Thursday, June 21, 2012

Remembering the late GREG BLUETT



Bikes, Camera, Neverland and a Uke

A tribute in Memory to lau Turagu Namona, (my best friend) Greg

13 August 1958 – 12 June 2012


By ADAM VAI DELANEY

Gregory William Bluett, late son of Noel and Margaret, passed-on last Tuesday (June 12) evening with his family praying by his side in hospital. 
He died peacefully and by accounts from his family, so very unexpectedly at the age of 53.
 His doctors had suggested survival for about 6-12 months. 
But he stopped breathing, and his pain vanished, far sooner. 
The tragic, sudden turn of events had me, and I am sure many more, in shock and disbelief.
 Greg’s wish was that his celebration funeral, held in Cairns last Saturday 16 June, be rich in colour and joy.
 His wish was well honoured. 
His motorbike and friends at the gravesite

An entourage of special friends played the ukulele and sang beside him, and the Chapel of Memories was full of rainbow colours.
 A family friend said that anyone not knowing what has happening would think it was a “Wiggles Conference,” and Greg would have loved that.
 Greg was a real-life Peter Pan, the fictitious, character about a mischievous, ageless boy that wished to be youthful forevermore and fly.
 Greg was the epitome of “Pan” - enjoy life to the max and only he could fly with a motor-bike. 
A man with such a love for doing the extraordinary leap-of-faith, and if it had an engine so that he could do that, oh! even better.
 Greg was Mr. Energy; a thriller and thrill-seeker, claiming a closet of victory trophies and awards in the sport of motocross, and was renown for his ability to perform ‘crazy’ stunts  whilst dressed in a clown-costume at the Lae Show in the 80’s.
 With his parents and siblings, he grew up his most of his time in PNG in Goroka and Lae and then later in Port Moresby. 
His eldest brother, Paul, who continues to serve Papua New Guinea in business remarked that “I just gave up trying to look after my brother.” 
I can understand that babysitting Greg would have been like watching over a beehive on a rainy day! 
His mother’s tribute was blunt about his larger than life son always baiting the local police to chase him on his cross-country motorbike across Lae.
 Greg would have been grateful that the young black kid he grew up with, Hon. Moses Maladina, Minister for Police, had come to say goodbye to him and celebrate his life, on Saturday in Cairns. 
And in keeping with Greg’s wicked one-line humour, his brother Paul, joked that finally the police had caught up with him!
 I met Greg at EMTV in Port Moresby, at a time when the company was still finding its feet in the market, and we started in commercial productions under our mentor, Alun Beck.
Adam Delaney (left) and Greg Bluett in Cairns at Amateurs Carnival 2001.

 Television had finally tamed Greg and opened up the path of his dreams.
 His passion for creativity, people, nature, travel, had merged with his love for photography and better still it culminated a career where he could find his dreams as an individual.
 He often said that “you have a camera anywhere in Papua New Guinea and the whole village becomes your friend.” 
His marvellous images around PNG and of the people seemingly unaware of the problems around them, are testament of this wonderful relationship. 
He was finally happy on a road to self-belief and family.
 Greg was a Papua New Guinean in a white-man’s skin with blonde hair. 
Sometimes he was more Kiap, than Kiaps
The guy was down to Earth as it came, and sincere in his belief that other people were in far greater need than he was. 
We shared a common distaste for how people were paid in PNG. 
As a Papua New Guinean he earned far, far less than the ‘expert’ expatriate that came into Media Niugini with little knowledge of the country.
 They had company cars, and ‘luxury’ apartments. 
Greg was forced to earn the national equivalent, because he identified himself as being a PNG national, even though his technical and people skills were superior.   
But he plugged along.
 Greg ‘shot’ some of the best pioneering television commercials such as, the original Coca Cola fun-in-the-sun ads on the beaches around Port Moresby, and various Motor Car advertisements. 
We showcased “House of Gemini’s” fine jewellery with a memorable ‘shoot’ at Daugo Island using Bob Garner’s “Heart of Gold” yacht.
 When Greg finally left PNG, his spirit had remained. 
He would often return to his spirit-land, and did so recently, including to New Ireland for the “Mask Festival” and catch-up also with his wantoks from the Bahai Faith.
 He set up his own company, GBTV, and was closely connected with WIN Television in Cairns and the Cairns business community.
 It was a rare moment for me helping him, part time, set-up cameras and film races during the signature event- Cairns Amateurs Carnival
Our job was to record the horse races, which could be used as evidence of any irregular behaviour by Jockeys – like using whips on another horse. 
Greg would have left a legacy of at least 8,000 television commercials produced in his lifetime.
 He drove from the West Coast of America in a rent-a-car to New York City, and stayed with my family and I in the late 1990’s on Roosevelt Island. 
He couldn’t stop filming.
 For a man of film, the City was jungle of images.
 Greg’s greatest heart was his beautiful daughter, Rebecca, from his former wife, Elaine, whom he met in Cairns.
 We last spoke almost six weeks ago when I treated him and his partner, Gabby, for lunch at a Japanese restaurant in town.
 He was a ‘happy chappie’ as usual and didn’t know then, according to his family, that the lingering pain in his throat was something far sinister and, as it turned out, fatal.
 Over lunch, I invited him to join me in playing over 35’s (age) soccer at Trinity Park and he seemed enthusiastic. 
When the match was scheduled, I emailed him and in true Greg cheek, he responded that “we should train, as he hadn’t kicked a soccer ball in almost 20 years.”
 I laughed out loudly and replied that as it was an “over 35s competition” our team does not even warm-up before a game! 
So very sadly, I never had the chance to see him kick around.
 Greg you will be missed mate. 
A true wantok, with many friends from so many walks of life. 
You taught many in PNG how to use a camera and edit better.
 If there’s a speedway in Heaven, I’ll be looking out for a man in a clown-suit, waving a PNG flag, dancing his bike amongst the clouds and blasting Led Zeppelin’s “Stairway to Heaven” on a ukulele.
 Bamahuta lau Turagu, God Bless until we meet again.




