Saturday, March 30, 2013

ADB: PNG growth to ease to 5.5% in 2013


By MALUM NALU

The Asian Development Bank projects Papua New Guinea’s economic growth to ease to 5.5% in 2013, as the scaling down of LNG project construction reduces construction and transport activity, with spillovers to other sectors such as retail and wholesale trade, according to ADB’s Pacific Economic Monitor released on Monday this week.
The report said moderating prices of key agricultural exports and a strong kina were expected to depress rural incomes and consumption. 
ADB’s PNG country economist Aaron Batten shows off the Pacific Economic Monitor on Monday.-Picture by MALUM NALU


“Continued declines in oil production, due to depletion of reserves in major fields, will likely also weigh down growth in 2013,” it said.
“Increasing mining output will partly offset the declines in other sectors, as production bottlenecks are addressed at key gold and copper mines, and production at the new Ramu nickel and cobalt mine ramps up. 
“The onset of LNG exports in late 2014 will boost mineral output, with overall growth in the sector expected to reach more than 60%.
“ADB projects the economy will grow by 6% in 2014.
“The national budget provides for large budget deficits in 2013 and 2014.
“The government plans significant increases in funding for infrastructure to raise long-term growth.
“However, the extent to which this supports economic activity will hinge on how much private investment is crowded out by government spending. 
“Inflation is projected to reach 6.5% in 2013 and 7.5% in 2014.
“High government expenditures are likely to stoke price growth for domestically produced goods and services.
“Expected depreciation of the kina is likely to lead to resurgent imported inflation.
“Downward pressures on prices will largely come from the winding down of LNG construction as shortages of skilled labor and private sector capacity constraints subside.
“Accompanying declines in capital imports are also likely to ease port congestion. “
The ADB said although large budget deficits are planned for 2013 and 2014, public debt was expected to remain low by historical standards— peaking at around 35% of GDP in 2014.
It said PNG needed to ensure that higher spending did not undermine the fiscal buffers that have allowed the country to withstand recent economic shocks such as the 2008 global financial and economic crisis.
To achieve this, a number of policy actions are suggested:
  • ·         Spending must remain within the government’s deficit reduction plan. To keep public debt below 35% of GDP, the 2013 budget plans for zero nominal growth in the public wage bill, and low growth in goods and services spending up to 2017;
  • ·         Government will have to manage the growing challenge of financing its deficit spending.
  • ·         Government should restructure its debt portfolio to reduce how often it needs to refinance its debt; and
  • ·         Fiscal risks created outside the budget process must be better managed.

APEC official says PNG affected by high internet costs


By MALUM NALU

This article was first published in The National on Tuesday, March 19, 2013.I wrote this article, based on the visit of a senior US government official to PNG two weeks ago, who said high internet rates in PNG were a major hindrance to development. A week later, Cisco officials visited and said the same thing. This week, Telikom announced reduction of internet rates by 70%.

A senior US government official says PNG will continue to have serious development problems unless it brings down its internet rates down like other Asia Pacific Economic Cooperation (APEC) member countries.
US APEC senior official, Atul Keshap, who was in the country for a short visit last week, told reporters that countries that were giving their citizens the opportunity to express themselves were the ones that focused on giving them access to internet.
US APEC senior official, Atul Keshap

“It’s making sure that people have the opportunity to have access to all the information on the internet, on things like weather data, crop planting, crop prices, maternal and child health care,” he said.
“Like, for instance, in countries like Bangladesh or India, or in Africa, they have created a regulatory or a business environment in which people have access to very low cost internet, usually through telephone networks and using very inexpensive smart phones.
“You have access to the entire world of communication, to information, and everything else.
“This has a great democratic effect because all of a sudden, people are empowered, they have access to a tremendous amount of information at their fingertips.”
Keshap said countries that gave their citizens access to cheap, broadband internet, were reaping the rewards.
“They figured out that by giving people access to this incredible, empowering information right in their hands, and making it easy for them to pay for it, actually has an amazing flow-on effect in terms of prosperity, health, transparency, and so many other different things.
“It creates an empowered citizenry, and an empowered citizenry is one that can really contribute to the nation’s wellbeing.
“Lowering the cost of internet is something that other big economies have found really helped for the wellbeing of the people.
“You can find (internet) suppliers in other countries who can supply things cheaper than what might be available (in PNG).”

