Ok Tedi nationalisation not OK, says PNG ex-leader

Source: http://www.theaustralian.com.au/news

by:ROWAN CALLICK, ASIA-PACIFIC EDITOR

From:The Australian

September 23, 201312:00AM

FORMER Papua New Guinea prime minister and central bank governor Mekere Morauta yesterday warned that last week's nationalisation of Ok Tedi Mining presented dangers for the country by increasing the perception of sovereign risk. The rapidly introduced legislation cancelled the shares of Ok Tedi's 63 per cent owner, a trust named PNG Sustainable Development Program, and issued new shares to the government, giving it 100 per cent control. Sir Mekere, the chairman of both Ok Tedi and PNGSDP, said the legislation "would undermine investor confidence at a time when a number of very large investments are on the horizon".

He said the bills "should have been circulated widely and debated fully, not kept secret and bulldozed through in one day". The nationalisation debate is likely to shift to the courts of Port Moresby and of Singapore, where PNGSDP is domiciled.

The PNG Treasurer, Don Polye, revealed last week that the budgeted fiscal deficit for 2013 of 7.2 per cent of gross domestic product -- following a succession of balanced or near-balanced budgets -- was expected to deteriorate to about 7.7 per cent.

He attributed this in part to falling commodity prices, and in part to large corrupt payments for "ghost workers" -- staff who have died or moved, or collect more than one salary -- on government payrolls.

It remains unclear how the government will pay for the takeover. The share of the mine owned by PNGSDP alone is valued at the equivalent of 55 per cent of this year's originally budgeted deficit.

Sir Mekere also said that "it is wrong to leave it to politicians to decide if compensation is to be paid (for expropriated shares), and the amount".

This will be decided by Prime Minister Peter O'Neill, according to the legislation, acting on cabinet advice.

Sir Mekere said: "Such decisions need to be taken according to clearly defined, established processes with full accountability and transparency."

He said that the Western Province villages in the vicinity of the mine, which signed the Community Mine Continuation Agreement in return for a flow of dividends and other benefits via PNGSDP, "have been tricked by a ruthless Prime Minister focused on his own ambitions".

Sir Mekere said: "Where we can fight, we will fight. Why are we expropriating assets from our own people?"

State to Own Ok Tedi Mining Ltd

State to own Ok Tedi
House passes Bill to hold 100 per cent stake in mine

By ISAAC NICHOLAS

PARLIAMENT has passed amendments to the OK Tedi Mining Agreement for the State to have 100 per cent ownership of the OK Tedi mine.
The move by Parliament also ended a war of words between Prime Minister Peter O’Neill and OTML chairman Sir Mekere Morauta over the issue.
When making the amendments, Parliament passed a new tenth Supplementary Agreement that will result in the cancellation of PNG Sustainable Development Program (PNGSDP) shares in OTML and the issue of new shares to the State.
On the commencement date, all ordinary shares held by PNGSDP in the share capital of OTML shall be cancelled and cease to exist.
More than 122 million new fully-paid shares in the share capital of OTML will be issued to the State.
These shares are free of any encumbrances, charges or equitable interests.
The PNGSDP will undergo a major restructure of its operations to ensure its funds is exclusively for the benefit of the people of Western Province.
The new Bill also provided that any person who has any choice in action or right to pursue or enforce legal proceedings against or in relation to BHP in relation in connection with the operation of the OK Tedi mine will now have their full rights restored.
The effect of this is that individuals will have all their legal rights restored and are free to pursue any new or former actions against BHP.
The Mining (OK Tedi Ninth Supplementary Agreement) (Amendment) Bill 2013 was introduced by Prime Minister Peter O’Neill and was passed 62-0 votes.
Several MPs, including Sir Michael Somare, Garry Juffa, Tobias Kulang and Sam Basil abstaining by walking out of the chambers before the vote was taken.
Sir Michael during debate warned of the negative image this kind of legislation would have on future investors who were thinking of investing in the country.
Mr Kulang said legacy issues were against the State in the government’s failure to manage their own state enterprises.
He also called on Mr O’Neill to give a break-down of shareholding between the landowners, provincial government and the State.
Mr O’Neill, when presenting the amendment said this was a very important Bill to be introduced to the House.
“No one can sit in this House and excuse BHP for the destruction it had caused. But that is what the Government under Sir Mekere did in 2001,” Mr O’Neill said.
“They came up with a deal that would grant total immunity to BHP from prosecution for environmental damage or compensation, in exchange for a program company set up outside of PNG, and still controlled by BHP.”
The company was set up in Singapore, called the PNGSDP.
“Off course Sir Mekere now sits at the top of PNGSDP and Ok Tedi Mining Ltd, as chairman, courtesy of his friends at BHP when he retired.”

