Office of The Attorney General - Bahamas

Join us in wishing a Happy Birthday to Sen. the Hon. L. Ryan Pinder, Attorney General of The Bahamas and Minister of Legal Affairs

Solution is ‘on the horizon’ for Company Registry woe FINANCIAL services providers and corporate Bahamas were yesterday promised that resolution of payment “back-logs” and other woes with the new online Companies Registry portal is “on the horizon”.

Wishing students across The Bahamas a happy new school year. We are rooting for you!

Today we honor the lives of those lost during the devastation of hurricane Dorian 5 years ago. We are a resilient people.

Consultation launched on land reform A CONSULTATION has been held by the Attorney General’s Office on the issue of land reform.

Pinder: Middle ground found on cannabis’ religious use ATTORNEY General Ryan Pinder says there has been “constant communication on the cannabis bills” after reports that the Rastafarian community is considering legal action on the issue.

Attorney General Ryan Pinder Represents The Bahamas, Caribbean Region At The United Nations - The St Kitts Nevis Observer Nassau, Bahamas – Attorney General Ryan Pinder represented The Bahamas on the Ad Hoc Committee to Draft Terms of Reference for a United Nations Framework Convention on International Tax Cooperation and was the Caribbean representative from The Group of Latin America and Caribbean Countries on the ...

AG submits legal brief on climate change to the ICJ THE Bahamas has formally submitted a legal brief to the International Court of Justice (ICJ) addressing positions filed by various countries regarding climate change, according to Attorney General Ryan Pinder.

The Bahamas applauds the United Nations process for establishing a United Nations Framework Convention on International Tax Cooperation. This is the first time that global tax rules will be created in an environment of inclusiveness where all countries have equal voice and footing. The interests and voice of the Global South have been heard in this process of agreeing on Terms of Reference, and we look to the continued involvement of The Bahamas in the committee to draft the United Nations Framework Convention on International Tax Cooperation.

Attorney General Ryan Pinder represented The Bahamas on the Ad Hoc Committee to Draft Terms of Reference for a United Nations Framework Convention on International Tax Cooperation and was the Caribbean representative from The Group of Latin America and Caribbean Countries on the Bureau of the Ad Hoc Committee which formulated the framework for the Terms of Reference. Today the Ad Hoc Committee approved the Terms of Reference for a United Nations Framework Convention on International Tax Cooperation.

The Bahamas applauds the United Nations process for establishing a United Nations Framework Convention on International Tax Cooperation. This is the first time that global tax rules will be created in an environment of inclusiveness where all countries have equal voice and footing. The interests and voice of the Global South have been heard in this process of agreeing on Terms of Reference, and we look to the continued involvement of The Bahamas in the committee to draft the United Nations Framework Convention on International Tax Cooperation.

Thank you to FIU in DC for hosting a productive discussion on climate resilience. Small island states like The Bahamas are disproportionately impacted by climate change, a crisis we did not create. We need climate justice. Developed countries must take responsibility for their emissions and provide financial support to vulnerable nations.

“The only way that people react is if you hit them in their pocketbooks.” We’re past the point of politely asking for help. Small island nations like The Bahamas are bearing the brunt of a crisis we did not create. Sadly, it seems the only language some understand is financial accountability. Climate justice requires holding developed countries responsible for their emissions. Litigation can be a powerful tool to achieve that.

AG OFFICE TO APPEAL SUPREME COURT RULINGS
ATTORNEY General Ryan Pinder said his office will appeal two recent Supreme Court rulings in which a man and a woman were collectively awarded $2.6m for the challenges they endured.

AG office to appeal Supreme Court rulings ATTORNEY General Ryan Pinder said his office will appeal two recent Supreme Court rulings in which a man and a woman were collectively awarded $2.6m for the challenges they endured.

Happy Emancipation Day Bahamas!

Many thanks to FIU in DC for the panel last night on climate resilience. The Bahamas is taking action to build a more resilient future. We’re investing in renewable energy and planting mangroves to protect our coastlines. But we can’t do it alone. We need global cooperation to address the climate crisis.

AG: Government preparing to pass legislation to create a land registry this fall https://ewnews.com/ag-government-preparing-to-pass-legislation-to-create-a-land-registry-this-fall via

AG: Government preparing to pass legislation to create a land registry this fall NASSAU, BAHAMAS — The government is preparing to pass long-awaited legislation this fall that will establish the framework for registered land and create a land registry, according to Attorney General and Minister of Legal Affairs Ryan Pinder. During his contribution to the Senate debate on the c

Discover What the 2024 Cannabis Legislation Permits and Prohibits: Swipe to Learn More!

It’s our Birthday! Happy 51st Independence Bahamas.

It was a pleasure and a privilege to meet Financial News’ Bilal Jafar in London last week, and discuss the Bahamas’ position as a leading jurisdiction for the digital assets sector.

As we move forward at pace with the revised Digital Assets and Registered Exchanges act, it was important to discuss the rate of growth our market has witnessed over the last 12 months, and our commitments to ensuring leading crypto businesses can thrive on our shores now and in the future.

Read the full piece below:

https://lnkd.in/eGfbvuy2

We are thrilled to announce the official launch of the new Corporate Administrative Registry Services (C.A.R.S.) portal!

This fully digital platform allows you to incorporate new companies, file corporate documents, pay annual fees, and obtain certified copies—all from the comfort of your home or office.

This marks a significant leap in service delivery, enhancing efficiency and accessibility. We look forward to seeing the positive impact on our business sector as we embrace the convenience of digitalisation.