Friday, March 29, 2013

Allan: Inquiry a waste of time and money

Source: The National, Thursday,  March 28,  2013 
 
 By SHIRLYN BELDEN 

THE internal report from the SABL inquiry has taken too long and was unnecessary given the time and amount of money spent, Lands and Physical Planning Minister Benny Allan said yesterday.
Allan said this after Prime Minister Peter O’Neill told parliament on Tuesday that the report had completed only three of 16 terms of references and without the expected information.
However, the SABL commission of inquiry yesterday told reporters it was only given 12 terms of references to inquire into.
“The inquiry was given three months and then extended another five. That is eight months altogether given for investigation,” Allan said.
“Then the commission gave the prime minister only the interim report after 18 months.
“The time frame is too long and not necessary for the internal report and not the expected final report,” he said.
“When the process was delayed, there was nothing ready for parliament to table which was the
case.”
Allan said he agreed with O’Neill that the outcome of the inquiry was unsatisfactory.
He said a moratorium on the issuance of SABL was in place and his department could start implementing the recommendations of the inquiry.
He was speaking at yesterday’s official launch of the complaints desk at the department’s Aopi Centre office in Port Moresby.

SABL probe team hits back at O’Neill

Source: The National, Thursday, March 28,  2013 
 
 THE Commission of Inquiry (CoI) into the special agriculture business leases (SABL) was yesterday described as “unfair, unwarranted and premature” the criticism its interim report received from the government and parliament this week.
And commissioners John Numapo, Alois Jerewai and Nicholas Mirou have challenged the government to table its interim report in parliament and let the public judge their work.
The commission expressed its disappointment in a media conference yesterday over criticisms levelled at it by Prime Minister Peter O’Neill, Attorney-General Kerenga Kua and some MPs in parliament on Tuesday, alleging high cost and inadequate work.
Numapo told the media: “We consider the criticism as premature and unwarranted as we understood the interim report has not been formally tabled in parliament for debate and comments.
“Besides, the report is only an interim report and we think that the criticism at this point in time is unfair, especially when the final report covering the entire inquiry with all our findings and recommendations is yet to be presented.”
He explained that the final report would include a recap of the interim report, individual reports and findings on each of the 77 SABLs and a final recommendation covering the entire inquiry.
He promised the final report would be ready by the end of next month.

Westpac eyes new branch in Lae

Source: The National, Thursday, March 28, 2013 
 
 By MALUM NALU

WESTPAC PNG will build a second branch in fast-growing Lae to complement its new branches in Port Moresby (at the site of the old Burns Philp store) and along Waigani Drive, managing director Ashleigh Matheson said.

New Westpac Port Moresby at the site of the old Burns Philp store.-Nationalpic by MALUM NALU

A number of its branches around the country would also be renovated over the next 12 months, he said
Matheson said Westpac currently had 15 branches around the country and two agents, the most recent being the one in the Stop N Shop Express store at Airways Hotel, and 460 staff working in its branches nationwide.
“We’re expanding in Lae so we’re having a second commercial centre in Lae,” he said.
“That will be down in the wharf area.
“That’s the part of town where most commercial businesses are and we also want to be in there
“We are also renovating a couple of branches over the next 12 months.”
Matheson said with “in-store banking”, Westpac services were reaching into remote villages without the need to build new branches.
“That’s working extremely well since we started a couple of months ago,” he said.
“We’ve rolled out 40 in store merchants already.
“We had a target of getting to 100 by the end of September, but, we now actually believe it will be up to 200 by then.”
“We’ll keep this programme going for as long as it’s needed so we could have up to 1,000 merchants out there acting as bank agents.”
“We see this as sustainable because of the ruggedness of this country, and the difficulties of moving cash and people around.
“We don’t believe that it’s feasible at the present time, or sustainable, to open up lots of bank branches around the country.
“They’re very expensive to run.”

