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GA/AB/3281

BUDGET COMMITTEE APPROVES TEXTS ON SCALE OF ASSESSMENTS, REVISED ESTIMATES FOR ACTIVITIES OF UN POLITICAL OFFICE IN BOUGAINVILLE

15 December 1998


Press Release
GA/AB/3281


BUDGET COMMITTEE APPROVES TEXTS ON SCALE OF ASSESSMENTS, REVISED ESTIMATES FOR ACTIVITIES OF UN POLITICAL OFFICE IN BOUGAINVILLE

19981215 Acting without a vote, the Fifth Committee (Administrative and Budgetary) this morning approved a draft resolution on the United Nations scale of assessments, used to share out the Organization's expenses among Member States.

The draft would have the General Assembly request that the Committee on Contributions recommend ways to tighten application of Article 19 of the United Nations Charter, which strips Member States of voting rights when their arrears equal or exceed the amount of contributions due from them for the past two years.

The Assembly would emphasize the need for equal treatment in considering requests for exemption to Article 19, by other provisions of the draft. The Contributions Committee would be asked to recommend ways to address requests when it is not in session, since it is the body that considers those requests and makes recommendations on them to the Assembly.

During the main part of the fifty-third session, the Fifth Committee had agreed, as an exception, to recommend exemptions to two Member States -- Georgia and Guinea-Bissau -- as the Contributions Committee's session had concluded. After receiving three additional requests, it had approved a resolution asking the Contributions Committee to hold a special session in early 1999 to consider those requests.

The draft was introduced by Ireland's representative, who coordinated informal consultations on the scale. Statements in explanation of position were made by the representatives of the United States, Mexico, Australia, Indonesia (for the "Group of 77" developing countries and China), Japan, China, Egypt, Philippines (for the Association of South-East Asian Nations - ASEAN), Singapore and Uruguay.

In other action, the Fifth Committee decided to recommend that the General Assembly take note of the Secretary-General's report on revised budgetary estimates arising from the Security Council's decision to extend the activities of the United Nations Political Office in Bougainville through

December 1999. An additional amount of almost $1.4 million would be required under section 3, Peacekeeping operations and special missions, of the programme budget for the biennium 1998-1999.

The decision was introduced by the Committee Chairman, Movses Abelian (Armenia). The Secretary-General's report was introduced by the Director of the Programme Planning and Budget Division, Warren Sach, while the related views of the Advisory Committee on Administrative and Budgetary Questions (ACABQ) were introduced by that body's Chairman, C.S.M. Mselle.

The Committee's next meeting will be held at a time to be announced.

Committee Work Programme

The Fifth Committee (Administrative and Budgetary) met this morning to take up a report under its consideration of the programme budget for the 1998- 1999 biennium, containing revised estimates related to the United Nations Political Office in Bougainville (document A/C.5/53/47). It was also scheduled to take action on the scale of assessments for the apportionment of expenses of the United Nations.

As a result of the Security Council's decision to extend the Office's activities until December 1999, an additional amount of about $1.5 million gross (almost $1.4 million net) would be needed under section 3, Peacekeeping operations and special missions, of the programme budget for 1998-1999, the report states. Those requirements would continue the 1998 levels of provisions under general temporary assistance and related costs for nine staff for the Office, estimated at $980,900, travel costs of $52,500 and related operational costs of $361,900.

The Office's activities are of an extraordinary nature related to the maintenance of peace and security, and should therefore be dealt with outside budgetary procedures related to the contingency fund, according to the report.

The Bougainville Office was established in July 1998 utilizing the commitment authority for unforeseen and extraordinary expenses granted by the General Assembly in its resolution 52/223, according to the report. In 1998, provisions were made under general temporary assistance for nine staff (1 D-2, 1 P-5, 2 P-4, 1 P-3, 1 Field Service and 3 Local level) and related operational costs. In the context of the first performance report for 1998-1999, appropriations were requested for the Office's activities from 1 July to 31 December 1998 of $684,000 under section 3, Peacekeeping operations and special missions, while an additional $359,900 came from voluntary contributions.

The Committee also had before it a draft resolution submitted by its Chairman on the scale of assessments for the apportionment of expenses of the

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United Nations (document A/C.5/53/L.21). Under its provisions, the General Assembly would request the Committee on Contributions to consider and make recommendations to the Assembly's fifty-fourth session on the possibilities for tightening the application of Article 19 of the United Nations Charter.