ICYMI: https://www.tribune242.com/news/2024/jun/21/ag-govt-will-launch-catastrophic-insurance-initiative-for-the-vulnerable/

Attorney General Ryan Pinder highlighted the shortage of pathologists as one of the reasons the country has been unable to deal with the backlog of murder cases and called for reform that that area.

"To put a significant dent in the backlog of murder cases, it is incumbent upon our stakeholder, the Ministry of Health to provide more pathologists within the Public Hospital Authority at the Rand, Princess Margaret Hospital" he said as he contributed to debate on the 2024/25 budget in the Senate today.

"Our office is calling for major reform in this area as we were only able for the year 2023 to prosecute seven murders that ended in convictions; two acquittals; three plea agreements; 19 nolles and four death certificates entered for the defendants.

"It should be noted that only nine of the murder matters were disposed of during the trial process. This is primarily due to the fact of the lack of a report from a pathologist at the time of the trial. The shortage of pathology experts and the delay in or absence of reporting are of great consequence, requiring from us an urgency to act quickly, but in addition, given that many other nations are also struggling with a shortage of trained pathologists and medical examiners, we must also continuously review matters of incentives, compensation, public education, and legislative reform in order to address the issue comprehensively."

COMMONWEALTH OF THE BAHAMAS

2024 / 2025
Budget Debate

Changing the Status Quo … Changing Lives

Presented to the Honourable Senate

by

Senator The Honourable L. Ryan Pinder
Attorney General and Minister of Legal Affairs
on Thursday, 20th June 2024

Changing the Status Quo
I support the 2024 / 2025 Budget presentation. The state of the country is good, the economic rebound since we came to office in September 2021 has been nothing short of transformational. The country we live in today, with the economic prosperity we are experiencing, is a complete reversal from the chaos and mismanagement we were experiencing when we came to office. Bahamians should recall that in September 2021 we were still under curfew imposed on us by the former FNM administration, the economy was stunted, unemployment was high, and Bahamians were frustrated. In fact, upon coming to office, the unemployment rate was 17.6%, almost 1 and 5 Bahamians were out of work. Today, the unemployment rate is the lowest it’s been since 2008, at 8.8%. That is certainly changing the status quo.

In June 2021, just months before we came to office, the debt to GDP ratio was 100.4 %, the size of the debt was greater than the size of our economy – most economists would regard this as crisis territory. Since coming to office, the Brave Davis administration in three years has reduced the debt-to-GDP ratio to 79.9 percent, a significant achievement. This is changing the status quo.

The status quo under the FNM administration were curfews, lockdowns, travel visas, and the Emergency Orders. We changed that status quo and look where the country is in less than three short years. I think it important to reiterate Prime Minister Brave Davis in areas where in this budget we look to continue to change the status quo:

We are challenging the status quo in our energy sector - we are finalizing comprehensive energy reforms which will upgrade and modernize our failing grid, bring solar on board in a big way, pull down sky-high costs, and increase reliability.

We are also challenging the status quo in health care – building not just one new hospital, but two, one in New Providence and one in Grand Bahama, even as we’re renovating clinics and procuring ambulances for our Family Islands

We are challenging the status quo in Grand Bahama

We are challenging the status quo in labour relations – we signed thirty labour agreements in 30 months – after none had been signed in the previous four years!

We are challenging the status quo on unregulated communities – our task force is demolishing shantytowns because they are unsafe, they alter life on our islands, and they are against the law.

And we are challenging a status quo which has allowed gangs to flourish – we passed tough new anti-gang measures.

We are challenging the status quo in our justice system – we put in place stricter bail laws, to stop the endless cycle of those out on bail violating the terms of their bail and remaining free to commit more violence. We built new courts, and we passed a law to allow defendants to choose judge-alone trials and created more efficiencies in the judicial system with the Courts Services Act and amendments to the Supreme Court Act and Magistrates Act.

Bahamians are happy that they don’t have to experience the status quo of the FNM administration, we are all happy that it’s a New Day.

Improved Fiscal Performance
The poor decisions of the former FNM administration created an economic crisis we inherited; it is our job to chart a path to fiscal responsibility. When we came into office, the fiscal situation was bleak, with a deficit that was 13.1 percent of GDP. That is an astronomical deficit that reflected the true state of affairs of the finances of the country. We have changed this status quo in a major way, in under three years, we’ve knocked more than a billion dollars off our deficit. I’m going to repeat that, because it’s so at odds with how critics like to misrepresent things. Our responsible fiscal management rescued the country from crisis and knocked more than a billion dollars off our deficit. The deficit last year was reduced to around 4% of GDP, down from 13.1 percent when we came to office. The deficit this year is projected to be around 1% of GDP, a further reduction from last year. We have changed the status quo, reducing the deficit from an astronomical 13.1 percent of GDP to an astonishingly good 1% of GDP, and on our way towards a balanced budget in the foreseeable future. According to international monetary agencies, “the improvement from last year is significant”. If the improvement from 4% to 1% deficit is significant, how do you describe a reduction from 13.1% to 1%.

Our economy continues to grow. The recently released GDP estimates by The Bahamas National Statistical Institute (BNSI) indicate that real GDP growth was on the order of 2.6 percent in 2023, while GDP in nominal terms increased by 9.2 percent, that is incredible growth and higher than forecasted. Nominal growth is the metric that matters. We know tourism is the driver of the economy and growth in the country. It has been acknowledged by international monetary agencies that the significant increase in our tourism industry has resulted in a growth bottleneck, we don’t have the necessary hotel room inventory to sustain the above average economic growth. There is nothing flawed in the country’s fundamentals, we look forward to the additional capacity that the $7.2 billion of on-stream investment projects will create in order to maintain our economic growth.