How PPPs are helping Papua New Guinea government deliver better rural primary health services

Asian Development Bank
Written by Sakiko Tanaka, Senior Economist

The health status of the population of Papua New Guinea (PNG) has deteriorated since the 1980s due to neglect of the health system, especially in rural areas, where 87% of the population live. An estimated 40% of rural health facilities have closed or are not fully functioning. Limited resources, deteriorating infrastructure, poorly trained staff, and inadequate supervision have resulted in declining access to basic health services which together are the main contributing factors in the declining population level health status. As a result, the situation has made health indicators worse, particularly for maternal and child health. The infant mortality rate is 57 per 1,000 live births and the maternal mortality rate is 733 per 100,000 live births (PNG National Department of Health, 2010; PNG National Statistics Office, 2009).  
The ADB grant 0042 HIV/AIDS Prevention and Control in Rural Development Enclaves Project (2006-2012) supported the National Department of Health (DOH) in PNG to successfully build innovative partnerships with non-state service providers to improve rural primary health care service delivery. Under the project, local health authorities in eight provinces established partnerships with six large private companies to improve more than 150 rural health facilities and staff housings, and train health workers and communities in preventing HIV transmission, thereby significantly increasing the number of primary health beneficiaries in project areas.
The project aimed to strengthen the government leadership and the implementation of strategies to contain the spread of HIV among rural populations. It had four components: 
  1. Public-private partnerships with rural development enclaves; 
  2. Social marketing of condoms and community behavior change communication interventions; 
  3. Strengthening the STI and HIV/AIDS surveillance system; and 
  4. Project management and coordination
Before the renovations of Kawi Aid Post in Western Highlands province
Component 1 supported the establishment of public-private partnerships (PPP) with rural development operators such as oil, mine and agricultural companies to focus on improving and extending health services to the surrounding communities. Six private companies signed Memoranda of Agreements with the DOH and provincial stakeholders in 2007.  Under the partnerships, 154 health facilities including 97 health facilities and 57 staff houses were renovated. Of these 97 health facilities, 50% are managed by the government, 25% are company facilities, and 25% are church managed facilities. Medical equipment was also provided to all health facilities. Health human resources were strengthened through training programs such as HIV Testing and Counseling and the management of Sexually Transmitted Infections (STI).  
Private partners provided their support for supervisions of facility renovations including ensuring safe water supply with water tanks, distributions of new equipment and condoms, and organizations of workshops and trainings. Some companies hired a group of health experts to specifically implement the project as well as to strengthen health services in their catchment areas. The project triggered the companies’ managers to realize the importance of the support to the local communities on improving rural health services delivery. One of the companies successfully established a health foundation to strengthen their support in primary health care not only in their catchment areas but also in other provinces in PNG. The government officials were also realized the great potential and possibility of improving health outcomes of the people by strengthening the partnerships with non-state providers. 
Post renovations

As a result, the project contributed to increase the number of people tested for HIV at enclave health facilities by 65% between 2005 and 2010 (a total of 56,056 HIV tests were recorded here by the end of 2010). Although the project was started with a scope of HIV prevention and care, it also contributed to increase in the number of women attending for at least one antenatal visit with the target of 10% increase being reached in 2009. There was also an improvement in the number of supervised births in health facilities by 10% from 2007. 
Building the PPP model initiated by the enclave project, the new rural primary health services project in PNG will further examine the model in 16 districts in 8 provinces in PNG. The project has just started in June 2012 and looks forward the new PPP opportunities in each province to strengthening rural primary services delivery.

BSP contributes 10K to PNG trade mission

Geraldine Panapasa
Friday, March 29, 2013

THE upcoming Fiji Trade Mission to Papua New Guinea would lift vital bilateral relations and enhance economic activity and integration as part of the Melanesian Spearhead Group (MSG) says Ministry of Industry and Trade permanent secretary Shaheen Ali.
Mr Ali's comments followed a $10,000 contribution towards the trade mission from pioneer sponsor, Bank of South Pacific this week.

BSP country manager Fiji Kevin McCarthy hands over the 10K cheque to Ministry of Industry and Trade 
permanent secretary Shaheen Ali. Picture: SUPPLIED
BSP country manager Fiji Kevin McCarthy hands over the 10K cheque to Ministry of Industry and Trade permanent secretary Shaheen Ali. Picture: SUPPLIED
"This mission is a partnership by the Fijian government with the private sector. BSP was the first private sector company to offer support towards this mission, demonstrating that it is a truly regional bank and is interested to assist other businesses exploit similar opportunities," Mr Ali said in a statement.
"BSP has first-hand experience in investing in Fiji, having already successfully invested in the Fijian financial services market."
BSP country manager Fiji Kevin McCarthy said when they acquired the Colonial Group in 2009, it was a major investment for BSP outside of PNG. He said the lifting of trade restrictions by MSG member governments opened great opportunities for Fijian businesses to ply their trade and wares to PNG.
"There is a lot of interest from their members in this trade mission. The Fiji-PNG Business Council feels that this is the right time for such a mission," said Mr McCarthy, who is also the president of the council. The mission was scheduled for April 17-18 and coincided with an official State visit by Prime Minister Commodore Voreqe Bainimarama to Papua New Guinea. Interested businesses have been invited to contact Investment Fiji or the Ministry of Industry and Trade.