Adam Vai Delaney was a former PNG Diplomat and now works as an Independent Consultant in Asia-Pacific.

Investors eye PNG gas prospects

By OXFORD BUSINESSS GROUP

INVESTORS have put concerns about political uncertainty in Papua New Guinea to one side, encouraged by the keen interest buyers are showing in the country’s natural gas blocks and major new finds.

Onshore pipeline being laid last year along the route of the PNG LNG pipeline.-Picture courtesy of ESSO HIGHLANDS
PNG’s gas resources are earmarked to play a crucial part in its development, with reserves estimated at around 22.6 trillion cubic feet (tcf), and much of the country has yet to be explored due to its challenging terrain.
Last month, the Australian company Oil Search confirmed that it had received offers from both new and existing players to participate in its exploration acreage in the Gulf of Papua.
The news followed an announcement made some weeks earlier by Oil Search, together with its US-based partner ExxonMobil, that the gas zone at the P’nyang South-1 well had been found, through a “sidetrack well”, to run some 200m deeper than originally estimated.
The well forms part of an exploration campaign in the PNG highlands which supports the expansion of a US$15.7 billion PNG Liquefied Natural Gas (LNG) project, which is scheduled to come on-stream in 2014.
The new find increases the total gas column to about 380m and doubles the field’s estimated reserve to around 3tcf.
Two LNG production units are currently under construction as part of the project.
But the P’nyang find and the confidence it is generating have prompted speculation that a third LNG train, which would boost annual export capacity from 6.6 million tonnes to around 10 million tonnes, may well follow.
“This outcome has virtually been assured with the better-than-anticipated result at the P’nyang South-1 and sidetrack that is presently being completed,” an industry source told The Australian.
Such confidence is likely to be generating much of the widespread interest in Oil Search’s untested Gulf of Papua assets.
Chief executive Peter Botten told the media last month that drilling at its Trapia-1 mine would start this month, followed by work at the Hides prospect, which, with 3 tcf in proven reserves, is the mainstay of the LNG venture.
The new wave of investor interest follows a US$280 million deal struck last February by Japan’s Mitsubishi to buy stakes in several natural gas discoveries and prospects in the forelands area of western Papua New Guinea from Canada’s Talisman Energy.
In a separate move, the Anglo-Dutch hydrocarbons giant Shell opened a representative office in the capitalin the same month.
Gordon Ramsay, an analyst for UBS, told Radio New Zealand in February that PNG’s potential was generating widespread interest despite the challenges associated with its difficult terrain.
“In the Southern Highlands region, the terrain has made it very difficult to explore in the area so there’s not a high level of maturity of exploration,” he said, “so there’s potential to find more gas.”
However, while interest in PNG’s gas resources is running high, concerns are also mounting that elections starting on Saturday could raise political tensions, sending ripple effects through the country’s energy projects.
PNG will be keen to avoid turbulence, with its plans to tap growing demand for LNG, especially in China, well under way.
Forecasts from the International Energy Agency (IEA) recently show that LNG trade looks set to expand by 35% from 2015 onwards.
China is expected to become PNG’s leading customer, with figures estimating that its consumption of LNG will double in the next five years.
In a bid to ensure it is in a strong position to meet the anticipated rise in demand, the government has moved to encourage larger energy companies to invest in PNG by setting a 180-day trigger date for terminating its 2009 project agreement with InterOil.
It has also asked the Australia-based company to sell a minimum 50.5% stake in the Elk/Antelope reserves to a company experienced in operating a large-sized plant.
An affiliate of InterOil has described the government’s notice of intent as invalid.
However, Port Moresby appears to be standing firm.
“InterOil has for too long insisted on a development structure, which is designed to only meet its objectives of controlling the asset and the pace of developing it,” Minister for Petroleum and Energy, William Duma said.
“This has led to a proposal calling for a piecemeal, incremental and fractured development implementation operated by InterOil and its affiliates, rather than by large-scale international operators with experience and capital.”
While the move is not without controversy, it is an indicator of the high confidence levels that PNG’s energy sector is generating, both within the country and internationally.
Figures released by the International Monetary Fund in June forecast that LNG production should boost real GDP by about 20% when it reaches full capacity in 2015

O’Neill-Duma LNG row over Gulf LNG

By MALUM NALU

PRIME Minister Peter O’Neill and his Petroleum and Energy Minister William Duma – who has openly campaigned that he wants to be next prime minister – appear to be on opposite sides of the controversial issue regarding InterOil’s Gulf LNG project, The National reports.
InterOil, the meat in the sandwich, has jumped into the fray by supporting O’Neill just days before voting in the 2012 elections begin.