Economic Rejuvenation
The results of sound fiscal management and economic growth is making an impact on the daily lives of Bahamians. Household consumption saw an 8 percent rise in 2023 compared to the previous year. Household consumption levels reflect the spending behavior of households and are often considered a proxy for assessing economic well-being. This increase in purchasing power shows that positive economic developments are reaching Bahamian families.

This is also reflected in key economic indicators. The most recent official data from The Bahamas National Statistical Institute shows 22 percent growth in the construction industry, reflecting robust economic conditions, government investment in infrastructural improvements, and increased private investment in building projects. Service industries such as hotels, casinos and sporting facilities benefited from the increase in tourist activity, growing by 10.0 percent. Tourism arrivals indicate the sustained economic growth. The Bahamas had 9.7 million visitors in 2023, representing a 37.9 percent increase from the 7 million arrivals in 2022. The influx of visitors last year underscores the substantial growth in arrivals since the peak in 2019, when there were 7.3 million visitors. The former administration bragged about having record arrivals in 2019, I remember the glee on their faces. Well tourist arrivals in 2023 were 33% higher than their record in 2019 – we certainly have changed the status quo. And 2024 is looking like an even better year.

This economic growth isn’t only enjoyed by the hotels, data provided by Airbnb confirm that at the end of March 2024, total room nights sold increased by 16.7 percent from the previous year. Bahamians with Airbnb properties are experiencing the significant growth in the tourism sector. The economic state of affairs of The Bahamas is good, it’s very good, it certainly is a change from the status quo.

2022 / 2023 Budget Legislation
As the Attorney General with the ministerial responsibility for preparing the laws that we debate in this and that other place, it is my responsibility to discuss and lay out the legislation that makes up this 2023 / 2024 Budget. I will address them in alphabetical order.

Agricultural Manufactories (Amendment) Bill, 2024 inserts a definition of machinery which allows replacement parts for a machine to benefit from customs duty exemptions. This will provide much needed tax concessions to agriculturalists that didn’t exist before, demonstrating our commitment to growing the agricultural sector of the economy.

Business Licence (Amendment) Bill, 2024 We passed a new Business License Act last budget cycle; this amendment looks to provide clean up and clarifications in areas, such as better defining which residential rental operations are exempted from the requirement for business licence and the type of residential property in respect of which the exemption applies. The amendment also clarifies international business companies that do not have operations in the domestic market are excluded from having to obtain the approval of the Minister to be granted a licence. This will help greatly with the ease of doing business in the international markets. One key amendment provides concessionary taxation to the agriculture sector: the amendment changes from a flat rate to a progressive rate of tax for agricultural businesses with a maximum rate of .75%. This is a significant change for our farmers.

Commercial Recreational Watercraft (Amendment) Bill, 2024 provides that commercial recreational watercraft or hire with streamlined registration and establishes Bahamian citizenship as condition for registration by the Authority. Only Bahamians can benefit from the watercraft industry related to our tourism product. Another example of Bahamian empowerment in this budget.

Customs Management (Amendment) Bill, 2024 prohibits ATM Skimmer Machines being imported for illegal transactions in order to protect Bahamians from theft and financial crimes. The amendment also bans non-biodegradable, oxo-biodegradable, or biodegradable single use plastic shopping bags and food ware in accordance with the Environmental Protection (Control of Plastic Pollution) Act, 2019.

Excise (Amendment) Bill, 2024 allows taxicab, livery car and omnibus owners to be able to purchase used motor vehicles, when those vehicles are five or fewer years old. This provides greater flexibility for our taxi and jitney drivers and supports the upgrade of their respective fleets.

Immigration (Amendment) Bill, 2024 amends the permanent residence regime to provide that any person who has made an investment of one million dollars in real estate in The Bahamas and/or Zero Coupon Bonds from the Central Bank of The Bahamas for a minimum duration of ten years. This is an important amendment that will allow flexibility of investment while giving the option for zero interest loans and also raise the threshold for investment to qualify for permanent residence.

Industries Encouragement (Amendment) Bill, 2024 This is an important amendment to provide tangible assistance to manufacturers in the country. The amendment ensures replacement machine parts are also exempt from the payment of customs duties and removes the requirement for a bond and surety for the import of machinery and raw materials. All manufacturers will tell you how significant of an amendment this is for them. This amendment also includes machine parts to ensure replacement machine parts are also exempt from the payment of customs duties, a significant expansion of concessions available to manufacturers.

International Persons Landholding (Amendment) Bill, 2024 provides for an enforcement regime to ensure taxes are paid on the transfer of real estate. We have seen where taxes are not being paid in a timely manner, and sometimes not paid at all. The amendment provides for the expiration of a permit if value added tax or real property tax is not paid within ninety days of assessment or if the requisite return is not made.

Ministry of Foreign Affairs (Amendment) Bill, 2024 concerns the provision of consular services, allowing for the use of couriers to deliver passports to Bahamians living abroad, so they are no longer required to travel to an embassy or consulate, eliminating the need for long journeys for many in the Bahamian diaspora.

Port Authorities (Amendment) Bill, 2024 rebalances the charging framework for jetties, groins, moorings and abutments.

Real Property Tax (Amendment) Bill, 2024 amends provisions related to the enforcement of collection of real property taxes on property.

Road Traffic (Amendment) Bill, 2024 provides that automotive insurance cannot be cancelled with less than 6 months on the policy. This is to prevent uninsured vehicles on the road. The amendment also allows police to impound vehicles that do not have insurance. The amendment also requires a term of 6 months of insurance in order to register a vehicle. The safety of Bahamians on the roads is important.