Telco to reduce internet price

Source: The National, Thursday, March 28,  2013 
 
 By GYNNIE KERO

TELIKOM PNG says it will reduce the wholesale internet price from 9t to 3t per mega bit – by about 68% – to make the service available and affordable to everyone, chief executive officer Charles Litau announced yesterday.
Litau said the plan to reduce the internet wholesale price would be effective next month, adding that Telikom expected internet service providers (ISPs) to sign up and pass the reduction to consumers at the retail end of the market.
He said Telikom could still go low on the rate and depending on demand, this capacity might be increased to 1.5 giga bits per second or more.
“Lowering of the internet rate is the second tier to our plan and is only the start of our journey to make internet accessible to all,” he said.
“It applies specifically to ISPs.
“On this note, it is my pleasure to announce that the effective wholesale internet rate will be reduced to 68% from the current rate.
“By April, price will go down.
“Let us all assure our customers that Telikom now has doubled the bandwidth capacity to 615 mega bits per second to connect to its upstream internet providers in Australia and Asia to improve customer experience.”
Litau said Telikom had also made investments in developing its infrastructure, including the submarine cables from Madang to Guam and Australia.
He said the Telikom board made a commitment to make internet affordable for Papua New Guineans in February last year.
Telikom started the process in January to ensure that the pricing and packaging regimes were restructured.
Chairman Mahesh Patel said despite media reports criticising the current internet price rates, work had been ongoing to reduce the cost.
“These reductions will be offered on Telikom wholesale new plans to ISPs,” he said.
“The plans offer a range of bandwidths for ISPs ranging from a minimum of 5 mega bits per second to 155 mega bits per second.
“The reduction on internet will not have an impact until it’s rolled out and ISPs come on board.”

Exciting new species discovery in Papua New Guinea helps bring hope to conservationists


By Jonathan Booth in Science Sustainability

Shrouded in mist and covered by dense canopy, the hot, steamy depths of Papua New Guinea’s remote western interior can offer an unforgiving domain. Despite this, concealed in the dark and humid undergrowth, a pioneering biological survey along the spectacular Hindenburg Wall – possibly one of the most biodiverse regions on Earth – has revealed dozens of plant and animal varieties new to science. Led by the Wildlife Conservation Society and sponsored by the Papua New Guinea Sustainable Development Programme, this region's impressive and largely unknown geological formations provide a setting for one of the greatest assemblages of tropical species. Such news is exciting for scientists and conservationists: it is hoped that this region will gain a greater conservation status and lead to the development of new environmental-protection policies. Yet these discoveries are also important for the wider public, who can seek comfort in this age of environmental uncertainty with the knowledge that areas of our world still thrive in conditions that are not – for now at least – subject to the pressures placed by humankind.
Rivers carving deep gullies in the productive valleys of the Papua New Guinea Highlands


Misleading Geography
Despite appearing to comprise the eastern most landmass of the Indonesian archipelago, the island of New Guinea (of which Papua New Guinea makes up the eastern half; the western portion was controversially incorporated with Indonesia in the 1960s) has no geological association with its Asian neighbour. Until around 18,000 years ago, when sea levels rose following the end of the last Ice Age, New Guinea was joined to northern Australia, while Sumatra, Borneo and Java formed part of mainland Southeast Asia (the rise in sea level, due to receding ice sheets in the late Pleistocene epoch, resulted in the formation of the Torres Strait, which now separates New Guinea from Queensland). These geographical connections with Oceania are also reflected by New Guinea’s animal and human inhabitants.
Although the seeds from many plant species dispersed eastwards from Indonesia, the native mammalian fauna of New Guinea is quite distinct. There are no monkeys or other Eurasian mammals except bats and a number of rodent species; rather, echidnas (insect-eating, egg-laying mammals that are found only in New Guinea and Australia) and marsupials, including wallabies, tree-kangaroos and the possum-like cuscus, can be found on the grasslands or in the canopy, respectively. The region's bird life, which comprises some 730 recorded species, including the famed birds-of-paradise, the males of which exhibit elaborate courtship displays with flamboyant plumage and colourful tail quills, as well as cockatoos, bowerbirds and large, flightless cassowaries, are also largely restricted to Austro-Papuan distributions. Anthropologically, New Guinea is inhabited by the Melanesians; a race of people that also colonised the Solomon Islands, Vanuatu, New Caledonia and Fiji. Thus, with dark skin pigmentations, tightly coiled hair and muscular builds, New Guineas are related to other South Pacific peoples. 
The male Raggiana bird-of-paradise is the national symbol of Papua New Guinea

