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 AGREEMENT ON WEALTH SHARING DURING THE PRE-INTERIM AND INTERIM PERIOD
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AGREEMENT ON WEALTH SHARING DURING THE PRE-INTERIM AND INTERIM
PERIOD
1
Naivasha, Kenya: Wednesday, January 7th, 2004.
WHEREAS the Government of the Republic of the Sudan and the Sudan
People's Liberation Movement/Sudan People's Liberation Army (the
Parties)
have been conducting negotiations in Naivasha, Kenya, since 6th
December,
2003, under the auspices of the IGAD Peace mediated Process; and having
taken up the division of wealth in pursuit of a comprehensive
agreement,
that will ensure a just and durable peace in the Sudan;
NOW RECORD THAT they have reached agreement on Wealth Sharing,
covering
the division of oil and non-oil revenues, the management of the oil
sector,
the monetary authority and the reconstruction of the South and other
war-affected areas during the Pre-Interim and Interim Period;
THE PARTIES AGREE AND CONFIRM THAT they are determined to build on
this
important Agreement until a comprehensive peace Agreement is reached.
It is
within this context, that the Parties agree to continue negotiations on
the
remaining outstanding issues on the Conflict Areas and Power Sharing
and
subsequently negotiate a comprehensive ceasefire Agreement and
Implementation Modalities in order to achieve a final comprehensive
Peace
Agreement in the Sudan.
__________________________ __________________________
Hon. Idris Mohamed Abdelgadir Cdr. Nhial Deng Nhial
For: The Government of the Sudan For: The Sudan People's Liberation
Movement/Army
________________________________
WITNESSED BY: Lt. Gen. Lazaro K. Sumbeiywo (Rtd)
Special Envoy IGAD Sudan Peace Process and
On behalf of the IGAD Envoys.
__________________________________________
Framework Agreement on Wealth Sharing During the Pre-Interim and
Interim
Period Between The Government of the Sudan (GOS) And The Sudan
People's
Liberation Movement/Sudan People's Liberation Army
(SPLM/A)
Venue: Lake Naivasha Simba Lodge, Naivasha, Kenya. Date: 7th January,
2004.
WEALTH SHARING
1.0 GUIDING PRINCIPLES IN RESPECT OF AN EQUITABLE SHARING OF COMMON
WEALTH.
1.1 The Parties agree that the guiding principles and provisions below
shall
be the basis for the comprehensive text on Wealth Sharing.
1.2 The wealth of Sudan shall be shared equitably so as to enable each
level
of government to discharge its legal and constitutional
responsibilities and
duties.
1.3 The National Government shall also fulfil its obligation to provide
transfers to the Government of Southern Sudan.
1.4 The sharing and allocation of wealth emanating from the resources
of the
Sudan shall ensure that the quality of life, dignity and living
conditions
of all the citizens are promoted without discrimination on grounds of
gender, race, religion, political affiliation, ethnicity, language, or
region. The sharing and allocation of this wealth shall be based on the
premise that all parts of Sudan are entitled to development.
1.5 The Parties agree that Southern Sudan faces serious needs to: (i)
be
able to perform basic government functions, (ii) build up the civil
administration, and (iii) rehabilitate and reconstruct/construct the
social
and physical infrastructure in a post-conflict Sudan.
1.6 The Parties agree that Nuba Mountains, Southern Blue Nile, Abyei
and
other war affected areas face serious needs to: (i) be able to perform
basic
government functions, (ii) establish and build civil administration and
(iii) rehabilitate and reconstruct/construct the social and physical
infrastructure in a post-conflict Sudan.
1.7 That, without prejudice to the provisions of paragraph 1.3 herein,
Southern Sudan, and those areas in need of construction/reconstruction,
shall be brought up to the same average level of socio-economic and
public
services standard as the Northern states. To achieve these objectives
will
take time and effort to build up local institutional, human, and
economic
capacity. For this purpose, two special funds shall be established as
provided herein.
1.8 That revenue sharing should reflect a commitment to devolution of
power
and decentralisation of decision-making in regard to development,
service
delivery and governance.
1.9 The development of infrastructure, human resources, sustainable
economic
development and the capacity to meet human needs shall be conducted
within a
framework of transparent and accountable government.
