Marat moots alcohol ban

By ABIGAIL APINA

ATTORNEY-General and Mi­nister for Justice Dr Allan Marat says the only way to curb alcohol abuse is to ban it, The National reports.
 "Why don't we just ban alcohol so that the issue of alcohol abuse can be eradicated?" he said while addressing the New Guinea Islands alcohol abuse symposium at Gazelle International in Kokopo.
He said it saddened him to see many young people with long productive lives indulging in alcoholic binges.
"Is alcohol the mainstay of our economy? Will our economy collapse or go into recession without alcohol?" Marat said.
Marat said Papua New Guinea had  never been serious about dealing with the wrong use of alcohol.
"We come up with grand plans and visions but we allow alcohol abuse to destroy these plans and vision," he said.
He said while alcohol might be good for health reasons, it had been used in "prohibited ways", leading to harm and destruction.
"We never seem to learn, we are undecided, we are kidding ourselves, we are hypocrites," Marat said.
He said many people preached against alcohol abuse but they continued to contribute to the pro­blem in many ways.
He said the abuse of alcohol had affected family units, communities, the labour force, production and quality of products.
He said it had affected the performance of the economy at both micro and macro levels in a negative way.
"Many of us are sick and tired of talking about alcohol abuse because authorities are not listening," Marat said.
He said in order for PNG to develop a safe, healthy, wealthy and smart society by 2050, the issue of alcohol abuse should be addressed.
"If there is a reason for the indulgence, treat or correct the reason or consider banning alcohol so that we don't have to worry about ramifications of abuse," he said.

Speech by Prime Minister Peter O'Neill at a Brisbane business luncheon, Friday, September 9, 2011

Thank you, Sir Rabbie Namaliu, Frank Kramer and your team from Kramer Ausenco and Norton Rose for organising this business luncheon.

I am honoured to have been asked to address this gathering of very important investment friends and development partners of Papua New Guinea today.

I see among you the who's who of PNG's mining and petroleum investment sector and I am proud.

It gives me an added pleasure, on this occasion, to be able to talk to you as the new executive head of a new government PNG's elected leaders created over a month ago. In fact, today marks the 38^th day of the new government's existence in office.

I know you are all eager to hear what I have to say about my government's attitude to foreign investment in PNG under my watch over the next few months and beyond.

I know you have questions to ask in light of some early ministerial pronouncements with respect to equity participation and ownership issues in PNG's mining and hydrocarbon sectors in particular.

Let me say that I am here to put your questions and your curiosity to rest so that we can all move ahead to higher levels of understanding, progress and achievement hand in hand.

 

CHANGE OF GOVERNMENT

 

First of all though, it is only fair that I make a brief mention of the change of government and leadership in Papua New Guinea on August 02.

We changed the Somare-led government because it needed to be changed. That government lost focus on assertive and decisive political and government leadership.

 Worse, it lost focus on the nation's budgeted national development and public investment programmes.

For seven months, since the beginning of the year, but more so in the five months, that my predecessor had left the leadership of the nation to an Acting Prime Minister, uncertainty reigned.   Chaos was not too far away.

Political instability crept in. Corruption and misappropriation of hundreds of millions of Kina for budgeted national development and public investment programmes became the order of the day.

Our situation was not helped when a small group of Ministers closely linked to Sir Michael Somare and the National Alliance Party became reckless and did as they pleased in the Grand Chief's prolonged absence on account of his illness.

The government of Papua New Guinea had effectively been "hijacked" by this small group of  Ministers, who used and abused the serious illness of the then Prime Minister to subvert the parliamentary and cabinet processes and abuse public funds and property.

Public money became ring-fenced by these Ministers and used or abused as they pleased for programmes outside of those approved under this year's national budget.

Unstable political and government leadership mixed with reckless management of the nation's public finances was recipe for irreparable national dysfunction of major proportions.

In a nutshell, the former government led by Grand Chief Sir Michael Somare and his  hand-picked former Acting Prime Minister Sam Abal had to be changed to save our nation from becoming  the "Dysfunctional Blob" that our friends from this side of the Coral Sea love to describe us.

My friends, 70 Members from both sides of the political divide in Papua New Guinea's 109-Member Parliament could not have been wrong when they overwhelmingly voted to "correct a correctable" political and government leadership impasse in our country.

That impasse was undoubtedly starting to harm our national integrity, development and services delivery and importantly, investor confidence.

 Under our system of government, Prime Ministers are chosen and removed by the National Parliament. The Head of State has no role, no reserve powers.

 We used the inherent lawmaking authority of our Legislature as one of three arms of government within a democratic framework to underpin the parliamentary change of government.

The process is being tested in the courts. We uphold the rule of law and we respect our legal, and our constitutional processes. It is a pity the former government did not do so. Had it done so the events I have outlined would not have been necessary.