 

Chief’s word of warning to ‘young MPs’

Source: The National, Thursday September 19th, 2013

GRAND Chief Sir Michael Somare warned parliamentarians yesterday not to rush the Ok Tedi Mine Continuation Amendment Bill before he walked out of the chamber when a vote was about to be taken.
Sir Michael when debating on the bill had warned MPs not to rush into making amendments and laws that would give the wrong signal to the international community.
“I see the mood and emotions of parliament,” the former prime minister said.
“I support the idea but we must understand (that) today the action of this parliament will give a wrong signal to the international community that we are moving towards the nationalisation of all resource ownership.
“If there is a problem, the prime minister should call for dialogue. You can’t do it (through) legislations.”
He said Ok Tedi had made a lot of money for the country.
Sir Michael, who was interjected through a point of order, said what he said was for the good of the nation.
He said the action would affect the economy and the trust the country had in the international community as a destination of investment.
“I do not oppose, yes people discuss what the people understand,” he said.
“Paias Wingti, Julius Chan and I are around. No one listened to us but I warn you young MPs that things do not change overnight. You must be careful.
“We are respectful people. We hear one side of the story here but we have not heard the other side of the story.
“For the benefit of PNG ... think before doing it.”

Sir Mekere not backing down

Source: The National, Thursday September 19th, 2013

By MALUM NALU and JEFFREY ELAPA
SIR Mekere Morauta has vowed to fight tooth-and-nail to defend the Western people’s US$1.6 billion (K3.97 billion) share in the Ok Tedi Mining
Ltd (OTML) from being taken away by the Government.
Parliament yesterday passed the Mining (Ok Tedi Tenth Supplemental Agreement) Bill 2013 with 62 votes to nil to give the Government full ownership of the giant mine.
Sir Mekere, the PNG Sustainable Development Program (PNGSDP) Ltd chairman, also accused Prime Minister Peter O’Neill of planning to control the US$1.4 billion in PNGSDP’s longterm fund which was being kept in Singapore.
But a spokesman for O’Neill yesterday said the people of Western, through their elected leaders, had voted in Parliament to approve the State’s 100% ownership of the mine.
Sir Mekere yesterday said despite the Government having the overwhelming majority to pass legislation to take control of the mine, the PNGSDP, as custodian of the Western people, would not give it up without a fight.
“I can only defend,” he told a media conference.
“Under our constitution, the state can expropriate private assets if it is in the national interest but a fair compensation has to be paid.
“He (O’Neill) has to convince us that it’s in the national interest. If it is in the national interest, he has to pay. That’s under the constitution.
“I hope he’s the last prime minister to expropriate his own people’s assets without compensation.”
Sir Mekere said O’Neill had the PNGSDP firmly in his sight.
“He’s not only trying to take US$1.6 billion by expropriating these shares, he wants to take control of US$1.4 billion in the long-term fund, saved from past dividends for expenditure in future after mine closure.
“He wants to take control of that as well as start spending now. It doesn’t make sense to me. Why is he so unkind to the people of Western?”
In yesterday’s sitting, O’Neill said the transfer of 100% shareholdings in OTML was in the best interests of the people of Western and PNG.
“According to the Ninth Supplementary Agreement, BHP gifted its shares in the mine to PNGSDP. This meant that PNGSDP held 63% of the shares in Ok Tedi and the State held the remainder. The intention of this was that the mine would effectively be owned by the State. The mine would belong to the people of Western and its proceeds would be used for their benefit.
“However, PNGSDP has not operated as intended and BHP has continued to have a hand in PNGSDP. This is wrong. We are a sovereign country and can be trusted to manage our own resources and affairs. The State must be able to act on its own accord.
“It is time to review the operation of PNGSDP.
“The state is not taking these shares – it will be providing some compensation to PNGSDP.”
O’Neill said regardless of the amount of compensation, the people of Western would not be disadvantaged as the dividends from OK Tedi would be used to fund development projects under the Western Province Development Plan.
“We are simply returning an asset that was gifted to the people of Western back to them, so that they can fully benefit from it, and begin to rebuild their lives.”