1.10 That the best known practices in the sustainable utilization and
control of natural resources shall be followed.
1.11 This Agreement sets out the respective types of income, revenue,
taxes
and other sources of wealth to which the various levels of government
are
entitled.
1.12 The Parties recognize that the National Government, during the
Interim
Period, will need to mobilize additional national resources.
1.13 There is a limit on how much additional national resources can be
mobilized and part of the national needs in a post-conflict Sudan will
have
to be met by external assistance.
1.14 The National Government shall not withhold an allocation due to a
state/region[1] or the Government of Southern Sudan. Any level of
Government
may initiate proceedings in the Constitutional Court should any other
organ
or level withhold monies due to it. The National Government shall make
transfers to the Government of Southern Sudan based on the principles
established.
1.15 In agreeing to these wealth sharing arrangements the Parties
signal to
the international community that it will have to play a strong and
constructive role in providing post-conflict construction/
reconstruction
assistance to Sudan, especially to Southern Sudan and other war
affected and
least developed areas.
1.16 The National Government shall assist the Government of Southern
Sudan,
during the pre-Interim Period, in cooperation with international
organizations, to develop and implement a program for capacity
enhancement
in the South. The highest priority should be public finance and
intergovernmental relations, including expenditure management to ensure
accountability.
2.0 OWNERSHIP OF LAND AND NATURAL RESOURCES
2.1 Without prejudice to the position of the Parties with respect to
ownership of land and subterranean natural resources, including in
Southern
Sudan, this Agreement is not intended to address the ownership of those
resources. The Parties agree to establish a process to resolve this
issue.
2.2. The Parties agree that the regulation, management, and the
process
for the sharing of wealth from subterranean natural resources are
addressed
below.
2.3. The Parties record that the regulation of land tenure, usage and
exercise of rights in land is to be a concurrent competency exercised
at the
appropriate levels of government.
2.4. Rights in land owned by the Government of Sudan shall be
exercised
through the appropriate or designated levels of Government.
2.5. The Parties agree that a process be instituted to progressively
develop and amend the relevant laws to incorporate customary laws and
practices, local heritage and international trends and practices.
2.6 Without prejudice to the jurisdiction of courts, there shall be
established a National Land Commission that shall have the following
functions:
2.6.1 Arbitrate between willing contending Parties on claims over
land,
and sort out such claims.
2.6.2 The party or group making claims in respect of land may make a
claim
against the relevant government and/or other Parties interested in the
land.
2.6.3 The National Land Commission may at its discretion entertain
such
claims.
2.6.4 The Parties to the arbitration shall be bound by the decision
of the
National Land Commission on mutual consent and upon registration of the
award in a court of law.
2.6.5 The National Land Commission shall apply the law applicable in
the
locality where the land is situated or such other law as the Parties to
the
arbitration agree, including principles of equity.
2.6.6 Accept references on request from the relevant government, or
in the
process of resolving claims, and make recommendations to the
appropriate
levels of government concerning:
2.6.6.1 Land reform policies;
2.6.6.2 Recognition of customary land rights and/or law.
2.6.7 Assess appropriate land compensation, which need not
be
limited to monetary compensation, for applicants in the course of
arbitration or in the course of a reference from a court.
2.6.8 Advise different levels of government on how to
co-ordinate
policies on national projects.
2.6.9 Study and record land use practices in areas where
natural
resource exploitation occurs.
2.6.10 The National Land Commission shall be representative
andind ependent. The composition of the membership and terms of
appointment
of the National Land Commission shall be set by the legislation
constituting
it. The Chairperson of the National Land Commission shall be appointed
by
the Presidency.
2.6.11 The National Land Commission may conduct hearings and
formulate its own rules of procedure.
2.6.12 The National Land Commission will have its budget
approved
by the Presidency and will be accountable to the Presidency for the due
performance of its functions.
2.7 In accordance with this Agreement and without prejudice to the
jurisdiction of courts, there shall be established a Southern Sudan
Land
Commission which shall have the following functions:
2.7.1 Arbitrate between willing contending Parties on claims
over
land, and sort out such claims.
2.7.2 The party or group making claims in respect of land may
make a
claim against the relevant government and/or other Parties interested
in the
land.
2.7.3 The Southern Sudan Land Commission may entertain such claims at
its
discretion.
