Monday, March 16, 2009

Hansard from National Parliament, 2009 Session.

Hi every body this Blog is purposely for my people in Bulolo Electorate and especially the students from the Grace Memorial High School (GMHS), Baiune Lutheran High School (BLHS) and the Bulolo Technical School (BTS) to follow my performances and contribution in Parliament.
After launching the Broadband Internet Services in those three schools I promised the students and teachers that a blog featuring Hansard will be posted in this Blog for them to have access to. The Hansard information alone can teach the readers of the Parliament Practices and Procedures and the Current Issues being debated or raised.
My contributions will be highlighted GREEN while the Hansard Text will be in PURPLE.

-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
FIRST DAY
______________________

Tuesday 3 March 2009

DRAFT HANSARD
______________________

Subject: Page No.

RETURN OF WRITS –
KOMO-MARGARIMA OPEN ELECTORATE –
STATEMENT BY MR SPEAKER.. 1

DECLARATION OF OFFICE AND OF LOYALTY.. 2

NATIONAL COURT ORDER – SOUTH BOUGAINVILLE OPEN
ELECTORATE – STATEMENT BY MR SPEAKER.. 2

DEATH OF FORMER MEMBER – Mr GLAIMI WARENA –
STATEMENT BY MR SPEAKER.. 2

BROADCASTING OF PARLIAMENTARY PROCEEDINGS –
STATEMENT BY MR SPEAKER.. 3

CERTIFICATION OF ACTS – 3

QUESTIONS. 3

OFFICE OF THE PUBLIC SOLICITOR –
ANNUAL REPORTS, 2005, 2006 AND 2007 –
PAPERS – MOTION TO TAKE NOTE OF PAPERS. 18

APOLOGY TO THE PRIME MINISTER AND
THE NATIONAL EXECUTIVE COUNCIL –
STATEMENT BY THE MEMBER FOR LAGAIP-PORGERA.. 19

CONSTITUTIONAL LAW REFORM COMMISSION –
ANNUAL REPORTS – 2005, 2006 AND 2007. 21

ADJOURNMENT.. 29

FIRST DAY

Tuesday 03 March 2009

The Parliament met at 2p.m. according to the terms of the Resolution of 26 November, 2008.
The Speaker, (Mr Jeffery Nape) took the Chair and asked the Member of Gazelle, Honourable Malakai Tabar to say Prayers:

Our loving God, we thank you for this day that we have come together in this Parliament once again. We praise your holy name, we honour you for giving this afternoon.
We thank you God for all of last year and many engagements that we were all involved in. Thankyou Lord for getting us together back to Parliament for this first day of our Parliament sitting for 2009.
Having that, God, we commend to you this year and our many schedule of engagements for this year and our many meetings that we will be part taking and the decision that we will pass on this Floor of Parliament.
Lord, we the leaders of this country put all our thoughts and ideas for your blessing. We pray too that may you bless the Prime Minister and his Deputy, the Ministers and the Members of Parliament.
God, we also pray for the Provincial and Local-level Government leaders that you will continue to bless and guide our beautiful country Amen.


RETURN OF WRITS –
KOMO-MARGARIMA OPEN ELECTORATE – BY – ELECTION
– STATEMENT BY MR SPEAKER

Mr SPEAKER – I have to announce that I have received a return of writs which His Excellency, the Governor-General issued on 26th September, 2008 for a by-election for a Member to stand for Koma-Margarima Open Electorate following the decisions of the Court of Disputed Return and that by endorsement on the writs, it was certified that Mr Francis Potape was duly elected as the Member for Komo-Margarima Open Electorate.


DECLARATION OF OFFICE AND OF LOYALTY

The Honourable Member elect made and subscribed to the declaration of Loyalty and of Office.


NATIONAL COURT ORDER – SOUTH BOUGAINVILLE
OPEN ELECTORATE – STATEMENT BY MR SPEAKER

Mr SPEAKER – I present a copy of the National Court Order EP-No:11 2007, dated 9th October 2008, which said as a Court of Disputed Return in the matter between Mr Michael Laimo and Mr Stephen Kampa and the Electoral Commissioner declaring that Mr Michael Laimo is not a duly elected Member for South Bougainville Open Elelctorate.

02/01
The Member was sworn in at the National Parliament State function room on Monday 1st December 2008, where he made his Declaration of Loyalty and Declaration of Office before me. I welcome the new Member.


DEATH OF FORMER MEMBER – Mr GLAIMI WARENA –
STATEMENT BY MR SPEAKER

Mr SPEAKER – Honourable Members, I have to inform Parliament of the death of Mr Glaimi Warena on 22nd February 2009. Mr Warena was a former Member for the Imbonggu Electorate in the Second and Third Parliament in 1977 to 1987. He was appointed a Member of the Public Works Committee, Broadcasting of Parliamentary Proceedings Committee, and Deputy Chairman of the Permanent Parliamentary Committee on Public Accounts Committee. Mr Warena was appointed Minister for Provincial Affairs from 1985 to 1987.
As a mark of respect to the memory of the late gentleman, I invite all honourable Members to rise in their places.

All honourable Members present stood in their places as a mark of respect to the memory of the late gentleman.


BROADCASTING OF PARLIAMENTARY PROCEEDINGS –
STATEMENT BY MR SPEAKER

Mr SPEAKER - Honourable Members I have to inform Parliament that the Permanent Parliamentary Committee on Broadcasting of Parliamentary Proceedings met today and resolved that the National Broadcasting Corporation will broadcast live Questions Without Notice for the duration of this meeting.


CERTIFICATION OF ACTS

Mr SPEAKER – Honourable Members, I have to inform Parliament that I have in accordance with Section 110 of the Constitution certified two Acts made by the National Parliament. A list of these Acts will appear in today’s minutes of proceedings.


QUESTIONS

Mr ANDREW MALD – Mr Speaker, I thank you for giving me another opportunity in this new year to ask my series of questions to the Justice Minister.
Mr Speaker, there was a report in ‘The National’ in January that our capital city of Port Moresby is rated one of the top four cities in the world for murder crimes.
Mr Speaker, I am an elected Member of this city and I totally disagree with this report. I would like to stress that we are not terrorists or suicide bombers, which are experienced in some other countries. Many innocent lives are taken in these kinds of practices.
Papua New Guinea is one of the peaceful countries in the world but we as elected leaders must come up with some laws to stop a few culprits who cause these crimes.
Mr Speaker, my first question to the minister is,
(1) Can the Minister tell the people of this nation and the Floor of this Parliament that in which Section and Sub-section of the Constitution of this country does it allow people to walk around freely with bush knives, pocket knives and guns without licence in Port Moresby in places like downtown, Boroko shopping centre, Gordons market and the main highways?
Not only here in Port Moresby but also in our second largest city Lae and Mt Hagen in the public places.
Mr Speaker, if there is no law and people are ignorantly walking around with these weapons in public places and holding up our women by pulling their bags and harassing them including the innocent people who work hard for their livelihood and these behaviour also leads to unnecessary deaths which should be prevented at the first places.

03/01
Mr Speaker, there is a rise in lawlessness thus affecting most of our good people. I want to know what the Minister’s plan in enacting appropriate laws to counter this trend and also, who will administer and implement such laws to deal with perpetrators and offenders of our laws.
Police Force is seen to be weakening and it seems unable to contain rise in criminal activities in our major cities and centres of our country.
(2) I want to know when we will have the machinery and equipment to kill those criminals?
Mr Speaker, we have lost so many innocent lives through merciless killings by criminals who have no mercy at all to other fellow human beings. These people have to be brought to justice and let them face the full force of the law. We hear of people who are being killed and found but we never hear of people who killed those people and even we don’t know their whereabouts.
In some cases, community leaders have helped in arresting murderers and given them to police but their files are not available. Also we have criminals who have committed murder and are being put in jails but they are allowed bail and let them roam freely on the streets as a free man.
(3) Can the Minister explain to us on the Floor of this Parliament and to the people of Papua New Guinea what laws we can follow in this country?

Dr ALLAN MARAT – Mr Speaker, I thank the Member for Moresby North-east for his questions. He said he will ask me three questions but from my note-taking, only one main question was asked.
Your question is mainly regarding the death penalty issue. Our criminal law has been amended following a spate of willful murders and killings. This Parliament in its wisdom has amended criminal code in which it inserted a provision in that criminal code that provides for the death penalty.
I think, at this time five people are on the death row. The law has sentenced them to die and the law is clear on this. The law expresses that a man who is convicted of willful murder or rape and is sentenced to death, he must die by hanging in public. There is no other way in killing that convict either by lethal injection or electrocution. Death sentence will be carried out through public hanging.
Those five who are convicted and are on death row are still waiting. At the moment we have pressures mounting from international community for us not to carry out that provision in our criminal code, which calls for hanging people in public who are convicted to face death. So we have these international pressures.
My predecessor and colleague Honourable, Mark Maipakai, who was the then Minister for Justice, did travel the world. He went to America and sought views on as to how we can implement this provision of death penalty.
Mr Speaker, it is a very sensitive issue. Although it is our law, it does take the courage and boldness of our leaders to implement. Some of us are thinking that it should be better if we bring people from abroad to come and do the execution and then leave our country the next day.
I think the regulation to implement this particular section of our criminal law is not ready and in place yet. In fact it is a big problem and we have to find an appropriate solution by asking questions like who will going to execute those in death row. Well we need regulations to answer those questions
If we can answer questions like these, then we can go ahead with the implementation. But let me tell you, there are some countries which we have very good relations with totally oppose us using death penalty in Papua New Guinea.
Mr Speaker, we can have our opinions on this issue but we need to move this forward if we are to see the first ever execution in an independent Papua New Guinea. When will that take place, is in the good hands of our Government and we have to be content with the mounting international pressures that is upon us against such policy.
It’s not imposed but it’s there and we have to choose whether or not to go ahead with this provision. Basically, the death penalty is there and five are convicted for death row and I am not really sure when the sixth one would come up.
Mr Speaker, that’s all I can answer.

Supplementary Question

Mr TIMOTHY BONGA – Mr Speaker, my supplementary question to the Minister for Justice are as follows:
(1) How was late Iraqi President, Saddam Hussein executed?
(2) Where were the international community at that time of his execution?

04/01
Where is the international community? Those are the people responsible for killing wrong doers. For your information, just over the weekend, my nephew chopped his wife into pieces, so how much longer are we going to wait?
We have to deal with these kind of people immediately because the law is there already. Why not we just assemble them and gun them down just like that and put an end to all these problems?

Mr SPEAKER – That was not a question but rather a statement so I will ask the Minister not to answer it.

Mr TIMOTHY BONGA – I asked him about how they executed Saddam Hussein so is that a question?

Mr SPEAKER – I did make a ruling so the Minister will not answer any questions.

Supplementary Question

Mr MOSES MALADINA – I think the question by Member for Moresby North-East is very broad and not only on the death penalty, therefore I would like to ask the Minister if he can look into the court and judiciary systems. There are many people still inside our jails awaiting their trials. Many a times those that commit minor crimes are usually left out when it comes to giving priority and those that commit major crimes are given priority so I think this is something that should be revisited again.
Another issue that should be revisited is the jurisdiction of our magistrates and our judges. When it comes to money if it is less than ten thousand kina it is left with the District Courts but if it is more than that then it is referred to the National Courts. This is a major cause for our court back-logs. The system has become a bit unfair and sometimes we find murders running around our streets when they have hardly been in jail for some time while the minor offenders spend almost their entire time in jail.
Based on these facts, I would like to ask the Minister if he could review all these issues including the court systems and the roles of our magistrates and judges.

Dr ALLAN MARAT – I thank the Member for his questions. There are laws in place that regulate for instance, the possession of offensive weapon in public places. And as the Member for Moresby North-East rightly said, this country has a problem of enforcement.
We know that corruption has eaten systems of government in this country and we all know that. With due respect to the Police Force and the hard working members of the Force, there are some that disable the laws from attaining their intended purposes and effects.
Many times we question why there is so much law and order issues in this country. I want to tell the Members of this Parliament and the people of Papua New Guinea that it begins with us leaders. If we leaders are upright with all that we do and all that we say to the public then our people will listen and follow our examples.
With regards to the Member’s question if I can review our systems, I will say that there is no problem in doing so. Every thing needs to be reviewed because technology and crime has changed. People are using modern technology to advance in their criminal activities. I do agree that we need to review everything but it is going to be mammoth task reviewing all the criminal laws of this country.
This is why I am saying that it may help a lot if we the leaders can instil proper behaviour and attitude in our people then maybe there will be a change. I do not think that changing laws all the time will always help because I believe that this country is over regulated already. There are too much laws on crime but the enforcement is not there.
I will definitely take this matter up with my ministry and hopefully in the near future present something to the Cabinet.

Mr JAMIE MAXTONE-GRAHAM – My question is really intended for the Minister for Health but since he is not here I will ask the Prime Minister to take note.





05/01
As you all know that we are going through a very serious health crisis and I want to ask the Prime Minister, the honourable Grand Chief, but firstly before I ask my question, it is a growing concern, as we all know about the HIV/AIDS epidemic in Papua New Guinea.
Mr Speaker, it is becoming an issue, which we are losing control of and only yesterday I was informed that two million condoms that were given to us by our friends who are helping us to fight this epidemic have been sitting in the warehouse at Badili for over 18 months and now it has expired.
These condoms have not been distributed and the value of these condoms is about K360, 000 that have gone down the drain.
Mr Speaker, it makes my heart cry and as the Chairman of the Parliamentary Committee on HIV/AIDS. My Committee had not gone about our inquiry yet but we plan to do it this year when we get some funds hopefully from Parliament.
Mr Speaker, I want to thank the Prime Minister that when HIV/AIDS first became a concern of the government, the Government quickly put it into the Medium Term Development Strategy (MTDS) and also the Prime Minister’s Department took responsibility of HIV/AIDS.
Mr Speaker, last year that responsibility was given back to the Ministry of Health and now we see that there is so much confusion between the Department of Health and the National Aids Council Secretariat.
Mr Speaker, another example, a siphon machine was given to us by World Health Organisation (WHO) at the Port Moresby laboratory and that machine is used for testing the blood of people who are positive to regulate the viral load and give them appropriate drug.
Unfortunately, that machine has not being working for eight months because under the agreement we failed to sign a contract for technical back-up and I do not know what happened but that machine is still not working.
Mr Speaker, so while we are facing all kinds of crisis and law and order is one of them that we hear and health is also a crisis. So my question is; would the Grand Chief please consider taking back the responsible of HIV/AIDS and put it under your Department and give it prominent?