Ok Tedi immunity removed

Source: The National, Thursday September 19th, 2013

OK Tedi mine landowners can now pursue legal actions against BHP in relation to environmental damage caused by the mining operation.
It follows Parliament’s amendment of the Immunity Act 2001 yesterday.
The bill, tabled by Prime Minister Peter O’Neill, received overwhelming support from MPs. They repealed the Ninth Supplemental Agreement on Ok Tedi where all parties undertook to waive any rights or action against BHP Biliton and the State in relation to environmental damage caused by the mining operations at Ok Tedi.
O’Neill said the mine caused a lot of environmental damage which the State and the people did not expect.
He said BHP, “hell-bent on the profits”, ignored it and allowed the disposal of waste into the Fly River, causing extensive environmental damage which affected many lives.
“No one can sit in this house and excuse BHP for the destruction it had caused. But that is what the government, under Sir Mekere Morauta, did in 2001,” the prime minister said.
“They came up with a deal that would grant total immunity to BHP from prosecution for environmental damage or compensation, in exchange for a programme company (PNGSD) set up outside of PNG in Singapore, and still controlled by BHP.
“Of course Sir Mekere now sits at the top of PNGSDP, and Ok Tedi Mining Ltd as chairman, courtesy of his friends at BHP when he retired.”
He said the Bill would remove this waiver for BHP Biliton meaning that landowners or affected parties could bring any action or enforce any right against it.
“The government in 2001 made a very bad decision in granting immunity to a corporate giant, preventing its own people from exercising their right under law to sue for permanent damages done to their environment and their livelihood.
“This doesn’t happen anywhere else. Companies and corporate entities own up to their responsibilities and pay compensation,” he said.

Kondra thankful for govt takeover

Source: The National, Thursday September 19th, 2013

NORTH Fly MP Boka Kondra thanked parliamentarians for wiping away the tears and bearing the burden of the people of Western by passing a bill to protect their interest.
Kondra, an Ok Tedi mine landowner, said the people had suffered because of the arrogance of BHP by dumping waste into the Fly River which had been a concern for a long time.
“I speak on behalf of the people of Western and the provincial government and say thank you to government for wiping away the tears of our people,” he said.
“The lady that we got married to (referring to BHP) although exited 10 years ago was still in control and was not good.
“The time has come for her to go.”
Kondra said since 1979, no development had taken place.
“We have been crucified for the benefit of economical benefit by creating indemnity.”
He said many people had died while others were affected by the pollution.
“Some students sent to New Zealand went through some tests which found that their blood contained metals.”
Middle Fly MP Roy Biyama said the people had suffered enough with many experiencing the effect of the pollution of their river system.
Others who took part in the debate and supported the bill were Sumkar MP Ken Fairweather, Middle Ramu MP Tommy Tomscoll and Environment and Conservation Minister John Pundari

