The Government of the Maldives has decided to disburse some amount of revenue received from Green Tax to local councils. The decision was made at the the Viavathi Raajje conference being held in Ukulhas, Alifu Alifu Atoll.
The two-day conference features four sessions with presentations and discussions on various topics, including fiscal and legal autonomy, formulating land-use plans, the role of Women’s Development Committees (WDCs), crime prevention, social welfare, and climate resilience. It also allows the council and WDC representatives to present their concerns to President Ibrahim Mohamed Solih and discuss solutions.
President Solih presided over the first session of the conference, in which representatives addressed concerns regarding local councils not receiving enough funding from the block grants allocated in the state budget. The last amendment to the Decentralisation Act dictates that 5% of the estimated yearly state income are to be distributed to local councils as a block grant. However, the local councils have proposed that they receive 8% of the estimated yearly income and that 50% of the revenue from Green Tax taken from each island be disbursed to the respective island council.
At the session, Minister of Environment, Climate Change, and Technology Aminath Shauna said that the government will allocate the revenue from Green Tax to local councils in next year’s budget and that the revenue will also be used to fund waste management systems in the atolls.
Green Tax was introduced in 2016 to contribute to environmental protection projects in the Maldives. Tourists at resorts, hotels and safaris are charged USD6 as Green Tax, while tourists at guesthouses are charged USD3.