Sir MICHAEL SOMARE – Mr Speaker, to answer the right honourable Member’s question, I am sadly not aware of what has happened, particularly the condoms that were kept there for 18 months and the issue of our Government putting emphasis on and we certainly have done a lot on our part to ensure that HIV/AIDS is under control but the responsibility lies on the Department of Health and the Minister was given that responsibility and I am sure I will get proper written answers from the Ministry of Health through the Minister and if the Minister is present, he should be able to answer the relevant questions.
The last point on the issue of bringing them to the Department is something that can be considered by the Government and we will have a look at that issue, but first I have to take it up with the Minister for Health and find out what were the reasons for not implementing and what were the reasons for not taking those things from the boxes which have been left for 18 months.

Mr BART PHILEMON – I would like to address my question to the Deputy Prime Minister but before I ask my question, I just noted that normally we have the time clock ticking away during question time and it has not been put since question time started so how do we know and how long do we have question time for?
It must be one of those things that has fallen down in Parliament just as everything else in the Parliament.
Mr Speaker, my question is directed to the Deputy Prime Minister and Minister for Lands and Physical Planning, Dr Puka Temu. I would like to ask that how long does it take to normally answer letters from Members of Parliament?
I have written to him on a very important issue affecting my electorate on 14th November 2007, in respect of the fact that I visited his office in February 2008 and he made reference to the letter that I have written to him that he will reply to it.
Mr Speaker, I waited and waited till June, 2008 and I talked to him on this Floor of Parliament for the non-reply of my letter and I waited and waited and things were getting hotter and hotter between the landowners and the State in Lae and so I took my Governor, Honourable Luther Wenge from Morobe and we both went to his office and he called up his Secretary of the Lands Department with three other officials and the Governor and I made representation to him about how important this piece of land which is 11,933 hectares of land that has been disputed since before Independence during the Australian colonial administration.

06/01
Landowners have got certain records, the Government has certain records and the records that I have got access to, I have written to the good Deputy Prime Minster saying, please help me.
Resolving these issues has become a really hot issue to the point where developments in Lae, contracts being lead out have been threatened, forums have taken place in Lae, there are numerous court cases.
Yesterday there was another court case by the Morobe Provincial Government and this is a year and a quarter and I am still waiting for the Deputy Prime Minister. Is he playing politics with me, or is he and his Department are incompetent as the time that has taken for him to reply to this very important letter?
There are threats about the multi-billion kina port development in Lae. People have blocked the access road to the old airport. There has been demonstrations during the construction of AUSAid programmes in the late 90s in the industrial sector of Lae.
This has been a long and standing issue and all that I had wanted was for the good Deputy Prime Minister to come and compare my record with his record for once and for all for it has been over 40 years now that this dispute has been going on.
Could you please, as I am now raising this matter in Parliament give some satisfactory answers to me and to the landowners in Lae?
Thank you very much.

Dr PUKA TEMU – Mr Speaker, I thank the Deputy Leader of Opposition for taking me on, on the Floor of Parliament on an issue that has taken 40 years to resolve and expects me to resolve it in 18 months, but I can assure the Deputy Leader of Opposition that I am not playing politics with him.
I also agree with him that this is an important matter but records are a problem in the Department and I assure the honourable Member for Lae and the landowners that we have finally got all the records sorted out and that this afternoon I will deliver the formal response to him that I have signed.
Unfortunately, it has taken quite a long time because the record system of the Department has fallen out of the way and last November we had signed an agreement with the Queensland Government to help us computerise the recording system that includes the land titles and everything else. If you go down to the ground floor of the current building you will see hard copies of files are sitting everywhere.
Therefore, I had taken that head-on and we now got a very good agreement with the Queensland Government to help us handle this issue and the reason why we have delayed a response to the honourable Deputy Leader of Opposition is because we have been having difficulty in ensuring that the responses are in order, because the issue dates back to the pre-independence era.
All I can say at this stage is that our records now demonstrate that the land is owned by the State and various court decisions have declared two landowner groups as the landowners of the Lae administration land and I will disclose the records to the Deputy Leader of Opposition after this session of Parliament.

Mr PETER IWEI – Mr Speaker, my question without notice is directed to the Minister for Education and for the Minister for Higher Education to take note.
Mr Speaker, my questions will be in pidgin because when I talk, my people are listening.
Mr Speaker, many parents in Sandaun and Telefomin are facing school fee problems and this is not only faced by Telefomin and Sandaun alone but by the rest of the country as well.
My questions are:
Just moments ago we were discussing issues concerning law and order. Last month a similar problem occurred at the Don Bosco Secondary and if you had read the newspaper it stated that one of the students due to school fee problems got drunk and under the influence of alcohol went ahead and assaulted a Catholic priest from Vietnam who had been teaching there.
(1) Can the Minster for Education make it clear to the people of Papua New Guinea and the parents whose children are attending high schools, secondary schools, universities and colleges that his Department with the help of the National Government have subsidised school fees and that when will these subsidies be available?
(2) Does the Minster’s Department have laws in place that give principals and board of governors the right to reject children and send them home for non-payment or inadequate payment of school fees who have the right to education? I would like to make it clear to the parents in remote Sandaun and to the rest of Papua New Guinea.

Mr JAMES MARABE – I would like to thank the Member of Telefomin for raising an important issue concerning school fee subsidy but before I do so, I would like to thank the Prime Minister on behalf of my people of Hela and Tari-Pori for appointing me to this ministerial post.
It is an important Ministry that addresses more than 1.5 million young people of this country and therefore, Mr Prime Minister I humbly offer my services to this call that you have placed on me.
Mr Speaker, in response to the questions that were raised by the good Member of Telefomin I would like to answer his answer his second question, first regarding students being removed from schools as a result of non-payment of school fees.
As you will all appreciate that I have raised issues and I have raised notices by way of departmental circulars and also through the media to schools and their principals and board of managements nationwide that no student should be sent away because of want or lack of school fees.

07/01
No student should be sent back from the door steps of their classrooms because of want or lack of school fees. It is the fundamental right of every student who is interested to be educated and wants to be in class, to be enrolled in schools. A circular has been sent to schools nationwide informing them that students must not be sent away from schools when they show up for enrollment at the start of the school year and we have received a very good response from schools nationwide but a few schools have put students off and we are in dialogue with these schools and the Education Secretary has issued stern directives of disciplinary measures to the headmasters of these schools if they continue to disregard directions from the department.
So I hope the schools nationwide will take note of this important Government directive that lack of school fees must not be the reason behind sending students away from classrooms.
On the same note I would like to make an appeal to parents that the schools make the call for parents to pay school fees because they need money to keep the schools operating, money to keep students fed at boarding schools, to provide for text books, stationery and other operational costs.
Parents must be encouraged to know that nothing is free, everything comes at a cost and they have to do their parental duties to make sure their children are educated and must come up with certain amounts at the beginning of the school year. I am sure there are ways available to allow for students to attend classes on installment basis up until parents are able to pay. All schools are aware through the media and departmental circulars released so if there are any schools sending students away I have instructed the department to take note of these and bring it to my attention.
The second issue on school fee subsidies, this country has been fortunate enough to have the Government subsidise school fees, 2008 alone saw the government spend K143 million for school fees subsidy.
This year again K143 million is appropriated for school fee subsidy and I have instructed schools nationwide to furnish in by mid March the enrollment reports, because the subsidies will be distributed in line with the enrollment reports we have.
Our distribution will be based on the enrollment reports that we have, secondly and most importantly, a report that clearly states, how last year’s subsidies were spent.
Mr Speaker, I was advised by my departmental secretary that last year’s report on the use of the K143 million is ready to be presented to the Cabinet and as I speak, I was advised by the good Treasury and Finance Minister that he’s got at least half of the K143 million designated for school fee subsidies ready to be given to schools and I would like all schools to furnish in their enrollment and also for us as a department to verify and hopefully to wards the end of March, we will start disbursing subsidies to schools.

Supplementary Question

Mr LUTHER WENGE – Firstly, I would like to congratulate the Minister on his appointment to the Ministry and also the Prime Minister for recognising young leaders with the important portfolios such as education.
The financial and economic base of most of our citizens is not so good, particularly the cash available to most of the parents is not enough to meet school fees. This is the hard fact that the citizens of this country are dealing with and that is why I want to ask the Minister this question.
Can the Minister formulate a policy to allow for parents who are not able to pay school fees in cash, to make payments through such goods as pigs and other things that have some form of monetary value so that schools will be able to operate as well as follow the guidelines set by the Ministry to keep students in schools and not turn them away?
I am saying these because schools and the department set fees to cater for the operational cost of the schools throughout the whole year therefore if this policy is in place there will be flexibility for parents to pay in cash and kind. It will ease the burden of their shoulders especially for those families who have difficulties in paying fees with cash.

08/01
Mr JAMES MARAPE – I am humbled by the good Governor’s comments but before I answer his questions, I would like to put on record that in terms of Government’s policy response to the total fee issue, the Somare/Temu Government has been very supportive in looking into ways to enlighten parents on the burdens of school fees. As a result, in honouring commitments made in the 2002 and 2007 elections, this Government continues to subsidise school fees.
The Government had deliberated on the issue in the Enga Cabinet Meeting, it was agreed in principle but the burden; costs of subsidising school fees, costs of Government meeting and assisting parents with school fee is enormous. The total burden on Government meeting school fee needs adds up to almost K1 billion simply because when you look at school fees, you are not only talking about giving subsidies or free school for instance. The Government is in the business of encouraging schools to grow and encouraging more students to be in school, and we would like to continue to subsidise.
The concern raised by the Honourable Governor is an issue that is already in place and some provinces like Chimbu are practicing what the Governor has raised at different levels of school management, both at the local and provincial level in response or concurrence to the formal education system. Much of the responsibility in daily management issues rests at school board level and also at the provincial government.
So we had instances where Chimbu Province for instance, has made a policy at that level to encourage schools to call on parents to supply rice bags and pigs to schools to subsidise school fees that they were supposed to pay to the schools. Practically, these interventions are possible and we have provinces and schools that have gone about looking into it. As a department, in terms of looking into the overall policy framework for the school fee issue, these are some of the alternatives that we will consider by way of policy and if possible by way of legislative amendments to ensure that our parents are assisted in meeting school fees.

Supplementary Question

Mr FRANCIS AWESA – Mr Speaker, my supplementary question relates to the RESI Education Program. This is not a new question.
I want to know whether this program’s allocation of K150 million is still parked in the trust account? If not, how much money was spent and who has been benefiting from this program?
This is a relevant question and I want the Minister to answer it because some of us have not benefited. It is a similar program that the Government created with Agriculture where many of us have not benefited. I don’t know what is going on?
Therefore, I want to know what is happening with the RESI Program? How much money has been spent and what is the criteria that has been used to use up all this money?

Mr JAMES MARABE – I would like to thank the Honourable Member for Imbonggu for the series of questions on the RESI funds that is kept in trust by the Department of National Planning?
Mr Speaker, the National Government in it’s wisdom has appropriated K230 million aggregated until now for the use of Rehabilitation of Education Sector Infrastructure (RESI). The National Government also in it’s wisdom took a Cabinet decision in Manus to call for all the funds parked in trust accounts, especially the education sector, to be relocated to the Department of National Planning.
The rationale for doing this is that much of the funds sitting in the trust accounts have been there for a long time and they have not been used as specifically planned for. The Department of Planning had set up a Project Management Unit and through assistance by way of secondment and advice from my Department, the RESI will start and implementation will take place.
I would like to inform Parliament and this nation that K230 million designated for the Rehabilitation of Education Sector Infrastructure is insufficient. To date, as a department, we have received submissions from schools nationwide to rehabilitate deteriorating infrastructure that adds to K880 million. Submissions from schools nationwide, from all the districts and I hope they include some of the submissions from the honourable Member. So K880 million is no way close to the actual allocation which is K230 million. Out of the total submissions, we have received and correctly screened 56 submissions.

09/01
In close liaison with the Project Management Unit of the Department of National Planning, we had started to rollout the implementation of the RESI program in Provinces. Some in MOMASE and the Highlands have started to benefit.
I would like to inform this Parliament that they had received amounts that do not equate to the total of submissions that they had made. I believe in the name of fairness and equity principle, it is rightly fair that we consider the schools right across the nation.
I would like to inform the Members that if you had submitted for K4 – K6 million but received only K400 000 to K500 000, it is with respect to the principle of equality that we are trying to give to schools that come in direct need of this.
I hope that as we go through the process of this, RESI funds and the needs that continue to arise, every Member of Parliament and the Cabinet will support me and the Department as we present to the Department sometimes this year.
The total amount needed to rehabilitate every educational infrastructure nationwide is approximately a billion kina. If we can properly appropriate the funds over a period of five years, we could, by five years time rehabilitate every infrastructure in the educational sector.
In response to the questions raised by the Member for Imbonggu, yes, we have started to rollout funds from the RESI Program. The funds are kept under the Project Management Unit arrangement led by the Department of National Planning in close consultation with myself and the Department. We are identifying schools and in the process of rolling out money to the schools that are in direct need of this intervention.


OFFICE OF THE PUBLIC SOLICITOR –
ANNUAL REPORTS, 2005, 2006 AND 2007 – PAPERS –
MOTION TO TAKE NOTE OF PAPERS

The following papers were presented pursuant to statute:

Office of the Public Solicitor Annual Reports –2005,
Office of the Public Solicitor Annual Reports 2006, and
Office of the Public Solicitor annual Reports 2007.

Mr PAUL TIENSTEN (Pomio – Minister for National Planning and Monitoring) – I move –
That the Parliament take note of the papers.