Stamp Bill, 2024 is a repeal and replacement of the Stamp Act in order to clean up certain provisions and to incorporate the years of amendments into a single bill. This is consistent with our intent to consolidate revenue bills for the ease of interpretation and use.

Tariff (Amendment) Bill, 2024 reduces duties on a number of items detailed in the schedules.

Value Added Tax (Amendment) Bill, 2024 sets out a number of reforms intended to ensure compliance with the VAT laws when it comes to real property and the transfer of real property. This is important as we have seen a significant fall-off on VAT payable for the transfer of real property. This includes certain penalty provisions, declaring real property holdings in companies. The amendment also established a tax amnesty by providing for six months of leniency to allow persons to submit unstamped instruments that are late and have the VAT calculated at the market value of the property at the time the conveyance was executed and not the market value of the property at the time the conveyance submitted.

Changing the Status Quo at OAG
I want to take the opportunity to speak about some important reforms that we are undertaking at the Office of the Attorney General that define changing the status quo.

Registrar General
The status quo when it comes to the registries of The Bahamas is long delays in service, systems that don’t work properly, and inefficiencies that severely constrain the ease of doing business. We are about to change this status quo and bring fundamental reform to the registries of The Bahamas.

On Friday of this week the registrar general will officially launch its new Corporate Administrative Registry Services (C.A.R.S) portal. C.A.R.S. is a fully digital corporate registry platform that allows the user to incorporate a new company, file corporate documents, pay annual fees and obtain certified copies of corporate documents from the comfort of your own home or office, without having to physically visit the RGD. For the past few months, a few financial corporate service providers have been participating in a pilot testing of the new platform to ensure a satisfactory user experience. C.A.R.S. will officially launch tomorrow, June 21. This is the culmination of years of work in development, data integrity projects and data migration. We truly believe that this will turn the status quo upside down when it comes to the company registry of the country. I want to thank and congratulate the registrar general, Camille Gomez-Jones for her dedication and desire to get this project over the finish line, at times in very difficult circumstances. We are very excited, as is the industry, to introduce this platform, an important, modernizing step forward for our business sector.

Following the launch of C.A.R.S, the RGD will immediately begin the digitization of the Civil Registry, which will include a fully digitized Civil Registry Services Platform that allows the user to obtain certified copies of Birth, Death and Marriage records as well as certified copies of recorded documents without having to visit the RGD. The development work has already begun on this project, and we look forward to launching the new civil registry platform for new registrations by the end of this calendar year. Gone will be the days of having to line up outside in the elements to file registrations and get documents.

As part of this civil registry modernization, we will pass the Movable Property Security Interests Bill and launch a moveable assets and collateral registry. We will table this legislation before the summer recess, and it will be integrated into the new digital civil platform. The moveable asset collateral registry will revolutionize access to capital for small and medium size businesses, unlocking entrepreneurial success for Bahamians. This new collateral registry will allow automatic perfection of a security interest in moveable assets such as inventory, vehicles, accounts receivables, etc. Banks and financial institutions will have a secure lending regime for small businesses secured by these assets. We are excited to what this can mean for small businesses in The Bahamas. Certainly, changing the status quo on access to capital be small and medium sized businesses.

We will in the coming months pass legislation that will split the Registrar General into a Registrar of Companies and a Registrar of Records. There will be two distinct operations with two distinct Registrars and staff trained in the specific areas. This is important to ensure dedicated and trained service in both distinct registries. This is a long time coming and certainly upends the status quo.

We will also move into the long-awaited new space at the Financial Center, the renovations are complete and the last of the furniture and cabling is being completed. This will ensure an experience by the consumer at the Registrar General that the consumer has never before seen, certainly a change in the status quo.

Intellectual Property Reform
We are also on the cusp on intellectual property reform in The Bahamas, ensuring a modern legislative and registry framework to empower the Orange economy. This is fundamental to policy priorities of the Brave Davis administration, ensuring the orange economy represents a significant component of our economic growth.

Next month we will pass a suite of legislative amendments to enhance intellectual property protection in the jurisdiction. The new legislation and regulations will provide increased protection for Trademarks, Copyrights, Patents, Geographic Indications and Industrial Designs. We have concluded our public consultation exercise on the proposed legislative framework and received comments from the IP section of the Bar as well as detailed comments from the World Intellectual Property Organization (WIPO).

The legislation will create a new The Intellectual Property Office which will be responsible for a stand-alone IP registry and an IP Registrar. Thus, the responsibility of managing intellectual property in The Bahamas will be removed from the Registrar General office and be put in a dedicate IP Office to manage the registry and industry development. The IP Office will be located within the Office of the Attorney General. This is a model adopted by many of our regional colleagues and proven to be a success. WIPO has also committed to provide a technical consultant and general expert advice on the establishment of the office as well as incorporating the new IP regime with the creative industry of The Bahamas. On the launch of the IP Office, we also want to launch, with the partnership of WIPO, a special project on IP and Junkanoo. This would provide focused consultation and a project plan to leverage the creative aspects of Junkanoo, to protect their interests and create additional opportunities for economic benefit from our national festival.

Land Reform
I am pleased to announce today we release for public consultation the long-anticipated Land Adjudication Bill and Land Registration Bill which will establish the framework for registered land and the creation of a land registry run by a stand-alone Land Registrar. The Bills and a presentation on our approach can be found at www.Bahamaslandreform.gov.bs.