[In Article 19, the Charter provides for sanctions, notably the loss of voting rights in the General Assembly, against Member States that fall behind in the payment to the extent of two full years of their assessments. Applications for exemption from the sanctions are considered by the Committee on Contributions, which recommends a response to such applications to the General Assembly].

The draft would have the Assembly reaffirm the provisions of Article 19, take note of the Committee's decision to continue consideration of this Article, and request the Committee to review procedural aspects and make recommendations including on requests (for exemptions) received when the Committee is not in session. The Committee on Contributions would also be requested to make recommendations on measures to encourage timely, full and unconditional payment of assessed contributions.

By other terms, the Assembly would emphasize the need to apply equal and non-discriminatory treatment when considering requests for exemptions to Article 19 from Member States, and reaffirm the role of the Committee on Contributions in accordance with the General Assembly Rules of Procedure. The Assembly would also endorse the Committee on Contributions' recommendations on the assessment of non-member States, and request it to further consider the views set out in paragraph 99 of its report. [Paragraph 99 reads as follows: "The view was expressed that non-member States should not be assessed only according to their actual participation in United Nations activities. Given the fact that they can opt out of United Nations activities, a possibility not open to Member States, they should be assessed at a somewhat higher rate.]

In addition, the Assembly would urge all Member States to pay their assessed contributions in full, on time, and without conditions, to avoid the financial difficulties being experienced by the Organization. It would take note of the Committee's decision to continue considering elements of the scale of assessments methodology and to make consolidated recommendations to the fifty-forth General Assembly session.

Action on Texts

The Committee first took up a report by the Secretary-General under the item on the programme budget for 1998-1999 (document A/C.5/53/47).

WARREN SACH, Director of the Programme Planning and Budget Division, introduced the report on revised estimates resulting from the Security Council's decision to extend the mandate of the United Nations Political

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Office in Bougainville until December 1999. The Secretary-General estimated that some $1.5 million gross (some $1.4 million net) would be required to provide for five international staff supported by four support staff.

C.S.M. MSELLE, Chairman of the Advisory Committee on Administrative and Budgetary Questions (ACABQ), orally presented the views of that body. In 1998, resources for the Bougainville Office, which had been effective as of 1 July 1998, had been sought in the context of the first performance report, he noted. The ACABQ agreed with the Secretary-General's request.

MOVSES ABELIAN (Armenia), Fifth Committee Chairman, then proposed that the Committee recommend that the General Assembly take note of the report of the estimate of almost $1.4 million under section 3, Peacekeeping operations and special missions, of the programme budget for the biennium 1998-1999, and $148,300 under section 32, Staff assessment, on the understanding that such additional appropriations, as may be necessary, would be dealt with outside the procedures related to the contingency fund, as provided for in annex I, paragraph 11, of General Assembly resolution 41/213 of 19 December 1986.

The Committee approved that decision, acting without a vote.

It next turned to the draft resolution on the United Nations scale of assessments (document A/C.5/53/L.21).

The representative of Ireland, introducing the draft, said the four-part text had been approved by consensus during informal consultations. One delegation that was not in the room had asked for additional information, but he thought the draft could be approved by the Committee with the understanding that the delegation involved could receive the information at another time.

The Committee then approved the draft resolution.

The representative of the United States said his delegation was seriously concerned that once again the Fifth Committee had failed to acknowledge any scale of assessments dealing with peacekeeping operations. After some 25 years, peacekeeping assessments continued to be rendered on an ad hoc basis. There was still no movement to establish a permanent or formal scale for such assessments, even though those were a substantial part of the current period contributions and the bulk of Member States' arrears.

The Committee on Contributions, as the General Assembly's technical adviser on scales of assessment, should begin examining issues related to peacekeeping assessments, he said. As the scale issue would be revisited next spring, he urged Committee members to reflect on the entire issue of peacekeeping assessments and the constructive technical role that could be played by the Committee on Contributions.

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Mexico's representative commended the representative of Ireland's leadership in coordinating informal consultations. While the draft did not reflect the intensive debate that had been held on several aspects of the scale, it nevertheless reflected a delicate balance.