InterOil’s Antelope 2 well during flow test on December 1, 2009.-Picture by INTEROIL CORPORATE COMMUNICATIONS
The continuing drama and intrigue over InterOil’s Gulf LNG project continued yesterday with Duma calling on the company to deliver the project, just days after O’Neill said he supported InterOil.
Duma, in a statement released from the office of state-owned Petromin but in his name, reaffirmed the state’s position that InterOil must comply with the project agreement it signed with the state in December 2009 to commercialise the Elk/Antelope gas discovery.
This somewhat contradicts O’Neill’s statement last Friday, reiterating strong support for InterOil’s Gulf LNG project and expressing hope that the company would progress its development quickly.
“Under the agreement, InterOil committed to build a 7.6 million tonne per annum to 10.6 million tonne per annum LNG processing facility,” Duma said.
“The facility is to be operated by an internationally-recognised LNG operator.”
Duma said InterOil had deviated from this contract and was “instead proposing a staged small-scale LNG project, which they indicated will be operated by companies not internationally recognised LNG operators in the so-called ‘Gulf LNG Project’”.
“The staged development proposal by InterOil has been rejected by the state,” he said.
“Furthermore, the state through the Department of Petroleum and Energy has given InterOil Corporation 180 days notice to show cause why the project agreement should not be terminated if they did not deliver the project in the project agreement.”
Duma said as minister responsible for the Oil and Gas Act, he supported the development of a second large-scale LNG project.
He therefore called on InterOil to cooperate with the state and deliver the project as called for in the project agreement.
Duma said the onus was on InterOil to commit to developing the project in the agreement and the facility could be located in the Gulf province.
InterOil said on Tuesday it was pleased to have the support of O’Neill.
“The company looks forward to bringing the next world class LNG project to Papua New Guinea in complete satisfaction of the 2009 LNG Project Agreement,” it said.
“Additionally, recent exploration activities have yielded several drill ready prospects which appear to be promising for future resource additions.
“We plan to put our second drilling rig to work in the next few weeks to drill two delineation wells in Petroleum Retention License 15, followed by two exploration wells in Petroleum Prospecting Licenses 236 and 238.”

Wednesday, June 20, 2012

BSP uses new tech to upgrade service

By MALUM NALU
THE Bank South Pacific aims to revolutionise banking in the country by using cutting edge technology to bring services to the remotest areas of the country, according to group chief executive officer Ian Clyne.
He told The National the bank was using Samsung Galaxy Tablets – in a world first – to bring banking services to remote PNG.
BSP will use these tablets to open new customer bank accounts conveniently in less than 15 minutes anywhere in the country.
With the tablet, bank staff can input customer details, take a photo and customers jot down their signature.
The customer walks away with a pre-registered KunduCard and new account instantly.

BSP's Timothy Sipwanji and Nancy Knight (standing) opening a new BSP Kundu account for The National business reporter Gynnie Kero (right), using a Samsung Galaxy Tablet.
“We are basically able to, within five minutes, open up an account, take your photograph as a customer, the customer signs on the tablet, the information goes back to our system in real time,” Clyne said.
“The person has a bank card immediately, not in one week or two weeks time.
“We can do that anywhere in the country in five minutes.
“We now have 350 Galaxy tablets around the country.
“There are teams of (BSP) people going out into the rural areas, such as oil palm projects, and getting the workers and drivers to open accounts.
“We have people all over the country going out into the remote areas to help people there open up bank accounts.”
Clyne said BSP was working towards getting 1,000 tablets working all over the country.
This is all part of the lucrative Green Gold campaign, which started this month, and is set to be the largest cash give away in PNG history.
“The reason we launched Green Gold was about financial inclusion,” Clyne said.
“If someone has a bank account, that will encourage them to save and manage their money more professionally.
“You don’t want people to come to the main centres because they have to spend K50, K100 or more to come to the big centres and then we have a big line.
“This (tablet) is part of a strategy of having electronic solutions convenient for customers all around PNG.
“We also have the ability to open up accounts for customers anywhere in PNG,” Clyne said.
“We’ve come up with a technology that is a world-leading technology: a Samsung Tablet and a Windows Bluetooth card, where we can go anywhere in the country, including an Ok Tedi boat down the Fly River.
“There are many firsts going on around the country that a lot of people aren’t aware of.”
Meanwhile, BSP now has two Kundu account choices for its retail customers: Kundu Account Standard and Kundu Account Plus.
The Kundu Account Standard is for customers who do not frequently transact on their Kundu account or may not use their account every month.
The Kundu Account Plus is for customers who frequently transact on their Kundu account.

Massive irrigation system plan for palm oil

By MALUM NALU

THE biggest-ever multi-million kina water irrigation project in PNG – the ‘Ramu Pipeline’ - is being built at Gusap in Madang province by Ramu Agri Investments Ltd (RAIL) for its palm oil estate, The National reports.
The 440km long irrigation project, the first of its kind in PNG, is at the core of RAIL’s plans for palm oil expansion in Gusap and could set the benchmark for such similar projects in the country.

Workmen laying mainlines for the 440km 'Ramu Pipeline' at Gusap last Thursday.-Nationalpic by MALUM NALU

RAIL general manager Jamie Graham did not disclose any figures for the irrigation project.
But he said it ran into the “millions”.
He said the irrigation project was necessitated by low rainfall and soil fertility and would be carried out over 620ha to see if it was viable.
“The irrigation project is very important to us,” Graham said,
“It’s a unique project in many ways.”
RAIL irrigation and infrastructure manager Adrian van Boven, who gave The National a tour of the project site, said it should be completed by mid 2013.
“We take water from the Gusap River,” he said.
“It comes through the channel and enters the pump supply.
“This pumps the water up to the field.
“We will have a supply of water all year around.
“We expect completion in mid-2013.”
Van Boven said Nawae Construction was carrying out civil works and building the shed, while four teams of RAIL employees were carrying out all other work including laying out 440km of irrigation pipes.
“This is a big project, but the key to it is having the right people and right equipment,” he said.
“We have to get the right people, train them and support them.”
Irrigation team leader Jedii Nabot said his workers were excited about the project as it was the first of its kind in PNG.
“We’re very excited because this is a new thing that is happening in this country,” he said.
“We started laying of the pipes in April.
“We expect to complete this project by next May.”
Mainline team leader Nathan Komea said his team of five workers was very excited about taking part in the project.
“We only install big pipes and big fittings,” he said.
“It’s a new thing and we’re all enjoying it.”
Project equipment include one excavator, two bulldozers, three trencher machines, two tractors and two slashers.

