OCEAN ISLAND (Hansard, 28 June 1977)

§ Lord BROCKWAY
My Lords, I beg leave to ask the Question which stands in my name on the Order Paper.

§ The MINISTER of STATE, FOREIGN and COMMONWEALTH OFFICE (Lord Goronwy-Roberts)
My Lords, the Statement by my right honourable friend in another place on 27th May envisaged an ex gratia payment of 10 million Australian dollars by the Governments of Australia, New Zealand and the United Kingdom to establish a fund for the benefit of the Banaban community. The response by the Banaban Council of Leaders accepted the payment provided that the administration of the fund was within their control and that Ocean Island was separated forthwith from the Gilbert Islands. As regards the division of phosphate revenues, which we regard as reasonable, the Banabans argued that these should all be paid to them, with none to the Gilbert Islands, from 1st April 1977.

§ Lord BROCKWAY
My Lords, in view of the statement of the Vice-Chancellor in court, and indeed by the noble Lord himself, that the Banabans have been very wrongly treated, is not this proposal of compensation very meagre indeed? Will the noble Lord consider the point that the Banabans have the right to self-determination; that they were not included in the Gilbert and 1000 Ellice Islands when they were annexed but were added later without consultation? Should not something be done to amend this unfortunate colonial experience?

§ Lord GORONWY-ROBERTS
My Lords, I could not agree that the proposed ex gratia payment is meagre. It is indeed very generous. I would once more express appreciation of the generous action of our Australian and New Zealand partners in the British Phosphate Commission in agreeing with us that a substantial ex gratia payment should be offered to the Banabans to enable them to protect their future.
As to the constitutional point, there are very deep feelings among the Banaban community in favour of separation from the Gilbert Islands, but there are equally strong feelings among the Gilbertese against the fragmentation of their territory, a feeling which is widely shared throughout the archipelagic Pacific communities. Whatever the original reasons, Ocean Island has been part of the Gilbert Islands for a very long time and the Gilbertese are strongly opposed to separation. It is for this reason that we have sought a compromise—to meet the Gilbertese feeling that the integrity of their country as they move to independence should not be fragmented further—and to meet, in some degree at least, the feelings of the Banaban community by fashioning a position of strong autonomy for Ocean Island within the independent Gilbertese State.

§ Lord KILBRACKEN
My Lords, would not the Minister agree that the compensation proposed represents an almost immeasurably small percentage of the vast profits that have been made out of these islanders over the years? Can the noble Lord give any indication of what percentage it does represent? Would he not agree that a far larger sum should be paid and that the British Government should do their best to see that such compensation is paid?

§ Lord GORONWY-ROBERTS
My Lords, I must respectfully disagree. I think this gesture is a very generous one. Originally the sum of 7 million Australian dollars was proposed. I am glad to say that I had some part in persuading our partners to increase that figure to 10 million 1001 Australian dollars so that a per capita income might be derived from that corpus for the future of the Banaban community which compares favourably with the prevailing rate in similar circumstances in the Pacific generally. But the availability to the Banabans does not stop there. They will continue to receive substantial sums from the revenues from mining until mining ends some time in 1979. The sum does not in fact take account of the fact that the Banabans have received more than 7½ million Australian dollars in revenues over the last three years. It is true that they have not, unfortunately, been able to utilise part of that to build up a fund themselves, and it is partly in recognition of that fact that this ex gratia payment of 10 million Australian dollars has been put together. Moreover, if we look at the pace and proportion of payments to both communities—and they really are one—over a number of years past, I think that proportionately the Banabans per capita have benefited considerably more than the Gilbertese.
As to arrangements for the future for the two communities to work together and live together within the Gilbert Islands, I am very hopeful that discussions may take place between them, at which I shall be very glad to assist, constantly trying to put together some workable compromise on this basis so that they can move together as a unified independent State looking to the future. It will then be for them, in the light of their experience of a devolved system, to decide whether to continue that or to adjust it further.

§ Lord BROCKWAY
My Lords, while I appreciate what the Minister has done in this matter to secure better terms, does his last reply mean that the matter is not now resolved and that there will be continuing discussions with the representatives of the Banaban people?

§ Lord GORONWY-ROBERTS
My Lords, as to the ex gratia payments, by definition, of course, they must be conclusive. We are well prepared to consider the Banaban suggestion as to the organisation of the fund. Indeed, we are willing to provide experts to organise the fund in a proper and fruitful way. As to the constitutional issue, my right honourable friend 1002 and I have always said that, although we see real difficulties in fragmenting this territory further, nevertheless we are prepared to listen to arguments for alternative arrangements. We think that the best hope for the future lies in the two communities working together within a devolved system, and we shall work for that. However, the final decision on the constitutional arrangements must, of course, lie with the pre-independence constitutional conference which in due course will be held and at which I have promised—and I repeat the promise today—that the Banabans will be fully represented and will once more be able to put their case.

§ Lord PARGITER
My Lords, I should like to ask the Minister whether or not the Banabans will be viable as a community when mining ceases on Ocean Island?

§ Lord GORONWY-ROBERTS
My Lords, it is at the least very doubtful, is it not? I do not want to prejudge the issue. There may be ways in which we can link the Banaban community—which for more than 30 years has lived on Rambi Island in Fiji—with the future of Ocean Island. I should welcome that, so that a viable future is possible on the island for the island in relation to the Banaban community and the Gilbertese. A great many options are possible once we can sit down and, with good will, talk these matters over. It has not been very easy to get that kind of discussion going.

§ Lord LEE of NEWTON
My Lords, having great sympathy both with the Banabans and the Gilbert islanders, I should like to know the terms and conditions under which the Gilbertese are now going to independence. My noble friend will know that many of the Gilbert Islands are purely coral atolls on which little in the way of food can be grown. If there is now to be a change in the conditions of independence, is there some other way in which revenue can be raised to sustain those on the Gilbert Islands themselves?

§ Lord GORONWY-ROBERTS
My Lords, my noble friend—who was himself Secretary of State for the Colonies and who speaks with authority on these matters—has put his finger on a very real problem. As with many other small 1003 dependencies moving to independence, the question of future viability arises no less with the Gilbertese as a whole as with the Banabans as a community. It is our duty to ensure the viable future not only of the Banabans but also of the Gilbertese community. We are working hard towards that end. As to the point my noble friend raised about the possibilities of economic development in the Gilberts, in the past few weeks we have had detailed discussions with the Chief Minister and his colleagues, and there are a number of projects and proposals which my right honourable friend the Minister for Overseas Development and my Department are actively considering with the Gilbertese Government at the moment.