The by-election was due to the death of sitting MP Ture Kailo, of the Vanua'aku Pati, who had died suddenly in October while attending a seminar organised by the Australian government in Canberra.
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In 1898 with the death of Roko Eroni Loganimoce, Ratu Penaia Kadavulevu, Vunivalu of Bau, went to Lau and made Finau Sau ni Vanua and Tui Nayau ahead of Ratu Salesi Kinikinilau (Roko Eroni's son and Finau's rival for the title).
It serves as a terminus for ferries that cross between Vanua Levu and Taveuni.
After this he served at Nadi (Vanua Levu), Bua and Cakaudrove where he pioneered the work before any white missionaries were established there.
The seat was retained by the Vanua'aku Pati; its candidate, Philip Charley, finished "well ahead" of the candidates from the Union of Moderate Parties and the National United Party.
The best-known native of Vanua Balavu is Ratu Sir Kamisese Mara, past President and longtime Prime Minister of Fiji, also Laisenia Qarase, Fiji's Prime Minister since 2000, who hails from the village of Mavana.
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Other prominent Vanua Balavu natives are the academic leader Esther Williams, from Levukana village, former Attorney-General Qoriniasi Bale, from Levukana village, and prominent former politician Filipe Bole, also from Mualevu village.
The VP-VNP coalition won the most seats, but failed to gain a majority, which instead was cobbled together by Serge Vohor of the Union of Moderate Parties, who became Prime Minister, subsequently forming a national unity government.
The Vanua'aku Pati had won the most seats (11 out of 52) and Edward Natapei was expected to become prime minister; he was expected to select outgoing prime minister Ham Lini (National United Party) as his deputy.