Sir Mekere: Bill is a grab for money, power

By TODAGIA KELOLA

Chairman of PNG Sustainable Development Program Sir Mekere Morauta has described a legislation passed by Parliament as a blatant grab for power and money, and would have serious negative consequences for the nation and for Western Province in particular.
And he has vowed on behalf of PNGSDP to examine the law and see what options they have.
“We have a duty to the people of Western Province who own the mine and receive the dividends paid to PNGSDP in the form of social and economic development to protect their rights and their assets,” Sir Mekere said.
“I guarantee them that we will do all that we can.”
Earlier in the day before Parliament passed the legislation, Sir Mekere held a news conference and reiterated his statement that the decision by Prime Minister Peter O’Neill to expropriate Ok Tedi Mining Limited without compensation was “nothing more than stealing an asset” from the people of Western Province.
Sir Mekere said PNGSDP would do “everything in its power to prevent expropriation without compensation” and was ready to take legal action if the legislation was brought to Parliament.
“Those shares are owned by the people of Western Province, not PNGSDP,” he said.
“PNGSDP is merely the custodians of them.
The Prime Minister is legally and morally obliged to pay a full and fair price if he is so determined to get his hands on them.”
Sir Mekere said the company would stand with the people of Western Province who had voiced their strong opposition to the government’s plans.
“PNGSDP has a duty to protect Western Province people’s assets and will do so with all necessary legal means,” he said.
“Stealing an asset worth approximately K2 billion to the people of Western Province plus their annual K450 million share of the Ok Tedi dividends is not acceptable legally or morally. It is unconstitutional as well. I also fear that this is just the first step – I hope he does not want to get his hands on PNGSDP itself and the $US1.4 billion in the long-term fund.”
Sir Mekere was shocked by the PM’s announcement on EMTV and said he had spent the past six months trying to negotiate with the PM for a fair deal on the Western Province’s 63.4 per cent shareholding held by PNGSDP.
Mr O’Neil on Tuesday slammed Sir Mekere, saying the PNGSDP had mixed success in its various programs and its failures were notable for an organisation that was “growing like a bureaucracy” in PNG.
“We know he (Sir Mekere) represents BHP on that particular board, he does not represent the people of Papua New Guinea, he does not represent the people of Western Province. He does not represent Western Provincial Government in any shape whatsoever,” Mr O’Neill said.
“His interest is very clear, he represents foreign interests, he represents BHP – now our Government is trying to correct the mistakes of the past.
“We are trying to ensure that there is transparency and accountability in the way that OK Tedi is managed, in the way that PNGSDP is managed and it must be done for the interest of the people of Western province and the people of Papua New Guinea as a whole.
“The assets of OK Tedi and the assets of PNG Development Program is not Sir Mekere’s, it is not BHP’s – it belongs to the people of Western Province and it is the people of PNG who rightfully own those assets.
“That is why it is important that we manage them in consultation with our people.”

Mining Act upsets Opposition

The Opposition has raised concern that the Government is tabling amendments to the Mining Act to give the State “maximum power” to determine the future of the Ok Tedi Mine and the PNGSDP.
In a statement the Opposition said, “We are very concerned that the Government is setting a very dangerous precedence here by trying to legislate to take control of private companies.”
They said the move was a very negative signal to the investment communities and will create a lot of unnecessary anxiety.
“We are very concerned that this Government is using its numerical strength and the immunity of the amended Section 145 to slowly become dictatorial.”
The statement read that this was what the Opposition had been trying to warn the people of this country when it raised issues on the amendments to Section 145 on Motions of vote of no confidence.
It said, “This is a very dangerous trend for this country and the people must pressure and encourage their local members of parliament to use their conscience to scrutinise such bills.
“The opposition is also concerned that certain pertinent questions remain unanswered with the bill.” The points raised include:
* The Prime Minister has not clearly defined what is going to be the new shareholding structure once the Ok Tedi mining is taken over.
* Will the current 63 per cent shareholding by the people of Western Province increase or decrease?
* How much shareholding is the state planning to take? will it remain at 37 per cent or increase?
* What happens to the $US1.4 billion held in Singapore by PNGSDP for the people of Western Province for future generations? Who takes control of these funds when the take over takes place?
* What is the corporate structure that the government will use to take over the operations of the OTML? Will there be political appointment at the board and management?
* Have they consulted the people about this move?
The Opposition said that until these pertinent questions were answered, they were very suspicious of the Government’s move and would like to request for more clarity from the government. This is a very important matter especially for the people of Western Province who have suffered from the bad decisions of past governments.