Debate adjourned.


APOLOGY TO THE PRIME MINISTER AND THE NATIONAL
EXECUTIVE COUNCIL – STATEMENT BY
THE MEMBER FOR LAGAIP-PORGERA

Mr PHILIP KIKALA (Lagaip-Porgera) – I seek leave of the Parliament to make a statement as a matter of public importance.

Leave granted.

Mr Speaker, before I make a parliamentary statement as a matter of public importance, I would like to share a story that I was told, of what had happened at a Commonwealth Leaders’ Conference in Sydney, Australia some years back.
Mr Speaker; all Prime Ministers of the Commonwealth nations were seated at their designated chairs and waiting for the Queen of England to arrive and address them. After about 10 minutes, the Queen arrived at the doorway and as usual, waved at all her Commonwealth Prime Ministers and amazingly skipped all the Prime Ministers of all developed and developing countries and walked straight to the table where Papua New Guinea’s highly respected and honoured Prime Minister, the Rt. Honourable Grand Chief, Sir Michael Somare, GCL, GCMQ, CH, CF, K.St.J was seated, shook his hands, sat and talked away with him.
Mr Speaker, during that drama, it is important to note that the Queen broke all the Commonwealth protocols and took her time humbly to our Prime Minister, shook hands and talked with our Prime Minister. The Queen humbled herself and bestowed her respect for a great man.
Mr Speaker, later, the international media personnel interviewed the Queen and asked why she bypassed all other Prime Ministers of the Commonwealth and went straight to the Grand Chief of Papua New Guinea?
She replied; `because the Prime Minister of Papua New Guinea is the longest serving Prime Minister amongst all Commonwealth nations`. This is the man we, Papua New Guineans respect and go for guidance and protection.
Acknowledging the quality of a man and the good things he had done, the Enga people sweated in preparing to receive the Prime Minister and the Members of the National Executive Council (NEC) with pride and colours as the nation had witnessed last week. Also the schools throughout the Province had contributed animals to be slaughtered to celebrate with him over the achievements in his 40 years of active politics.
Mr Speaker, we had celebrated the Grand Chief’s 40 years in active politics and the respect and strength that he gained over the years shows how a man works hard to earn all these distinguished titles and never ever demanded like Idi Amin Dada did in Uganda. Self-centred and individualistic demands tabled by the Enga Governor on the NEC table in Wabag last week Friday killed the Enga people’s pride, dignity, respect and confidence they had on the Grand Chief, the honourable Prime Minister, his Government and the Cabinet.
Despite such incidences of only one Engan, the entire people of Enga thank you for all the good work you have done for them over the last 40 years and more recently, the K142 million commitment made for various impact projects carefully designed to be implemented and managed in the districts by their respective JDP & BPC’s where the mouth is and away from the centre where greed and abuse continues to prevail. Thank you, Mr Grand Chief.

10/01
Mr Speaker, on behalf of honourable Don. Pomb Polye, Member for Kandep and Minister for Transport and Civil Aviation and Works and Deputy Leader of Ruling National Alliance Party of the Highlands Region, Honourable Samuel Abal, Member for Wabag and Minister for Foreign Affairs, Honourable Miki Kaeok, Member for Wapenamanda and Deputy Governor of the Enga Provincial Government and myself the Member for Lagaip-Porgera and Vice-Minister of National Planning and District Development and 99.9 per cent of our Engan People from the head of our one water and from the bottom of our hearts sincerely apologise for the turbulence, havoc and shame casted on you as head of this great nation, your beloved wife Lady Veronica and family and the Members of the NEC and their family and their people, top, respected and hard working secretaries of the National Departments, other senior public servants and security personnel.
We have nothing that we can offer to erase the psychological wounds placed on you all but we all Engans hold our hands in Christ and only apologise and pray that you will gain strength day by day and rule this nation for another five great years after year 2012. If President Mugabe can continue to rule in Zimbabwe at the age of 85, why can’t the Great Grand Chief of Papua New Guinea?
Honourable Grand Chief, we the people of Enga once again congratulate you on your 40th Anniversary in politics in PNG. It takes a great man to put together a people of 800 different languages and cultures to unite and work for a common objective.
You have, time and again, shown your great leadership and wisdom in guiding this fledging nation through its infancy to its 33rd year of Independence, along the way sacrificing your time for this great nation instead of you family and yourself.
What you and your National Alliance Party-led Government have done for the people of Enga will be long treasured and as stated by the entire crowd of Enga Province; “Enga is National Alliance Province”.
Congratulations Prime Minister.

CONSTITUTIONAL AND LAW REFORM COMMISSION –
ANNUAL REPORTS – 2005, 2006 AND 2007 – PAPERS –
MOTION TO TAKE NOTE OF PAPERS


Mr ALLAN MARAT (Rabaul – Minister for Justice and Attorney-General) – I present the following Papers pursuant to Statue:

Constitutional and Law Reform Commission – The Annual Reports, 2005, 2006 and 2007

I ask leave of Parliament to make a statement in connection with the Papers.

Leave granted.

Mr Speaker, I rise before this Honourable House to present the 2005, 2006 and 2007 Annual Report from the Constitutional and Law Reform Commission.
These are the first three Reports by this revamped law reform agency of the Government. I inform the House that the Commission is now fully established after the enactment of this law, the Constitutional and Law Reform Commission Act on 24 November 2004, and the commencement of the law by His Excellency the Governor-General on 4 March 2005. This new body will review and propose laws for consideration by the National Executive Council and this Parliament and as well, will be used by the Government to filter all law review proposals.
Mr Speaker, the phenomena of change in the spiritual, social, economic and political development of the country has overtaken the usefulness of certain aspects of the constitutional laws and numerous other laws including the regulations. The web of values in the rather symmetrical exchange relations between our diverse communities, and between us and the external influences from other global communities has also become more complex.
We need balanced progression of all aspects of law to give our citizens an opportunity to attain harmonious and balanced interests at all fronts, and hopefully reduce and eliminate poverty. The citizens are also becoming more aware of their rights and basic social obligation and are therefore, demanding changes to the law.
Mr Speaker, the access to the information technology and the information highway to the world, particularly the internet, now seeks the attention of the Government to address its effects. Previously, there were reports of the circulation of foreign pornographic materials, however in recent times, Papua New Guinea productions are evidently on the rise. It is no secret, people have been imprisoned by the courts for the production and or possession and distribution of pornographic materials. We as a Government need to strengthen our social nets by way of legislation. The trends in crimes and trends in commerce and trade too have changed and will continue to take on new forms and dimensions. In addressing these issues, significant considerations have to be given to the reform of our laws.
Mr Speaker, it is for this reason that we must take definitive steps and strides towards protecting our citizens from undue influence. We must shield them from crime and instead lead them to attain their goals and aspirations. Laws enacted through this Parliament and those pronounced by the courts form these steps and strides. The dichotomy or the dual legal system we have now clearly requires the need for harmonizing our customary laws with introduced laws. We must build a legal system for our nation that is truly ours, one that also reflects our values and our inspirations. We must also decolonise our law and create our own legal materials, those that we must also make available to our citizens in languages that they understand. It is my firm belief that by these we may encourage collective participation by the citizens in the social and economic development of the country.
Mr Speaker, the promise of law reform is clearly the driver of these activities in nation-building when laws are enacted by this Parliament to assure us of our united and definitive steps and strides.

11/01

Mr Speaker, as Attorney General and Minister for Justice, I must in the first instance, emphasis the constitutional and statutory accountability of public officials and public officers to submit their Annual Reports to the Parliament.
Being the supreme lawmaking body of Papua New Guinea and is not bound by any restrictions imposed by law, this Parliament must receive full reports of all actions taken and all financial expenditures incurred by all public institutions for the scrutiny of this Parliament.
The Parliament thereafter, has the prerogative whether to endorse these reports and if it decides otherwise, may move its motions to move these reports to its Parliamentary Committee or other relevant authorities for further inquiries.
Mr Speaker, the requirements for Annual Reports draws its origins from Section 156 of the Constitution, which requires the constitutional office holders or any public office holders or a constitutional institution or any other Statutory Body to prepare and submit Annual Reports to the Parliament and also nearly all other statutory enactments have provisions relating to annual reports.
I note that although there are no specific formats or guides as espoused, the outlook of the report be best left to the intelligence of those entrusted with the duty to draft the report and submit them before this Parliament.
Mr Speaker, we should not look further to answer why Annual Reports must come before this Parliament. It is the Principle duty of the Parliament to make laws and we are the lawmakers in each proceeding year the Parliament must be informed of all the actions taken and expenditure incurred in each preceding year on the implementation of the Constitution and its statute.
The rationale for the Annual Reporting system to Parliament is thereby distinct. This Parliament enacts the law and it must be briefed on the benefits and the short comings the laws bear on the progress and development of Papua New Guinea. But if this desired intentions and purposes are not attained then it can be on the basis of the annual report that the Parliament can take new directions through law reviews in furtherance of the national goals and directive principles enshrined in our Constitution.
Mr Speaker, in view of these, emphasis must be made to all the heads of all State institutions to comply with the Annual Reporting requirements of the Parliament, which in the long run allows us to have written and electronic records on the affairs of the country for our future generation.
Mr Speaker, the Constitutional and Law Reform Commission of Papua New Guinea hereby honour this obligation to this Parliament on Annual Reports under Section 10 of its Act. The Reports are for the years 2005, 2006 and 2007.
Mr Speaker, for the benefit of the Parliament the Constitutional and Law Reform Commission is an amalgamation of the formal Law Reform Commission previously established by the repealed Law Reform Commission Act of 1975 and the former formal Constitutional Development Commission established by the repealed Act of 1997.
Through this fusion the Constitutional and Law Reform Commission is responsible for the conduct of inquiries into the workings of the Constitution and the other Constitutional Laws review the existing Statutory enactments and proposed new laws through the National Executive Council and this Parliament for enactments.
Mr Speaker, proposals for a law reform agency for our country began in 1973. A Bill was presented before the House of Assembly in that year and unanimously passed into the then Law Reform Commission Act. Although the country was in its infancy stage those who participated in the enactment of that law can now be considered law reform visionaries. Their leader at that time and still remains profound amongst us on the Floor of this Parliament and continues to lead us today. His voice still echoes vibrancy and full of charisma and life, just the same as the one this country heard in the lead up to the Independence Day in 1975 and thereafter to now. His leadership also continues to glow today as we strive to towards our destiny.
Mr Speaker, I am sure the honourable Members will join me in acknowledging the untiring efforts put into that exercise by the current Prime Minister the Grand Chief Right Honourable Sir Michael Thomas Somare for assuming the Justice Ministry, introducing the Bill and championing its enactment. We also salute those who spoke for the Bill during those humble beginnings, the late Sir Albert Maori Kiki, Sir John Kaputin and the leader of the Opposition the late Sir Tei Abal whose begotten son is also in this House representing the people of Wabag. In 1975 when the Constitution was adopted by the Constituent Assembly the Commission was re-established by the Constitution under the late Sir Ebia Olewale as the country’s inaugural Minister for Justice.
Mr Speaker, the revitalized Constitutional Law Reform Commission began operations immediately after the enactment of this law the, Constitution and Law Reform Act in 2004.
I had the honour of serving as one of the foundation Chairman of this new Commission during the term of the last Parliament and have some understanding of the intricacies this institution does and can do. While I have this opportunity, may I also inform the Parliament that the bipartisan spirit of the Parliament has been extended to the Commission. It is by this spirit that the laws proposed by this new Commission can be passed through this Parliament. Honourable Joe Mek Teine, the Member for Kundiawa Gembogl has replaced me as Chairman of the Commission along with other Commissioners Honourable Malakai Tabar, the Member for Gazelle representing the Government side of the Parliament and Honourable Puri Ruing, Member for Dei who represents the Opposition bench. These Parliamentary Commissioners diligently serve on the Commission alongside other learned respected citizens, Mr Gerard Linge, Deputy Chairman, Professor Betty Lovai, Professor John Luluaki and Mr Tom Annayabere.
Mr Speaker, the Commission has four functions. Its primary function is to inquire into and review the workings of the Constitution and the organic laws, and inquire into such other matters of a constitutional nature as directed by the Head of State acting on the advice of the National Executive Council. This is the function that was given to the Commission on assuming the duty to review the Constitution as required by Part 12 of the Constitution.
The Commission’s second primary function under references from the Minister for Justice is to review the laws of Papua New Guinea in order to facilitate their systematic development and reform.

