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October 22, 2012

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Icelanders back changes to constitution in referendum

RESIDENTS of Iceland have voted for their constitution to be rewritten in the wake of the 2008 banking crisis, electing to take greater control of natural resources such as fish and geothermal energy, results of a referendum showed yesterday.

The collapse of the island's heavily indebted banks led to demands for change after accusations of cronyism between the political elite and business. The referendum is non-binding but backers of change hope that politicians will find it hard to ignore even though parliament is responsible for adopting a new constitution and the main opposition party has said it opposes proposed changes.

Saturday's referendum asked voters six questions, including whether people wanted a new constitution which has been drawn up by a specially-appointed panel of 25 citizens to be the basis for a review of the basic law.

With two-thirds of votes counted yesterday, 66 percent had answered "yes" to that question. Turnout was 49 percent of the island's more than 235,000 eligible voters, broadcaster RUV said.

"This is a very clear conclusion for parliament. The majority of voters want changes in all the topics asked about in the vote," said Thorolfur Matthiasson, an economist at the University of Iceland.

He noted 80 percent had voted to declare all non-privately owned natural resources as "national property."

Fishing accounts for about 7 percent of the economy with fishing rights farmed out under a system of quotas which critics say have benefited a select few. Backers of the system say it has led to sound management of fish stocks.

Control of the island's natural resources remains a sensitive issue. Plans by a Chinese tycoon to buy rural land were blocked by the government last year. He is to lease the land instead.

The draft constitution was drawn up after deliberations by the 25 members of the council and after about 3,600 comments and 370 suggestions were made to the council's website.





 

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