Ardhi University DS 101: Development Perspectives I Module 3 PDF

ARDHI UNIVERSITY DS 101: DEVELOPMENT PERSPECTIVES I MODULE 3: CENTRALIZATION AND DECENTRALIZATION Instructor: Dr. Peter Semiono (PhD)  Introduction The module is organized into four substantive parts: 1. Concepts of centralization and decentralization 2. Advan...

ARDHI UNIVERSITY DS 101: DEVELOPMENT PERSPECTIVES I MODULE 3: CENTRALIZATION AND DECENTRALIZATION Instructor: Dr. Peter Semiono (PhD)  Introduction The module is organized into four substantive parts: 1. Concepts of centralization and decentralization 2. Advantages and disadvantages of centralization and decentralization 3. Centralization and decentralization process in Tanzania 4. Local and Urban Authorities in Tanzania.  CONCEPTS OF CENTRALIZATION AND DECENTRALIZATION What is centralization? Concentration of authority at the top level of the administrative system. The process of transfer of administrative authority from a lower to a higher level of government. The retention of powers and authority with respect to planning and decisions, with the top management, is known as Centralization. What is centralization? Executive Director Finance Oper- Manager ations Manager Finance Admin. Senior Asst. Executive Officer Manager Manager Centralization means reservation of authority at central point within the organization. In centralization, control and decision-making reside at the top levels of management  Centralization continued…… In a centralized system of administration, the lower levels (called field offices) cannot act on their own initiative. They have to refer most of their problems to the higher level (called headquarters) for decision making. They act as only implementing agencies.  What is decentralization? Decentralization means dispersal of authority among the lower levels of the administrative system. The dissemination of authority, responsibility and accountability to the various management levels. Decentralization is the transfer of powers from central government to lower levels in a political- administrative and territorial hierarchy What is decentralization?  Decentralization continued…. In a decentralized system of administration, on the other hand, the field offices can act on their own initiative in specified matters. They are given authority to take decisions without reference to the headquarters. Thus, the essence of decentralization is the vesting of decision-making power in the field offices.  TYPES OF DECENTRALIZATION 1. Political decentralization 2. Administrative decentralization 3. Fiscal decentralization 4. Market or economic decentralization  POLITICAL DECENTRALIZATION Political decentralization aims to give citizens or their elected representatives more power in public decision- making.  it is a transfer of power and authority from top level management (central government) to citizens or their representatives. It is often associated with: i. Pluralistic politics and representative government ii. Support democratization by giving citizens, or their representatives, more influence in the formulation and implementation of policies. iii. Creation of local political units, and the encouragement of effective public interest groups.  ADMINISTRATIVE DECENTRALIZTAION It seeks to redistribute authority, responsibility and financial resources for providing public services among different levels of government.  It is a transfer of power or authority from one level of government administration to other levels. It is the transfer of responsibility for the planning, financing and management of certain public functions from the central government and its agencies to field units of government agencies, subordinate units or levels of government, semi-autonomous public authorities or corporations, or area-wide, regional or functional authorities.  Types of administrative decentralization De-concentration: is the shifting of the management workload from centrally located officials to offices outside the national capital or headquarters. In this case, final authority is retained at the Centre. It is a transfer to lower-level central government authorities, or to other local authorities which are upwardly accountable to the central government (Ribot, 2002).  Deconcentration continued……….. It is a process by which the agents of central government control are relocated and geographically dispersed. Deconcentration is often considered to be the weakest form of decentralization. It redistributes decision making authority, financial and management responsibilities among different levels of the central government. Deconcentration continued……….. It can merely shift responsibilities from central government officials in the capital city to those working in regions, provinces or districts under the supervision of central government ministries. Devolution: is the process where the central government consciously creates or strengthens the structures of the sub-national units of government, thereby, lessening the direct control of the central government. It is a transfer of power or authority from central government to local