12/03
Mr Speaker, in undertaking such reviews the Commission concerns itself with the re-statement, codification amendment and view the laws of Papua New Guinea in order to facilitate the systematic development and reforms.
Mr Speaker, in undertaking such reviews the Commission concerns itself with the re-statement, codification, amendment and reform of customary law, the introduced Common Law and equity and our existing statute laws.
The Commission, moreover, has the duty to explore and propose the introduction of new legal concept into the Papua New Guinea legal system.
The third function of the Commission, Mr Speaker, is to recommend changes to and developments of the underlying law to make it more responsive to the changing needs of our country and our people.
Under these functions, the Commission has the power to report to this Parliament and to the National Executive Council on ways of changing custom and introduced Common Law and Equity so that they better fit the circumstances of our country. The performance of this duty is again required by Schedule 2.14 of the Constitution.
Mr Speaker and honourable Members, the Commission’s fourth principal function is given under section 19 of the Constitution and expanded under its law. This Commission has the constitutional right to apply to the Supreme Court for it’s opinion on any question of a constitutional law and on the constitutional validity of any law or proposed.
In addition to these major functions, the commission may also offer advice to all State agencies on legislation and legal policy particularly on the review and implementation of laws currently in force.
Mr Speaker, these constitutional and statutory law reform functions are immensely complex and intricate. Indeed, law reform is a relatively new branch of law and there aren’t many authoritative literature on this subject.
This gives us the unique opportunity to develop and participate in the legislative review of our country as well as contribute to the global trend and methodologies in law reform.
The law reform business of the Government shall as of today be deep-seated on exceptional systematic research and analysed recommendations. There shall be no cut and paste law reform work, there shall be no overnight trumped up law reform exercise and there shall be no piece-meal law reform proposals.
These have generally proven legally futile and inconsistent with other laws, and administratively impractical to enforce.
The Government has therefore, looked beyond its usual public service manpower and appointed an experienced law academic as secretary to the Commission, Professor Lawrence Kalinoe, and this will be followed by other very highly trained lawyers and experts in social science, politics, administration and science.
In 2005, Mr Speaker, the Commission dedicated the year to the set-up of the Commission. In that year, an acting secretary was appointed under whom a request was made to the Secretary for the Department of Personal Management for approval of a new structure.
After the approval was obtained, its skeleton staff was appointed to certain of the approved positions. Important office facilities were also purchased in that year, after the appointment of officers to the vacancies at the Constitutional and Law Reform Commission, the Commission moreover adopted its strategies on law reform.
Mr Speaker, more specialised training of staff on the work of the Commission continued well into 2006, featuring and introduction that was conducted with input from all the relevant State agencies such as National Executive Council, the Department of Personnel Management, the Office of the First Legislative Council, the Department of Justice and Attorney General and the National Research Institute.
The Commission also underwent a one week training on law reform conducted by the Australian Law Commission, led by its president, Emeritus Professor, David Weisbrot, who is known to many of us in this Parliament.
Mr Speaker, on the 2 November 2006, the Minister for Justice issued two references to the Commission under Section 12 of the Act. The references relate to committal proceedings and indictable offences trial able summarily. Work plans for the execution of these references commenced immediately for full operation in 2007. The Commission thereafter formed its working committee and delivered two issues papers.
Mr Speaker, between April and May 2007, the Commission mobilised itself and took the issues papers throughout all the provinces to consult the people on the references.
The value of participation by the people in legislative proposals thereby carved its huge significance on the law reform process of the country and the Commission adopted via the most appropriate means and methods to be its most vital tool in law reform.
The Bills resulting from the work of the Commission on these references have been approved by the NEC and will come before this Parliament shortly.
In the implementation of certain recommendations of the Land Development Task Force, the Commission also delivered a draft report on the review of the Incorporated Land Groups and design of a Voluntary Customary Land Registration and held a seminar on this reference in collaboration with the Law Society and the National Research Institute in 2007.
Mr Speaker, the Bill resulting from the work of the Commission on this reference has been adopted by the NEC and will be presented before the House soon for legislative enactment.
Mr Speaker and honourable Members, by way of conclusion, let me lead you to the financial report and the financial statements established in the annual report. It is a big assurance to this Parliament to note that the chairman and the secretary for the Commission have signed off on the financial report for the Commission.
The Commission’s statement of receipts and payments is complete with its notations, receipts, consolidated statement, bank reconciliation, bank fees and charges, cancelled cheques, assets register and the full details of all the cheques paid.
Mr Speaker, the Commission has raised the bar significantly on the level of transparency, good institutional governance and the annual reporting requirements of this Parliament. I am sure the other institutions will follow suit.
Mr Speaker and honourable Members, it is with great honour, I commend the 2005, 2006 and 2007 Constitutional and Law Reform Commission Annual Reports to the Parliament.

Debate (on motion by Mr Paul Tiensten) adjourned.


ADJOURNMENT

Motion (by Mr Paul Tiensten) agreed to –
That the Parliament do now adjourn.

The Parliament adjourned at 4.20 p.m..

=================================================================================

SECOND DAY
______________________

Wednesday 4 March 2009

DRAFT HANSARD
______________________


Subject: Page No.

QUESTIONS. 2

ORGANIC LAW ON PROVINCIAL BOUNDARIES DESCRIPTION
(AMENDMENT) LAW 2009. 17

POSTPONEMENT OF BUSINESS. 18

ESTABLISHMENT OF THE OFFICE OF CLIMATIC CHANGE AND
ENVIRONMENT SUSTAINABILITY – MINISTERIAL STATEMENT –
PAPER NOTED.. 18

ADJOURNMENT.. 41















SECOND DAY

Wednesday 4 March 2009

The Assistant Speaker (Mr Guma Wau) took the Chair at 10 a.m. and invited the Member for Abau, Dr Puka Temu to say Prayers:

“God of love and mercy, we acknowledge you this morning as our only chosen God. We thank you Heavenly Father for giving us another opportunity to preside over the agendas for another day in this House of Representatives for our people.
Father, we commit ourselves and we pray that the deliberations this morning will have your blessings. We pray that you will bless our people and our nation. We come before you as who we are and acknowledge your holiness. We pray that you will forgive us our sins.
Father, we thank you that through the death of Jesus your only son we can come as who we are and be assured of forgiveness of our sins. We commit ourselves and our nation unto your capable hands.
Lord we pray that any deliberation on the Floor of Parliament and any decisions that we make at the executive level will be for the best and will bless your people.
We thank you for blessing our nation so richly with our six million people and a vast reserve of natural resources. We pray for your guidance and blessing as we oversee the administration and management of these resources for the good of your people. Amen”


BROADCASTING OF PARLIAMENTARY PROCEEDINGS –
STATEMENT BY MR ASSISTANT SPEAKER

Mr ASSISTANT SPEAKER – Honourable Member, I wish to inform the Parliament that the Permanent Parliamentary Committee on Broadcasting of Parliamentary Proceedings met today and resolved that EMTV will be allowed to film Questions Without Notice for news purposes only for the duration of this meeting. This will also include our local PNGFM stations.


QUESTIONS

Mr SAM BASIL – I direct my questions to the Prime Minister but I firstly would like to take this opportunity on behalf of my people to thank him for visiting my electorate.
Mr Assistant Speaker, as we are aware that among many issues affecting this country, law and order is still our biggest challenge. Mr Prime Minister, your Government has been in power for seven years now and law and order surely has been the same today compared to seven years ago. There are many cases occuring everyday; innocent people like children and mothers or people who cannot defend themselves are being victimised by criminals.
People have lost confidence in our system and sometimes do not bother to report crimes because they know Papua New Guinea Royal Constabulary does not have the capacity to follow up despite having very good hardworking personnel who are handicapped by lack of resources and leadership.
Mr Assistant Speaker, the Police Department demands a strong and transparent leadership in its administration and operations. The Police Minister and his Commissioner must conduct themselves to the expectation of all officers in the Police Force, the Government and most importantly, the people of Papua New Guinea which in turn portray our images internationally to our friends and donors, new investment, tourism and the list goes on.
Mr Assistant Speaker, we just cannot sit down and observe the conduct of the Police Minister and his Commissioner without questioning their mode of operation. I believe the silent majority of Papua New Guineans would also like some answers to these questions which I will be presenting to you.
My questions are as follows:
(1) Conflict of interest by the Police Minister. Mr Prime Minister, are you aware that the Police Minister or his relative operates a hire car company called Mountain Hire Car Limited which has a very lucrative business engagement with the Royal Constabulary of Papua New Guinea? The bills run into millions of kina which can be saved and used to purchase police vehicles. The Department can cut cost by almost fifty percent and the savings extended to other logistical support that is not available.
Mr Assistant Speaker, the conflict of interest does obscure ones ability to execute his or her duties in a transparent manner and therefore, we have an escalating law and order problem in PNG.
Mr Prime Minister, can you call an urgent investigation into the conduct of the Police Minister?
(2) The accounts and funding of the Department.
Mr Assistant Speaker, there are two operating accounts which have come to light. They are the Police Commissioner’s BSP trust account and the PNG Royal Constabulary Communication Infrastructure Trust Account with ANZ. Millions of kina have been transacted in and out of these accounts for special operations and some excessive funding have run dry, therefore, bringing the morale of investigating officers very low. For example, the BSP robbery of K2.7 million was deposited into the account, regular cashing of cheques and transfer of funds needs to be scrutinised.

02/02
Mr Deputy Speaker, with respect to the high ranking officers of the Police Force, it is our duty to keep the checks and balances for the ordinary peoples benefit with the current law and order situation warrants a shake-up for good governance and transparency.
Mr Speaker, my question to the Prime Minister is that, can your office appoint an independent Auditor to audit these accounts and expose its findings to justify the integrity of the custodians of this particular account?

Sir MICHAEL SOMARE – Mr Speaker, I won’t be able to give the honourable Member the answers in detail because I have been already furnished with some of the information and it would be only appropriate for me to put them in writing to the honourable Member and also within the course of this Parliament sitting, I will make a short statement on the matter.

Mr TIMOTHY BONGA – Thank you Mr Assistant Speaker, yesterday, I raised a supplementary question but this morning, I have a fresh question to ask the Minister for Education.
Mr Assistant Speaker, first of all, on behalf of the people of Nawae, I want to thank the Grand Chief for appointing a young and vibrant person to be able to take on the very important Ministry of Education which is the heart and root of our being, especially the young ones at school.
Mr Assistant Speaker, yesterday, the Minister made some very strong remarks in terms of reviewing the policies of how our education system should be functioning but the core importance of my question is that there is a law and order situation in schools and among students in the country.
In my province, sometimes mid last year, we had four different high schools facing cult activities that caused a lot of problems in the schools, affecting innocent students who want to study and become better citizens and who want to be part of the development of this country and future leaders of this nation.
Mr Assistant Speaker, this system has rapidly eaten up the core institutions in the country and mine was no exception. Last week, we had a situation at Malahang Technical High School, which is in my electorate and shares the border with Lae, were students have gone into cult activities.
I do not know if the teachers or the Students Counseling Board have any rules to govern these type of activities because the students to date, set their own rules inside their schools as to how the schools should be conducted, how they should arrive at school and how the schools should run.
And so they tend to use the cult activities to say that when you come to school you must follow, this if not, you will face the consequences. When school leavers from grade eight go into secondary schools, the grade nine students bring them into the system.
Mr Minister, I think it’s about time you review the rules and impose penalties and punishments to strengthen the students because students who do not want to behave or follow the system have no place but not only that, after that student is expelled from one school, he or she is transferred to another school again and cause the same problems.
So my question to the Minister is that, can you call up your Education Secretary and look for strong penalties to impose on cult activities in schools, which is spreading like a bushfire.

Mr JAMES MARABE – I would like to thank the Member for Nawae for raising a very important question. Cult problem along with other disciplinary student issues but especially cult activities has been the major problem that is arising in most of our schools especially in the urban areas in the last five or six years.
Mr Assistant Speaker, I would like to put on record that the cult problem will not be tolerated by the Ministry and Department of Education. I would like to say a fact that leads to cult issues at schools. It was raised many times and we have appreciated but these students come from various backgrounds and much of the problems also lies at where the learning starts and learning starts right at home.
Mr Assistant Speaker, parents have the primary responsibility in ensuring that their children are mature and have grown with the correct attitude, advise and support so that once they are in school, they do not engage in the activities that are illegal and will costs them places in learning institutions. Those after grade eight who continue onto grade nine are the lucky six hundred thousand students who advance from the total of eight hundred thousand grade eight students.
Mr Assistant Speaker, spaces in high schools and secondary schools must be seen as privileged spaces by students and parents nationwide. Cult will not be tolerated and is a discipline problem in schools and if students are found practicing cult, I will inform the school and I have already instructed my Secretary that if there is a disciplinary problem and after three warnings, the student should be terminated.
Mr Assistant Speaker, problems inside the schools will be dealt with as disciplinary problems but problems outside of the school yards is a normal law and order problem which the police must intervene and students found to abuse the privilege to study in high schools and are caught in outside of school areas or activities with students of other schools or among themselves is a normal law and order problem and the scene must be named in its proper name.
If the scene is a law and order issue, we will ask the police to intervene and allow the normal process of law and order to take its course. To answer the good question by the Member from Nawae, yes, the Department has issued instructions that cult practice will not be tolerated and students found to practice cult after three warnings will be asked to leave the school and the call is now on parents nationwide to play their primary fundamental role at home to ensure that their child is in school and abstains from cult activities.

03/02
Supplementary Question

Mr ANDREW MALD – It is not only cult issues that affect students but they are now seen to be smoking and consuming alcohol.
In my days as a student, it was really strict and when we were caught in public, the law punished us. Now the students are sharing alcohol with the teachers and even smoking with the teachers and then they get into bad behaviours and start smoking drugs. Therefore, we are educating some criminals in this country.
My questions are:
(1) Can the Minister make a law that will allow schools to prohibit students from smoking drugs, chew ‘betel nut’, fighting and drinking in public throughout the country?
(2) Can the Minister make this possible so it can be adopted as a law for the whole nation so that we can raise good children for the future of this country? This will deter students from consuming these drugs.
It is known that when students finish grade 10, some schools have policies that determine that students who get low class marks will not continue to Grades 11 and 12. Some parents insist that their children must finish their grades 11 and 12 and they are also willing to pay whatever the cost to see this happen.
(3) Can the Minister allow this to happen and let students with low marks but willing to pay fees finish their grades 11 and 12 as it is a must for educating our children?
With regards to schools in the country, individual schools have three benefits for them. One such benefit is through the school fees that parents pay for their children to attend school. The second is the subsidy that the government provides to the schools and the third is when the local members and provincial governors take part to build classrooms and provide equipment and services worth billions of kina.
And some schools run dry in the fourth term of the school year and students then do not attend classes.
(4) I would like to know whether these funds are managed properly and checked?
(5) Can the Minister appoint an independent audit team to audit the spending of schools’ funds every year?
(6) Why is our auditing team in Waigani just sitting there and cannot do such jobs?

