Sunday, April 04, 2010

Community response to the Maladina attack on the Papua New Guinea Ombudsman's powers

A petition has been raised by Transparency Papua New Guinea in response to the recent proposal in PNG Parliament to weaken the PNG Ombudsman's powers. A Community Coalition Against Corruption is now asking people to sign this petition to help prevent this proposal from going ahead. This is a very important step in PNG's history.

The study of history is essential if one is to understand human nature. Afterall, we as a species haven't changed since we evolved. Nothing changes except the circumstances we live in. As an example, reflect on the circumstances 2,000 years ago in ancient Rome.

Quis custodiet ipsos! Custodes? Juvenal 60 -130 AD

'Who is to guard the guards themselves?'

When the separation of government powers becomes a murky, grey area, society starts falling apart. If PNG government ministers have now started to see themselves as rulers and above the law then they have lost sight of their role as the people's representatives.

Why would this be so? Juvenal comes up with another apposite quote:

'Nemo repente fuit turpissimus!'

"No one ever reached the depths of wickedness all at once."

Hitherto, traditional PNG culture helped repress any dissention and promoted the 'big man' concept. Little by little over the last 30 odd years, the public's individual rights have been continually 'white anted' away.

But when people start climbing the mountain of awareness, they see things from a whole new perspective. Younger PNG people are now prepared to draw a metaphoric line in the sand.

We are witnessing PNG's coming of age.

Yet another problem caused by deforestation




Saturday, April 03, 2010

Morobe group impressed by Japanese culture

Culture shock…Lasi Tewai Siac Group leader Timon Tomala being shown how to use a chopstick by his hosts at an elementary school
The Lasi Tewai Siac Group in one of its performances in and around Tokyo
A bare-chested Yawi Nalu Kwamse with a Japanese admirer after a performance on the streets of Tokyo

From Morobe to Japan…from left (back row) are Andrew Baim Jr, John Sandy and Timon Tomala while front are Yawi Nalu Kwamse, Rose Masio Tomala, Taegiyamo Andrew, Mathew Imata Tomala and Andrew Ananias Baim

A traditional dance group from Morobe province has returned from Japan proud to have been part of the opening of the brand-new Papua New Guinea Embassy building in Tokyo last Wednesday and convinced that our people can learn so much from the Japanese.

The eight-strong Lasi Tewai Siac Group was one of two groups brought over by the PNG Embassy in Tokyo, the other being the Kurti Andra Traditional Dance Group of Manus.

They travelled to Tokyo on March 27 and performed at a number of venues in and around Tokyo in the days leading up to the opening of the new PNG chancery and the launching of the second weekly Port Moresby-Narita flight last Wednesday.

It was the first overseas trip for most members of the group and was a real eye-opener for them.

Group leader Timon Tomala said one of the highlights of the trip was when they were hosted by students at an elementary school at Tsurugashima and later partook in a traditional Japanese tea ceremony.

"Japan is in a class of its own," he said.

"Generally, life is Japan is very fast-paced, however, the people respect each other.

'They are very hard-working.

"Time to them is of paramount importance.

"I've been to other places around the world, however, they don't compare to Japan.

"There are a lot of things Japan can offer PNG.

"There are many things that PNG can learn from Japan.

"They are very traditional-minded, despite being one of the economic superpowers of the world, and they ensure that their children grow up with that.

"It was a very good learning experience for us members of the Lasi Tewai Siac Group."

Mr Tomala was very impressed to see that PNG students studying in Tokyo were much disciplined like their hosts.

"We could see that our students who are studying in Japan have really taken on board the Japanese culture," he said.

"I would like to see more of our young people from PNG take up studies in Japan, as it will impact on their lives and be good for PNG in the long run."

Something that Papua New Guinea can be proud of: Abal

The new Papua New Guinea Embassy building in Tokyo is something the whole country can be proud of, according to Foreign Affairs Minister Sam Abal.
He said during the opening of the new building on Wednesday that the plan for PNG to acquire a prime piece of real estate in Tokyo, known to be a very-expensive place, was hatched in 2007.