Let me summarise the position. I lead a properly constituted government; it has a strong and coherent parliamentary majority. And its blends experience, competence, and integrity, with youth and enthusiasm.

It is probably the most experienced and qualified, and broadly based and representative, government in our history as a nation.

Early indications are that most Papua New Guineans are happy with the change of leadership and government.

We have moved swiftly to complete a number of unfinished legislative businesses of Parliament and are functioning assertively and decisively to cleanse the system of corrupt elements.

My government has already established an investigative team to probe various financial abuses including the disappearance of millions Kina of PNG's development budget for 2011 in the first quarter of this year.

 

 CHALLENGES AND MOVING FORWARD

 

Let me move on to some of the challenges - and opportunities - we face as a government.

 One of my first challenges as Prime Minister is to address corruption and the abuse of public money.

In the short term we have appointed an investigator to quickly examine suspicious financial transactions that occurred outside the proper processes during the final months of the last government.

But in the medium term we will do what should have been done years ago - establish a well-resourced Independent Commission against Corruption. That was one of the first commitments of my new government.

 The best way to wage war against corruption is to significantly increase the prospects of detection, and successful prosecution. That is what the new commission will be charged with doing.

The current system is simply not working. It has not been working for years.

My government faces enormous challenges in improving basic service delivery, and in rebuilding and expanding vital national infrastructure - such as roads ports and electricity.

This is the infrastructure you and other investors need to effectively develop our vast

mineral, oil and gas resources in particular.

Money is not really the problem. The capacity to spend it effectively is.

We have serious public sector capacity and delivering problems. Devolving delivery to local communities, and using the resources of our churches and NGO's , is helping to improve service delivery.

But there is a long way to go. Time is not on our side. The national elections are less than a year away, but we will use every day between now and then to try and address some of these great challenges.

 

INVESTOR CONFIDENCE

 

Let me now turn to the issues you all want to hear about today. Papua New Guinea needs foreign investment dollars.

I say this without a shadow of doubt and with all sincerity.  I am realistic enough to also say that wanting foreign investment and expecting it on a golden platter is not a one way street.  Yes, it's a two-way street. We give to you as well as you give us.

In the first few days of coming into office, a number of statements pertaining to the various equity and ownership positions were made by a number of my ministers.

Let me reassure you that the goal-posts have not been shifted and relocated.

The playing field remains the same and shall be maintained that way for the foreseeable future.

In the mining industry, the applicable law provides for 30% equity for PNG to take up in any new mining project.

Similarly, the equity position provided by the PNG Oil and Gas Act provides a 22.5% equity stake for PNG.

 The PNG government, affected provincial governments and landowner communities share these equity and other benefits provided under the respective applicable laws.  

If local interests demand higher equity position for landowners and provincial governments, the onus is on the National Government to resolve such demand from our equity position as stipulated by the Mining and Oil and Gas Acts respectively.

We can also make adjustments under the applicable tax regimes to reward provinces that host these multi-billion dollar mining and petroleum projects with some percentage of tax benefits derived from these projects.

The most-important agenda of my government, with respect to the mining and petroleum industries, is to create an enabling environment within which projects can be developed peacefully  and benefits and multiplier business opportunities derived thereof are shared fairly among all stakeholders.

There is no need at the present time to destabilise mining and petroleum industry developers and investors with a law designed to compromise or reduce their present respective equity position.

The applicable laws have not changed. Changes may and will occur in the future but they will have to be driven by a win-win formula for all stakeholders in a predicable manner.  

These changes – when they are desired and when they do occur - will take place with and after comprehensive dialogue and discussion with you and with all other affected parties including landowners in Papua New Guinea.

Let me also reassure you that my government is about being inclusive right across the board on all matters of national affairs.

And that includes all aspects of the foreign investment and natural resource extraction industries sectors in PNG.

My government is not about creating sovereign risks for my nation's foreign investment and development potential.

My government is not about making life difficult for foreign investors, especially those that have invested millions of dollars in speculative exploration and later to develop and underpin emerging world class mining and hydrocarbon industries in PNG.

My government respects the principle of finders keep and finders share. That is the spirit within which we will, and we shall all operate under my watch.

 I have cautioned, and will caution again, my ministers and State-owned corporations, involved in the mining and hydrocarbon industry, to desist promptly from giving misleading signals to the foreign investment sector.

It is not my government's position to create insecurity, political risk or threaten foreign investment with expropriation. Some of these negative signals have been made since my government took office.  

I will vigorously investigate this deception targeted at the progress of the two multi-billion dollar LNG projects and take corrective action in the coming days.     

Let me reiterate in the strongest terms that I lead an inclusive and consultative government that will not fall back on the bad habits of governments that have been in power previously in PNG.

