Lower Watut villagers make money from gold, cocoa

By MALUM NALU

Villagers in the remote Lower Watut area of Morobe province make their living mainly from small-scale gold mining along the Watut River, as well as cocoa.

They do sell vegetables such as taro, bananas and yams – grown on fertile river land – however, canoe transport to Lae through the Watut and Markham rivers is expensive, a lengthy canoe ride of up to six hours, and can be risky at times.

Motorised canoes along the Watut River…the only means of transport to market for the Lower Watut villagers with the absence of roads.-Pictures by MALUM NALU

The National visited the Lower Watut area last weekend and was able to see how the villagers made their money.

“We make our money mainly from small-scale gold mining,” Lower Watut community leader Simon Gulup told The National at Maralina village.

A taro and banana garden in Kapungu village along the banks of the Watut River…high transport costs means much of this does not get to market.

“We use this money to pay school fees for our children as well as other goods.

“Both men and women work for gold along the Watut River.”

Gulup said it was only over the last five years or so, when Morobe Mining Joint Ventures (MMJV) came into the area, that they started going into cocoa.

“Over the last five years, we have gone heavily into cocoa,” he said.

“However, currently, prices of cocoa are not good and cocoa pods are rotting away because farmers are not keen on picking.

“There is so much cocoa in the Lower Watut area.

A cocoa grove in Maralina village, Lower Watut.

“We need more fermentaries.

“We get help from MMJV with cocoa seeds and cocoa fermentaries.

“But then, we have to pay K40 to 40-Mile (along the Highlands Highway on the banks of the Markham River), another K30 for PMV fare to Lae, and when we come back, we have very little money or nothing at all.”

Sir Mekere: Sovereign Wealth Fund is last throw of dice for PNG

By MALUM NALU

Papua New Guinea has one last throw of the dice if it is to be put on a sound financial footing, according to Public Enterprises Minister Sir Mekere Morauta, The National reports.

He said when welcoming Air Niugini’s new Boeing 737 to Port Moresby on Wednesday that the ace up the sleeve was the new Sovereign Wealth Fund.

“I have suggested that the Sovereign Wealth Fund should earmark dividend flows from PNG LNG ‑ about K500 million per year – to be used to recapitalise our public enterprises, and to pay for the maintenance of national infrastructure  - roads, ports, airports, universities, hospitals - and the provision of rural infrastructure,” Sir Mekere said.

12mnmekere: The shame of Lae...the road leading to the Nadzab Airport is ridden with potholes.-Nationalpic by MALUM NALU

“I hope that the next government sees the wisdom and practicality of that.

“I also hope that it does not succumb to the temptation of winning political popularity contests – looking good but doing nothing and achieving nothing to solve our deep-seated problems.

“Governments and politicians are there to make decisions in the national interest, not to please vested interests or to entrench themselves in the comfortable seats of Parliament House.

“Most importantly I hope that it does not listen to the ignorant, self-interested mauswara that the opponents of reform inflict on us.

“Most recently vested interests and would-be politicians opposed NEC’s proposed solution to the constant power blackouts that the national capital suffers.

“The anonymous arguments they put in support of their case were non- arguments. 

“What they served up to the nation through the media – in particular with the connivance of the Post-Courier – was politically motivated and self-serving nonsense consisting of falsehoods, rumour, innuendo and smear.

“Facts appear to be a non-essential item in public debate these days.

“How long are we going to allow tens of thousands of families to suffer every day because there is no electricity for mothers to cook with or lights for children to do their homework by?

“How long are we going to allow people – the old, the very young, the ill and the frail – to be put at risk because there is no power or water?

“Why should we allow the job prospects of our children to be crippled because rather than hiring more workers, business needs to spend its money on generators and fuel?

“These are the consequences of the opposition to the reforms that the nation so desperately needs.”

Sir Mekere said it was his hope that the incoming government would make decisions based on the fact that the people of PNG owned public enterprises.

“Not unions and employees,” he said.

“Not directors and management.

“The people own public enterprises through their elected representatives. 

“And elected representatives have a duty to make decisions in the national interest. 

“Elected representatives are empowered directly by the people, and the people are the owners of these assets.

“One of the biggest failures we have as a nation is that decision-making is often on the basis of political convenience or pandering to sectional interests.

“It is my hope that the new government has the determination and the wisdom to make decisions solely on the basis of the common good.

“If the new Government does not prevent decision-making from being hijacked, we will continue our increasingly rapid slide down a slippery slope.”

Air Niugini pays K6.45 million dividend to government

Minister for Public Enterprises, Sir Mekere Morauta, on Wednesday accepted a dividend payment cheque from Air Niugini for K6.45 million.

The dividend is the first the airline has paid since it was corporatised in 1996.

Sir Mekere welcomed the payment, made at the unveiling of the airline’s new Boeing 737 airliner in Port Moresby on Wednesday.

“The principal that they must pay dividends is very important,” he said.

“It helps instil commercial discipline in public enterprises and it recognises that the people of Papua New Guinea, through the national government, are owners of these organisations and are entitled to a return on their investment.”