Kondra: Economic independence vital

By MELISSA MARTIN

Papua New Guinea must be economically-independent and self-reliant, says Minister for Tourism Arts and Culture and North Fly MP Boka Kondra.
Mr Kondra, who was in his electorate for a visit last weekend, said PNG was rich in natural resources but does not possess the “buying power” and we are still poor on our own land.
“We must start to think, talk, plan and act positively towards being economically independent,” he said.
“I urge Papua New Guineans not to be lazy; we must spend money wisely and use it on starting small businesses or Small Medium Enterprises which the O’Neill-Dion Government is embarking on.”
Mr Kondra said the Ok Tedi Mining Limited (OTML) will be taken over by the people of Western Province and the Government as of January 1, 2014.
“More than 63 per cent shares of PNG Sustainable Development Program will be diverted back to the people of Western Province and the Government,” he said.
Mr Kondra said the government was ready to overthrow the supplementary agreement number nine with developer BHP.
He said this in response to the community mine continuation agreement (CMCA) leaders’ recent media reports opposing the Government’s move to take over PNGSDP.
Mr Kondra urged them to calm down and cooperate with the Government to take over the mine because it was for the interest for the people of Western Province and PNG.
“What the Government is doing is clear; it wants to give ownership back to the people and not to be deprived on our own land by foreign companies,” Mr Kondra said.
“PNGSDP is BHP’s, it is not ours, how much percentages do we as landowners or people of Western Province own?”
He said said OTML would be the first to be taken over by the people and the Government and it will be a model mine for others to follow.
“The National Executive Council will come here to sign new agreements with us,” he said

Related News Link
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Papua New Guinea takes first step towards an NRL team with Queensland Cup entrant

Source: couriermail, http://www.couriermail.com.au/sport/nrl

by:Chris Garry and Peter Badel, From:The Courier-Mail, September 19, 201312:00AM

A Kumuls mascot walks onto the field before a PNG game. Picture: Gregg Porteous Source: DailyTelegraph

A PAPUA New Guinea team is set to join the Intrust Super Cup as a bold step in the rugby league-mad nation’s pursuit of an NRL franchise.

Security concerns for travelling teams remain a stumbling block for the entry of the ISC’s 13th club, especially in the wake of last week’s deadly attack on the Black Cat trail.

It is understood the PNG government will cover costs for private security teams to accompany Queensland-based players into Port Morseby, the club’s home.

A handful of ISC clubs are not in favour of PNG gaining admission, with Norths chief executive Mark Murray wanting financial stability for the established clubs to come first.

ISC general manager Jamie O’Connor said in-principle agreement had been given to the PNG group, headed by veteran league administration Brad Tassell, for a start next year.

"They have applied for entry and been given conditional support by the board, subject to some clauses that need to be agreed to,” O’Connor said.

"We are working through those conditions at the moment. Security is a major issue, as are details of travel and medical care.

"We are hoping to have things locked away by grand final week but nothing is in stone.

"One of the conditions is that this does not cost us, because quite simply we cannot afford to expand right now. PNG will pay their own way.

"There is a great opportunity over there to expand our brand through broadcasting in PNG."

The PNG team could even play curtainraisers to NRL matches, with the ARL Commission considering a dramatic revamp of the code’s second tier and relegating the under-20s competition to midweek.

The team, whose home ground will be Port Morseby’s Lloyd Robson Oval, will be able to recruit players from Australia but it is expected to be largely made up of local players.

Maroons coach and PNG Kumuls assistant Mal Meninga is a supporter of the club’s entry to the ISC.

"Having a PNG team playing in the ISC would just do wonders for the programs that they have in place up there," Meninga wrote in his Sunday Mail column earlier this year.

"It creates another pathway. They can play footy, earn money, and get recognised and go on to bigger and better things."

The Port Morseby Vipers played in the Queensland Cup in 1996 and 1997, but pulled out due to financial issues.

Murray said his club was not against the PNG team, but ensuring current clubs stayed afloat should be the priority.

"The club group want stability around the competition and the current clubs before any expansion takes place,” he said.

"We want to make sure the current clubs are looked after before we look at a PNG team. We aren’t against PNG at all, but our first priority is to stabilise the clubs and ensure their sustainability.”