Mr JAMES MARABE – I would like to respond to the good Member for Moresby North-East’s question in the following manner. Firstly, issues regarding smoking, alcohol consumption and other disciplinary problems in schools. The School Boards were empowered as per the reform in the education system to make important decisions concerning these matters.
The Open Members respond and rely on the School Boards in a very direct manner. The Open Member sits as the head of the province’s District JDP. The Open Member relates directly with the District Education Advisor.
Through that relation, control mechanisms can be put in place and disciplinary issues can be handled at various school board levels right across the nation. The National Education Board sets the standards and obviously smoking, alcohol consumption by students and every other illegal activity practiced in schools are prohibited as far as the National Education Board is concerned.
How it is implemented is the responsibility of every district. The District Advisor who is right under the nose of the district administrator who sits in the District JDP meeting that is controlled by the Open Member.
Education is a serious responsibility and that is why you and I were elected as Members into this Parliament and right under our noses are various schools that come under each of our very own districts. We make it a serious business in ensuring that our district administrators have control over the district education advisors.
The district education advisor has direct control over every school board, be it community schools, primary schools, high schools or secondary schools. Much of the day-to-day running of the school comes under the responsibility of the School Board of Management.
Again, disciplinary issues like cult activities and consumption of liquor and drugs, are already prohibited by law and policy. It is now the implementing agencies that have to step in and carry out the punitive and corrective measures.
I, as the Minister for Education, do not know who sits on school boards in the LLG, wards and district levels. Therefore, my call is to every Member of Parliament to stand with us in Education and partner us in ensuring that school boards run effectively.
This leads me to the second or third question regarding government funding. I applaud and commend the Prime Minister and the Somare–Temu Government in its wisdom in designating big money in terms of District Service Improvement Programme and Education receives K1 million direct to the district level.
I, therefore, would like to commend provincial governments who are doing that and also the National Government’s subsidy grant. I have instructed the Department as I took office and one of the task that we were to look at was the strengthening of financial management at the board level. Financial management is an issue that I would like to assure the Member for Moresby North-East that the issue he has raised is very important in my deliberations. I will be undertaking as the Education Minister, to strengthen financial management at the board level so that they are accountable for the monies that are given to them directly from the various levels of government through the District Development Plan and the District Manager’s efforts to ensure that the school governing boards are responsive to the District and the District Administrator and eventually to the Member.


04/02
Your question on the availability of spaces in grade 11, I would like to say that this is part of the reform, and one of the reasons for the reform was to create more space in the secondary school system so that we have more students coming out after grade 12.
I admit we still do not have spaces available in grade 11 and this is something that will be addressed and the intention of the reform was to help students pass out from grade eight and create more space in grades 9, 10, 11 and 12.
You will appreciate the first system of education we had a elite structure with six, four and two system where it was six years of community school, four years of high school and only four National High Schools have absorbed grade 11 and 12 students.
Through the reform one of the positive gains of the reform is that it is only eight years old and I have instructed the Department to take this year as the year to reassess the reform, view both the positive and the negative gains and try to improve on the education system.
The previous system had limited secondary school space because there were only four National High Schools to cater for the number of students, under the reform we have more secondary schools that come under the responsibility of the Provincial Government.
We would like to convert all Provincial High Schools into secondary schools and that is in line with the Government’s intention to achieve universal basic education by 2015. These are some of the long-term plans that we hope will come into fruition.
I ‘d like to confirm here that spaces are limited but Provincial Governments and the National Government must work together to look into schools that can be developed from the current rate of high school classification to a secondary classification where you have grades 9-12.

Mr LUTHER WENGE – Thank you, I humbly direct my questions to the Minister for Communications.
At the time when we formed this Government and in my maiden speech to the citizens through this Parliament, I urged the Prime Minister that it is now time to promote our pride, the pride of the nation of Papua New Guinea and its people.
One institution that will help us satisfactorily promote our pride is in the establishment of television stations. At this juncture, I would like, on behalf of my people and the country to congratulate you and commend you for establishing the TV station that has already being launched on the country’s independence anniversary.
Mr Speaker, at the time that the TV station was launched I hoped with confidence that this will enable us and substantially promote our identity and the pride of the nation.
The programmes that are produced and shown on this station are substantially less than what we expected. It goes on at seven o’clock and goes off early depends on who is working there. It’s programmed according to their desire. As a PNG citizen, to see EMTV with the greatest respect to outclass our TV station is very hurtful to me.
Minister, when are you going to improve the TV station so that it starts at 5 p.m. and finishes at midnight, like what the other station is doing now?
I say this because I have seen that there was about K6 million budgeted for this set up and where is that money?
Minister, are you too scared or is it that your officers lack competence or what ever reasons known to you. For us at Morobe, we are thinking of setting up a TV station, so if you can’t successfully promote what I have said, I think we are capable of helping this station.
We are working on this and putting money to make the TV station for Morobe a reality. Are you going to assist us on this project?

Mr PATRICK TAMMUR – To answer the questions raised by the Governor, firstly, I want to tell this Parliament and the people of this country that television is an important and informative medium of communication for this country especially for reaching the remote parts of this country.
I would like to tell the people of this country and this Parliament that this new TV station is on trial and the programmes that are shown are also on a trial basis and they run for only two hours.
By next year we should have a full program televised on the new TV station. We are building our capacity and next year, I can assure you that it will be on full schedule.

05/02
Mr Luther Wenge – Point of Order! The Minister has not answered my second question. I asked him whether or not he is going to help me establish a TV station in Morobe?

Mr PATRICK TAMMUR – I thank the Governor for Morobe for his second question. To start his TV station, we have to have the ICT Policy in place and I believe this will be at the end of March, which I will then introduce it to the NEC. After the ITC Policy is in place then I can be able to address the issue of new TV stations.

Mr KONI IGUAN – I direct my questions to the Minister for Agriculture. During the last Parliament meeting, we were issued with K200 000 cheques for NADP. Is the Minister aware that some of these cheques have bounced? If he is aware then why did these cheques bounce and who will be responsible for clearing them so that we can use them?

Mr JOHN HICKEY – Mr Assistant Speaker, I want to inform the honourable Member for Markham that I am not aware of this. However, I know that five Members have not received these cheques yet even though the cheques are ready. I am also aware of one district that used a wrong name and not the true name of the district and as a result the cheque bounced. The particular Member saw me in the morning and I advised him that we will sort it out.
It is good that the Member has mentioned this irregularity because my officers are not aware of it. If they knew then I would have been informed.
There is enough money to cater for K200 000 for each district in Papua New Guinea and I don’t see any reason why it should bounce from the bank. If they bounce back then I believe they have to do with other reasons because there is enough money in the bank to cover these cheques issued.

Mr ANTHONY NENE – I direct my questions to the Minister for Transport and Civil Aviation and I want the Ministers for National Planning and Finance to take note.
Oro Province is one among the many major internal revenue contributors to the National Government with its multi-million kina oil palm project. However, since the disaster that was caused by Cyclone Guba in 2007, its economic activity has slightly declined affecting some parts of the province, particularly my people of Kokoda Local-level Government. They have been affected severely due to the destruction of the big Kumusi Bridge that links economic activities and livelihood of the population. Their oil palm produce can’t be transported to the factory some 30 kilometres towards the coast in return for cash income thus sustaining their living standards. I believe the Minister for Health had witnessed this while he was there recently.
Mr Assistant Speaker, my questions are:
(1) When will the Oro Restoration Authority build a new bridge over the Kumusi River so that socio economic activities of the Kokoda people can be restored?
(2) In the Supplementary Budget of 2008, K10 million was allocated for the rehabilitation of the Kokoda Highway. When will this money be released so that work can commence?
(3) Can the District Service Improvement Program fund be immediately released as priority considering the disaster affected status of my people so that I can properly assist my people with basic services immediately? I realise that Oro Restoration Authority’s work is too slow or will never commence.

Mr DON POLYE – I thank the honourable Member’s questions in regards to the Kumusi Bridge. The Somare/Temu Government is fully aware of the destruction caused by the Cyclone Guba and works have being carried out.
In regards to the Kumusi Bridge, I would like to advise the honourable Member and the people of Sohe that design work for the bridge has already started and it will be ready mid this year. The construction of the Kumusi Bridge will start by the end of this year.
It will take some time because the bridge is quite a strategic one that links the highway and the design is being undertaken by the Department of Works with the assistance from AusAID under the DSIP program. When the design is completed then the bridge will be constructed.
It is not only the Kumusi Bridge; it includes Girua, Double Cross and Eroro bridges. Those four bridges are being looked at now. It has taken some time due to the designs that must be completed.
On the second question regarding the K10 million promised in the Supplementary Budget for the purposes of rehabilitation of the roads and bridges, the answer is that as soon as we complete the designs for constructions to commence, that will be the time this money will be released for road works including bridges.
At the moment, for accessibility of our people and trade and businesses to take place along the Kokoda Highway and the other highways that encompasses these four bridges are being done on temporarily low bridges so that they are accessible for businesses.
On the third question in regards to the DSIP, Mr Assistant Speaker, I will allow the Treasurer and the Minister for National Planning to answer.

06/02

Mr JIM NOMANE – My question is directed to the Minister for Transport, Civil Aviation and Works and the Ministers for Internal Security, Environment and Conservation and Lands to take note
I would like to emphasise on the landslip in the Highlands, which was published in one of the newspapers yesterday and again in the front page of another newspaper today.
Road is one of the very important infrastructures. The particular road in the Highlands is an important economic road which brings revenue to the country. The serious landslip caused between Daulo, Chuave and Chimbu sections of the Okuk Highway is the effect of the climate change. This is affecting businesses, trucking companies, agriculture companies not exporting tea, coffee and the daily welfare and wellbeing of the people, health services and et cetera.
As published in the newspaper, innocent females walking to school were caught in between the landslip and died. This has caused very serious concerns amongst the people.
I would like the Office of the National Disaster to respond quickly by assisting the people affected by the disaster. The Government should assist by injecting in some funds to the Highlands Highway Rehabilitation Programme for improvement.
Some of our people take advantage of these damages and submit false claims. It would be impossible for a contractor to clean up the landslip if assigned to do the cleaning of the roads because the landowners would be there demanding for upfront payments first. Under the National Disaster Act there is a provision stating that the Police personnel cannot move into the site and move anybody out of the disaster scene. It is very serious which affected the livelihood of the people.
My questions are:
(1) Have you got any plan for Rapid Work Response Unit with the assistance of the Police personnel to solve the problem quickly?
(2) Have you got any alternative plans for the Okuk Highway, the sections from Goroka to Chimbu because the current road is totally instable and the LNG Project will be affected?
(3) Have you got any Highway Rehabilitation Programme under your Department to solve such problems caused?

Mr DON POLYE – Thank you, Mr Assistant Speaker. I would share the same sentiments too as they are very relevant and important questions in regard to the landslip occurring to the national asset in the country.
It is one of the ongoing problems in the Highlands, especially in Chimbu section of the Okuk Highway between Watabung, and Mangiro, is not very stable which is causing a lot of problem sometimes.
I also worked as one of the engineers on this road so I am well aware of the places that the honourable Member for Chuave is referring to.
To answer the three questions, the first one is in regards to the current situation of the Highway; apart from Daulo down to the hill at Magira-Apiko, there was a big landslide which covered the school children, including the nearby villages under that section of the Highway. I would like to say sorry to the families of the deceased.
A report claimed that six bodies were buried in the landslip. I spoke with the Works Manager at Goroka this morning through the Secretary for Works Department, but there might be more than that. The local people with the assistance of the Police personnel and the Works Department personnel are still in search of the bodies at the site to retrieve them because there is no confirmed number of lives lost.
The work is progressing very slowly because the machines cannot be moved in to clear the landslip because the bodies are still covered.
Mr Assistant Speaker, I wish to inform the honourable Parliament and the people of Papua New Guinea, especially along the Highway at Chimbu and Eastern Highlands that I will communicate with all the respective Ministers responsible for all disasters.

07/02
The Minister for Inter Government Relations is fully aware of this situation and is working with his Department and also I would like to request the Minister for Defence to take note and work with us so that we can retrieve those dead bodies that have been lost. I will not go ahead and clean up that road with dead bodies around. We need to do a thorough clean up and this will take some time. That is the situation.
Mr Assistant Speaker, I would like to let this Parliament know that the landslide, the flood and the tide changes throughout our maritime provinces are phenomenon and we, as a country have never experienced this before. This is a completely new level of devastation because of increased rainfall and increased change in the climatic conditions that can only be confirmed by scientists. But the level of damage on the transport infrastructure or the roads is huge compared to the past.
I would like to take this opportunity while answering these questions and appeal to our Provincial Governors and honourable Members of this Parliament to work closely with the Department of Works and Transport and the Weather Service Authority to raise awareness through radio and the other mediums throughout the country about the unpredictable dangers that the weather is posing.
I would also like to warn the drivers especially taking the daily route along the Okuk Highway, and the Sepik Highway where the slumps have also gone down, Maggi Highway and Hiritano Highway to take more precautions and not to take risk when there is a heavy downpour. The roads that have downhill slips are dangerous during wet conditions and all of a sudden the road in front of you will sink or you will have the side of the road collapsing on top of you or a tree falling on top of you. This is happening at a alarming rate because of the unprecedented rainfall in the past.
This is a very serious matter and I have instructed the Works Secretary to work with all the Government agents to start work especially in Daulo.
On the question whether I have a Rapid Response Unit to address this issue, yes, the Government has a unit which might be called the ‘Flying Squad’, and it has same functions as the Rapid Response Unit and I have instructed them to work closely with the Police, the Defence Force and other the disaster agents together with the Inter-Government Relations officials to assess the damage on the road infrastructures and it is the same with the Maritime provinces.
Secondly, the question on an alternative route in particular the Okuk Highway, well I would say that this question has been raised on the Floor of this Parliament many times and to answer that specifically, the Government launched the Kamaliki Road up to Mobe Road for almost K16 –K17 million two weeks ago and work has already started.
During the last term we also opened the road from Chuave to Move and coming to Eastern Highlands, work has begun and you should have that road as I have mentioned earlier as an alternative route. But we are also planning to open the Highlands down to the coastal ports as an alternative and the Southern Highlands and Gulf Highway is under construction.
From Bovi to Simburangi is ongoing and the Government has made funds available to see the road from Hagen Baiyer to Simba and the road down to Madang which you are aware of.
We are also considering the Gembogl road going down to Bramin and out to the Madang Highway, which is already in existence. So those roads and alternate routes are all in the Government’s infrastructure programme and we are keen on joining the mountains to the lower lands.
Thirdly, on the issue of compensation claims on the Okuk Highway, I am ashamed because last time I told this Parliament and our people about K54 million in bogus claims and what I have done is that I have instructed the Works Department to provide their Audits Reports as so much funds have been paid on bogus claims and those that are responsible will be brought to justice. We are also employing a settlers based technology through the Department so that in future we will carefully and clearly verify those false claims. That is how I am addressing that issue.
I would also like to tell this Parliament that during the duration of this Parliament meeting, I will also introduce legislation where land compensation on road corridors where the Government intends to build a road throughout the country must be stopped. The Government cannot be lenient all the time and I think we need to introduce some aggressive laws so that our people who take this for granted and have no respect for service, we as the Government must put our foot down and tell the people that it is for the good of all the people of this land that services must progress.
I can say that genuine claims can be addressed but others are merely just trying to gain from the Government. I hope that this will be possible as my technical officers in my Department are working over time to gather all the information on this legislation and hopefully we can present it during this particular meeting. Thank Mr Speaker.