In 2011, I travelled by land and sea across Indonesia to New Guinea, before continuing on to the Solomon Islands: a fantastic journey that involved three months in Papua New Guinea. Apart from the fascinating wildlife and cultures, and the great hospitality of the local people, what struck me most were the region's varied landscapes. Often considered to be a land cloaked in dense tropical rainforest, tectonic actions have compressed the world's second largest island, resulting in a terrain that is considerably mountainous. Although New Guinea sits just below the equator, the rugged spine that runs across the length of the region is – in places – adorned with snow-capped mountains, up to 16,000 feet high, which are carved and sculpted by glaciers. Flanking this mountainous terrain are deep, jungle-clad valleys, which are frequently inhabited by tribal communities.
Modern New Guineans have a heritage that is heavily associated with clan-based sustainable farming: a practice that is thought to have arisen on the island independent from foreign influences, some 7,000 years ago, making it one of the world’s oldest sites of agriculture (bananas, sugar cane and yams, incidentally, were all first domesticated in New Guinea). Accordingly, most New Guineans had little need to trade or interact with clans living in adjacent valleys because they produced all their own food and sustainably managed their environment. Living in relative isolation, therefore, not only led to frequent territorial disputes when rival clans encountered each other (land ownership is of immense importance and tribal warfare between villages over land was – and often still is – commonplace), but also the development of different languages. Today, over 1,100 living languages are spoken in New Guinea, and ethnographers often consider the island to be the most ethnically diverse region on the planet. Such geological upheavals that allowed for the great biological and anthropological variety of New Guinea also gave rise to the Hindenburg Wall formations; a setting that has provided ecologists with great excitement.
Ornamented with bird-of-paradise and cassowary feathers, men from the Huli tribe in the Western Highlands perform a ceremonial sing sing

Exciting New Discoveries
Encompassing a 50 kilometre stretch of limestone escarpment, the Hindenburg Wall is part of the Star Mountain range in south-western Papua New Guinea. This area is largely unknown to science, mostly due to its remote location, regular earthquakes, high annual rainfall of more than 10,000 millimetres per year, and frequent landslides. After a four week expedition in this secluded yet stunning region, a team of local and international research biologists observed more than 80 new plant and animal species. The survey used traditional ecological fieldwork techniques as well as camera-traps for observing mammals, including large rat-like rodents, some of which appeared to be the size of a small dog. As well as mammals, a number of new butterflies and other insects were recorded, together with undescribed frog species, and an assortment of floral specimens, including carnivorous plants, rhododendrons, and orchids. One plant belonged to the Genus Plectranthus: more commonly known as spur-flowers, these organisms are often grown by indigenous societies for their edible leaves and roots, as well as for their medicinal properties and visual beauty as ornamental specimens.
These new findings have many uses for biologists and for Papua New Guinean conservation. This includes: assessing the conservation status of the region; providing valuable data for the government to assist with environmental policy and planning; evaluating the ecological resources of Papua New Guinea; presenting baselines for monitoring endangered species; and identifying possibilities for ecotourism. After just four weeks of surveying, the outcomes also indicate a need for further studies to provide a greater understanding of the complex ecological communities that such an environment supports, and the medicinal properties that may derive from the newly described plant species.
Undoubtedly, this study reveals the great splendour of the natural world, which still exists relatively unharmed from the presence of humans in one our planet's last great wildernesses: surely a region that should be protected and cherished for future generations.