The ISC will expand to 14 teams in 2015, with a Townsville Brothers team set to be included

Elections in Enga end without major setbacks

Source: The National, Monday September 9th, 2013

ENGA provincial election steering committee chairman Samson Amean has thanked government authorities for their contribution in ending the local level government elections with little problems.
Amean, who is also provincial administrator, said although the Electoral Commission had failed election for the president’s seat in Tsak LLG while Kandep district did not conduct polling due to the ongoing tribal conflict, he was happy that the relevant parties involved in the elections worked together to end the election on an encouraging note.
He commended Governor Peter Ipatas for approving more than K1 million to assist the Electoral Commission complete counting.
“It has been a difficult two months of elections but I am happy that certain government authorities have done more than expected to minimise problems.
I would particularly like to thank our governor for approving more than K1million to see the elections through without serious setbacks,” he said.
Amean said Electoral Commissioner Andrew Trawen and other senior government authorities in the national government including Chief Secretary Sir Manasupe Zurenuoc deserved praise for exercising maturity in making responsible decisions in the interest of the people during counting and declarations to prevent serious problems.
“On the same note, I would like to thank the provincial police commander Superintendent Philip Welia and his men and women, provincial election officials and the village leaders for working together to minimise problems during polling and counting periods,” he said.
Trawen commended Enga provincial authorities last Friday when receiving the writs for 371 council wards and presidential seats from assistant returning officer Jacob Kiponge for their assistance in completing the elections without much problem.

Councillors, presidents take oaths

Source:The National, Monday September 9th, 2013

MORE than 370 ward councillors and 18 presidents took their oaths of office last Friday in Wabag, Enga, following the local level government (LLG) elections.
Senior provincial magistrate Wialu Sakatao officiated at the ceremony for the councillors and presidents from the Wabag, Wapenamanda, Kompiam-Ambum and Lagaip-Porgera districts.
The Tsak LLG did not take part in the ceremony after the president’s seat was declared a failed election by Electoral Commissioner Andrew Trawen.
However, the LLG’s ward councillors were sworn in as polling and counting were completed without any problems.
Kandep district’s ward and Kandep local level governments also did not take part in the ceremony after they did not conduct polling because of widespread tribal conflict in the district.
Governor Peter Ipatas, who witnessed the ceremony, told the newly elected councillors and presidents at the Messiah Gutnius Lutheran Church in Wabag to put aside their political differences and work with him to provide leadership in the community.
“You have been given the mandate by the people to live with them and provide leadership.
“Don’t leave the people and go looking around for money in towns,” he said.
Ipatas also thanked provincial government and Electoral Commission officials who were involved in the successful elections.
“I am happy to acknowledge the work of the provincial election steering committee led by provincial administrator Dr Samson Amean, provincial police commander Supt Philip Welia, provincial election manager Henry Kiakas and all the election officials for a job well done,” he said.
According to Electoral Commission, supplementary elections would be held for the LLGs that had been failed

PNGSDP: Law wants funds shared

Source: The National, Wednesday August 7th, 2013

 
RECENT public comments in the media about PNG Sustainable Development Program Ltd have prompted me to write to explain our role in terms of national and Western Province sustainable development and how we are required by law to allocate the funding we receive as dividends from the Ok Tedi mine.
PNGSDP was set up by an Act of Parliament, the Ok Tedi Mine Continuation Ninth Supplemental Agreement Act 2001.
The Act resulted from an agreement between the owners of the mine, primarily the Government of Papua New Guinea and BHP Billiton.
It stipulates that the benefits of the mine should flow to ALL Papua New Guineans, and in particular, the Western Province.
The Act states that its purpose was partly to ensure that Ok Tedi might “continue its significant contributions to the advancement of the social and economic welfare of the people of Papua New Guinea in general and the people of Western Province in particular”.
It also states that it specifically takes into account the “national goals and directive principles (including, in particular, the goals that Papua New Guinea should, among other things, be economically independent and its economy basically self-reliant and that Papua New Guinea's natural resources and environment should, among other things, be conserved for the collective benefit of all Papua New Guineans)”.
In other words, PNGSDP is required by law to distribute the income it receives from the mine across the nation, but with special reference to Western Province.
It achieves this balance in a number of ways:

• We place two-thirds of our net share of the Ok Tedi dividends into the Long Term Fund. This fund, which now stands at $US1.4 billion (K3.04 billion), is reserved for sustainable development of Western Province for 40 years after the mine’s closure.
• We place one-third of the net dividend share into the Development Fund. Two-thirds of the Development Fund goes to national projects (some of which are in Western province) and one-third is reserved for Western province projects.