I am serious about the bigger interests of the nation - not corruption and vindictive personalised agenda of my ministers or persons who seek to actively use my ministers to further their deceptive agenda in the mining and petroleum industries in particular.

 

MINING SECTOR

 

We have world class gold, copper and nickel resources.

Ok Tedi gold and copper mine has been a mainstay of the PNG economy since independence.

Lihir gold mine has been a strong performer for our economy.

Wafi gold prospect has the resource potential to be the biggest gold and copper mine in the Southern Hemisphere.

This will further boost the PNG economy in the next 20 years. It will be a significant contributor to the government's coffers in the future.

Ramu nickel mine adds significant weight to the mineral resource boom now taking place in PNG. 

 

HYDROCARBON SECTOR

 

The two multi-billion dollar LNG projects – PNG LNG being developed by a consortium led by ExxonMobil and Oil Search Limited and Gulf LNG, being established by InterOil Corporation and its partners – both world class projects.

 These are projects with potential to create revenue in-flows for PNG like never before.

On August 9, I stated in my initial policy statement that every effort will be made by my government to assist these two projects to meet their initial production timelines in 2014.

My position has not changed.

I will ensure there are no political and bureaucratic interference in their progress.

All dealings with regard to these two projects shall be transparent and predictable. The importance of these two projects can neither be overstated nor understated.

To give these projects the prominence they deserve, I will dedicate a senior member of my staff in the coming days as a direct link in my office, whose job it will be to actively liaise directly with the responsible ministry, department and LNG Facilitation Office to ensure this two projects are not hampered in their progress by political and bureaucratic nepotism.

The PNG LNG project needs all the help that my government can give, and we shall do that as a matter of priority, to address all outstanding landowner issues and resolve them so that there are no further delays in progressing this project to production.

Similarly, my government will not tolerate any interference designed to delay progress of the Gulf LNG project. Gulf LNG is nearing a Final Invest Decision by the end of this year and all assistance will be given by my government to fulfil all their requirements to arrive at FID.

I want to see these two projects developed together.

 

RESPECTING FOREIGN INVESTMENT

 

In concluding, my government respects the commitment of foreign investment companies that have stayed loyal to PNG in both the good and bad economic times PNG has face since the early 1990s.

We welcome new foreign investment initiatives in our booming mining and petroleum sectors.

However, we would like to see that new investors and returning investors respect those that are already operating in PNG. We would like to see that potential investors come through the front door with their goodies.

 In all sincerity, the last thing we all want is to destabilise existing well-meaning investors who have long-haul interests and commitment as PNG's development partners.

My government believes in being predictable and forthright in our dealings with all foreign investors in our nation's various natural resource sectors.

Papua New Guinea community celebrates Independence Day in Toowoomba

Members of USQ's PNG community are inviting the Toowoomba community in Australia to celebrate their Independence Day this Saturday 10 September.
The day will commence at 11am, and will showcase PNG culture through dance, song and a variety of cultural displays.
Coordinator of the event, USQ PNG Students Association President, Matthew Igo Ball, said the day was an opportunity to celebrate the country's successes.
"PNG's Independence is a big part of the country's history and although they are still doing it tough back home, we are here at university because we want to better, not only ourselves but also our country,' Matthew said.
"Independence is a time to reflect how far we have come as a country and also as individuals."

Matthew said they are expecting PNG students from USQ and local boarding schools to attend the day, and were welcoming anyone who loves PNG or wants to learn more about its culture to attend.
"We are expecting PNG students from USQ, students from local boarding schools, the general PNG community residing in Toowoomba, a number of expatriates, and many PNG students and community members from Brisbane to attend on the day,"he said.
"Currently there are over 30 PNG students on-campus at Toowoomba. The general public are invited to the event, it is open to anyone who is from PNG, has been to PNG, knows a PNG, or wants to learn more about PNG."
"It will be a fun day for everyone."
WHAT: PNG 36th Independence Celebrations 
WHEN: 11- 2 on Saturday, 10 September 2011 
WHERE: USQ Quadrangle, USQ West Street Toowoomba 
COST: Free

Contact Details:
Connie-Louise Rego, USQ Media, +61 7 4631 2977

Sepik people slam removal

THE people of East Sepik are disappointed that Sir Michael Somare has been unceremoniously dismissed as their representative in parliament, The National reports.
And they warned that such decisions against the people of East Sepik through their leader could have serious consequences.
East Sepik Parents Advocacy Forum chairman George Numbasa said more than 60% of Sepiks supported the government's policies but the attack on Sir Michael had created a dent in their confidence.
Hurung Holdings Ltd chairman Louis Koinduo said his people of Yangoru were not happy with the continuous intimidation of the Sepik people.
Youth leader David Ulga said the action would create disharmony among citizens.