government authorities. Local government authorities can make autonomous and independent decisions that are separate from the central government. It is the transfer of governance responsibility for specified functions to sub-national levels that are largely outside the direct control of the central government. When governments devolve functions, they transfer authority for decision-making, finance, and management to quasi-autonomous units of local government with corporate status. Devolution usually transfers responsibilities for services to municipalities that elect their own mayors and councils, raise their own revenues, and have independent authority to make investment decisions. In a devolved system, local governments have clear and legally recognized geographical boundaries over which they exercise authority and within which they perform public functions.  Delegation: is a more extensive form of decentralization. Through delegation central governments transfer responsibility for decision-making and administration of public functions to semi-autonomous organizations not wholly controlled by the central government, but accountable to it. Governments delegate responsibilities when they create public enterprises or corporations, housing authorities, transportation authorities, special service districts, regional development corporations, or special project implementation units. Usually these organizations have a great deal of discretion in decision-making.  Fiscal Decentralization  Involves decentralization of financial responsibilities.  Market or economic decentralization It involves the shift responsibility for functions from the public to the private sector. They allow functions that had been primarily or exclusively the responsibility of government to be carried out by businesses, community groups, cooperatives, private voluntary associations, and other non-government organizations. It involves privatization and deregulation.  Advantages and disadvantages of centralization and decentralization Advantages of centralization 1. It provides for maximum control over the entire organization. 2. It ensures that all the work is performed in the same manner and in accordance with the same general policies and principles. 3. It makes administrative abuses more difficult in matters like employment and handling of personnel, purchase and use of supplies and so on. 4. It ensures economy in administration by avoiding duplication of work. 5. Decision making processes can involve relatively few people. Hence, it can take a relatively short time to reach decision or agreement on pursuance of a particular activity or issue. 6. Centralization follows a centralized management structure that guides a government within the predetermined policies, goals, vision and mission. 7. Centralization can be forced by circumstances to develop mechanisms for transmitting information and other issues to the lower authorities e.g. the effective use of ICT for communication (phone, e-mail, etc.).  Disadvantages of Centralization 1. It leads to delay in securing action as the field officials have to refer the matter to the higher authorities. 2. It makes the head-office overburdened 3. It leads to autocratic control over subordinates and thus results in lack of flexibility in administration. 4. People who are in need of services provided through centralized system are more likely to face bureaucratic problems rather than in decentralization system. 5. It makes administration irresponsive as the head office acts without the knowledge of local conditions and requirements. 6. It does not facilitate people’s participation in administrative process. 7. Transparence is relatively low in centralization 8. Sharing of experiences is highly limited in centralization due to limited delegation.  Advantages of decentralization 1. It increases administrative efficiency by reducing delays, curbing red-tapism and encouraging faster action. 2. It reduces the workload of the head office and thus enables the top officials to concentrate on vital issues like policy formulation, examining major problems etc 3. It develops inventiveness and self-respect among the subordinates by making them to take decisions with a sense of responsibility. 4. It makes administration more responsive as the field units act with the knowledge of local conditions and requirements. 5. It facilitates people’s participation in administrative process and thus strengthens democracy at the grassroots level. 6. It allows the development of second line of executives due to adequate delegation of authority to the lower levels. 7. It encourages the expansion and diversification of the organization for effective goal-achievement. 8. It facilitates the adaption of national policies and programmes to the varying conditions of different regions. 9. It alleviates the problem of communication overload in the organization by reducing paper work at both higher and lower levels. 10. It encourages competition and comparative standards of evaluation among several competing field units.  