The National Audit Office is an independent body acting in the interests of the Estonian taxpayer and on their behalf. The task of the National Audit Office is to investigate how the state and local governments have spent the money of taxpayers and what they have offered in return.
Therefore, the National Audit Office is the auditor of the country, looking at whether public money has been used economically, efficiently, and effectively, as well as legally. The National Audit Office is not only ensuring formal compliance with the law – it is equally interested in whether the actions of the government are sufficient to ensure that the money is used in a targeted and expedient manner, and whether the reports give an adequate picture of spending and performance.
The recommendations of the National Audit Office can help the Estonian Parliament – the Riigikogu – and the government to improve the functioning of the state and use the money of taxpayers more responsibly. The National Audit Office has the right to make proposals to the government, ministers, and local governments to draft legislation or to amend and supplement legislation.
Independence of the National Audit Office
The independence of the National Audit Office is protected by the Constitution and the National Audit Office Act. No one can give the National Audit Office mandatory audit tasks to perform. It is up to the National Audit Office to decide what, when, and how to audit. The activities of the National Audit Office are audited annually by an auditor appointed by Parliament.
The National Audit Office is headed by the Auditor General, who has wide powers to manage the National Audit Office. The Auditor General is appointed by the Riigikogu on a proposal from the President for a five-year term of office. The term of office of the Auditor General is not limited to one period.
Every member of the Riigikogu has the opportunity to ask questions from the Auditor General on issues of their interest or on topics of current interest in the Riigikogu that concern the field of activity of the National Audit Office. The core values of the National Audit Office are objectivity and independence, competence and diligence, cooperation and openness, and honesty and integrity.
The National Audit Office was established in 1918, the same year the Republic of Estonia was proclaimed. In 1940, the activities of the National Audit Office were interrupted due to the Soviet occupation. In 1990, the activities of the National Audit Office were restored. The National Audit Office employs about 80 people, ¾ of whom are directly involved in auditing and ¼ of whom are involved in audit support, ensuring the work of the Auditor General and general administration.
The current Auditor General is Janar Holm, who took up his duties on 7 March 2018.