Tuesday, June 19, 2012

BSP justifies its rate charges

By MALUM NALU
Bank of South Pacific chief executive officer Ian Clyne says there are valid reasons for the fees it charges.
He justified BSP’s rates in reply to questions from The National following complaints from the public, particularly about the automatic telling machine (ATM) fees.
Clyne said the cost of banking services in PNG were very high, including ATMs, and most of these costs were borne by corporate clients as compared to retail clients.

Clyne...our charges are justified
“The retail customers should at least be covering the costs of the service we provide,” he said.
“The PNGBC (BSP’s predecessor) used to give a lot of services for free, but, of course, the PNGBC ran into serious financial trouble.
“So, as I said, if you look at the issue of service fees, the cost of an ATM withdrawal is 75t, the cost of a betelnut is K1.
“That ATM costs a lot of money; it’s a very expensive piece of equipment.
“We have a K3 million system that monitors the performance of the ATM.
“It’s a very expensive exercise to manage maintain an efficient working ATM network, therefore, there needs to be a fee.
“And the fee we charge in Papua New Guinea is about 20% of the fee charged for the same service in Australia or even in Africa
“I clearly understand the majority of the people because incomes are low, and they view some of the service fees as being high.
“Papua New Guineans, in most instances, enjoy very, very low fee structures.”
Apart from the 75t withdrawal fee, other ATM fees charged by BSP are for ATM cash withdrawal at other banks (K2.50), ATM cash withdrawal at other banks using Visa Debit Card (K15), ATM phone top up (75t), ATM balance enquiry (50t), ATM balance enquiry at other banks using VDC (K1.50), ATM balance enquiry at other banks (50t), and ATM mini statement (50t).
Various other fees are charged, all of which can be accessed on the NSP website, http://www.bsp.com.pg/About-Us/Rates--Fees/Fees--Charges/Personal-Fees--Charges.aspx.

Ramu: PNG can produce own beef

By MALUM NALU
Papua New Guinea continues to import most of its beef, despite the fact that it can produce its own of very high quality, according to Ramu Agri Industries Ltd general manager Jamie Graham.
RAIL runs the biggest cattle ranch in the country with more than 20,000 head at Leron Plains in the Markham Valley of Morobe province.

Cattle in a yard at the RAIL’s Leron Plains Ranch in the Markham Valley of Morobe province last Thursday.-Nationalpic by MALUM NALU
The cattle are are then taken to the feedlot at Gusap in Ramu Valley of Madang province, to be fattened and slaughtered.
Graham said there was no government support for the local beef industry whatsoever, and it was very difficult to import livestock into PNG, because of protocol measures imposed by National Agricultural Quarantine and Inspection Authority (NAQIA).
“There’s no doubt that that the quality of Ramu beef has increased,” he told The National.
“Fifity-five (55) per cent of the beef is imported.
“Again, there’s no government assistance.
“The Department of Agriculture and Livestock is of no assistance whatsoever.”
Leron Plains manager Bruce Guaran said cattle were raised on about 9,000ha of land there before being taken to Gusap.
Apart from grass, they are also fed sorghum grown there
He said calves were raised for six months before being weaned (separated from their source of milk), fed until they weighed about 300kg when they were moved to Gusap, and then fattened in the feedlot until they weighed 400kg when they were taken to the abattoir to be slaughtered.
“It can be 18 months to two years and they are slaughtered,” Guaran said.
“This (Leron Plains) is the biggest cattle ranch for the company and also the biggest in PNG.
“At present, we have about 30 fulltime staff and 45 casual staff.
“This open grassland plain is great for cattle.
“It’s great cattle country.
“It’s good cropping country too.”

Ramu to increase sugar production

By MALUM NALU

Ramu Agri Industries Ltd will increase its harvest of sugar to reach a production target of 43,000 tonnes per annum over the next five years.
General manager Jamie Graham said this will meet the demands of the growing PNG market.
The output taget will be predominantly for the growing PNG market as the company does not export its sugar, Graham said.

Cane harvestor (left) and tractor at work in the cane fields of the Ramu Valley last Friday.-Nationalpic by MALUM NALU
He said the  threat of weed and pests has been controlled,  thanks to the company's efficient research and development department headed by national scientist, Dr Lastus Kuniata.
This production will be predominantly for the growing PNG market as the company does not export its sugar.
Last year, RAIL produced about 36,000 tonnes of sugar from a total harvest of 397,000 tonnes.
Graham told The National that the company also planned to extract 3 million litres of ethanol per year from the sugar.
“We’ve got a very good crop in the field (now),” Graham said.
“It would be good to have a bit of dry weather.”
Agriculture manager Paul Lloyd said the company currently had about 7,900ha of sugar plantings at Gusap in the Ramu Valley.
“We divide the estate into seven farms of about 1,300ha,” he said.
“It’s a fully-mechanised operation from land preparation, planting, fertilising, weed control and then harvesting.
“We have a few labourers but this is as advanced as the Queensland sugar industry in terms of mechanism.
“We aim to grow up to 450,000 tonnes of cane a year – this will give us about 40,000 tonnes of sugar.
“We harvest for six months from mid-April to mid-October.
“This corresponds with our dry period.”
Lloyd said the threat of weeds and pests was still there.
“We have a lot of problems and challenges,” he said.
“Weed control is one of the greatest.
“We have a fully-mechanised spraying operation.
“Pest control is another one.
“We have a very-efficient research department.”
Lloyd said natural predators were used to control weeds and aerial spraying was sometimes used to control pests.
RAIL currently has about nine harvesters, 32 large tractors, 62 small tractors, 84 cane bins, and a large seasonal workforce that works in three shifts seven days a week.