The cheque is to reimburse Air Niugini’s share of a K50-million dividend paid by Independent Public Business Corporation (IPBC) to the Consolidated Revenue Fund earlier this year.

Sir Mekere said this was the first year since 2007 that public enterprises have paid dividends.

“The fact that they are now able to do so reflects the reforms introduced after the O’Neill-Namah government was elected on the floor of parliament last year,” he said.

“My reforms, which focus on independence from political influence for IPBC and its public enterprises, accountability and transparency, efficient business practices and improved service delivery, are clearly working.

“There have been significant operational and governance improvements across all enterprises, and I look forward to a lift in service delivery standards in the coming years

.“I implore the incoming government to continue with these reforms and most importantly I hope they see the wisdom and practicality of earmarking some of the Sovereign Wealth Fund cash for infrastructure development and public enterprise rehabilitation.”

Three other public enterprises have paid dividends this year.

They are Eda Ranu with K3 million, PNG Ports with K15 million, and Water PNG with K500, 000.

Air Niugini gets new Boeing 737

By EMMANUEL MAIPE

Air Niugini has welcomed to its fleet of aircraft a new Boeing 737- 700 series aircraft to boost its capacity to serve international routes, The National reports.

 The new B737 is on a long-term lease from Dubai Aerospace Enterprise.

The New Boeing 737 being given the traditional welcoming ceremony by being hosed down by two fire trucks as it makes its way in.- Nationalpic by EKAR KEAPU

 Tts arrival to Port Moresby on Wednesday, has increased the number of aircraft fleet owned by the airline company to 22.

 This includes the Dash 8- 100/200/300 series, Q400, Fokker 100, and the Boeing 767 aircraft.

 The aircraft will operate international routes with the initial flights to the Australian ports of Brisbane, and Sydney, and then it will operate on Air Niugini’s newest route to Cebu in the Philippines.

 There will be two direct flights to Cebu in a week, one on Tuesdays and one on Thursdays.

 The aircraft’s inaugural flight will be to Cebu next Monday.  

 The aircraft may also service domestic routes once some airport infrastructure in the country is completed.     

 Officiating at the welcoming ceremony yesterday, Prime Minister Peter O’Neil said the B737 was the first of its type to be operated by Air Niugini.

 “This Boeing 737 is the first to be operated by Air Niugini,” he said.

 “With its versatility, range performance and low operating costs, this aircraft I am told, will be utilised on the high demand domestic routes when our airport infrastructure is ready.”

 O’Neil also praised Air Niugini’s board and management for their commitment to maintain services to the people of PNG and foreigners despite difficulties faced by the company.

 “Let me commend Air Niugini board, management and staff for their sheer commitment and hard work in ensuring continuous growth and expansion of Air Niugini, our national asset,” he said.

 “I have noted that Air Niugini has achieved with an unprecedented growth, from a nearly-insolvent airline to a profitable airline, increasing its aircraft fleet, routes, frequencies and profitability.

 “Within last six years the airline has created over 800 new jobs for the people of PNG.”

 Mean time, Air Niugini board is planning to acquire additional aircrafts to its fleet.

 The board plans on getting three new Q400, and one more B737- 700, one DHC8-200, and two ATR freighter aircrafts before the end of this year.

BSP returns to Arawa

BANK South Pacific on Tuesday became one of the first financial institutions and major businesses in Papua New Guinea to return to Arawa in the Autonomous Region of Bougainville since the Bougainville crisis 23 years ago.
Banking services in Arawa ceased around July 1989 when all major businesses and banks pulled out as a result of the looming crisis.
When BSP closed its doors then, it was a quiet exit, due to security concerns, and yesterday as it re-entered, there was a celebration and the bank was welcomed back with open arms.
BSP group chief executive officer Ian B Clyne, deputy chief executive Robin Fleming, head of security George Loverock, general manager retail banking Frans Kootte and manager branch operations John Brutnal travelled to Arawa to hand over the new BSP branch.
It is a containerised branch, a concept first delivered by BSP in 2010 when it opened a similar branch in Motukea outside Port Moresby.
Prior to the crisis, BSP Arawa had more than 30 staff and a good customer base.
Today, there are eight personnel and the bank is confident of growing its customer base again.
Clyne said BSP was back in Arawa after 23 years and the feedback received so far from customers and the people of Central Bougainville was one of appreciation and huge relief, as it eased the burden to travel out of Arawa to do their banking.
“BSP’s presence so far has made a huge difference by bringing this very essential service to the community,” he said.
“We have had very positive comments from the locals from as far as Buin and Siwai, who can now travel to Arawa to do their banking and return home on the same day as opposed to going to Buka where they would have to spend a night and return home the next day.
“The business community here in Arawa are also very happy about the branch because it is making banking easier for them in terms of cost, security and time spent and other costs involved in travelling to Buka.
“It is also interesting to note how technology has changed since 1989, where BSP Arawa now has two ATMs.
“BSP is the first to bring ATMs into Central Bougainville, that is because we mean business and it shows our commitment to bring banking services into the heart of the community.”
The bank is also aggressively rolling out its BSP Rural network throughout the country, and in Bougainville BSP is set to open two rural branches in the next few months in Wakunai and Buin