08/02
ORGANIC LAW ON PROVINCIAL BOUNDARIES DESCRIPTION (AMENDMENT) LAW 2009

First Reading

Bill presented by Sir Michael Somare and read a first time.

Mr ASSISTANT SPEAKER – In accordance with Standing Orders 222 (A) in the practice of Parliament, the proposed Law now stands referred to the Permanent Parliamentary Committee on Constitutional Laws and Acts and Subordinate Legislation.

Sitting suspended from 11.45 a.m. to 2.00 p.m..

09/02
POSTPONEMENT OF BUSINESS

Motion (by Mr Paul Tiensten) agreed to –
That Notice Nos. 67, 68, 69, 70, 38 and 49 be postponed.


ESTABLISHMENT OF THE OFFICE OF CLIMATIC CHANGE AND ENVIRONMENT SUSTAINABILITY – MINISTERIAL STATEMENT –
PAPER NOTED

Debate resumed from 21 May 2008 (see page…)

Mr TIMOTHY BONGA (Nawae) – Mr Speaker, we do not need to have further evidence to prove anything more. If you visit anywhere there is evidence of the climate change and I am thankful that the Government has brought this issue forward so that we can look at how we can protect our people.
We have seen many landslides occuring everywhere in the country so we must educate our people about how best they can cater for these disasters. We have also witnessed risen sea levels in our coastal areas so I once again congratulate the Government for bringing up this issue urgently.

Mr MALCOLM KELA SMITH (Eastern Highlands) – Mr Speaker, I am afraid I am going to reject the establishment of this Office. We already have the establishment of the Department of Environment and Conservation and if you take out any climate change effect out of it then you are actually gutting this Department and you will not need it anymore.
Secondly, if we are taking about Carbon Credits then that can come under the Department of Forests. The Forests Department has the mandate to operate that issue and for us to set up a new office is irrelevant as far as I am concerned.
It is irrelevant because I have seen the structure they intend to put in place. That structure is a three factor structure. It concerns national functions and international functions in which they want to keep all the funds overseas and that is not on. They seem to have their eye on red funding which the Forestry Degradation Funding. I have got to give you an idea on how much we are taking about.
If you had 500 thousand square kilometers of forest then it will equate to about US$600 million over 30 years. This is the money that belongs to the people and it does not belong to another office in Waigani. Let us visit the Auditor-Generals reports; there is not one department in Waigani fulfills the Auditor-Generals report. They are losing close to K2 billion a year. This is the peoples’ money and it is their last chance because they do not have schools, roads, aid posts and if this office is set up, that money will be consumed here in Waigani. It will be like the royalties for mines, forestry, and oil which does not get back to the people.
If we conform to this then who miss out? Every Member of Parliament and their electorates except for the city boys. The rural electorates that miss out the most. It is the last chance that you rural electorates have on getting back your money because it is your forest that will be used. It is the last chance we the rural Members of Parliament will have to develop our areas. We are talking about huge money value.
We can call it policy but my policy is that people do not get money but infrastructure development of their choice. If they want a car then every one in the village gets to own a car, if they want TV then everyone gets to own a TV and there is enough money to do that. This is for the rural people because if it comes to Port Moresby that money will never go back home. There will be all kinds of fees to milk it dry before anything can even go back to the people at home.
I have checked with a number of NGO groups and they do not have faith in this Office. Indeed, one of the leaders of this new entity use to have a coffee factory in Goroka which went broke to some odd K40 million and I believe he is involved in another issue of claiming houses in Port Moresby. He could not manage K50 million so imagine all the money that is coming in, how can it be managed correctly?
I do not think Waigani should manage this money. I think it should go to each province and therefore run by each district Member with your councilors and the landowners and you will decide how that money is spent. Waigani cannot perform now and I cannot see it performing in the near future.
Therefore, I have to say that we should consider this Office of Climate Change at a later stage. We do have natural disaster problems but that can be dealt with by the Department of Environment and Conservation. Should there be issues about carbon credit then that can be taken care of by the Department of Forests. Over 50 per cent of climate change is affected by deforestation in places like Indonesia, South America, Congo and Papua New Guinea. It is deforestation by loggers that causes most of the climate change at the moment and yet we are still logging down our forest willingly. We are losing our environment and we do not know what is out there.
I gave you an example sometime back that the most poisonous animal in the world is a bird that lives in Eastern Highlands and no one knew that before. It is more poisonous then any snake or any other animal.
We have unknown resources in our forest that we have not even checked yet therefore we need a different approach. The approach presented in the newspapers by Dr Theo is only one. I know countries that are doing five to six approaches to get this money. Let us review it again, get all the best advice, consult all the Members of Parliament, consult the landowners and districts because this is their money. It is a big money and it should go to them.
Mr Speaker, I have to say that I reject this Office and it should be returned to the Department of Environment and Conservation and the Forests Department.

10/02
Mr LUTHER WENGE (Morobe) – Thank you Mr Speaker, in this paper, I want to contribute as this. Climate change is a very important and serious issue affecting the globe and is not just affecting Papua New Guinea but is affecting the entire globe.
Mr Speaker, there is fire burning all around the world as producing carbon dioxide to the air. We are producing carbon dioxide and the plants are producing oxygen. They are receiving carbon dioxide and they are producing oxygen for the use of human being and animals.
Mr Speaker, at the moment, as we speak the human beings have been so greedy on the globe by that I mean they make gardens here and there and the industrial countries in the globe for the interest of financial and economic gain, they are engaged in companies producing pollution to the air.
Mr Speaker, the very thing that absorbs carbon dioxide are the plants and not the animals but unfortunately, the carbon dioxide by the interest of money and economy have been reduced and the globe is concerned.
There are three nations in the world and Papua New Guinea is the third country that has the third largest rainforest that can help absorb carbon dioxide and we have to pursue it. We have to be serious about this thing and we have to make sure that the plants, which absorb the carbon dioxides, are maintained so that they continue to absorb the carbon dioxide and help in the international scene in the globe to produce oxygen.
Mr Speaker, Papua New Guinea has to be serious and I would like to congratulate the Prime Minister of this nation, Sir Michael Thomas Somare is leading the leaders of the globe to promote their observance of the carbon dioxide. If we play around with this planet we are finished and you are talking about it in terms of money but I am talking about it in terms of observance of carbon dioxide in the air.
Mr Speaker, the ozone layer that absorbs the heat of the sun has been affected because there is an increase in the production of carbon dioxide to the air. We are concerned and the globe has to be concerned and the international community has to be concerned and we have to be concerned.
Mr Speaker, I think the Prime Minister, Sir Michael Thomas Somare is right that it is wisdom to make sure that we here in Papua New Guinea with the third largest rainforest have to be concerned about the maintenance of our forest and I think that is a genuine concern in the globe.
Mr Speaker, as long as we maintain deforestation with lots of trees and vegetations stills standing to absorb the carbon dioxide. So I think this country is in the right track to help the international community and so when the Prime Minister engaged the intelligence in the international community to promote the maintenance of our forest, which absorbs the carbon dioxide, I will support him.
Mr Speaker, with the greatest respect for the Governor for Eastern Highlands but he wants all of the money that is coming in who have the forest to make sure that the forest remain there so that they gain something. I think most of the provinces in this country are not in that position to be equipped with the thinking that the Prime Minister have to make sure that we have the institution available.
Mr Speaker, the Prime Minister is right to establish the Office to promote carbon trade and to make sure that the rainforests that absorbs the carbon dioxide be maintained. I think we should start somewhere because if we talk about the provinces, they not in position and are not ready.
So we should support the National Government, which is capable and also has the resources to set up the Office.

11/02
Mr Speaker, if the honourable Governor thinks that he capable to set up the Office in Eastern Highlands then I support you.
We in the Morobe province are also ready to support the initiative of the Prime Minister to set up that Office or should I say an extension of that Office. So whatever dreams and aspirations the Prime Minister has in relation to climatisation or the gains from maintaining our forests with respect to carbon trading, we are in support.
When the Minister responsible, Mr Paul Tiensten presented the Paper to this Parliament, the people of Morobe were in support and ready. In fact, the day before yesterday, I sanctioned a Committee to be established and from our District Support Discretionary Funds, I had put aside K250, 0000 to get scientists into the area that the people have sanctioned for the investigation to proceed.
Mr Speaker, Mr Paul Tiensten and his Committee should proceed to discuss with our provincial committee to enable that investigation to begin, but I think we should not come up with any impediments to stop the establishment of the Climate Change Office in the country. We must proceed and I think we will have the admiration of the globe because the whole world wants to see such things happen. When they passed the treaty in Kyoto, only two countries of the globe did not sign the protocol and they are the United States of America and Australia.
Even so, Mr Kevin Rudd the present Prime Minister of Australia and the present President of the United States of America Mr Barrack Obama have now signed the treaty.
Mr Speaker, I think that the whole globe is in agreement to sign the Kyoto Protocol to make sure that we preserve the environments of this world and I think the Prime Minister and the Minister Mr Paul Tiensten are right to introduce this Paper for the Parliament which represents Papua New Guinea to endorse this agreement.
My province is very large in terms of land mass and has huge tracts of forests. Whether you agree or not, that is a fact and we would like to preserve our environment that may help to reduce the amount of carbon dioxide released into the atmosphere. We are not here just to talk about this we have vast amounts of forests that will assist Morobe and the country and the entire globe as well.
I do not want to come up with ifs and buts, and cons and pros that will prevent the establishment of this Office. This office must be established and appropriate funding must be provided to make sure this Office carries out the execution of the policies that they have aspired to achieve. So I am here to support the Prime Minister and Mr Paul Tiensten, the instigator of this Paper.
We should all give support and the people of Morobe are ready and waiting for this because we must preserve our forests. That is what we must do and that Office must be established to address the issue of protecting the environment and of course to make sure that we produce less carbon dioxide. Countries that produce more carbon dioxide should compensate Papua New Guinea for its efforts to reduce carbon dioxide by preserving its forests.


12/02
If we cut trees and destroy the forest, we are destroying the plants that absorb the carbon dioxide and we are going to suffer because there will be a natural imbalance in the ecosystem.
I won’t say much but I am speaking because I come from a place where there are big natural rainforest, my apologies to the Governor for NCD but I come from a place not so much like NCD where there are not plenty trees to absorb carbon dioxide but only producing more carbon dioxide.
With due respect to you, Mr Speaker, I want to say that the Governor for Eastern Highlands Province is talking too much but I want to ask him to have maturity to understand this point. We have provinces that have lots of flora and we want it for our own provinces but let us put the interest of the nation first before our own provinces.

Mr DON POLYE (Kandep – Minister for Transport and Civil Aviation) – Thank you Mr Speaker, I will not be long but I would like to speak on the issue of climatic change and environment sustainability, whether it is justifiable for the establishment of an Office of Global Warming. Should we have the Office tasked under the Department of Environment and Conservation and some parts of the functions like forestry as suggested by the Governor for Eastern Highlands.
In my view, we should look at the implications of global warming. If we were to face some new challenges and new phenomena never ever experienced, then we can single out three most important issues that I have seen come out in this world. That is getting us all by surprise whether it is our doing or not.
The first one being HIV/AIDS is which is a significant issue faced by this country. The Prime Minister’s decision in establishing a different office for HIV/AIDS, I believe is a move in the right direction and it is not only for the Department of Health to address, it is an epidemic and must be addressed at that level.
Another issue that we might have overlooked is globalization, the changes in technology and the changes that we see and feel. We are consciously or unconsciously so integrated in a community of people like the global community whether we like it or not, it is affecting our villages and it is a very important area that systems of government must address and adapt to also.
And of course, global warming or climatic change. There are issues that are covered under global warming and one that the Governor for Eastern Highlands mentioned is carbon credit or we look at preserving the forest as carbon zinc.
I don’t think it is just deforestation or reforestation that are the issues here, it is an economic issue and it is far reaching to many aspects of economy that must be given attention by separate functions of government to address. If we look at carbon credit, carbon zinc and how we can benefit economically as a country, it brings into mind the landowners, government; it is a very huge area and cannot be tucked under a normal department like Environment and Conservation because, this Department does address environmental issues to a certain magnitude and scope.
The issues here are not just environment but involve commercial and looks at the welfare of the people as well. The next issue that comes with this is the need for us to protect the forest and making sure we continue to maintain the carbon zinc in a way absorb the carbon dioxide as stated by the Governor for Morobe.
Most of it is in the area of forestry but looks at a higher impact. It must be looked at a bigger angle than the Forest Authority does and we have got to address this in a different set up.
We have to look at addressing the human and animal habitats destroyed by our commercial exploits and these cannot be all covered in the basic departments that we already have, because the magnitude and the intensity of rainfall and the tides sweeping across the country is unprecedented.