Monday, June 18, 2012

Heli Solutions wins K13.7 million deal

By MALUM NALU
Nationally-owned helicopter company Heli Solutions has been awarded a K13.7 million contract by the Electoral Commission to carry out election-related work, The National reports.
Owner James Pima announced this on Saturday night when welcoming seven Australian helicopter pilots who will be flying for Heli Solutions during the election period.
This will be the biggest job for Heli Solutions, which was formed last August and has two helicopters.
The seven pilots flew in on five Squirrel AS350 helicopters from Newcastle and Melbourne in Australia.

Pima (centre) and two of his staff with the seven Australia helicopter pilots who arrived on Saturday night.-Nationalpic by EKAR KEAPU
Pima said because it was a big job that required more helicopters, Heli Solutions signed an agreement with The Helicopter Service Australia to provide an additional five helicopters.
“We have a joint venture agreement with The Helicopter Service Australia to supply us with five helicopters,” he said.
“They’ll be here for the whole polling period.
“This, for Heli Solutions, will be out biggest task to date since being set up last August.
“Otherwise, we wouldn’t have been able to do it with only two helicopters.”

One of the five Squirrel AS350s touches down on Saturday night.
Pima said the helicopters would serve Morobe, Madang, East Sepik, West Sepik, Gulf, Western, West New Britain and East New Britain provinces.
Luke Davidson, on behalf of the seven Australian pilots, said they were looking forward to the challenge.
“We’re very happy to be here and looking forward to working in the elections,” he said.
Pima, meantime, said business had been so good that Heli Solutions would be looking at acquiring a third helicopter when it celebrates its first anniversary in August.

Ramu expands palm oil farms

By MALUM NALU
Ramu Agri Investments Ltd (RAIL) is carrying out massive multi-million kina expansion of palm oil in Ramu Valley of Madang province and adjoining Markham Valley of Morobe province after having its product rated as among the best in the world.
These projects include the biggest-ever 440km-long irrigation project in PNG using water from the Gusap River, building of satellite towns or “village estates” at Surinam and Dumpu past Gusap in the Usino-Bundi area, a second mill at Dumpu, and getting more out growers from Ramu and Markham valleys.
RAIL general manager Jamie Graham told The National in an exclusive interview in Gusap on Saturday that all these were part of the company’s plan for palm oil expansion after Ramu Sugar was taken over by the giant New Britain Palm Oil Ltd (NBPOL) in 2008.


The massive palm oil storage tanks at Gusap in the Ramu Valley last Friday. The large yellow one can hold up to 1,000 metric tonnes of crude palm oil (CPO) while the smaller one can hold 250 metric tonnes of palm kernel oil.-Nationalpic by MALUM NALU

 He did not disclose any figures, however, said these ran into the “millions”.
He said palm oil in 2008 covered an area of 4,500ha and this had increased to 11,000ha since then – largely state leases at Gusap, Surinam and Dumpu – with the company looking at acquiring customary land for expansion.
Seeds come from world-renowned Dami in West New Britain province,
“Our plan over the next five years is to go up to 17,000ha,” Graham said.
“The irrigation project is very important to us.”
He said the irrigation project was necessitated by low rainfall and soil fertility and would be carried out over 620ha to see if it was viable.
“It’s a unique project in many ways,” Graham said.
He said at Surinam and Dumpu, apart from quality housing being built for staff, trade stores, community centres and sporting facilities would also be built.
“We’re also planning a new mill to be located near Dumpu,” Graham said,
“We’ve already started planning.
“We would hope to start by the end of 2013.
“We would hope to have that in operation by the end of 2015.”
The current mill at Gusap, which has been in operation since March 2008, was the first to be established in the Momase region with a capacity of 30 tonnes of fresh fruit bunches (FFB) per hours.
“We have increased capacity of the mill so that it can produce up to 45 tonnes (per hour) by the end of 2013,” Graham said,
Ramu palm oil is Roundtable of Sustainable Palm Oil (RSPO)-certified, since 2010, meaning it is internationally-recognised.
“We export straight to Europe,” Graham said,
“We have a bulking terminal in Lae.
“It is then shipped and exported straight to Europe.
He said Ramu palm oil was shipped to NBPOL’s refinery in Liverpool, England, which only processes certified and sustainable palm oil, which goes to show the quality of the product

Sunday, June 17, 2012

PNG rum on market soon

By MALUM NALU
PAPUA New Guinea’s first locally made alcoholic drink – Ramu Rum – will be on sale in shop shelves later this year.
This follows the approval of production by PNG Customs to Ramu Agro Industries Ltd, although Ramu Rum has been produced for many years and is given as a gift to local and international VIPs.

Premium Ramu Rum to hit the shelves soon
RAIL general manager Jamie Graham said in Gusap on Saturday that the company already produced very high quality alcohol, which was exported to Australia and Singapore, as well as to local liquor manufacturers such as Fairdeal and Trade Winds.
“We produce alcohol of very high quality,” he said,
“We’re hoping to have that (Ramu Rum) for sale this year.
“Once we get the certificate (from PNG Customs), we can start producing.
“It will be the first spirit produced entirely in the valley from cane grown in the valley, processed in the factory producing molasses, and then used to produce rum.
“Fairdeal and Trade Winds purchase ethanol from us to produce some of their bottles of spirit.
“People are already consuming their products but this (Ramu Rum) will be the proper rum.”
Distillery manager Jisanu Fukatine explained that after after sugar was crystallised the remains, known as molasses, were distilled into 95% alcohol and exported and sold locally.
He said about three million litres of alcohol were produced a year, all of which were sold.
“We’ve been given approval in principal to manufacture and sell rum,” Fukatine said,
“The licence was approved in principle on June 6 by PNG Customs.
“Fairdeal Liquor and Trade Winds buy ethanol from us.
“Papindo uses it to extract vanilla essence.
“We also export to Australia and Singapore.”