Disadvantages of decentralization 1. It complicates coordination and integration of the activities of various units due to decrease in the degree of central control over the total organization. 2. It makes communication among various levels difficult and thereby reduces its effectiveness and authenticity. 3. It makes administration expensive due to duplication of work and lack of centralized housekeeping services. 4. It encourages divisive forces in the organization and thus threatens the organizational integration. 5. It weakens the national perspective in administration by breeding localism and parochialism (provincialism). 6. It increases administrative abuses like corruption, maladministration, nepotism (favoritism) etc.  Centralization and Decentralization process in Tanzania Pre-colonial Era Existence of chiefdoms and decentralized state systems with decision making powers Decisions were made at local levels.  Decentralization process in Tanzania  Colonial Era A. German era (1884-1917): Centralization Mainly direct rule but also limited urban authorities. Decisions made centrally by the Germany colonial government The powers of traditional rulers were abolished. B. British era (1917-1961): Decentralization British colonial system introduced some forms of decentralization through indirect rule i.e. introduced some local governments. Native authorities were established through Native Authority Ordinance (Cap 72) of 1926. Township authorities were established for large urban areas. Introduced Municipalities Ordinance of 1946.  Local Government Ordinance (Cap 333) of 1953 which replaced the Native Authority Ordinance (Cap 72) of 1926 gave some political powers to the local leaders.  Post-colonial era A. 1961-1971: Centralization Era Tendency of centralization of power to central government. Chiefdoms abolished  Some local authorities existed Local governments overwhelmed by duties, with limited resources B. 1972-1982: Deconcentration The policy was to reorganize the government administration so as to conform with the socialist development. Reorganization of the government was supposed to provide a system that gave more local freedom for both decision-making and participation in matters which were primarily of the local impact. Power was consolidated at the grassroots level with centrally appointed regional and district heads. There was as shift from center to local levels of well- trained and qualified personnel through “Madaraka Mikoani” policy of 1972. C. 1982- 1995: Reinstitution of local government Local governments were re-introduced and strengthened.  Local Government (Urban Authorities) Act of 1982  Local Government (District Authorities) Act of 1982 D. 1996 Onwards: Local government reforms Comprehensive programme of reforming local governments to make them efficient, effective, transparent, and accountable. CENTRAL AND LOCAL GOVERNMENTS  Concept of Central Government  Central government in the context of coverage is the national or state government which is concerned with management or coordination of all national affairs through its major organs.  There are three main organs of the central government namely: Executive, Legislature and Judiciary.  Structure of Central Government CENTRAL GOVERNMENT EXECUTIVE LEGISLATURE JUDICIARY  Functions of the Central Government The following are some of the functions of the central government: i. Formulating and enforcing laws, policies and development plans. ii. Redistributing resources including human resources, land etc. iii. Collecting revenues from different sectors iv. Providing security of the country. v. Protecting the rights of all people in a country.  EXECUTIVE The Executive is made of the following: 1.The President The President of the United Republic of Tanzania is the Head of State, Head of Government and the Commander- in-Chief of the Armed Forces. 2. The Cabinet The Cabinet is the President’s main advisory organ. It is composed of the President, Vice-President, President of Zanzibar, Prime Minister, Ministers and Attorney General.  Executive continued……. 3. The Civil Service Basically includes Permanent Secretaries in Ministries, Commissioners, Directors and Heads of Departments in the Ministries.  LEGISLATURE/PARLIAMENT  The Legislature is the law-making organ of the government. It consists of the National Assembly and the President. It is under the leadership of Speaker.  It is made up of the following: i. Elected Members of Parliament who represent their respective constituencies. ii. Ten MPs nominated by the President. iii. Women MPs who are nominated by their respective political parties. iv. Attorney General who is appointed by the President.  FUNCTIONS OF THE PARLIAMENT 1. Formulating laws. 2. Approving (budget) funds allocated for running various ministries 3. Overseeing government development plans 4. Serving as the watchdog for the performances of the Executive. 5. Discussing and reaching into agreements and/or solutions on various issues.  THE JUDICIARY  The Judiciary is the arm of the government which interprets laws.  It is headed by the Chief Justice who is appointed by the President.  