The representative of Australia said his delegation was pleased to join the consensus, but was disappointed that the draft was procedural, and therefore an opportunity was missed to provide guidance to the Committee of Contributions in its work. He looked forward to guidance from the Committee on Contributions on tightening Article 19 of the Charter. He attached great importance to the Committee's guidance on ensuring its meaningful and effective application, and also attached importance to its consideration of other measures to ensure timely payment, in accordance with its mandate. Proposals for incentives and disincentives had been discussed for several years in an unsatisfactory and political way. Australia now believed that the technical opinion of the Committee on Contributions on that issue would be useful.

The representative of Indonesia, speaking on behalf of the "Group of 77" developing countries and China, said the issue of the scale of assessments was a complex and sensitive one. However, the Group was surprised that the Fifth Committee had spent many hours discussing the issue when this was not a scale year. The Group joined the consensus but not without great disappointment. It was very much concerned with the spirit in which the draft had been negotiated, and strongly believed that mistrust and doubt should be avoided.

Furthermore, it held to its long-standing view that it was irrelevant to link that agenda item to the special scale for the peacekeeping budget, he said. The Committee on Contributions did not have a mandate to discuss the special peacekeeping scale. It was strongly opposed to any attempt to include the provision on the peacekeeping scale of assessments in the draft resolution. The Group would continue to be vigilant in its principled position on that issue. It would also reserve the right to revert to the matter in the General Assembly plenary.

The representative of Japan said that the Fifth Committee had been discussing that issue since October. At this stage, Japan would simply like to point out that it would be worthwhile for the General Assembly to take note of the report of the Committee on Contributions.

The representative of China said he supported the text and had joined the consensus. During the current General Assembly session, when some States had requested exemptions from the implementation of Article 19 sanctions, regrettably the Fifth Committee had not acted in accord with Rule 160 of the General Assembly Rules of Procedure and with the advice of the Committee on Contributions. Later, a different approach had been taken towards other Member States' requests. The current draft resolution requested the Committee

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on Contributions to study the issue of the methodology for dealing with such requests. China hoped that, in the future, requests for exemption could be dealt with appropriately.

The representative of Egypt said he had joined in the consensus based on its understanding that the reference to non-member States in Section D paragraph 2 of the draft would include the delegation of the Observer for Palestine.

The representative of the Philippines, speaking on behalf of the Association of South-East Asian Nations (ASEAN), said the draft was a carefully negotiated and balanced resolution. She was pleased to note the reaffirmation of the legal obligation of Member States to bear the expenses of the Organization as apportioned by the General Assembly. ASEAN urged all Member States, particularly the major contributor, to pay assessments in full, on time and without conditions. She looked forward to the Committee on Contributions' reviews of the various elements of the scale, of Article 19, and of measures to encourage payment of assessments. Regarding exemptions from Article 19 sanctions, ASEAN endorsed the role of the General Assembly and the advisory role of the Committee on Contributions. The General Assembly should benefit from the technical advice of the Committee on Contributions when dealing with such requests.

On the special scale for peacekeeping assessments, ASEAN supported the position of the Group of 77 and China, and also the principles and guidelines on the Non-Aligned Movement position that no member of the Movement should be classified higher than Group C for those assessments.

The representative of Singapore said the scale was a politically sensitive issue and that it was never perfect or equitable. It was never meant to be so, and Member States must accept that reality. The Fifth Committee had spent much time deliberating on an issue it should not deliberate upon. The message was clear that there was an overwhelming consensus that the peacekeeping scale should not be discussed under that agenda item. He hoped that, in future, delegates who were tempted to raise the issue under that item would pause and consider this session's difficulties.

The representative of Uruguay said that in the draft's section noting the report of the Committee on Contributions, due note should be taken of the position previously enunciated by the Southern Common Market (MERCOSUR).

The representative of Ireland said in his introduction of the draft he had neglected to thank the Secretariat, and he expressed his thanks.

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Other Matters

The CHAIRMAN appealed to the Committee to try to complete its work of the main part of the fifty-third session today.

The representative of Egypt asked whether there would be a formal meeting today.

The CHAIRMAN said that was up to Committee members, who still had to reach agreement on several issues, including the financing of the two international criminal tribunals, the budget outline and the first performance report.

Egypt's representative said his delegation had been approached by delegations and Secretariat officials about organizing a cultural trip to his country. When would the first part of the resumed session take place? he asked.

The CHAIRMAN said that as a preliminary estimate, the resumed sessions would be three weeks in March and four weeks in May.

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For information media. Not an official record.