New York Times examines emergence of XDR-TB in Australia, PNG

News Medical

"Australia's first death from XDR-TB -- extensively drug-resistant tuberculosis, which is nearly incurable -- has alarmed health officials and added new heat to a debate over how to treat immigrants with dangerous diseases," the New York Times reports.
 "A long string of small Australian islands -- bits of what was once a land bridge -- mingle with islands belonging to Papua New Guinea, one of the world's poorest nations," the newspaper notes, adding, "One of those islands, Daru, has a major TB outbreak in its shantytowns."
"But the health system in Papua New Guinea is overwhelmed," the New York Times writes, adding, "A World Health Organization report found serious drug shortages, and Australian television showed XDR patients mingling with others in Daru Hospital tuberculosis wards, raising the risk of spreading resistant strains." 
The newspaper continues, "Australia, which otherwise has little tuberculosis within its borders, is still debating how to respond," noting, "Treatment for drug-resistant TB -- when it works -- can cost hundreds of thousands of dollars" (McNeil, 3/25).

Papua New Guinea: Sowing fortunes

Oxford Business Group

Asia | 27 Mar 2013
 
The coming years pose considerable challenges to Papua New Guinea’s  agriculture sector as it continues to come down from the record highs it achieved in 2011. However, increased financial support from the government, as well as several planned infrastructure developments, should help the sector keep pace with overall economic growth.
Having grown 8% in 2011, the agriculture, forestry and fisheries industries grew just 0.8% in 2012, a drop brought about by declining global commodity prices. While the sector is expected to enjoy a partial rebound to 2.8% growth in 2013, the government expects real expansion to hit 3.5% in 2014, rising to 5.6% by 2017. Commensurate with this higher output is an expected 21% increase in value, from PGK4.07bn ($1.92bn) in 2012 to PGK4.92bn ($2.33bn) by 2017.
However, the sector’s fortunes remain subject to several critical issues, such as global commodity prices, transport bottlenecks that inflate production prices, as well as its position as the economic bedrock of PNG’s largely rural economy. Agriculture supports an estimated 80% of the population, accounting for 32.2% of GDP.
Loi Bakani, governor of the Bank of PNG, told investors in 2012, “The most effective way of counteracting the ‘Dutch disease’ phenomena is by developing traditional industries, and agriculture in PNG will be the preferred industry to concentrate on.”
The economy has benefitted from riding the largely Asian-driven growth in commodities since 2002, but the advent of PNG’s liquefied natural gas (LNG) advances since 2009 may have skewed the economy directly into the Dutch disease trap that it has sought to avoid, according to the World Bank. Agriculture has been no exception, enjoying prices in 2012 not seen since the late 1970s, but with commodity prices susceptible to global trends and currently declining, hard times are expected.
The impact is expected to be amplified by the reduced production of cash crops historically seen when prices fall, as well as the impact of tens of thousands of workers demobilised from the PNG-LNG project by 2014. Substantial portions of these are expected to return to their rural economies, particularly in the case of unskilled labour, unless new projects receive government approval and funding.
Yet the years ahead may also prove a defining point in the agricultural sector’s emergence, particularly for rural and informal economies, as the impact of critical developments are felt. While the sector has been the recipient of substantial government support under the National Agriculture Development Plan 2007-16, local-level budget disbursements outlined in the 2013 budget are expected to provide further support. Beginning this year, for example, some PGK1.49bn ($704.13m) is being disbursed in direct financing to the provinces, districts and local-level governments. While 10% is earmarked for support to the economic sector, including agriculture and fisheries, 30% is flagged for local infrastructure, such as roads and jetties.
PNG’s dilapidated transport infrastructure has long posed a critical bottleneck to competitive agricultural production and wider national economic development. Banking on LNG revenues from 2014 and front-loading budget disbursements, the transport sector is set to receive PGK1.6bn ($756.11m) in 2013 from direct government financing, development grants and loans. Targeting road, maritime and air transport modalities, rural economies can expect acceleration in connectivity to the wider economy, as well as reductions in transport costs.
In parallel, the proliferation of mobile network coverage across 70% of PNG’s 425,000 sq km has overcome market barriers presented by varied terrain. This has translated into direct benefits for farmers, such as mobile banking services, which have been widely embraced by formal economy workers in rural areas.
The past 12 months also saw legislative reform enacted in the Integrated Land Groups Act 2012 (ILGA), which has strengthened sale and lease frameworks relevant to customary lands. With 97% of land formally held under customary titles, strengthened legal frameworks contained within the ILGA will help the government release 20% of customary land for development by 2030.
While the legislation is still being field tested, it is expected to have a profound effect on the formal economy, whose development and expansions have been curtailed by land restrictions and unclear legal frameworks. If successful, this should also facilitate development of industrial facilities in PNG’s agricultural sector akin to the proposed $161m Free Trade Zone and the regional tuna processing centre at Madang’s Pacific Marine Industrial Zone.
These remain pipeline developments although they are unprecedented catalysts for sector-wide change. Near-term challenges remain unavoidable, but the sector that should emerge over the next five years will likely be far removed from today’s majority subsistence holdings.

Wednesday, March 27, 2013

New facilities for snakebite victims


By MALUM NALU

The Australian Venom Research Unit (AVRU)-University of PNG (UPNG) Snakebite Research Project has set up a new snakebite treatment unit in the emergency department of Port Moresby General Hospital (PMGH), as well as a new clinical laboratory at the School of Medicine.
Equipment at both the unit and the laboratory are state-of-the-art, as part of preparations for the clinical trial of the new Papuan Taipan anti-venom, which is expected to start in May this year and go on for the next three years.
The laboratory is called the “Charles Campbell Toxinology Centre” (CCTC) in recognition of the achievements of PNG’s first clinical toxinologist, Associate Professor, Dr Charles Haxton Campbell, who studied snakebite at the PMGH while employed there between 1956-1965, and who maintained his interest in the subject long after leaving PNG. 
Laboratory manager, Owen Paiva (rear) and UPNG honours student, Julius Jacobs (front) working in the new Charles Campbell Toxinology Centre clinical research laboratory at the University of PNG School of Medicine & Health Sciences.

Campbell is well remembered in PNG as a dedicated and caring doctor with an inquiring mind and passion for snake bite.
After departing from PNG he became Associate Professor of Tropical Medicine at the University of Sydney (1966-75) and then staff specialist at the Alice Springs Hospital (1975-86).
He currently resides in Sydney.
“The laboratory has been established as a result of the collaboration between the UPNG and the University of Melbourne (UoM) who have, since 2007, partnered in a memorandum of agreement to undertake a programme of structured research into the problems of snake bites in Papua New Guinea ,” said project coordinator David Williams.
“Researchers from UPNG’s School of Medicine & Health Sciences (SMHS) and the UoM’s AVRU are focused on translational clinical and epidemiological research that can improve the treatment of snake bite in PNG, and a number of projects have been carried out in the fields of clinical toxinology, epidemiology, health worker training and anti-venom research.
“The new laboratory adds much needs research space to complement our existing standalone serpentarium located at the SMHS campus where a number of venomous snakes are maintained for use in research.”
Williams said the major project being undertaken was the Phase I and Phase II clinical trials of the new Papuan Taipan anti-venom, which was produced in collaboration with the Instituto Clodomiro Picado at the Universidad de Costa Rica in San José, Costa Rica.
Work on the pre-clinical testing of the new anti-venom was published in 2011 in the prestigious journal PLOS Neglected Tropical Diseases, and after obtaining ethics approvals, clearance has been given to commence formal human clinical studies with the new anti-venom at PMGH’s emergency department.
“The project will take three years and will involve up to 380 snakebite patients, who will be treated by PMGH doctors and nurses according to a carefully-designed protocol approved by all of the various ethics committees,” Williams said.

Tuesday, March 26, 2013

PNG to grant gas concessions to Thai firms

Bangkok Post

Papua New Guinea Prime Minister Peter O'Neill has agreed to grant natural gas concessions to the Thai private sector during talks with his Thai counterpart Yingluck Shinawatra.
Prime Minister Yingluck Shinawatra talks to Papua New Guinea Governor-General Michael Ogio at his office in Port Moresby yesterday. PHOTO BY GOVERNMENT HOUSE
The decision applies especially to PTT Exploration and Production Plc (PTTEP), Thailand's sole oil and gas explorer.
Ms Yingluck was on a two-day visit to Papua New Guinea which ended yesterday.
Ms Yingluck's trip was aimed at forging closer ties between the two countries and boosting cooperation in energy investments.
Mr O'Neill praised Ms Yingluck for being Thailand's first female prime minister, who came to power through an election, and being a role model for Papua New Guinean women.
She thanked her Papua New Guinea counterpart for the praise.
The two government leaders also agreed to cooperate in agriculture, fisheries and tourism.
Papua New Guinea wanted Thailand to transfer technological knowledge on agriculture and Thai rice species as Papua New Guinea was Thailand's second largest rice importer after Australia, she said.
During the talks, Ms Yingluck said Mr O'Neill wanted Thailand to run direct flights to his country, which has many popular diving sites.
Papua New Guinea also offered to remove tax obstacles to Thai businesses, she added.
Thailand wanted to use Papua New Guinea as a gateway to the Pacific islands, said Ms Yingluck, who led a Thai delegation comprising representatives from 30 businesses. The countries have also agreed to hold a joint parliament meeting annually.
Ms Yingluck has invited Mr O'Neill to visit Thailand.