We look to pass this legislation in the fall and by the beginning of 2025 have active land adjudication panels processing title to be registered on the newly established land registry. We will have to initially run a dual system, with the current system with the establishment of the land registry. We will constitute land adjudication panels throughout the country who will verify title to property and once verified as good title the property will be put on the registry. Once the property is on the land registry the title will be deemed good and marketable title, without the need to do extensive and expensive title verification exercises.

A properly constituted land registry will be a fundamental change to the approach, cost and ease of doing business when it comes to property transactions. This is a fundamental shift in the status quo we experience today, a revolutionary change that will be felt by all Bahamians, and lift the country – as they say, all boats float in a rising tide.

Yes, that is 4 Registries with 4 Registrars for 4 distinct areas. The status quo will be upended. These are all fundamental changes that will affect all Bahamians, personally and professionally. These reforms will contribute to the development of the country, the economy and Bahamians at large. Changing the status quo on the registries of our country will greatly improve the ease of doing business in The Bahamas.

Government Cartographic Insurance Program
The Office of the Attorney General has been tasked with changing the status quo on the availability of catastrophic property insurance for the most vulnerable in our country. We can all agree that given climate change, and the increase in frequency and severity of hurricanes that catastrophic property insurance has been priced at a point that is out of reach for many Bahamians, and most of the vulnerable in our society.

The Government of The Bahamas is pleased to announce a collaborative initiative with private sector stakeholders in the insurance industry to address the protection gap in the country. This initiative is being developed in partnership with The Bahamas Insurance Association and a global insurance leader and aims to provide vital insurance solutions, particularly for the vulnerable uninsured population, in the wake of natural disasters.

The aim is to significantly mitigate the strain on public finances following natural disasters, allowing for more efficient and effective disaster relief efforts. The Government, in collaboration with local private sector partners, has been engaging in discussions to expedite the development and roll- out of a new parametric insurance product.

This initial phase of the program will focus on individuals meeting the following criteria:
1. Uninsured: Those currently lacking adequate insurance coverage for their homes
2. Bahamian: Bahamian citizens residing in The Bahamas
3. Owner Occupied: Homeowners who occupy their own homes
4. Pensioner: Individuals receiving pension benefits
5. Property Value: Homes valued under $300,000

Additionally, the program will extend coverage to registered farmers and fishermen, recognizing the need to ensure that we build resilience in this sector as we move to strengthen food security.

The parametric nature of the insurance policy will ensure prompt and efficient payouts upon the occurrence of specified natural events, streamlining the recovery process. We propose to have the private sector manage the administration of this program, leveraging their expertise and resources for the issuance of cover and the payment of claims, the intricacies of which will be finalized in consultation with the Bahamas Insurance Association.

A Memorandum of Understanding (MOU) is expected to be signed shortly, outlining the key terms and commitments of the participating parties. The Government is committed to finalizing the concept and determining the optimal funding model for this program to ensure its sustainability and effectiveness.

This initiative represents a significant stride towards building a more resilient and protected Bahamas. By working collaboratively with the private sector, the Government aims to create a robust insurance framework that safeguards the vulnerable population and strengthens the nation's resilience to future challenges.

Criminal Justice Reform
The Government, under the leadership of Prime Minister Philip Brave Davis, has changed the status quo when it comes to criminal justice reform, ensuring that law, infrastructure and approach to crime prevention and enforcement is reformed. We have changed the status quo on penalties and offenses such as the Anti-Gang Act. We have changed the status quo on granting bail with the Bail Amendment Act. We have changed the status quo on the functions of the judiciary with the amendments to the Supreme Court Act and Magistrates Act, and the passage of the Courts Services Act which is scheduled to come into force July 1, 2024. We have changed the status quo on how trials are conducted with the passage of the Trial by Judge Alone (Miscellaneous Provisions) Act and The Supreme Court (Amendment) Act that establishes the requirement for pre-trial evidentiary hearings and submissions, both pieces of legislation to cause for criminal trials to be administered more expediently, bring justice in a timelier manner.

In this upcoming fiscal year, we will continue to change the status quo on criminal justice reform. We will table in the coming weeks a new Fi****ms Bill which will repeal and replace the current Fi****ms Act, incorporating stiffer penalties for fi****ms crimes and incorporating an approach that criminalizes current approaches to fi****ms trafficking such as ghost guns and gun components.

We are also launching this fiscal year a legislative reform project on a full review of the Penal Code. The Penal Code originates in 1927 with piecemeal amendments along the way. We think it is appropriate to do a comprehensive review and reform of the Penal Code and bring to Parliament a new Penal Code. This is certainly a change to the status quo.

Energy Reform
As we have discussed, we are fundamentally changing the status quo on energy in the country. We are advancing a New Energy Era: Our Country’s First Nationwide, Comprehensive Energy Reforms

Our priorities will include:
• Lower prices for families and businesses.
• More reliable electricity supply.
• More resilient system during storms.
• Job and pension security for Bahamian workers.
• New job and training opportunities for Bahamians.
• Bahamian partnerships in solar energy.
• Cleaner energy to replace dirtier, more expensive fuels.

We are undertaking these reforms and changing the status quo because we are in an energy crisis. Key parts of our outdated electricity grid are on the verge of collapse. Not only is the grid made up of aged equipment, but our current grid can only transmit expensive heavy fuels, not solar energy. Furthermore, inefficiencies and leakages from the grid now cost tens of millions every year to BPL, and thus the Bahamian people.

Not only is our grid in state of crisis, so is our generation. BPL currently rents 40% of peak load generation; renting is expensive. With the current generation of BPL, electricity supply is too unreliable; power outages are too frequent. 60% of generation engines in New Providence, and 80% in Family Islands, need replacement within the next five years.