O’Neill backs InterOil for Gulf LNG project

Prime Minister Peter O'Neill has reiterated strong support for InterOil's Gulf LNG project and expressed hope that the company will progress its development quickly. “Our government fully supports this second LNG project for the country, and we hope InterOil will develop it as quickly as possible,” he said.

O'Neill...strong support for InterOil
O'Neill said InterOil's Gulf LNG project was an officially-recognised second LNG project for PNG and an agreement for its development with the state had been in place since December 2009.
"I am fully aware that InterOil is committed to developing the project and I urge them to proceed quickly to doing so," O'Neill said.
"I am also fully aware that the company has been deliberate in their desire to secure a recognised LNG development major as a partner for the project in compliance with internationally recognised corporate ethics and protocols.”
He said he was confident the company would stick to the agreement and proceed ahead.
O’Neill was concerned that a number of public statements made recently in the media had the potential to create insecurity and cast aspersions on the corporate standing of genuine long term foreign investors that were committed to investing and doing business in PNG as our development partners.
"InterOil has shown that it is one of those genuine long term foreign investors who have stood by PNG during the hard economic times of the 1990s when others decided to pack up and leave,” he said,
"They have our full support in this project,” he said, and urged officials in the ministry and Department of Petroleum and Energy to assist InterOil proceed as quickly as they could.
"I want to reassure InterOil and the investment community that our government fully supports foreign investment and we are committed to making sure that necessary assistance and facilitation is provided to secure business licenses, registration and other go-forward prerequisites required to conduct investment and business in PNG.”

Saturday, June 16, 2012

Border trade control lacking


By MALUM NALU

Border control and enforcement agencies lack resource to control the multi-million kina illicit trade that flourishes in PNG using smuggled items from Indonesia, The National reports.
A Customs source, who asked not to be named, confirmed reports by British American Tobacco in The National that millions of kina worth of illicit goods were being smuggled with ease through the border post at Wutung, West Sepik.

Confiscated contraband being burned by Customs authorities at the border
He said it was ironic that Customs collected K2.3 billion in 2011 fiscal year but the total recurrent allocations for 2012 was only K18 million which was a mere 0.008% of what the organisation collected.
“There are things happening at our borders every day,” the source said.
“The border control and enforcement agencies are under resourced in terms of manpower, logistical support and training.
“Further to that, border enforcement officers are not being properly looked after in terms of housing, good salary, etc.
“Government agencies have very low staff retention rates where well-trained and qualified persons leave and find pastures elsewhere for better working conditions.”
The source said acceptance of bribes by officers was brought by the increasing cost of living.
“An officer is likely to forgo over K20, 000 state revenue at any one instance by accepting less than K200 offer for approval and release of goods or people,” he said.
“The consequential risks attached with allowing such people or goods to enter the country are far more damaging for the people, the legitimate business community and the country in terms of security and revenue for the state.
“Responsible governments must increase funding towards staff welfare, salary/wages for staff and build the resource capabilities so that officers can perform their tasks with professionalism and due care.”
The source could not confirm or deny that K7.2 million in government revenue was lost because of the illegal tobacco trade “as reliable data involved in smuggling activities is not being captured in our database system, especially on unlawful/illegal trades involving goods and people across PNG’s borders”.
BAT said in a document highlighting the seriousness of the problem that a common misconception and a running argument used by perpetrators of illicit trade was that the products were made by a sister company in Indonesia, so it was not counterfeit, and therefore legal.
“For instance, Coca-Cola products are made by the legitimately registered company in Indonesia,” it said.
“In the same vein, Pall Mall products are made by BAT Indonesia.
“This is right, but only the half of it.
“Because despite being owned by the same company, the product will still need to have duty paid on it the minute it enters another country.
“It is still a genuine product.
“But because duty is not paid, it becomes contraband and therefore illegal.”

Thursday, June 14, 2012

No store goods for Daru until next week

By MALUM NALU
Daru residents, who have not had any store goods for the last two weeks, may have to wait until next week when new supplies arrive, The National reports.
Steamships Shipping general manager Andy Cummings told The National yesterday that the next planned vessel to Daru, Steel Challenger, was scheduled to load in Port Moresby next Monday and expected to arrive in Daru next Wednesday,
He said the last liner service to Daru was on May 15.
“We also use vessel Agutoi Chief on service to Daru, but unfortunately, this vessel has been under repair for last two weeks,” Cummings said.
“Yesterday (Tuesday), we received a letter from the office of Western Province administrator, explaining that due to severe flooding in South Fly area, food supply to Daru had been disrupted and local supply was running very low due to the increased demand the flooding has caused.
“We were asked whether we could direct vessels for food shipment to Daru as soon as possible.
“As of this morning, we have completed repairs on Agutoi Chief and will endeavor to have her loaded and depart for Daru today.
Steel Challenger will also load for Daru on about June 18 as planned.
“As a contingency, we are also checking with charters which vessels could be released from contracted services to assist with supply to Daru.”
Daru, meantime, will have a brand-new K10 million wharf trestle in August this year, following the launching of the project on June 1 by PNG Sustainable Development Program (PNGSDP), effectively giving the green lights to contractor Curtain Brothers to start work.

The existing Daru wharf trestle. Once rehabilitated, ships should have no problem loading and unloading at Daru.-Nationalpic by MALUM NALU
The existing Daru wharf was condemned two years ago as the trestle had deteriorated to an extent that it was unsafe to use.
This affected movement of cargoes in and out of Daru significantly, with the flow-on effect on businesses, costs and reliability of coastal shipping.

Fake goods trade booms

By MALUM NALU
Illicit trade worth millions of kina continues to flourish in PNG because of the lackadaisical attitude of law enforcement agencies, government, consumers and the general public, according to British American Tobacco, The National reports.
BAT, which is involved in tobacco business, said this was a problem that affected the whole country with the smuggling of illicit goods through the border post at Wutung, West Sepik.