STRUCTURE OF THE JUDICIARY Court of Appeal High Courts Commercial Land Division Division Resident Magistrate Courts District Courts Industrial Tribunals Courts Primary Courts Ward Tribunals  Functions of the Judiciary in general: i. Settling disputes between people, organizations etc. ii. Protecting the rights of individuals. iii. Interpreting laws. iv. Serving as the guardian/custodian of the national constitution. v. Participating in developing various laws  Concept of Local Government Local government can be defined in different ways:  Local government refers to the system of administration in which some government employees and elected representatives are in charge of administration of regions, districts, urban centres, wards and villages.  The leaders of these authorities are elected by residents in their respective areas. In the context of Tanzania, local government authorities were established in 1982.  Functions of Local Government  Among the functions of local government includes: i. Holds public resources in trust. ii. Initiates, plans and performs or carries out development activities in different communities within a country. iii. Provides social services e.g. water, primary health, education, maintenance of roads etc. iv. Maintains law, peace and good governance. v. Charges various fees for services and licenses.  Categories of Local Government  There are two forms of local government authorities in the context of Tanzania: 1.Urban Authorities Urban Authorities are responsible for the administration of townships, municipalities and cities. 2. District Authorities District Authorities range from district to village level whereby there are the Rural-Based District Councils in the first and Village Councils in the latter.  City Councils Urban Authorities Municipal Councils LOCAL GOVERNMENT AUTHORITIES Town Councils District Councils District Authorities Ward Governments Village Governments  DISTRICT AUTHORITIES 1. The VILLAGE GOVERNMENT  This is the smallest unit of local government. The following is the structure of Village Government: Village Government Village Assembly Village Council  Village Government … (a) The Village Assembly  It is composed of all adult people who are living in a particular village.  The head of the assembly is the Village Chairperson who is also elected by the Village Assembly. The following are some of the functions of the Village Assembly: i. Implement by-laws of the village. ii. Elect the Village Chairperson. iii. Elect the Village Council.  Village Government … (b) The Village Council  The Village Council is made up of 25 members who are elected by the Village Assembly under the leadership of the Village Chairperson.  The Village Council is the executive arm of the Village Assembly. It performs the day-to-day governance activities of the village under the supervision of the Village Executive Officer (VEO) who is appointed by the District Council.  Village Government …  The following are some of the functions of the Village Council: i. Planning and coordinating village activities. ii. Advising the villagers on various development matters e.g. education, health, agriculture, etc. iii. Encouraging villagers to participate in the village communal activities e.g. building schools, constructing village roads etc. iv. Proposing by-laws of the village.  2. WARD GOVERNMENT  The Ward Government is composed of the following: (a) The Ward Development Committee.  This is the highest organ in the ward and it is composed of: i. Chairperson who is the Ward Councillor. The Ward Councillor is elected by people who live in that ward. Ward Councillor holds the position for 5 years but he/she can be re-elected.  Ward Government … ii. Village Chairpersons from all villages which are found in a particular ward. iii. Members of the District Council who live in the ward. iv. Civic Groups involved in the promotion of development in the area e.g. NGOs. The following are some of the functions of the Ward Development Committee: i. Developing general development plans of the ward.  Ward Government … ii. Managing disasters and other environment related issues within the ward. iii. Reviewing the proposals for the Village Council’s projects and passing them for further approval at the district level. (b) Ward Executive Officer (WEO)  WEO supervises all development activities in the ward. He/she is appointed and employed by the district.  Ward Government … (c) Ward Departments Among the Departments in the ward include: i. Department of Social Welfare ii. Department of Health iii. Department of Education iv. Department of Agriculture and Livestock v. Department of Finance.  STRUCTURE OF THE WARD GOVERNMENT Ward Development Committee Ward Executive Officer Social Welfare Ward Departments Agriculture & Livestock Education Finance Health  3. DISTRICT COUNCILS  The District Council is composed of: i. Elected Members from each ward in a district. ii. Members of Parliament from constituencies which are found within a district. iii. 3 Members appointed by the Minister for Local Government Authorities. iv. One member representing the Village Councils. Note: The District Executive Director (DED) is appointed by the Minister responsible for local government. He/She is a Secretary to the District Council.  