"After the return of the National Alliance Government in July 2007, it decided to continue its existing policies and at the same time pursue new areas and in particular the Export-Driven Policy to drive growth through the creation of industries for export," Mr Abal said.

"The Prime Minister had firm plans to fund the construction of a Chancery Building in Tokyo during the second term of his Government.

"This project is significant in many ways.

"First, this investment would only be the second, in terms of constructing a new building, after the construction of the Haus Tambaran or the Spirit Haus in Canberra, Australia, which was completed some 30 years ago.

"It is significant also because the investment in a PNG Haus symbolises the close, maturing and evolving relations which PNG enjoys with Japan.

"This building is a statement of our appreciation to the Government and people of Japan for their continued support for PNG development efforts and at the same time our firm desire to engage constructively with Japan for the mutual benefit of our two countries and our peoples."

Mr Abal said the Government appropriated K15 million in the 2008 National Budget and further provided an additional amount of K2.97m in the same year.

" The effect of the rising oil prices had directly impacted on the price of steel and building materials, therefore, the Embassy was forced to seek additional funding in October 2008, which I am happy to say Cabinet approved K5 million which was released early this year," he said.

Mr Abal said he was personally satisfied that the project had been executed professionally and the building turned out to fully to his expectations.

"Indeed, the quality of work is outstanding and I commend all parties concerned for their part in making this great project a success," he said.

"Congratulations to Mr Yokoyama for a modern yet PNG flavor design depicting PNG as it strives for its own identity and place in the community of nations.

"The project manager, Sao Facilities,  for representing PNG Government and the people's interests and the contractor, Fujita Corporation, particularly Mr Ta Kayanagi for making our dream a reality and completing the work within budget and on schedule.

" Of course a special acknowledgement to the Embassy staff led by our former Ambassador to Japan and secretary for Foreign Affairs, Mr Michael Maue, for successfully delivering the project on time.

"Congratulations to all for an excellent job.

"PNG is both grateful and proud of your achievement.

"I take this opportunity to thank our former Ambassadors, their families and our officers who are serving now and those who served in the past to promote Japan-PNG relations.

"I know they all have worked hard.

 "Some of the former Heads of Mission and spouses of two who have passed away are among us today to witness this occasion.

"Over the years they too have tried hard to secure funds to construct our own building, particularly in a place like Tokyo.

"I am glad that Amb Anthony Farapo, Mr Vincent Maragu, Lady Nicky Nombri and Mrs Elisabeth Lalatute are able to join us today.

"Only Amb Aiwa Olmi is unable to join us on this occasion."

Mr Abal told Prime Minister Sir Michael Somare that his officers had carried out the tasks diligently and with purpose.

"I am satisfied with the work which has been accomplished and I commend the building to you, the Government and people of PNG," he said.

Friday, April 02, 2010

Embassy heralds a new dawn in Japan-Papua New Guinea relations

Japan – Papua New New Guinea relations can only get better with the opening of the magnificent new PNG Embassy in Tokyo, according to Prime Minister Sir Michael Somare.

He was speaking in Tokyo on Wednesday when officially opening the new chancery building in front of a large entourage from both Japan and PNG.

The opening of the new chancery at Meguro Ward coincided with the launching of the second weekly Port Moresby-Narita later that same day by Culture and Tourism Minister Charles Abel at Narita Airport.

The K20 million building is named after former Deputy Prime Minister and Minister for Foreign Affairs, Sir Albert Maori Kiki, who was instrumental in developing PNG foreign policy.

Whether deliberately planned or not, a point Sir Michael alluded to, the timing of the opening of the new chancery building on the eve of the cherry blossom season in Tokyo was auspicious.

"As the cherry blossom season heralds new beginnings in Japan, the advent of a new season for business and school, the opening of the Papua New Guinea chancery trumpets a new era of deepened friendship and more stronger economic and trade ties between our two countries," he said.

