From MDP's Run Reendhoo rally held on August 1, 2025, to mark the party's 20th anniversary. (Photo/MDP)
The opposition Maldivian Democratic Party (MDP) has on Thursday, filed a petition with the High Court to nullify recent amendments to the Decentralization Act, arguing that they unlawfully restrict the powers of local councils.
The MDP contends that the government's revisions to the Decentralization of Administrative Areas Act violate Article 230 of the Constitution, thereby infringing upon citizens' rights to acquire and possess property.
Specifically, the amendments prohibit councils from hiring permanent or temporary staff during the final year of their five-year term. They also bar councils from leasing land and lagoon areas under their jurisdiction and initiating new development projects. The MDP highlighted these restrictions in its appeal.
The party asserts that these legislative changes prevent councils from fulfilling their legally mandated responsibilities and undermine the fundamental principles of the decentralization system. Consequently, the MDP's petition requests the High Court to declare the amendments to the Decentralization Act invalid.
The government recently modified the Decentralization Act to limit councils' authority in staff recruitment, leasing lagoons and land within their jurisdiction, and implementing development projects.
The new law, which came into effect on Monday, also prohibits councils from collecting rent from land or buildings designated for providing essential public services.
Furthermore, the Act now stipulates that councils will receive revenue only after the deduction of state taxes and if they have not defaulted on payments for public services for over six months.
Under the amended law, councils are now required to maintain bank accounts in accordance with Ministry of Finance procedures and to provide statements upon request.
Despite calls from various councils urging the President not to approve the bill, it was nevertheless ratified.