The sharing of funds complies with the Constitution, which clearly states (Item 4 of the national goals and directive principles) that natural resources and the environment must be “conserved and used for the collective benefit of us all”.
As trustees, the board and chief executive are obliged to fulfil the legislative mandate of PNGSDP, in an environment of unaccountable trusts.
Collective ownership and sharing of resources is one of the foundations of nationhood.
It underpins the development of Western province before Ok Tedi began paying dividends to the State in 1991.
Before 1991, Western province had very little income. Almost all development was paid for by taxes and other national income raised from outside the province.
The main contributor was the Bougainville copper mine before it was closed in 1989.
PNGSDP is unique in the world. It uses all of the dividends from Ok Tedi for sustainable social and economic development in Western province and elsewhere, according to the law.
It has protected and preserved money in its Long Term Fund which can be used for continued development in Western Province once the mine is closed.
No other mine owner in the world can claim to have returned the profits from mining to the people in such a sustainable way and on such a scale.
This is in addition to the billions of kina paid in compensation for environmental damage and the continuing efforts to mitigate environmental damage, including the development this year of a shortlist of potential sites for a tailings dam.
David Sode
CEO, PNGSDP

Ipatas backs agreement

Source: The National, Wednesday August 7th, 2013

 
ENGA Governor Peter Ipatas has backed the asylum seekers’ deal signed with Australian Prime Minister Kevin Rudd, saying PNG stands to gain greatly from it.
“Critics of this deal are ignoring the immediate benefits of the deal, and the opportunities it will open up for Papua New Guinea,” he said.
“Immediately, Manus will get developments projects funded by the Australian and PNG governments, that it would not otherwise get for some time.
“Manus is isolated, and often forgotten, so this deal is providing opportunities that come with hosting the processing centre”
Ipatas said Australia had always stood by PNG when it was in need, so it was right to accept a request from them to help address a growing global problem of human smuggling and illegal migration.

Locals hold up chopper

Highlands Region

Thursday 08th August 2013

KAGUA District in the Southern Highlands Province is now declared a ‘No-Go Zone’ by local helicopter companies.
This followed an attack last week on one of PNG’s own fastest rising helicopter company, Heli Solutions Limited.
Heli Solutions chief executive officer (CEO) Captain Phil Emeck said yesterday from Mt Hagen that the company was currently engaged by PNG Electoral Commission for the LLG election operations in the Highlands region and it was doing its scheduled flights to Kagua and Erave districts when the incident happened. Capt Emeck who was flying one of the companies third Bell 407 helicopter was held up and threatened by heavily armed thugs reportedly under the influence of marijuana at the remote place at Katiloma Bible Mission station last Wednesday. He had stopped to refuel after dropping off an aviation fuel drum there earlier.
The incident happened after he arrived from Sembirigi and Marorogo areas after dropping off polling officials, ballot papers and boxes en-route for Mt Hagen.
He said it was about 1pm when locals numbering about 30, armed with bush knives and homemade guns surrounded him and his lone crew member demanding K10,000 or else they would damage the K7 million aircraft.
Captain Emeck offered the gang K1000 which he had in his pocket but was refused. They ordered Capt Emeck to leave his crew behind, go to Mt Hagen bring back the money in exchange for his crew.
Fearing that his life and that of his crew plus the aircraft was in danger he handed over K5000 which he had brought along for purchase of timber along the Highlands Highway. The group after some resistance took the money and released both men.
Capt Emeck is co-owner of the helicopter company together with fellow Southern Highlander Capt James Pilot. They are both former PNG Defence Force pilots who resigned to start their own aviation company. Capt Emeck described the incident as a ‘frightening and barbaric act’, adding that it is not the first time for culprits in the Kagua area to hijack or attack helicopters and planes.
They have reported the incident to Mendi police but due to its isolated location, police are yet to arrest the culprits involved.