Vanimo roadside stall selling illicit items smuggled over from Indonesia.

“There continues to be a lack of awareness about the impact of illicit trade on a country’s socio-economic health,” it said in a document highlighting the seriousness of the problem.
“The current situation is further inflaming the problem by providing a stable environment for illicit trade to thrive.”
BAT said in the event that a smuggler was caught in the act, the penalty was a K10, 000 fine or minimal years imprisonment.
“This is a slap on the wrist compared to millions being made from the sale of illicit products,” it said.
“Despite the risks of imprisonment, more people continue to delve into smuggling as a means to earn a living.
“The tendency is to pick products that are usually highly taxed.
“Such consumer goods tend to be more expensive as the cost is usually passed to the consumer.
“ So when a smuggled product that is sold without the tax being factored in, consumers are likely to be lured by the advantage of ‘saving’ money for a product that is similar or a copy of the same, sacrificing quality in the process.
“Sometimes, illegal goods brought are those that are not readily available locally, but a demand for them exists.
“This includes brand name consumer goods like sporting shoes or clothing.
“The smuggled human cargo is usually desperate people wanting to start a new life in a new land.
“Smuggling operations are usually run by criminal organisations with intricate networks that allow them to ply their trade without regard for the laws of the land.
“There is also the small time local operator wanting to make a quick buck and get out of paying revenue to the government.
“Tobacco is usually a lucrative venture targetted by smugglers.
“Because it is lightweight and highly mobile, it fetches a high rate on investment.”
BAT said possible deterrents included:

• Customs and enforcement agencies needed to get government backing;

• Smugglers to pay full tax for the product;

• Increased prison sentences;

• Immediate deportation of foreigners;

• Building national loyalty to PNG-made products; and

• Concentrated stakeholder effort. Affected stakeholders in business such as music producers, fast-moving consumer goods manufacturers (food items, drinks and music) should make a combined effort in education and a partnership approach to drive the message home.

Wednesday, June 13, 2012

Daru stores out of food

By MALUM NALU
People of Daru, Western province, continued to be without store goods yesterday (Monday) as the monthly Steamships Shipping vessel failed to arrive from Port Moresby with fresh supplies, The National reports.
All major shops in Daru have run out of rice, sugar and other basic necessities because the regular cargo ship has not arrived from Port Moresby.
The town has been experiencing food shortage since last week when the cargo boat failed to arrive as scheduled.
Steamships Shipping management was not available for comment yesterday, however, a shipping source in Daru told The National yesterday that a Steamships barge came in once a month.
“Steamships are saying that they will send a relief vessel on Wednesday (today) so we should have supplies by the weekend,” the source said.
“Barges, such as the Agutoi Chief, come in once a month and unload about 30 containers.
“The containers have to be unstuffed.
“Boats spend at least two days here and that costs them a lot.
“There’s also the problem of the wharf trestle.
“Once the wharf is upgraded, they’ll start sending bigger vessels, like the Kikori Chief.”
The source said such was the seriousness of the problem that people were travelling as far as Saibai Island on the Australian side of the border to buy food supplies.
Daru will have a brand-new K10 million wharf trestle in August this year, following the launching of the project on June 1 by PNG Sustainable Development Program (PNGSDP), effectively giving the green lights to contractor Curtain Brothers to start work.

The existing Daru wharf trestle. Once rehabilitated, ships should have no problem loading and unloading at Daru.-Nationalpic by MALUM NALU
“The existing Daru wharf was condemned two years ago as the trestle had deteriorated to an extent that it was unsafe to use,” said PNGSDP chief executive officer David Sode.
“This affected movement of cargoes in and out of Daru significantly, with the flow-on effect on businesses, costs and reliability of coastal shipping.”

Airlines PNG-Air Niugini row over Daru airfares

By MALUM NALU
Airlines PNG yesterday accused Air Niugini of “making headlines using misleading information” regarding reintroduction of flights between Daru and Port Moresby, The National reports.
APNG sales and distribution manager Paul Abbot particularly referred to Air Niugini comparing its K352.20 one-way fare with APNG’s K999 between Daru and Port Moresby.
Air Niugini, however, countered that it was “offering the people of Western province a choice with competitive airfares”.
“They (Air Niugini) have chosen to quote the highest APNG fare available which is a fully flexible fare and compared it to the PX (Air Niugini) promotional special fare with restrictive conditions,” he said.


Passengers outside Daru Airport terminal on June 1. They will be the ones who benefit from cheaper airfares between Daru and Port Moresby.-Nationalpic by MALUM NALU
 “This does not present your readers with an accurate picture of the situation.
“It will be interesting to see the availability of the fare they are quoting at K352.20.
“If based on the PX media people believe that they can all buy tickets between Port Moresby and Daru for K352.20 then I am afraid they will be badly disappointed.
“APNG have in the recent past offered promotional level fares and will continue to do so and in fact have promotional level fares in place at present starting from K339.”
Air Niugini acting general manager - commercial, Dominic Kaumu, countered: “Air Niugini has a range of fares between Port Moresby and Daru.
“Apart from our normal one way fare of K618.40, we offer discounted airfares which are also available throughout our network.
“Our lowest airfare of K352.20 represents a 60% discount off the base normal fare.
“We are offering the people of Western province a choice with competitive fares.”
Abbot said the APNG fare structure was also driven by the services operated beyond Daru and the smaller regional ports that were supported.
“To some degree there is some subsidisation which supports the operation of these other services and guarantees that other ports with the region and links between Daru and other centres can be maintained,” he said,
“If APNG simply focused on services between Port Moresby and Daru then the operating economics would be vastly different and there would be an immediate impact on reducing fare levels.
“The people of the region, however, want more services rather than less and consequently this affects the pricing structure.”
Abbot said the APNG schedule was a daily schedule to Daru, while the Air Niugini schedule initially was only twice a week.
“APNG have been committed to the region for quite some time and believe the APNG schedule reflects this,” he said.
“During the airstrip upgrade in late 201, APNG adjusted the schedule and used Twin Otter flights to ensure that regular services were maintained.
“The operating economics for the Twin Otter and the lower payload and passenger loads which they are capable of carrying meant that this service operated at a loss, however, APNG believed that it was in the interests of the region that it continued to run scheduled operations.”