2.7.4 The Parties to the arbitration shall be bound by the Southern
Sudan
Land Commission's decision on mutual consent and upon registration of
the
award in a court of law.
2.7.5 The Southern Sudan Land Commission shall apply the law
applicable in
the locality where the land is situated or such other law as the
Parties to
the arbitration agree, including principles of equity.
2.7.6 Accept references on request from the relevant government, or
in the
process of resolving claims, and make recommendations to the
appropriate
levels of government concerning:
2.7.6.1 Land reform policies;
2.7.6.2 Recognition of customary land rights and/or law.
2.7.7 Assess appropriate land compensation, which need not be
limited
to monetary compensation, for applicants in the course of arbitration
or in
the course of a reference from a court.
2.7.8 Advise different levels of government on how to co-ordinate
policies on GOSS projects.
2.7.9 Study and record land use practices in areas where natural
resource exploitation occurs.
2.7.10 The Southern Sudan Land Commission shall be representative
and
independent. The composition of the membership and terms of appointment
of
the Southern Sudan Land Commission shall be set by the legislation
constituting it. The Chairperson of the Southern Sudan Land Commission
shall
be appointed by the President of the Government of Southern Sudan.
2.7.11 The Southern Sudan Land Commission may conduct hearings
and
formulate its own rules of procedure.
2.7.12 The Southern Sudan Land Commission shall have its budget
approved by the Government of Southern Sudan and shall be accountable
to the
President of the Government of Southern Sudan for the due performance
of its
functions.
2.8 The National Land Commission and the Southern Sudan Land
Commission
shall co-operate and co-ordinate their activities so as to use their
resources efficiently. Without limiting the matters of coordination,
the
National Land Commission and the Southern Sudan Land Commission may
agree:
a) to exchange information and decisions of each Commission;
b) that certain functions of the National Land Commission,
including
collection of data and research, may be carried out through the
Southern
Sudan Land Commission;
c) on the way in which any conflict between the findings or
recommendations of each Commission may be resolved.
2.9 In the case of conflict between the findings or recommendations of
the
National Land Commission and the Southern Sudan Land Commission, which
cannot be resolved by agreement, the two Commissions shall reconcile
their
positions. Failure to reconcile, the matter shall be referred to the
Constitutional Court.
3.0 OIL RESOURCES
A. Guiding Principles for the management and development of the
petroleum
sector
3.1 The Parties agree that the basis for an agreed and definitive
framework
for the management of the development of the petroleum sector during
the
Interim Period shall include the following:
3.1.1 Sustainable utilization of oil as a non-renewable natural
resource
consistent with:
a) the national interest and the public good;
b) the interest of the affected states/regions;
c) the interests of the local population in affected areas;
d) national environmental policies, biodiversity conservation
guidelines, and cultural heritage protection principles.
3.1.2 Empowerment of the appropriate levels of government to develop
and
manage, in consultation with the relevant communities, the various
stages of
oil production within the overall framework for the management of
petroleum
development during the Interim Period.
3.1.3 Give due attention to enabling policy environment for the flow
of
foreign direct investment by reducing risks associated with
uncertainties
regarding the outcome of the referendum on self-determination at the
end of
the Interim Period.
3.1.4 A stable macroeconomic environment that emphasizes stability
of the
petroleum sector.
3.1.5 Persons enjoying rights in land shall be consulted and their
views
shall duly be taken into account in respect of decisions to develop
subterranean natural resources from the area in which they have rights,
and
shall share in the benefits of that development.
3.1.6 Persons enjoying rights in land are entitled to compensation
on
just terms arising from acquisition or development of land for the
extraction of subterranean natural resources from the area in respect
of
which they have rights.
3.1.7 The communities in whose areas development of subterranean
natural
resources occurs have the right to participate, through their
respective
states/regions, in the negotiation of contracts for the development of
those
resources.
3.1.8 Regardless of the contention over the ownership of land and
associated natural resources, the Parties agree on a framework for the
regulation and management of petroleum development in Sudan during the
Interim Period.
B. National Petroleum Commission (NPC)
3.2 The Parties agree that an independent National Petroleum Commission
(NPC) shall be established during the Pre-Interim Period and its
decisions
shall be by consensus.
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