The Lima Agreement, officially the Lima Declaration and Plan of Action on Industrial Development and Cooperation, signed in 1975, has sparked significant debate regarding its alignment with the principles enshrined in the 1901 Australian Constitution. Below is an analysis of how the agreement aligns with or conflicts with constitutional principles.
Key Constitutional Principles
The 1901 Australian Constitution establishes the framework for governance, emphasizing:
- Sovereignty and Economic Independence: Section 51 grants Parliament powers over trade and commerce, aiming to protect Australia’s economic interests.
- Democratic Accountability: Decisions impacting the nation should be made transparently and with public consultation.
- Protection of Rights: The Constitution safeguards the rights and welfare of Australians through its governance structures.
Alignment with the Constitution
- International Cooperation: The Lima Agreement aligns with Section 51(xxix), which grants the Commonwealth power over external affairs. This section allows Australia to enter international agreements to promote global equity and cooperation, as was the intent of the Lima Declaration[2][4].
- Support for Developing Nations: The agreement reflects Australia’s commitment to global economic justice, which aligns with broader principles of equity and international responsibility.
Conflicts with the Constitution
- Economic Sovereignty: Critics argue that by committing to reduce domestic manufacturing in favor of imports, the agreement undermines Australia’s economic independence. This could conflict with Section 51’s intent to protect national industries and ensure economic resilience[5][7].
- Lack of Public Consultation: The Lima Agreement was signed without a referendum or significant public debate, raising concerns about democratic accountability. Major decisions impacting Australia’s economy may require broader public involvement under constitutional principles[4].
- Impact on Citizens’ Welfare: The decline in manufacturing has led to job losses and economic instability for many Australians. This outcome arguably conflicts with the government’s constitutional obligation to act in the best interest of its citizens[5].
Conclusion
While the Lima Agreement aligns with Australia’s constitutional power to engage in international treaties, its implementation has raised questions about economic sovereignty, democratic accountability, and public welfare. These concerns highlight potential conflicts with the principles outlined in the 1901 Constitution, suggesting a need for greater scrutiny of such agreements to ensure they align with national interests and constitutional values.
Citations:
[1] [PDF] Submission on the review of the native vegetation regulation https://www.environment.nsw.gov.au/resources/vegetation/subs/NVRegSub115.pdf
[2] The Australian Constitution in focus – Parliamentary Education Office http://peo.gov.au/understand-our-parliament/how-parliament-works/the-australian-constitution/the-australian-constitution-in-focus
[3] [PDF] 40 Years “Lima Declaration” – INTOSAI https://www.intosai.org/fileadmin/downloads/documents/open_access/INTOSAI_Publications/Publication_40y_Lima_Declaration/EN_40_Jahre_Lima_Deklaration.pdf
[4] Infosheet 13 – The Constitution – Parliament of Australia https://www.aph.gov.au/About_Parliament/House_of_Representatives/Powers_practice_and_procedure/00_-Infosheets/Infosheet_13-_The_Constitution
[5] Hansard – Senate 15/10/2018 Parliament of Australia https://www.aph.gov.au/Parliamentary_Business/Hansard/Hansard_Display?bid=chamber%2Fhansards%2Fd7fb77b1-0930-425d-ad2a-6fd86946e453%2F&sid=0042
[6] [PDF] Lima Declaration and Plan of Action on Industrial Development and … https://www.unido.org/sites/default/files/2012-10/Lima%20Declaration%20and%20Plan%20of%20Action%20on%20Industrial%20Development%20and%20Co-operation_26.3.1975_0.PDF
[7] [PDF] Australian Constitution – Parliament of Australia https://www.aph.gov.au/-/media/05_About_Parliament/52_Sen/523_PPP/2023_Australian_Constitution.pdf
[8] [PDF] Report of the Implementation of the Sustainable Development Goals https://www.dfat.gov.au/sites/default/files/sdg-voluntary-national-review.pdf
