The University of Fiji has told the Fiji Law Reform Commission that the current distribution of 20 percent mineral royalties may not provide sufficient funding for environmental protection and long-term national development.
In its submission on the Mining Act 1965, the University stressed that state sovereignty over natural resources is an internationally recognised legal principle that has been adopted in Fiji through both the 1997 and 2013 Constitutions.
Vice Chancellor Professor Shaista Shameem says the principle is reflected in the United Nations Declaration on Permanent Sovereignty over Natural Resources, adopted through UN General Assembly Resolution 1803, and is enshrined in Section 186 of the 1997 Constitution and Section 30 of the 2013 Constitution.
Professor Shameem says the Declaration establishes that the state has sovereignty over all natural assets, including minerals found within its jurisdiction, and carries the responsibility of managing those resources in the interests of national development and the well-being of its people.
She says Section 30 of the 2013 Constitution requires the state to fairly share royalties earned from mineral extraction with customary and freehold landowners where the minerals are found.
According to Professor Shameem, the Constitution sets out several factors that must be considered when determining how royalties are shared.
These include the benefits received by landowners from extraction activities, the risk of environmental damage, the cost of repairing or compensating for environmental harm, the state's costs of administering exploration and mining rights, and contributions made to government revenue by mining operators.
She highlighted environmental management as a significant cost to the state, pointing to the Environment Management Act 2005 and its 2025 amendments, which establish agencies and monitoring mechanisms to oversee activities that may cause environmental damage.
Professor Shameem questioned whether the state's current 20 percent share of royalties is sufficient to meet its responsibilities for environmental protection and to ensure future generations benefit from Fiji's natural resources, particularly amid growing climate change challenges.
She further says the UN Declaration was a decolonisation commitment designed to allow newly independent nations such as Fiji to use their natural resources for the benefit of all citizens and future generations.
The University also recommended that a new Mining Act include provisions covering deep-sea and seabed mining, reduce excessive discretionary powers held by individual public officials, strengthen enforcement mechanisms, and modernise regulations to address contemporary mining practices, health and safety standards, and environmental concerns.
Professor Shameem says mining legislation must not only comply with Fiji's Constitution but also align with international legal standards governing state responsibility and environmental protection.