13/02
Recently, we heard in the papers about landslides taking place throughout the roads and also tidal waves sweeping Manus, Kavieng, East and West Sepik and most parts of the country. We also saw Wahgi River bursting its banks and destroying the roads.
So you are looking at an issue that is not a normal environmental or climatic issue, it is something of a much higher impact. Therefore, we must give it prominence; we must address it properly because it is a frightening thing.
In fact, Mr Speaker, I was speaking to my children the other day about global warming and they wanted to know what it is and like the Governor for Morobe was explaining about oxygen and carbon dioxide giving off hydrochlorocarbon into the air and its effects. When you sit down and look at it and discuss it in detail, it is really a frightening phenomenon today. If you look at it in depth, the religious fanatics are saying it could be one of those last flashes that you hear many preachers of our ages, and it is nature against man now.
In a way, man may have induced this catastrophe to come down on us and it is frightening when you look at it but sometimes it goes beyond the control of governments. How much do we have to budget to address destruction caused by tidal waves, landslides, flooding and bursting of river banks, destruction of marine and heavy rainfalls. This is frightening. It is an issue that you find governments of the world will address them but it will come to a stage where we will find that it is out of government control and therefore really needs serious thinking. It will require a lot of resources, scientific and technical predictions to watch over these phenomenons so our government must receive timely advice on how to mitigate this new unprecedented challenge that we face.
Therefore, our normal day to day operating departments may think that we might not have the capacity to address them. They have all kinds of overarching implications so I believe that the Prime Minister has done the right thing by establishing a new office called the Climatic Change and Environment Sustainability Office where we can address those issues. I believe that the best thing to do is to empower and give them more responsibilities of covering carbon zinc, economic issues, the climatic weather pattern changes and global warming issues.
In this way we look at the implications, for instance, if there is a disaster is caused by global warming or is it just the ordinary disasters that come about as a result of normal weather pattern changes? Those issues will have to be addressed and the kind of implications that affect us will be very expensive and we will be running out of money. I believe the systems of government will find themselves incapacitated when you find all these big implications coming on us all of a sudden.
I believe the Prime Minister’s move to establish a separate office gives that prominence to addressing those very issues that we have never experienced on this planet before. We have a planet in peril like many say and therefore, we must give the appropriate attention to addressing them through the new established office.
Mr Speaker, that is not to belittle or undermine the existing departments. We have existing departments and agencies and they have a role to play. They have their traditional and basic roles to play but these things that I have mentioned are completely new things. I have never heard about globalisation before, it is an epidemic we got to fight it. We have never heard of global warming before but now it is happening and the ocean layer has opened up like the continent of Australia. So much bad radiation like gamma rays and so forth is penetrating the earth and it is a big problem.
Like I said, the icecaps are melting at a much faster rate than ever before and as a result we have more water in the ocean. When we have normal cycle of warm air from the equator flowing to the north and south poles thus creating movement of sea currents but now it is not happening as it should be because of the extra water coming in from melting icecaps. So we have a problem and it is affecting the maritime habitat.
It is a problem and we must give it a proper attention as a country and as part of the global community by establishing an office of Climatic Change to give prominence to these challenges that we have never experienced before. So I believe it is a move in the right direction and we shall support it.

Mr SPEAKER – The Chair did reserve the right for the Minister for Environment and Conservation to address the Floor.

Mr BENNY ALLEN (Unggai-Bena – Minister for Environment and Conservation) – Mr Speaker, I also rise to support Prime Minister’s proposal to establish a new Office for Climatic Change and Sustainability.
Twenty years ago, we thought that climate change was not real but it is real today as we are experiencing many disasters in the country as well as throughout the world.
I want to say that climate change has brought two things; first is disasters and second is a way of generating revenue in terms of carbon trade. We already experienced the disastrous effects of climate change and as a responsible Government we must address the issue of climate change and carbon trade. With this in mind, the Government in its wisdom is trying to establish Climatic Change and Sustainable Office. This office must be separate from the department of Environment and Conservation.
The issue of climate change and carbon trade, we need support from prime ministers and presidents of other countries. We must be proud that our Prime Minister is the founder or the champion of the Coalition of Rainforest Nations. This was his initiative and he will address Papua New Guinea’s stand on this at the highest level. So with this belief, the NEC has agreed on the establishment of this office which will come under the Prime Minister’s leadership so that he can represent us in the international forums.
I want us to give the right information to the people on why we are establishing a separate office from the Department of Environment and Conservation.
We have already experienced many disasters in the country and other parts of the world as well. Last year, with the effect of climate change, Oro Province experienced the biggest disaster in the country. Two months ago, we experienced tidal waves in our small islands. These are the effects of climate change. Landslips and flooding in the highlands regions are also effects of climate change.
There are two things that I have talked about and first is disaster and second is on revenue. We are fortunate because our forests are still intact like the Congo and Amazon in Brazil.
The Prime Minister is not establishing this office outside from the Department of Environment and Conservation with bad intentions but it is essential that we establish this office to deal specifically with carbon trade. As I have stated earlier, the Prime Minister has to represent us at the international level and he has a lot of respect from the international community. I respect that we have our own opinions but we must establish this office and move forward.
The Prime Minister and the Cabinet had made a right decision to establish this office outside from the Department of Environment and Conservation but my department will still cooperate with the Climatic Change and Sustainable Office and this also includes other line agencies. Therefore, Climatic Change and Sustainable Office will not work in isolation. I wish to make this point clear to Parliament and the people of Papua New Guinea.
Climate change will affect food security which we are currently experiencing in the Highlands Region where we having hailstorm and continuous rain. The weather pattern has changed and it will affect a cross section of all the sectors. We never had malaria in the highlands before but now we have mosquitoes. You don’t have to come down to the coastal region to be bitten by mosquitoes to get malaria.
Last month, we have seen Wewak Airport been affected by rising sea. So you will notice that we face rising sea levels in the coastal areas and landslides in the Highlands Region.
As the honourable Member for Chuave has stated, as leaders in our electorates, it is our responsibilities to inform our people on the effects of the climate change. If people are building their houses close to the river banks, we must tell them to move up to higher ground and people from smaller islands must move to bigger islands because we will still experience the effects of climate change.
The ozone layer is already destroyed and it is difficult for us to fix it but we must try to minimise it. Under the Kyoto Protocol, each country has agreed to reduce their pollution emission and Papua New Guinea is part of that agreement. Now we are looking at Red Initiative and the Prime Minister is pushing this and we are supporting him.
This Office will be solely responsible for carbon trade and climate change. I think at this point in time, the climate office is going through the consultation process where it is consulting the stakeholders. It goes down to the provincial governments and to the communities; the resource owners. So this process is in place and we are progressing.
The resource owners will not be left out but we have to make a start somewhere. As a responsible Government, we have made a start already by creating the office and we are progressing.
In regards to policies, two weeks ago, the NEC had approved a submission that the Prime Minister has presented in relation to Climate Change Office and line agencies to put in place a policy. So once we have the Climate Change Policy in place, it will make way for the investors to come in.

14/02
We are slowly getting there and progressing as a Government. At this point in time, I don’t want us to give wrong signals to the donors that we have this and that in Papua New Guinea or we have established an office for the people and not to address the issue of carbon trading and the benefit will be for the resource owners. The office established by the Prime Minister is for the country and once it is in full swing, I know for sure that the resource owners with their families and the community will also benefit together.
My Department is in support of the Prime Minister to work together to progress with all the work that is to be done with the office of the climate change.

Mr JAMIE MAXTONE-GRAHAM (Angalimp-South-Wahgi) – Thank you, Mr Speaker. I support the debate on establishing an Office for Climate Change. It is a very good initiative of the Government in establishing an office, but if we have good intention in addressing the global, national and local issues because climate change is affecting the whole globe.
But the big concern is how are we going to run and monitor the Office properly, who will be involved, how will it be managed? We must all understand this. I think it is a big concern to some foreigners before coming into our country to be involved in some projects which will cost the taxpayers a lot of money, approximately K50 million was lost. These kind of people should not be involved again in the Office of the Climate Change and should not be allowed back into the country.
I support the establishment of the Office. Why? The time has arrived and it’s a global issue which the whole world is talking about. I’m sorry, if some of you honourable Members of Parliament are not very clear or familiar with the issue of the Climate Change.
The honourable Member for Chuave is in possession of a DVD which I brought from USA, the former Vice President of USA, copied a DVD titled “The Inconvenience Truth”. It clearly shows the impacts of climate change like what the Minister for Transport, Civil Aviation and Works had explained earlier. The polar ice caps are melting, rising sea level and that is true. The video is very handy and I urge all of you to watch it.
Mr Prime Minister, I salute you as the champion of the world leaders for establishing Coalition of Rainforest Nations, which is a very good initiative. We must really emphasise on what we are going to do for our country. Fine, carbon trading is opening some doors for us now. Mr Prime Minister is leading the way now and we all must show that we are serious about it as a Government. We must introduce some legislation.
I am happy that the world economy is in a very serious problem. The prices of logs have all dropped and all the logging companies have stopped cutting logs now. They stopped which is good, and logging should be stopped forever. No more cutting logs or trees in our country. This is the opportunity we have to cease off. Our carbon foot print is very low because we are an undeveloped country. We are not an industrialized country like America and all other European countries. Their carbon footprint is very huge. They are the ones who are glitzy and are producing so many greenhouse gases and are contributing to climate change, more than we are.
Thank you, because they have realized their mistake. They are very responsible countries so they set up the carbon trade market and all the countries have injected funds into it.
Mr Speaker, they feel guilty and would like to pay the penalty by asking countries like Papua New Guinea not to cut trees. Thank you very much. Give us the money so we will not chop our trees. We need money to build roads, hospitals and et cetera. That is the positive side of establishing this office.
The opportunities are there and we really need to consider them. On the other hand, what are we going to do if the world is not doing their part? One thing is to stop cutting trees. What about looking at renewable energy?
The honourable Minister for National Planning has got the options for rural development in his office. Develop the policy, Mr Minister, adopt it. Our carbon footprint is very small. We are not industrialized and not producing a lot of greenhouse gases. The opportunity is right for Papua New Guinea to become a zero carbon economy in the whole world. We can lead the whole world now, Mr Prime Minister. Introduce renewable energy like solar, hydro, wind, ocean and geothermal. These are the alternative energies we should be using and stop these diesel, hydro-carbon that are main culprits in producing greenhouse gases.
Mr Speaker, this issue is very complex. Sometime ago, we talked about Ozone depletion. Chloroflurocarbon is a refrigeration gas that made a hole through some 20 to 30 years ago and became an issue. The whole world moved very swiftly and completely banned chloroflurocarbon and the problem was solved. Now, with this issue about carbon dioxide or carbon mono-oxide, the by-product of running the car engine are gases that are now covering our atmosphere like a blanket. That blanket is causing the globe to become warmer and warmer because the heat that comes into the atmosphere is not going out but trapped.

15/02
Coconuts are now growing in Waghi Valley along with betelnuts and the climate is changing and now mosquitoes are up there. We never had mosquitoes before.
Mr Speaker, we must do our part. The solar panel is so expensive because there is a duty on that. Countries around the world have all removed any duty on any renewable energy and the technology is duty free.
Why can’t we introduce that here also? Please do it tomorrow. Let’s make renewable energy for our village people cheap and we can do that. This is a common complaint from people who are involved in selling this technology like Brian Bell and other companies, they complain that the duty is too high and the village people cannot afford it. We as a Government should take the lead.
Mr Prime Minister, you are doing a wonderful job and you are leading the people of this world and now we must practice what we preach and I urge the Government to follow your footsteps. Quickly introduce new tax regimes to encourage renewable energy to be made available and at a cheaper rate to our people. And also culprits who are causing our footprints to grow larger should be warned to look at alternative energy.
I went to a presentation by New Britain Palm Oil and it was a very good initiative, though not exactly zero, its carbon level is neutral. They are using the sewage system, not the human wastes but the wastes from the oil palm. They are collecting oil and producing methane gas and that methane gas is used to replace the diesel generator.
They have there steam boilers to run their generators to run their factories but they also have diesel generators as standby. But now they have got a proposal as it is very simple to produce methane gas. So the technology is used in Malaysia and many other countries and they are now introducing it here.
Mr Prime Minister, I urge you that we must support this kind of initiative and give them all the tax incentives and support they need because the more we encourage our private sector to move into renewable energy we are going to reduce our footprints and we can become the first Zero Carbon nation in the whole world. Look at China, because of their economic progress one billion people have traded their bicycles for motor bikes or cars.
Just imagine how much Greenhouse Gas they are producing. In fact, China is now second to the United States, and very soon I think first in the next five years, China will take the lead in terms of producing Greenhouse Gases because all their electricity is mainly supplied by coal fired generators which is a main contributor to the Greenhouse Gas.
All the fossil fuels like coal, diesel, petrol are causes of the Greenhouse Gas and we don’t want this to happen in Papua New Guinea. I will support this very important initiative, however more transparency is needed and people who have a tainted past record in harming the people of this country should not be allowed back or be involved in this project. Thank you.

Mr POWES PARKOP (National Capital District) – I would like to contribute towards this debate. Firstly, I would like to thank the Prime Minister for his leadership. I think that it is a decisive leadership that has created a breakthrough for the world so we must acknowledge this and thank him for that.
I say this because between the Kyoto Protocol and the Bali meeting there was an impasse between nations. Less developed countries were blaming the developed or big economies. People were saying that you should pay the cost and nobody wants to take action so that we can start to reverse these effects of climate change.
Our Prime Minister, during the Bali conference and because of the PNG intervention our delegates forced everybody into realising we should end the blame game and that we had to take action now. It was right that the Prime minister took leadership at the global level and in our country because in Papua New Guinea we do not need to be reminded about the effects of climate change. Our people in Papua New Guinea rely on natural sources of water and 80 per cent of the population live off the land and sea.
This is why our Prime Minister has to take the lead and we should not be debating a lot I think that the Office should stay, with due respect to my colleague from Eastern Highlands. Some of his comments I think that the Office should take into account but I think the reasons for having a separate Office housed in the Prime Minister’s Department is to give significance. Also it is to highlight the gravity of the problem so that we can start to take action here in Papua New Guinea and also in other countries of the globe.
I therefore support the creation of that Office separately and I think the Department of Environment and Conservation and the Department of Forestry as stakeholders will play a role. As for the Forestry, I have asked the Minister last year and he said that this year it would happen but I am still waiting to see that happen.
Also when will we see the Department of Forestry start the re-forestation programme? Since logging had started in this country re-forestation has not started so if we are to heed my colleague from Eastern Highlands and leave it to the Department of Environment and Conservation and the Department of Forestry will it happen or not?
It might not happen so this is why we need a separate office and for the reason that the Minister for Works had stated, the impact of climate change is many.