The fact is BPL has $500 million in legacy debt, and $500 million is needed to acquire new generation and upgrade the transmission and distribution of BPL. So, we are changing the status quo with energy reform in the country in four distinct areas which I want to help explain.

New Generation in Nassau – BPL currently has 113 MW of rental generation equating to more than 40% of the peak load generation at a cost of more than $30 million a year. A significant amount of BPL generation is reaching the end of its useful life. To purchase sufficient generation in Nassau would cost more than $211 million. Given such challenges, BPL is negotiation a power purchase agreement to purchase from an independent power producer up to 177 MW of power, at not capital cost to BPL. This will replace the rental generation and also provide for the generation shortfall that exists. I want to be clear, this replaces generation already being provided by third parties, BPL generation is not being sold and BPL will continue to generate on its own as well.

Transmission and Distribution – The challenges of the grid in Nassau have been detailed. It will cost $130 million to sufficiently upgrade the grid to allow for efficient and reliable transmission of electricity, to avoid collapse. The arrangement to upgrade the transmission and distribution is for BPL to contribute transmission and distribution assets to a SPV as a capital contribution for 40% equity ownership, those assets having a book value of $100 million. The strategic partner, Island Grid, who is backed by one of the largest transmission and distribution companies in the US, contributes $130 million as a capital contribution for 60% equity in the SPV. The $130 million is then invested in the transmission and distribution network. The value of BPL’s interest in the SPV will likely increase after the infrastructure is upgraded. BPL has the right to purchase at fair market value 9% of the SPV and 2% contributed to a foundation, adopting the Aliv and BTC model. If BPL wishes to terminate the arrangement, it can do so and acquire the rest of the shares of the SPV at fair market value. This is a responsible agreement to upgrade our transmission and distribution network without a cost to the Bahamian people.

To give you a sense of the crisis we are in with respect to our transmission and distribution system, let’s look at what happened in Ecuador. Ecuador was hit with an hours-long nationwide blackout on Wednesday that left the South American nation’s 17 million people without power. The blackout — which affected hospitals, homes, and a major subway system — was caused by maintenance and transmission issues in the country’s electrical system, authorities said.

“The outages we had today were due to a lack of investment in maintenance, new electrical transmission, and the protection of the electrical transmission infrastructure,” Public Infrastructure Minister Roberto Luque told a news conference on Wednesday. Infrastructure Minister Luque said the blackout could have been avoided had Ecuador carried out an investment plan to “safeguard the infrastructure in both generating (power) and the transmission.”

The Bahamas, and particularly Nassau are in the exact same place, at any time due to the condition of our transmission and distribution system the entire grid can go down and there are questions whether if this catastrophic failure happens, if the grid will come back up. We must fix this problem and fix it now. Those who oppose must want to accept the status quo, this New Day government will not, we will upend the status quo.

Family Island - BPL anticipates needing more than $80 million for this new family island generation. The vast majority of family island generation needs to be replaced. We undertook a comprehensive RFP for the provision of new electricity generation in key family islands. We have selected the independent power producers who will construct power plants that have at least 30% solar energy, each respondent majority owned by Bahamians. We are currently concluding the necessary legal agreements.

Nassau Solar – We issued a comprehensive RFP and awarded 70 MWs of solar generation at 3 locations in The Bahamas. This is a very significant and indeed historic step in our country’s transition to renewable energy and also significant progress in securing much-needed additional generation capacity. This is the first utility-scale solar in Nassau and a substantial investment at that. And again, the investment is made by the independent power producers -- at no capital cost to BPL or to Bahamians.

This is the definition of changing the status quo of energy in The Bahamas. This will result in lower costs to consumers, more reliable and efficient energy to consumers, and more reliability at BPL. All of this without capital cost to BPL, without the sale of any assets of BPL, and securing strategic partnerships with experts in electricity generation and transmission. This is true energy reform – and the kind of change that is essential to economic growth and success in The Bahamas

Those who don’t believe such partnerships are the way to go should either (a) say why they believe the status quo is acceptable, or (b) say how they believe BPL consumers and Bahamian taxpayers could/should bear the full burden of upgrading the grid, and what impact they believe that would have on the families, businesses, and economic growth.

International Advocacy
We at the Office of the Attorney General are changing the status quo when it comes to international advocacy and the pursuit of justice for The Bahamas. There are three specific areas I think worthy of mentioning – the issue of climate justice, the issue of fi****ms trafficking, and the issue of tax governance and fairness.

We must ensure that those responsible for climate change, pollution and biodiversity loss and their corresponding impacts on human rights -- including the rights to health and a healthy environment – pay for the damage. The polluter must pay. Yes, we can pursue private causes of action against private polluting companies, and we are actively engaged in that exercise. But what about liability of other sovereign countries – what obligation do they owe for failing to protect the environment, for failing to enforce proper climate regulation and holding their companies and citizens accountable?

On 29th March 2023, the United Nations General Assembly adopted the historic resolution to request an advisory opinion (AO) by the International Court of Justice on climate change and human rights. The question put to the ICJ asks whether countries have an obligation under international law to protect the global climate system. It also seeks advice on the “legal consequences” when countries’ actions or omissions cause significant climate harm to Small Island Developing States (SIDS) and future generations in particular.

The Bahamas has submitted a legal brief in support of the determination of liability of sovereign states. We will make representation at the ICJ at The Hague and support a determination that sovereign nations have legal obligations and liability for their failures to sufficiently address the climate crisis caused by their emissions. Climate Justice will come for them. In this government, we continue to be very clear about our determination to impact decision-making in the international arena. Where there are debates about matters that have existential implications for countries like ours we will never take a backseat. We will always fight for The Bahamas. Another example is the finding by the he International Tribunal for the Law of the Sea that countries are obliged to protect the oceans from climate change impacts. This is a landmark decision which sets the stage for an advisory opinion at the ICJ.