Asylum Seekers Raped, More Harrowing Details Revealed from Manus Island

By Athena Yenko: July 26, 2013 7:40 AM IST

 

Asylum Seekers Raped, More Harrowing Details Revealed from Manus Island (VA Papua New Guinea national detention guard in Manus Island revealed more harrowing details of rape in the men's facility. The guard refused to be named in the fear of losing his job.

His revelation came after whistleblower, Rod St George, spoke of the same hapless condition in the Manus Island facility.In an interview with Fairfax Media, the guard detailed of what he saw inside the facility involving a Pakistani victim who was raped by six Middle Eastern men. "We had to go into the tent and he was there, and it was very bad. There was excrement all over the tent."The guard said that the victim was given medical aid in the camp clinic for two weeks. BUT, the victim was sent back to the same facility where his rapists were roaming freely - something that was hard to understand.According to the guard, there had been documents reporting the incident but there were no further investigations made and the PNG police remained clueless of what had happened.Another rape case in May 2013 had compelled PNG nationals working for G4S to attend to the men's facility where another victim was raped and badly injured. But after that, the PNG nationals seemed still 'unaware' of what's happening.One recent incident involved a brutal attack where a victim was slashed from shoulder to buttocks with a sharp object, "He had to go to the clinic. The cut went from his shoulder down to his buttocks."But again, even with reports already filed, there were no investigations that took place. The guard also revealed that G4S were guilty of exploitation for paying salaries of $40 a day. In an answer to the issue, Immigration Minister Tony Burke said that officials were having a hard time investigating because witnesses and victims were not willing to name the culprits. Mr Burke said, "There are challenges for the police in dealing with an allegation where no complainant has come forward and the only person who it is thought might have been a complainant that has left the country voluntarily some time ago. In an interview with The Age, Mr Burke expressed confidence that current conditions in Manus Island will be improve by the Australian Labor Party's new policy. He said that under the new policy, there will be separation of aggressive detainees from the vulnerable ones. Mr Burke said, "I'm very confident that the accommodation on Manus will be able to keep well and truly in front of any attempts by people smugglers to test our resolve."

Kandep Peace move applauded

News	Tuesday 11th June 2013

A LAE based Engan businessman Mr Kandaso Napi has applauded the positive move by Enga Governor Peter Ipatas and his administration in trying to negotiate peace amongst the warring tribes of the Kandep district.
He has also appreciated the positive gestures made by Treasury Minister Don Polye.
“It is quite reassuring if that is any indication of future political cooperation between our two prominent leaders of the province and the immediate need for their bipartisan approach to end the bloodshed and sufferings of the many innocent people in that district.
Mr Napi, who is an ardent nationalist and one who also concerns himself with the developments and events in his home province, has called on Governor Ipatas and Minister Polye to put their political and personal differences aside and work towards lasting peace for the good of Kandep and Enga as a province.
He said if they had done that one year ago at the start to quell the troubles that flared up after the elections, it would not have gotten out of hand and the deaths could have been avoided.
Mr Napi said supporters of Mr Polye and Alfred Manase had been waging war against each other and described the reports of more than 100 people who have lost their lives as disturbing and unnecessary since most of those poor souls would never have benefitted in one way or another through the winnings of either candidate.
He said in reality, the war belonged to them and if these two educated Kandepians had also shown their true leadership at the beginning, all those innocent lives would have been saved.
He said they must discuss peace through the established Engan customary system of brokering peace and bringing normalcy to the area so that people may go about their daily lives without any hindrance and fear of retaliation.
Mr Napi called on the people of Kandep, especially those groups and individuals whose lives have been affected in one way or another by tribal war to forget and forgive if they want genuine lasting peace.
This self-made businessman who is a strong supporter of local participation in spin-off businesses, envisages a booming Kandep as a border district when the Mendi-Kikori highway opens up in the near future.
He said when this happened, all Engan businesses, including the giant Porgera gold mine and the upcoming Mt Kare gold mine would be using the now upgraded Kandep-Mendi highway and connect with the Mendi-Kikori highway as a short-cut alternative to freight their equipment and materials.
“I reckon the people of Kandep would benefit immensely if they can stop fighting now and prepare to cash in on the opportunities of a lifetime”, he added.