East Sepik Province people urged to unite

THE people of East Sepik have been urged to unite to demonstrate that it is the people who brought Sir Michael Somare into parliament and not any political party, Valentine Kambori says, The National reports.
Kambori, a tribal leader of the Sausse tribe in Wewak, said in a statement that the announcement by the speaker in parliament to dismiss Sir Michael, should prompt all Sepik people to unite and tell Papua New Guinea that it was not the National Alliance or the Pangu Pati or any political party which brought Sir Michael to parliament.
"Sir Michael Somare's election to parliament since 1968 is the collective will and mandate of the Sepik people as ordained and bestowed by the forefathers of the Sepik people after World War 2 restoration when two prominent chiefs Sir Peter Simogun and Thomas Yawiga called on the Sepik people to unanimously vote young Michael Somare to take the place of the white man Frank Martin who was then the regional member," he said.
Kambori said the Speaker could use the technicalities of law to remove Sir Michael but the Sepik people would return him.
"I challenge the government to issue the writs next week and the Sepik people will return him again to parliament.
"The founding father of this nation is our paramount chief and he remains with our forefathers mandate until that mandate is passed on and I call upon all Sepik people throughout PNG and the province to unite to prove that Sir Michael is not dead and we will return him unopposed to prove our point.
"It must be known by Papua New Guinea that you do not remove our leader on technicalities in parliament especially the founding father.
"The Sepik leader is only removed at the ballot box by the will and mandate of the Sepik people," Kambori said.

Polye faction calls for National Alliance executives' resignation

THE Polye faction of the National Alliance party in government yesterday called for the resignation of the
national executives of the party, The National reports.
Flanked by provincial party executives and 11 of the expelled MPs yesterday Polye called for the resignation of the national executives for "bringing the party to disrepute and for making ill-informed decisions to serve the interest of a few people".
He said the party executives were supporting a few corrupt members and not addressing important issues.
He said the party MPs with him in the Peter O'Neill-led government were "founders" of the NA which should have suspended Arthur Somare, Patrick Pruaitch, Sam Abal and Paul Teinsten because of their leadership conduct which he claimed were contrary to the party constitution and policies.
"The action to terminate the 20 members was a slap in the face of the people of PNG and, therefore, I call on the executives and the members implicated to resign," he said.
Polye said his group was committed to addressing corruption and transparency and those members in the opposition who wanted to fight corruption should cross over and join them.
He said the split in the NA camp started some years back as all activities and conduct of business were not in the best interest of the party and in
accordance with the policies and constitution of the party but for the benefit of a privileged few.
He said some decisions made by Grand Chief Sir Michael Somare had contributed to the downfall of the party.,
Polye said regular dialogue was being maintained with the  NA MPs in the opposition to unite the party and contest in next year's elections.
Meanwhile, five deputy presidents of the NA party, James Kond, highlands; Douglas Tomurisa, southern; John Tuka, islands; and council members John Tiberame and Charles Synell, islands have called
on the party's national executives to convene a special council meeting to address the issues.
They said the national executives did not have the power to terminate the members and that the resolution to expel 20 MPs did not follow the party constitution.
Spokesman Kond said a few issues such as the Special Supreme Court reference, the full-page advertorial by the NA president Simon Kaiwi and the decision to expel the 20 MPs should be addressed at the meeting.
He said the council should decide such penalties and not the national executives.
The group said the council recognised Polye as the  party leader after the party caucus in Banz.
Terence Perene and Gerry Eremoge NA chairman of Southern and Eastern Highlands committed their support for Polye.
They said Polye was the duly elected party leader during the absence of Sir Michael and the expulsion notice was misleading and not in the best interest to the party.

Philemon: NRL bid a waste of time, money

By JEFFREY ELAPA

THE K20 million allocated for the National Rugby League Bid is a waste of time and money, Public Service Minister Bart Philemon says, The National reports.
Philemon made the comment after the Pacific Games 2015 Authority Bill was passed in parliament on Tuesday, with 76 MPs voting for it.
Philemon said the NRL Bid was a failure while the Pacific Games was being neglected by the government.
He said PNG had bid in 2009 to host the 2015 Pacific Games and had assured the Games Council and the PNG Games Council that it would make available US$92.5 million for it.
He said the games was contested by more than 15 Pacific islands countries every four years.
He blamed the Somare government for failing to pass the bill and make budget allocation to prepare for the Games, which is expected to cost about K300 million.
Philemon said sport was important in uniting the country as evident during the 1991 South Pacific Games held at the then Waigani Stadium in Port Moresby.
He said the country had only three years to prepare and the onus was on the government to start now with the first budget allocation to be included in the 2011 supplementary budget.
He said a contract was already in place with the Pacific Games body, the PNG sport council and the government and that must be addressed by the government with the passing of the bill.