DISTRICT COUNCILS …  The District Council has the following Committees: i. District Development Committee ii. Finance, Administration & Planning Committee. iii. Economic, Construction & Environment Committee iv. Education, Health and Water Committee v. Ethics Committee.  Functions of District Councils i. Organizing and supervising all development plans of the district. ii. Approving by-laws made by the Village Councils iii. Providing environmental protection and management in a district. iv. Promoting social welfare and economic well-being of the district residents. v. Passing district by-laws vi. Submitting by-laws to the regional office for comments and re-submitting by-laws to the Minister for Local Government Authorities for approval.  COMMITTEES OF URBAN AUTHORITIES i. Economic affairs, Health and Education, ii. Urban Planning and Environment, iii. Finance and Administration  ROLES OF URBAN AUTHORITIES i. Facilitating the maintenance of peace, order and good governance. ii. Promoting social welfare and economic wellbeing of the community people. iii. Enhancing social and economic development iv. Undertaking necessary measures to suppress crimes and protect public and private properties. v. Regulating and improving agriculture, trade, industry etc vi. Eradicating poverty.  URBAN AUTHORITIES  Urban authorities include Town Councils, Municipal Councils and City Councils. 1.Town Councils Town Council is composed of: i. Members elected from the wards within a town. ii. Members of Parliaments who represent the constituencies within the town. iii. Three Members appointed by the Minister for Local Government Authorities. Note: Each Town Council has a Town Director who is the Chief Executive.  2. Municipal Councils Requirements for forming Municipal Council  Municipal Councils are found in towns with a population of not less than 100,000 residents.  30 percent of its population should be employed in non- farming activities (non-agricultural sector)  There should be at least one manufacturing industry and various processing industries. Requirements for forming Municipal Council  About 70 percent of the municipality’s expenditure should be obtained from its own sources of income.  There should have at least one university and an adult education centre.  There should be a referral hospital.  It should have international conference hall/centre.  Municipal Councils continued……..  Municipal council is composed of: i. Members elected from the wards within the municipality. ii. Members of Parliaments who represent the constituencies within the municipality. iii. Three Members appointed by the Minister for Local Government Authorities.  Municipal Councils …  Officials in the municipalities include: i. The Mayor who is the head of Municipal Council and is assisted by the Deputy Mayor. Mayor and his/her Deputy (Mayor) are elected from among Councillors. ii. Municipal Executive Director, he/she is the secretary to the Municipal Council.  3. City Councils  The City Council is composed of: i. Councillors from each ward within the city. ii. Members of Parliament representing their respective constituencies in the city. iii. Six Members appointed by the Minister for Local Government Authorities from among the city residents.  City Councils …  Officials in the city council include: i. Mayor, he/she is the head of the city council and is assisted by the Deputy Mayor. Mayor is elected from among the councillors and stays in the office for 5 years; he/she can be re-elected. ii. The City Director. He/she is the Chief Executive and is appointed by the President. He/she is also the Secretary to the City Council.  References Cummings, S. (1995). “Centralization and Decentralization: The Never- Ending Story of Separation and Betrayal” Scandinavian Journal of Management, Vol. 11 No. 2, Pp. 103-117. Dickovick, J. T. & Wunsch, J. S. (2014). Decentralization in Africa: The Paradox of the State Strength. Boulder: Lynne Rienner Publishers. Hope, K. R. (2002). From Crisis to Renewal: Development Policy and Management in Africa. London: Commission for Africa. Marume, S.B.M. & Jubenkanda, R.R. (2016). “Centralization and Decentralization” Journal of Research in Humanities and Social Science Vol. 4 (6), Pp. 106-110. Miller, K. L. (2008). Advantages and Disadvantages of Local Government Decentralization. A Presentation to the Caribbean Conference on Local Government & Decentralization at the Ocean View International Hotel Georgetown, Guyana.  References Neven, I. (2002). Background paper on Decentralization: National Forest Programmes in the European Context. Wageningen: Institute Alterra – Green World Research. URT (1982). District and Urban Authorities Act. Von Braun, J. & Grote, U. (2000). Does Decentralization Serve the Poor? Bonn: University of Bonn. Yusoff, M. A.; Sarjoon, A.; Awang, A.; & Efendi, D. (2016). ‘Conceptualizing Decentralization and its Dimensions’. International Business Management. Medwell J ournals, 10 (6): 692- 701.