"I am confident that the relationship between our two countries can only get better from here onwards.

"The signs are promising.

"Papua New Guinea already enjoys a fast-growing investment, trade and economic relationship with Japan.

"Japan is Papua New Guinea's second-largest trading partner.

"Japanese business entities have substantial investment interests in the agriculture, forestry, fisheries and oil and gas sectors.

"JBIC, Nippon Oil Exploration and Tokyo Electric's participation in the first PNG LNG project confirms the trend towards a more enhanced relationship between Papua New Guinea and Japan.

"This is further exemplified by the interest shown by JAPEX in the second LNG project being developed in Papua New Guinea."

The construction of this chancery, which began in May 2009 with a groundbreaking ceremony performed also by Sir Michael, was completed in December last year and the building formally handed over on Jan 19, 2010.

The commitment by the government to this project was recognition of the important and maturing relations between Japan and PNG – a relationship that in recent times has gone to a higher level, with the recent involvement of some high-profile Japanese companies in the PNG LNG project.

Foreign Affairs Secretary Michael Maue, former PNG ambassador, said it all began on Sept 20, 2007, when Sir Michael called him to say that he was passing through Narita on his way to New York and directed that he prepare a Cabinet submission for him to consider.

Mr Maue finalised a submission for the new embassy which was signed by Sir Michael and which he directed be faxed to the Cabinet secretary for NEC consideration.

"Cabinet finally approved to fund the project and appropriation was made in the 2008 national budget," he recalled.

"After receipt of the first batch of funds on April 14, 2008, the embassy searched for suitable land for building.

'Over 80 sites were considered with information provided by real estate agents, the Internet, site visits and also land made available by the Ministry of Finance of Japan.

"Let me assure you, the people of PNG, that your investment is sound considering it is in Tokyo.

"May I add, the Government and people of PNG own this block of land because we have the legal title to it duly registered in the name of the Government of the Independent State of PNG.

"The total land area is 324 square metres; however, the total office space of 660sqm almost doubles the size of the land compared to the 240 sqm the embassy rented all these years on the third floor of the Mita Kosukai Building.

"Funds could not permit the purchase of bigger land space or the construction of a residence next to the chancery for the head of mission.

"I will leave that to the imagination of future PNG ambassadors to Japan.

"Having said that, I am fully satisfied and convinced that what we have delivered is the best money can buy."

Other speakers included Foreign Affairs Minister Sam Abal and Parliamentary Vice-Minister for Foreign Affairs Ms Chinami Nishimura, who spoke on behalf of the Japanese Government.

Traditional singsing performances were done by Lasi Tewai Siac Group of Morobe province, Kurti Andra Traditional Dance Group of Manus, and Engan artists living in Japan.

Thursday, April 01, 2010

New Papua New Guinea Embassy in Japan opened

Japan – Papua New New Guinea relations can only get better with the opening of the magnificent new PNG Embassy in Tokyo, according to Prime Minister Sir Michael Somare.

He was speaking in Tokyo yesterday when officially opening the new embassy building (pictured) in front of a large entourage from both Japan and PNG.

The K20 million building is named after former Deputy Prime Minister and Minister for Foreign Affairs, Sir Albert Maori Kiki, who was instrumental in developing PNG foreign policy.

"Papua New Guinea already enjoys a fast-growing investment, trade and economic relationship with Japan," Sir Michael said.

"Japan is Papua New Guinea's second-largest trading partner.

"Japanese business entities have substantial investment interests in the agriculture, forestry, fisheries and oil and gas sectors.

"JBIC, Nippon Oil Exploration and Tokyo Electric's participation in the first PNG LNG project confirms the trend towards a more enhanced relationship between Papua New Guinea and Japan.

"This is further exemplified by the interest shown by JAPEX in the second LNG project being developed in Papua New Guinea."