PNG loses K7.2 million through illegal tobacco trade

By MALUM NALU
Papua New Guinea loses at least K7.2 million a year because of illicit tobacco products being smuggled in through the border post at Wutung in West Sepik province, according to British American Tobacco, The National reports.
Millions more, however, is lost to PNG through smuggling in of other products from Indonesia, despite the Border Development Authority (BDA) being set up at a cost of K75 million in 2009 with the purpose of dealing with development and security issues in border provinces of PNG.
BAT, in a document highlighting the seriousness of the problem given to The National, said the ease with which contraband could be smuggled in from Indonesia was indicative of a “bigger, more aggressive cancer that eats away at government revenue and the local economy”.

A range of cigarette brands smuggled into PNG from Indonesia.-Picture courtesy of BAT
“Consumers make decisions in favour of price versus quality,” according to the document.
“For instance, tobacco, a major money spinner, with flourishing markets in the hotspot areas of the country.
“There is a clear lack of loyalty to PNG-made products by our own people.
“Their continued decision to purchase illicit tobacco means a loss of K7.2 million in annual government revenue.
“Illicit tobacco places the loss of revenue at three million sticks a month, and the current excise rate of 20t per stick to the government translates to K600, 000 per month in lost taxes.
“The concern is that smuggling is also indicative of a bigger, more aggressive cancer that eats away at government revenue and the local economy: transnational crime.
“Transnational crime includes narcotics, arms smuggling, money laundering, human trafficking, counterfeit products and terrorism.”
BAT said a very clear indicator was the easy availability of counterfeit or contraband products such as pirated DVDs and music CDs, counterfeit cigarettes and other consumer goods.
“The problem is further compounded by the general acceptance of these products by local consumers, allowing for the establishment of a strong customer base,” it said.
“Enforcement continues to be a problem as the government agencies tasked to do this are under-resourced.
“Low wages and poor working conditions leave law enforcement open to corruption, allowing smugglers to buy their way out of a conviction and/or to continue to operate their businesses.
“Enforcement agencies continue to be plagued by the lack of resources and under-funding by the government.
“In an economy that is currently focussed in mining, petroleum and the resource sector, smuggling of illicit consumer products and human aliens is an area of least priority for government.
“Furthermore, entrenched corruption promoted by officers within government agencies, prominent citizens and even government officials has allowed the problem to grow unhindered.
“Illicit trade continues to flourish in PNG because of the lackadaisical attitude of law enforcement, government, consumers and the general public.
“There continues to be a lack of awareness about the impact of illicit trade on a country’s socio-economic health.
“The current situation if further inflaming the problem by providing a stable environment for illicit trade to thrive.”

Tuesday, June 12, 2012

K16 million for Western province flood victims

By ISAAC NICHOLAS
PRIME Minister Peter O’Neill moved quickly on Sunday to allocate K16 million and pledged K260,000 worth of relief supplies to be flown in today for victims of floods in Western province, The National reports.
About 48,000 people occupying the delta region of the major Fly River were said to be without fresh water and food when the Fly burst its banks following persistent heavy rains over the past few months.
The number may reach as high as 60,000 as late reports said villages in the Middle Fly had also been affected.
The 25,000 residents on Daru Island are also affected because they depend on food from people on the mainland and basic food supplies such as rice, tinned fish and biscuits are running out from stores on the island.
O’Neill flew into Daru on Sunday to get first-hand briefing on the situation on the ground and the news is not too good as reports said people in the Middle Fly could also be affected.
Australian Federal Minister for Torres Strait and Aboriginal Affairs Warren Hinch also flew into Daru from Cairns on Sunday where he met with O’Neill to address the disaster and border treaty areas affected by flooding.
O’Neill was in Daru with K19 million, where K16 million will go for disaster relief and K3 million for the Daru Secondary High School upgrading.

Daru Secondary School...rundown and in need of improvement.-Picture by MALUM NALU

The prime minister said another K260,000 worth of food and relief supplies made available by the National Gaming Control Board were being loaded on two barges that would leave Port Moresby today for Daru.
Provincial administrator William Goinau said the South Fly district had been declared a disaster area and the provincial administration last week allocated K1.5 million for immediate relief assistance.
He said the North and Middle Fly areas were also affected.
O’Neill also thanked the Australian government and its people for their help in assisting the people of Daru.
The Australian federal minister and member of parliament flew to Daru from Cairns to get first-hand information on the flooding and damages that had been caused to the people in Western.

Monday, June 11, 2012

Breakdown of how Lae funds were spent from 2008-2012


Lae district administrator Robin Calistus has released the Lae Open Projects and Programme Funding under the Joint District Planning (JDP) and Budget Priority Committee (BPC) under District Support Grants (DSG), District Support Improvement Program (DSIP). 
More than K23 million ( K23, 003,322) was spent priority sectors of health, education, district transport infrastructure, law and order and community development projects such as water supply.
It is important for all residents of Lae District to take time in reading this document to form their own view of what Honorable Bart Philemon has done to the funds for Lae District from 2008 to 2012.
Bart Philemon
There are also many misconceptions about the funding and responsibility of the road rehabilitation of the Lae roads. 
Funding is the responsibility of the national government under the Minister for Transport and Department of Transport.
Please click on each page below to enlarge: