Jamaica’s Policy Making Process: Large Scale Infrastructure Projects

1. Jamaica’s Policy Making Process: Large Scale Infrastructure Projects Shornalee P. Jackson Mef12513

2. Outline of Presentation(1) • 1.Brief History of Jamaica • 2. General Policy Making Process • 2.1 Salient Features of the policy making process • 2.2 Policy Framework • 3. National Development Plan • 4 Challenges and Opportunities

3. Outline of Presentation (2) • 5.1 Characteristics of the Global Logistic Hub Project • 5.2 Policy Process • 5.3 Coordination and Decision Making Machinery • 6. Conclusion • 7. References

4. 1. Brief History of Jamaica (1) • Jamaica, land of wood and water, got its independence from Britain on August 6, 1962. • Has a Parliamentary democracy based on the Westminster model of Government. • The head of state is the Queen of England, who is represented by the Governor General • Has ten Prime Ministers since independence. Currently has a female Prime Minister • Size is 4,244 sq miles (10,991 km²)…. Rather small, isn’t it? • Population is approximately 2.7 million

5. 1.Brief History of Jamaica (2)

6. 2. Policy Authorization • The Jamaican Constitution states that “the Cabinet shall be the principal instrument of policy and shall be charged with the general direction and control of the Government of Jamaica and shall be collectively responsible therefore to Parliament” - S69(2).

7. 2.1 Salient Features of Jamaican Policy Making Process (1) • 1. Resoluteness of the Jamaican government- strong executive branch of government and significant concentration of power in the hands of the Prime Minister. • 2. Independent Judiciary and professionalized bureaucracy-highly skilled technocrats with a significant number being trained abroad

8. 2.1SalientFeatures of Jamaican Policy Making Process (2) • 3. Strong business and labour unions- these are institutionalized and are viewed as partners for progress. • Thus, the Jamaican government has the ability to effectively discuss, design, approve and implement policies

9. 2.2 Policy Framework (1)

10. 2.2 Policy Framework (2) • Policy Development –Policy definition i.e., definition of problem in a realistic and pragmatic way • Policy Analysis- Critical assessment of the policy for, among other things, technical feasibility, compatibility with national development goals (desirability), policy impact -economic, political, social, legal, sustainability, exit strategy

11. 2.2 Policy Framework (3) • Policy Process: Each ministry or department usually has three general division-Administration, Operations and Policy divisions. • Once the analyst has developed a framework to examine a policy issue, written the appropriate policy paper, she/he must begin the formal process of consultation, and integration to reach a Cabinet decision. The process includes consultation, coordination, integration and agreement from the ministry’s management, other ministries, Cabinet committee and Cabinet.

12. 2.2 Policy Framework (4) • Within the ministry, vertical coordination and integration is achieved through an Internal Policy Committee which discusses and agree on the policy. • Once agreement has been reached internally, discussions and negotiations with other ministries who have an interest in the policy are undertaken to have the proposal adopted across the government (horizontal coordination). • Once consensus is reached, a Cabinet submission is made.

13. 2.2 Policy Framework (5)

14. 2.2 Policy Framework (6) • Communication: In addition to the policy paper, a communication plan has to be submitted to Cabinet. The goal of the communication is to increase public acceptance of the policy. • Typical forms are private stakeholder consultations -“locked up” session with minister and key stakeholders; public consultations- face to face discussions with larger groups; press/media briefings

15. 2.2 Policy Framework (7) • Implementation: Choice based on political ideology-market orientation vs public ownership

16. 2.2 Policy Framework (8) • Monitoring and Evaluation: -Reviewing the operational aspects of the policy, evaluating results and suggesting areas for improvement

17. 3. National Development Plan • The Planning Institute of Jamaica has crafted the national development plans-Vision 2030. The vision is for Jamaica to be the place of choice to live, work, raise families and do business. From this long term plan, medium term socio economic policy frameworks are developed for three year periods.

18. 3. Medium Term Socio-Economic Policy Framework (MTF)

19. 4. Opportunities and Challenges

20. 5.1Characteristics of the Global Logistics Hub Initiative (1) • It is the single largest project to be undertaken by the Government of Jamaica for decades. It is a large scale integrated industrial zone focusing on logistics management, transshipment and light manufacturing. It comprises six complementary elements: • 1. The dredging of the Kingston Harbour • 2. Port facility expansion • 3. The Caymanas Economic Zone (CEZ) • 4. Transshipment Commodity Port facility • 5. Dry dock facility • 6. Air cargo and passenger facility (Vernamfield)

21. 5.1 Characteristics of the Global Logistics Hub Initiative (2) • When completed, the Caymanas Economic Zone will include clusters of global businesses operating from special economic zones, technology parks, logistics parks and industrial parks (export focused, high value niche manufacturing). • The industries/clusters for the Caymanas Economic Zone under consideration are: • Assembly Plants – Electronics • Light Manufacturing Facilities e.g. furniture craft, agro- processing • Software Development, Telecommunications and Information Technology • Pharmaceutical operations

22. 5.1 Characteristics of the Global Logistics Hub Initiative (3) • Logistical planning & Warehousing • Small Business Incubator Centre • The Creative Sector • Services (banks, medical facility, restaurants) for workers • Cost and Funding: US$9billion through public private partnership. The World Bank, Inter-American Bank and investors from China, Singapore, Dubai, the Netherlands, Canada, Panama and Jamaica have pledged their support for the project. • Initial project estimated duration: 5-10 years. However PM wants it completed by 2015.

23. Caymanas Economic Zone

24. Caymanas Economic Zone- Technology Park

25. Logistic Hub- Expansion of Port Facilities

26. 5.2. Policy Process- Global Logistics Hub

27. 5.3. Coordination and Decision Making Machinery (1)

28. 5.3. Coordination and Decision Making Machinery (2) • The Prime Minister has made this flagship project a national priority as part of its growth strategy. • As a symbol of her commitment, she has established the National Logistics Initiative Council to coordinate and monitor the activities of the project. The chairman reports directly to her. • The coordination and decision making process is centralized and combines both a top down (policy) and a bottom up (technical issues) approach.

29. 6. Concluding Remarks • Ideas for policy may originate from the chief servant (PM), the planning agency (PIOJ), stakeholders or within the ministry itself. The process is standardized. • The Logistic Hub Initiative was the brain child of the PIOJ. Based on the nature of the project, the MIIC developed the policy paper and sought consensus from the other integral ministries (MOA, MWHT). It then went to the Economic Development Committee of Cabinet for approval. • MIIC is the lead ministry. However, the PM has appointed a council (NLIC) to coordinate the activities. This council reports to the PM. • “A policy is a temporary creed liable to be changed but while it holds good it has got to be pursued with apostolic zeal” (Mahatma Gandhi) • Despite the many challenges, the Global Logistic Hub Initiative is a very ambitious plan, if pursued with this zeal, well coordinated and monitored will transform the Jamaican economy and be a proud part of our development history.

30. 7. References • Government of Jamaica. Cabinet Office. (2002). A manual for policy analysts, 2002. Kingston: Government of Jamaica. • Government of Jamaica. Jamaica Information Service. (2013). Logistics Hub represents path to transformation of the economy, 2013. Kingston: Government of Jamaica. • Government of Jamaica. Ministry of Industry, Investment and Commerce. (2011). Caymanas Economic Zone investor update, 2011. Kingston: Government of Jamaica • Government of Jamaica. Ministry of Industry, Investment and Commerce. (2012). Medium term socio economic policy framework, 2012. Kingston: Government of Jamaica • Government of Jamaica. Ministry of Industry, Investment and Commerce. (2013). Sectorial debate presentation, 2013. Kingston: Government of Jamaica • Government of Jamaica. Planning Institute of Jamaica. (1995). An approach to industrial policy in Jamaica, 1995. Kingston: Government of Jamaica • Government of Jamaica. Planning Institute of Jamaica. (2009). National Development Plan, 2009. Kingston: Government of Jamaica • Government of Jamaica. Planning Institute of Jamaica. (2012). Medium term socio economic policy framework, 2012. Kingston: Government of Jamaica • Government of Jamaica. Statistical Institute of Jamaica. (2013). Statistics everybody’s business, 2013. Kingston: Government of Jamaica •  Harris J., (1995). An approach to industrial policy for Jamaica. PIOJ: Kingston