The construction of this chancery, which began in May 2009 with a groundbreaking ceremony performed also by Sir Michael, was completed in December last year and the building formally handed over on Jan 19, 2010.

The commitment by the government to this project was recognition of the important and maturing relations between Japan and PNG – a relationship that in recent times has gone to a higher level, with the recent involvement of some high-profile Japanese companies in the PNG LNG project.

Nambawan Super Declares a solid profit for 2009

10% interest crediting rate for members and increases its reserves.

By any measure, 2009 was a difficult year for business and investment.  The global financial crisis (GFC) battered a wide range of industry sectors around the world, tightening the global flow of money and putting intense pressure on investment markets.

To some extent, the Papua New Guinea economy was sheltered from the worst of the GFC’s impact.  A number of the Fund’s investments thrived during the year, against the worldwide downward trend that saw billions wiped from share market capitalisations.

Against these very challenging conditions, the Board is very pleased to report that the Fund has delivered yet another solid result for our members. The Board’s prudent approach to managing members’ money has stood the Fund in very good stead.  This places the Fund in a strong position to take advantage of improvements in the various markets for the benefit of our members.

After tax profit for 2009 was a very respectable K191 million.  Interest of 10% (which equates to K236.5 million) has been approved for crediting to member accounts, including the Retirement Savings Accounts (RSAs) of retired members.  Offset against a headline inflation rate of 5.7%, the declared interest rate represents a positive real return of 4.3%, the seventh year in a row, since the reforms, in which the Fund has delivered double digit interest and, most importantly, real returns to members.

The Board also approved an interim interest rate of 3% for members leaving the Fund in 2010.

Determining the annual interest rate is a very serious decision for the Board of Directors. Account is taken of the audited financial statements of the Fund for the year, and consider all aspects that have bearing on the financial outcome, not just the after tax profit figure. The Board makes sure proper accounting standards are met.  It also factors in economic forecasts for the next few years, to make sure it sets aside sufficient reserves to meet the prudential requirements set by the Bank of Papua New Guinea.

Simply put, the Board does not drain your asset bucket to boast an artificially high interest rate. As you would appreciate, superannuation is a long term commitment. The Board’s job is to make sure that the Fund is sustainable over the long term so it will be there when the member comes to retire, however many years away that may be.

While double digit interest crediting has been approved for the year, Reserves have increased to K74.7 million from the 2008 levels of K66.6 million. Maintaining reserves at such prudent levels can help          reduce the impact on members of future market ups and downs.

In spite of the difficult investment conditions, the Fund’s total assets increased to K2.83 billion, an increase of K210 million over the 2008 total of K2.62 billion.  Income of K249 million was derived from the Fund’s investments, largely attributed to good performance in interest earnings, property revaluations, international shares and exchange rate benefits arising from the drop in value of the Kina.   The Fund has been prudent, responsible and conservative in the valuation of our investments.  This is reflected in only 33% of our total income being unrealised “paper profits”.

Membership of both the Fund and the RSA continued to grow during 2009.  By the end of the year 113,564 Papua New Guineans had entrusted Nambawan Super with the care of their superannuation money, with membership growth double that of the previous year.  Following this positive trend, the RSA also attracted a significant number of new members, people who recognise the value of leaving money in their account to help fund their later retirement years. The growth of the RSA is welcome on another level, as it represents a strengthening of the culture and habit of saving among our members.

All in all, the Fund’s performance and achievements in 2009’s challenging environment were very pleasing.

In the context of the regulatory environment in which the Fund operates, implementing good corporate governance practice and taking a careful and prudent approach to managing members’ money have long been priorities and they will continue to be priorities of the Board.

On behalf of all Fund members I would like to take the opportunity to thank my fellow Board members for their wise counsel and support throughout the year. I also extend a personal thank you to Nambawan Super’s dedicated management and staff and all service suppliers for their hard work and their energetic commitment to the Fund and its members during 2009.

Sir Nagora Bogan, KBE

CHAIRMAN