In order to make an impact, countries like The Bahamas must be forceful, to ensure sustainability of our Blue Economy we must be felt -- and felt where it hurts most. We believe climate justice is necessary to changing the trajectory of the climate crisis, a crisis that jeopardizes our human rights and our inherent ability to survive.

We likewise believe that specific intervention by The Bahamas is required when it comes to illegal fi****ms trafficking. We are in Washington actively advocating for stronger laws in the United States, where more than 90% of the fi****ms on our streets originate. But diplomatic advocacy is not the only option, we must consider legal advocacy as well.

The people and Government of Bahamas suffer from one of the highest gun homicide rates in the world -- and it is not a problem of our own making. The Bahamas does not make guns, and it has strong gun laws, laws which we are strengthening. However, our policies are undercut by a flood of guns from the United States. It can be argued that this flood is a direct result of deliberate, reckless, unlawful business practices of gun dealers, manufacturers, and distributors, who choose to place personal profits over public safety. It can also be argued that the most effective solution to stop this flood is to attack its gun industry source through litigation.

We are actively exploring multiple litigation strategies with the goal gaining compensation for The Bahamas and reducing gun trafficking. There are viable claims The Bahamas can pursue. Needless to say, we will not stand by and allow reckless and negligent activities of other jurisdictions and companies within those jurisdictions to continue to put our citizens at risk. We will do something, we will be aggressive, and we will pursue our fights on this matter.

An important area where we have committed ourselves to change the status quo and to be forceful in our international advocacy is the need for a fair and equitable tax governance system globally, a system that is not defined by a few elite countries, but one that is sensitive to the realities and concerns of small developing states like The Bahamas and countries in the Global South. We believe that established protocols and tax frameworks are discriminatory, they are not all inclusive, nor do they apply the tax rules evenly across different countries. The international tax establishment does not take into consideration Special & Differential Treatment for developing countries, low-income countries, and countries with unique characteristics such as small island developing states.

This is why from the very beginning our administration have been vocal and ardent supporters of the African Group for the substance and advocacy that led to the adoption of General Assembly Resolution 78/230 that calls for Promotion of inclusive and effective international tax cooperation at the United Nations, taking the responsibility for a framework for international tax governance from the old boys club of the OECD and into a more equitable and fair platform of the United Nations. I represent The Bahamas and the region on The United Nations Ad Hoc Committee which has been tasked with drafting terms of reference for a UN Framework Convention on International Tax Cooperation. We will continue our aggressive advocacy in this area as we seek to change the status quo in international tax governance.

OAG Update
In addition to the areas discussed on changing the status quo, I think it appropriate to provide a general update on some particular areas under the portfolio of the Office of the Attorney General.

Department of Public Prosecutions
I want to take some time and talk about the Department of Public Prosecutions. The operations of the Department of Public Prosecutions continue to be a yeomen’s effort, with heavy workloads and limited capacity. Attorneys General over the years will tell you about the difficulty in recruiting prosecutors for the DPP for several reasons, including competition with the private criminal bar for qualified attorneys, and, relatedly, the remuneration, benefits and the stress and mental anguish that comes with the job. In 2023 fiscal year we were successful in launching health insurance for attorneys, and a meaningful adjustment in the financial scales for attorneys. These changes in remuneration and benefits have had a positive effect, and we continue to interview and hire new prosecutors, growing the pool of prosecutors to effectively prosecute criminal trials.

To exemplify this point, between 2021 and 2023, the Office of the DPP had experienced a decrease in its attorneys due to Judicial appointments and transfers within other ministries. In early 2024, the office advertised locally and throughout the Commonwealth region and has received a number of applications which are being processed. We anticipate an additional ten (10) prosecutors within the coming months, four (4) of whom are due to commence work on the 1st of July, 2024. We were able to complete a total of 171 matters for the year of 2023, and with the increase in attorneys we hope to double that number.

Mental Health is often overlooked as a vital issue in the workplace. However, at the Office of the Director of Public Prosecutions, Prosecutors daily are under enormous pressure of putting on cases, dealing with witnesses and persons charged with some of the most heinous crimes. This over any length of period can be taxing on them physically and mentally. In keeping with our commitment in tackling such issues, the office of the DPP has made provisions in the proposed budget for a psychiatrist to provide services to all the attorneys collectively and individually as needed.

To put a significant dent in the backlog of murder cases, it is incumbent upon our stakeholder, the Ministry of Health to provide more pathologists within the Public Hospital Authority at the Rand, Princess Margaret Hospital. Our office is calling for major reform in this area as we were only able for the year 2023 to prosecute seven (7) murders that ended in convictions; two (2) acquittals; three (3) plea agreements; nineteen (19) nolles and four (4) death certificates entered for the defendants. It should be noted that only nine (9) of the murder matters were disposed of during the trial process. This is primarily due to the fact of the lack of a report from a pathologist at the time of the trial. The shortage of pathology experts and the delay in (or absence of) reporting are of great consequence, requiring from us an urgency to act quickly, but in addition, given that many other nations are also struggling with a shortage of trained pathologists and medical examiners, we must also continuously review matters of incentives, compensation, public education, and legislative reform in order to address the issue comprehensively.

I am pleased to report that in the upcoming fiscal year, in cooperation with the Ministry of Health, there is an active recruitment effort in The Bahamas and internationally for additional Pathologists. We prefer Bahamians fill these roles, but right now, there are not enough Bahamians to fill the posts. I am advised by the Minister of Health that this process is well underway and we anticipate additional pathologists being hired in the coming months. This will have a material impact on the disposition of murder trials in The Bahamas.

We likewise need the necessary laboratories and infrastructure to support the new cadre of Pathologists. The Minister of Health advises that budgeted through a loan with the IDB is a new reference laboratory to support the timely reports to support the prosecutions by the DPP. This is certainly a change in the status quo as our country hasstruggled for years with insufficient lab capacity and an inability to get timely pathology reports to support criminal prosecutions.

We believe that the future of the DPP is positive, with increased capacity, additional attorneys and support required and this will have a great impact on the administration of justice and prosecution of criminals in a timely manner.

FATF and Compliance
A discussion on our international compliance obligations is necessary. We live in an ever-changing environment of international financial regulations imposed by organizations such as the European Union (EU) and Financial Action Task Force (FATF).

After thousands of man-hours and tremendous efforts made in addressing the ‘AML/CFT/CFP strategic deficiencies’ by the financial sector regulators, law enforcement and legal professionals of the OAG, in December 2022 with The Bahamas became only the 2nd jurisdiction in the Caribbean to attain 40 for 40 Compliant and Largely Compliant ratings for the FATF Recommendations and only the 6th in the 209 FATF global network of jurisdictions. This is a very significant achievement for our industry and our country.

Notwithstanding the substantial enhancements to our AML/CFT/CFP legal framework, our financial regulatory and law enforcement regimes, the country was once again facing a blacklist in October 2022 – this time The Bahamas tax regime was the target of the EU. The Bahamas blacklisting by the EU caused tremors to run through our insurance industry as one of the country’s largest re-insurers threatened to place restrictions on business and pay-outs initiated from the Bahamas if the country was removed from the EU tax blacklist within 2 years. The Government expended significant funds and manhours to put in the place the necessary mechanisms to ensure that the deficiencies that were listed by the EU were addressed and in February 2024, the country was delisted from the EU’s Tax Blacklist.

The Bahamas due to deficiencies reported in its 4th Round CFATF 2017 published mutual evaluation was placed into Advanced Follow-up Reporting. However, in mid-2023, the country was released from Advanced Follow-Reporting and has been preparing for the 5th Round of CFTAF mutual evaluation scheduled for October 2026. FATF has over the several years since 2015, updated twelve of its 40 Recommendations and the focus of the 5th Round of mutual evaluations. The 5th Round mutual evaluations will be focused on effectiveness of countries’ AML/CFT/CFP legal, enforcement and regulatory framework.

The IRF Steering Committee, The Bahamas’ operational cross-agency standing group, has completed the work on the update to the 2017 national ML/TF/PF risk assessment and several areas have identified that require strengthening prior to the 5th Round mutual evaluation. There have been challenges in completing this exercise, but I am pleased to say that the completed document has been submitted to the World Bank for comments before being presented to Cabinet for approval. The Bahamas received technical support from the World Bank by way of grant of risk assessment modules and an informational session on same. Upon approval by Cabinet, the IRF Steering Committee will hold a series of town meetings to brief the financial and non-bank financial sector of the findings.

A few critical areas identified for action are – 1) increasing staffing to appropriate levels for regulatory, legal and enforcement agencies; 2) ensuring that there are appropriate tools and mechanisms to support the human resources in carrying out their functions; 3) ensuring that enforcement tools (such as administrative fines by regulators, civil forfeiture orders, etc.) are being utilized in an ongoing, consistent, and appropriate manner when necessary; 4) ensuring timely analysis of Suspicious Transaction Reports and effective communication between the FIU and stakeholders; 5) ensuring timely prosecutions of all types of ML cases – stand-alone money laundering, complex ML cases, cases involving foreign predicates.

Gap analyses have been completed and work is ongoing to address the issues noted above. Further the 2017 – 2021 National AML/CFT/CFP Strategy is being updated to act as a road map for the various stakeholders. The strategy will be finalized by end of June 2024. We continue to lead from the front in international financial regulatory compliance.

Human Rights
Human rights has become a developing area of the law; climate change and Human Rights, the Elderly and Human Rights, Migration and Human Rights and now Business and Human Rights. The rights that are provided in the Convention for Political and Civil rights speaks to the Right to Development and the rights to Self-Determination. When we investigate the elements of the right to development, we see how the EU's Blacklisting as well as the effects of the climate crisis has interfered with our nation's right of development. We are actively preparing a position paper on this issue to advance to the United Nations for action on the breaches of the right of development of The Bahamas and Bahamians generally. We will seek the necessary recourse.

Due to the increase of the sphere of Humans Rights my office has formed a Human Rights Unit, whose vision is for the Bahamas to be a nation where every person’s inherent rights are recognized and to build connections that represent the principle of dignity and respect amid the existential difficulties that humanity faces. Its purpose is to serve as a steadfast advocate and guardian for the promotion, protection, and realization of human rights for all persons in the Bahamas through research, monitoring, advocacy, and collaboration and to guard against the erosion of our nation's sovereignty.

Conclusion
This budget communication demonstrates a change in the status quo in the fiscal management of the country. In every metric available we are demonstrating year over year improvement. We are establishing fiscal stability when we came to office in an environment of fiscal chaos. We have had a mandate to change the status quo in our respective portfolios, and as described, we have changed the status quo in the Office of the Attorney General. It is clear that we have come a long way, and made significant progress in less than 3 years, and this budget and the policy priorities demonstrate that we continue to improve the lives of Bahamians, and growth of The Bahamas. I support this budget, a budget Changing the Status Quo … a budget Changing Lives.