relief Fund Bill 2011 on 11/6/2012, 12/6/2012 and 15/6/2012 and made the following amendments and changes. The revised bill would be sent back to the National Assembly for re-deliberation. Title Accepts NA’s amendment in Dzongkha, but to retain English as in the draft Preamble Whereas Article 14 , Section 12, Article 14 of the Constitution mandates the establishment of a Relief Fund; 5 Whereas the Druk Gyalpo has the prerogative to use this Fund for urgent and unforeseen humanitarian relief; and Whereas His Majesty the Druk Gyalpo may be pleased to grant urgent relief to the people of Bhutan in times of unforeseen calamities; Section 1 Amended in Dzongkha, Accepts NA’s amendment in English expect Title of the Bill Section 4 Accepts NA’s amendment in Dzongkha, but to retain English as in the draft New Section after Section 4 The Druk Gyalpo’s Relief Fund shall consist of the following: a) Government deposits; b) Donations from Bhutanese individuals and entities; c) Donations from foreign individuals and entities; and d) Interest and other incomes that may be accrued from the investments made under Section 11. Section 7 If needs arises to further increase in the required maximum ceiling of Nu. 100 million, to be maintained in the fund, it shall be done on approval of the Parliament. Further increase in the government deposits beyond Nu. 100 million shall be subject to the approval of Parliament. 6 Section 8 The ceiling of the amount to be replenished for the any expenditure incurred from the Fund shall be by an equal amount subject to the maximum ceiling of the fund, Nu. 100 million required to be maintained, which shall be done in the following financial year immediately upon the approval of the national budget. Any expenditure from the Fund shall be replenished by an amount required to maintain the Fund at Nu. 100 million in the following financial year immediately upon the approval of the national budget. Section 14 The Fund shall be used on the command of His Majesty the Druk Gyalpo. Section 16 The audited annual accounts of the Fund shall be prepared and submitted to His Majesty the Druk Gyalpo and the Ministry of Finance. a t the end of each financial year. (23 rd Day of the 4 th Month of the Water Male Dragon Year corresponding to Tuesday, 12 th June 2012) 2 Introduction of the Education City Bill of Bhutan 2011 The Member-in-charge of the Education City Bill of Bhutan, Hon’ble Minister for Works and Human Settlement said that peace, prosperity and socio- economic development of the country depended on the improvement of education in the country.
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