Thai-PNG technical accord signed

Bangkok Post

Thai Prime Minister Yingluck Shinawatra and Papua New Guinean Prime Minister Peter O'Neill presided over the signing of two agreements opening a new chapter in relations between the two countries on Monday.
Thai Prime Minister Yingluck Shinawatra and Papua New Guinean Prime Minister Peter O'Neill at the joint press conference. Photo from facebook of Yingluck Shinawatra

Ms Yingluck met with Mr O'Neill and Michael Ogio, governor-general of the Independent State of Papua New Guinea, on Monday morning at Government House in Port Moresby.
They discussed increased collaboration in various fields.
"I am proud to be the first Thai prime minister to visit this country. Our visit reflects the importance we attach to Papua New Guinea, which is a fellow democracy and a country of great potential in the Pacific," Ms Yingluck said.
She said both sides have agreed to explore increased trade in priority areas such as agricultural goods including rice, fisheries products and seafood, and automobile products.
Thai investors were currently interested in energy and renewable energy, food, agriculture, fishery and construction. She brought with her 30 representatives from leading Thai companies in these key sectors to further boost economic relations.
Papa New Guinea and Thailand will consider signing an avoidance of double taxation agreement and Investment promotion and protection agreement to encourage more investments from Thai businesses, she added.
Ms Yingluck said Thailand will also share its experience in areas such as tourism, agriculture, fisheries and small and medium enterprises (SMEs). The Technical Cooperation Agreement signed Monday would provide a good framework for the exchange of experience and best practices.  
Food safety and diagnostic test kits were given to the government of Papua New Guinea to support capacity-building efforts in public health, she said.
The two prime ministers agreed that there will be an annual meeting between senior officials to ensure a good follow-up. Ms Yingluck also invited Mr O'Neill to visit Thailand in the future.

Cisco: Internet service too costly

Source: The National, Monday, March 25,  2013 
 
 THREE executives from Cisco Systems, a leading global network communications company, have decried the high cost of internet service in Papua New Guinea as they pitched for more competition in the information technology sector.
They said that a strong competition brought down the cost of the internet service.
“When you have strong competition among IT companies, you bring down the price,” according to Tim Fawcett, Cisco’s general manager for government affairs and policy.
Fawcett was in Port Moresby last week with two other Cisco executives Jonathan Dixon, general manager for media and communications and James Pickering, service provider business manager.
Based in San Jose, California, Cisco is the No 1 network communications company in the world.
Cisco executives brought up the high cost of the local internet service during their dialogue with the representatives from the government, civil society and business.
Among those who attended the dialogue included Minister of Communication and Information Technology Jimmy Miringtoro, National Information Communications Technology Authority (NICTA) CEO Charles Punaha, Telikom CEO Charles Litau, acting secretary for Trade, Commerce, and Industry Gerard Dogimab, and the executive director for Transparency International PNG Emily Taule.
Fawcett said that with more competition, more people would get access to the internet while at same time new investment equities were opened.
“That’s fantastic for communities, fantastic for a country, and more importantly, fantastic for creating jobs.”
The networking technology that Cisco provided transformed how people connect, communicate and collaborate, according to Fawcett.
The Cisco visit was aimed at exploring how it can work more closely with PNG’s government and business community and to provide insights into best practices on national infrastructure projects.  
The United States supports PNG’s efforts to use technology to promote the growth of business and innovation, and to foster inclusive, sustainable, and transparent economic growth, Fawcett said.
He said affordable internet access was an economic driver that had transformed how companies around the world did business.
Through free, on-line courses offered by some of the world’s leading universities, the internet also provides educational opportunities that are not bound by borders and distance.  
During their visit last Thursday, the executives engaged more than 100 computer science students and faculty at Don Bosco Technical Institute.
Their message to students was: “Don’t underestimate the power of innovation.”
Pickering encouraged students to think of ways to “creatively change the market” by getting more involved in technology and innovation.
Dixon said: “You are the creative future of this country, allowing more of you to access online and using your creativity to create new business opportunities is important … we would like to be part of that journey with you.”