16/02
Some we can contemplate and some we cannot contemplate while some are new and some are unusual. So, it needs an office to coordinate and mobilise. That is why are setting up a separate office and I support the creation of a new office.
I want the new Office that was set up recently to take note of what the Governor for Eastern Highlands has pointed out and that the provinces must be stakeholders in this. In the National Capital District we cannot have stakeholders because land in Port Moresby is becoming too small and where will we plant trees?
This year we have set aside some money to plant mangroves. That’s what we are going to do, we have to plant mangroves. We cannot plant mangroves on those hillsides overlooking Lands Department because the Minister and Land Board have given land to everybody so if we go and plant trees, people will cut it down and put something new up there. I can’t do it in Port Moresby but in Morobe Province it can be done. In Markham we can replace grassland by planting more trees.
The point that I am trying to raise here is to encourage our Prime Minister to move ahead because we need action now. You know very well that in your very own village, our people are going down and they have to be relocated. As we are talking right now, the water level is rising. They need to be relocated.
In some cases we need technology like in Holland where they can control the sea level rising by building sea walls. I have written to the Minister for Environment and Conservation asking if we can bring some engineers from Holland to help us on this. I tell you some of our people do not want to be relocated from their coastal villages. People want to live on their islands and this office might have to look at ways in which we can save the island. If it is possible, let’s do it.
I think, Prime Minister and Minister for National Planning and Monitoring, time to talk is enough. We must act now and do something. I don’t want to talk about Wanigela.
Mr Speaker, when we are talking about the Office of the Climate Change, we must not forget one very important office, which is National Weather Office. Prime Minister I want you to think of this office. I have been talking for this very office last year and I don’t know, am I the Minister for Weather Office or what? We must not neglect the National Weather Office in trying to set up this new office.
That office is very critical in enabling us to plan. Minister for National Planning and Monitoring, the National Weather Office told me that they have computers to operate. The office needs tracking device to track weather patterns in our country.
How comes in Fiji they have tracking device to track cyclones and bad weather patterns and all weather patterns while in PNG we do not have those equipment to track our national general weather conditions. In Fiji they can track weather patterns and they can try to predict what the weather pattern will be like in future.
For our case, when it happens we go to the National Weather Office and ask what is happening. It’s too late. I talked on this issue last year and now I am making this point to remind all of us not to forget National Weather Office. We must give them the tracking capacity whether through satellite or link them to some international satellite system to they track and keep us up to date so we can alert our people in advance.
I tell you, last year, the impact of Cyclone Guba would have been minimal on our people in Oro Province if we have forewarned them. And we could have forewarned them.
With the recent high tides in some parts of our country, we are lucky that the Weather Office had predicted it and the people took precautions. But during the Christmas period they did not predict it while it was predictable. We could have forewarned them so that people take precautions.
I want the office to be set up quickly so that we start action instead of talking here, wasting time and delaying while our people are suffering our there. So many good points were raised by the Member for Anglimp-South Wahgi. That is why we need a separate office to coordinate all these different actions that Member for Anglimp-South Wahgi talks about.
It will involve other stakeholders such provincial governments, landowners, Forest Authority and Department for Environment and Conservation in terms of carbon trading and re-settlement of people. We have money there because for so many years we have been collecting export levies and not once has reforestation happened.
Mr Speaker, we need action now. I call on the Prime Minister to go ahead and action the whole thing. It seems we are wasting our time here. People out there do not want us wasting time here making so many debates and talking here.

Mr SAM BASIL (Bulolo) – Mr Speaker, it is now 18 months for some us who are new here on this Floor of Parliament. So many Bills have been brought before this Parliament and we have passed them already.
Mr Speaker, though so many Bills have been passed in recent times but some of us we don’t know exactly what kind of Bills we’ve passed. We come to this Floor of Parliament and learn of debates on certain Bills and when we want to go and seek legal advice from the Parliamentary Counsel, we find that we don’t have enough lawyers in place.
The Minister responsible has introduced the Bill and can he get experts like Dr Theo Yasause to come and let us know what this office is all about. Some of us here we don’t know. We are talking about 500, 000 hectares here and K600 million there, how will that money trickle down to our people?
Each one of us Members who are here represent 50, 000 to 10, 000 people and they are the ones who will be affected. How will you address the situation if people come running to you all at once? How will the money come down to you and the people?
Therefore, we as Members of Parliament have to know what kind of Bills we are we passing. We have to be well versed about what is going on. We will not just come here and sit and look stupid while others who know about it and debate.
Therefore, as the responsible Minister who introduced this Bill, you have to bring in experts and educate us about what is going on so that it brings the argument to the second level when we are in here and not primary level.
Our situation on this, Prime Minister, set up the office. That will be good for us. It is just like setting up an HIV/AIDS office away from National Health Department. Same thing, this office is operating out of other departments that are there, which is good.
But the question is how will that K600 million come? What is the difference this office is going to make with other offices such as those that deal with royalties of mining and forestry? For example, the Mining Department owes K300 million to New Ireland Provincial Government and did not pay royalties from Lihir Gold Limited. Therefore, what will this office be? Will it be same with Mining and Forestry? What are the mechanisms that are in place to ensure that this money trickles down to people?

17/02
I think if Dr Theo was here then maybe he will better explain to us.

Dr BOB DANAYA (Western) – Let me first commend the Prime Minister to put Papua New Guinea on the world map and I think that is the way to go. When you look at history, it is a perfect world but we have destroyed this world. Other countries have destroyed the world and so will we if we are not careful like them. We must take a strong stand to ensure that there is a future for Papua New Guinea.
We were just discussing education this morning and a lot of questions were raised to the Minister for Education. What will be the best education for our children here in the country? I just came back from the province and my people are already aware of the climate change office but they have not seen a policy paper on it. They must know what benefits this climate change office is going to bring to them and that is the bottom line.
Is it going to come and stop here at Waigani again or is it not? Are we talking about Waigani getting everything and nothing getting back to our people? This is exactly what my people are telling as the governor for the province because I have one of the biggest rainforests in the country. I am not going to easily give away Kamuladoso Forest if this money is going to be stuck here in Waigani.
I ask the Government to make its stand clear before the people. Though the issue of climate change maybe new to some, it is nothing new because our elders in the village can tell what kind of day tomorrow will be by just looking at the setting sun. They can tell time just be looking at how birds sing and move around. It is not a new issue in Papua New Guinea. We are forgetting about our culture but it has taught us a lot of things.
The damage done by the Western world has caused much damage to all of us but as leaders of Papua New Guinea we must protect our country. All kinds of mining, logging will all add to the destruction of our environment and add to the climate change. I want to stand firm with the Government and ensure that the policies that are put in place will protect our nation. If we do not then this country is going to the dogs and we do not want that to happen.
Our landowners have not been given awareness so they have to know about this issue. Let us not just talk about it in here and forget about our people. We were mandated by our people and it is only proper that we take important information back to them. They must learn about it so that they can appreciate it. As it is, all they know is about cutting trees and getting money but they know nothing about climate change. This is the reason why we have to educate them but I can’t do it because I do not have the policy paper in my hands.
We need the policy in place so that we can have a look at it. The Office itself has been established quite rapidly. They have been almost hundred positions advertised and it seems to be going very fast. I have my reservations about it and I will be very cautious about it because I think this Office is connected to another office that is already in existence.
It is going to be related to the Department of Forests or Environment and Conservation and that is what we have to be so cautious about. The number of people they have employed so far is so enormous so we might ask what they are doing right now. Their roles and responsibilities will come in a policy paper so we need to look at this policy papers.
I have consultants coming and visiting my office with regards to carbon credit but I do not know who to believe. All I have been telling them is to go to the people and educate them and not stop here at Waigani. If you are serious about what you are doing then you should go and educate the people. I can tell you my piece of mind but I cannot tell you what the people will want.
I commend the Prime Minister in taking the lead role globally but at the same time, we have to get our own house in order. We should get ourselves organized so that our people will benefit from the benefits that this issue might bring forth.
Mr Speaker, let me once again commend the Prime Minister for taking the lead but at the same time I would prefer the Office to be connected to an already existing office until we can prove that it is going to be sustainable.

Mr ANDERSON AGIRU (Southern Highlands) – I would firstly like to thank the Prime Minister for introducing the issue. In 1992, the then Prime Minister for Papua New Guinea, Sir Rabbie Namaliu attended the head of summit in Rio de Janeiro in Brazil; he stated the country’s position in relation to climatic change and degradation of our forest but nothing happened. However, in 1993 the United Nation Assembly met in Babados specifically to discuss this issue. Our country was represented by the then Governor General, Sir Wiwa Korowi who made our statement to the world at that time. Following that, no action has been takendespite the most recent Kyoto Protocol. Not everybody agreed and some developed countries chose not to rectify protocol.
Our Prime Minister, last year in Bali took leadership. The world left the climatic issue on the back banner. The world needs to thank our Grand Chief for putting that issue on the front banner. That agenda is now on the forefront of the global agenda and Papua New Guinea at the CHOCO Meeting in Africa restated the need for global partnership to address this issue. I think this country and the world owes you gratitude for taking the leadership.

18/02
Mr Speaker, Papua New Guinea was the first country in the Pacific where the developed world wanted to bring radio active and hazardous material into the Pacific to have incineration process to burn those radio active materials in the Pacific. However, Papua New Guinea stood and mobilised the Pacific and the world to negotiate and develop that treaty on Movement of Hazardous and Toxic Material in the Pacific waters. All along Papua New Guinea took leadership on those many important global issues.
With respect to some of the views, I choose to differ because the issue of monetary gain should be separate from us taking the lead to address the global phenomenon. That is why I support the establishment of the Office of the Climatic Change. How the provinces link and the mechanics that make that Office work so that provinces such as Sandaun and Western provinces who have large land mass of forest can link up and benefit from that office can be worked out.
Provinces like East & West Sepik and Southern Highlands are no exception. I share borders with seven provinces of this country. We are the only province in Papua New Guinea who owns the forest operation which is 100 per cent downstream processing and that is East Pangia Timber and that is to assemble forest products for exports.
Mr Speaker, we are in the process of enacting Provincial Legislation to ban logging in the Southern Highlands. I refused a proposal for logging in Mt. Bosavi, which is one of the remaining biodiversity headquarters of this world.
Mr Speaker, I do not need to re-emphasise the importance of that Office and I also echo the sentiments raised by other speakers about making provinces and people take ownership of that Office.
By establishing that Office under the Prime Minister himself, who is the CEO of this country gives prominence and it sends a signal to the global community that Papua New Guinea is serious about what we preach abroad. So that is why Mr Prime Minister that you have my support and I believe for the 656 715 people of the Southern Highlands to give you that support.
Mr Speaker, the Office of the Environment and other stakeholders need to co-ordinate but at the moment, the Prime Minister’s Department liaises closing with that office so with that I only wanted to draw or add flesh to the background where Papua New Guinea in the past has been a leader in the area of promoting conservation as well as protecting of our waters, aquatic and our marine life.



Motion (by Mr Philemon Embel) agreed to –
That the question be now put.

Motion – That the Parliament take note of the paper – agreed to.


ADJOURNMENT

Motion (by Mr Paul Tiensten) agreed to –
That the Parliament do now adjourn.

The Parliament adjourned at 4.10 p.m..


===============================================================================
THIRD DAY
______________________

Thursday 05 March 2009

DRAFT HANSARD
______________________

Subject: Page No.

WANT OF QUORUM…………………………………………………………………...1

ADJOURNMENT………………………………………………………………………..1




















THIRD DAY

Thursday 05 March 2009

The Assistant Speaker (Mr Guma Wau) to the Chair at 10 a.m..

There being no quorum present, the Assistant Speaker, stated that he would resume the Chair after the ringing of the bells.

Sitting suspended.

The Assistant Speaker again took the Chair at 11.05 p.m..

There still being no quorum present, the Assistant Speaker thereupon adjourned the Parliament.


=================================================================================

FOURTH DAY

________________________

Friday 06 March 2009

DRAFT HANSARD

_________________________

Subject: Page No.:

DEATH OF FORMER MEMBER -
SIR EBIA OLEWALE - STATEMENT BY
MR SPEAKER.. 1

QUESTIONS. 2

GRIEVANCE DEBATE.. 16

MOTION BY LEAVE.. 35

ADJOURNMENT.. 35
FOURTH DAY

Friday 06 March 2009

The Speaker, (Mr Jeffery Nape) took the Chair at 10a.m, and invited the Governor for Chimbu (Mr John Garia ) to say Prayers.


‘Tenkyu God Papa mipela prei na askim yu long blesim dispela dei na olgeta
pipol bilong mipela. Givim gutpela tingting long mipela lida stap tudei long
mekim toktok na autim tingting bilong wokim gutpela sisndaun bilong
pipol bilong mipela. Mipela pipol bilong yu bilip na autim bilip bilong
mipela long pre Jisas ilainim mipela , Amen’


DEATH OF FORMER MEMBER –
SIR EBIA OLEWALE- STATEMENT BY
MR SPEAKER

Mr SPEAKER – Honourable Members, I have to inform Parliament of the death of Sir Ebia Olewale on 13 January 2009. Sir Ebia was former Member for the South Fly Open Electorate in the Second and Third House of Assembly from 1968 to 1975 and a Member of the First and Second National Parliament from 1975 to 1982. He was a Member of the Select Committee on the Constitutional Development, the Standing Orders Committee and Local Administrative Committee from 1968 to 1972.
He was appointed Minister for Education from 1972 to 1974, Minister for Commerce from 1974-1975, then Minister for Justice from 1975 to 1976. He was the appointed Minister for Foreign Affairs and Trade from 1977-1980.
He was the Deputy Prime Minister from 1979-1980 and was the Minister for Primary Industries in 1980 for three months.
He was awarded the Captaining Star of Melanesia in September 2005. As a Mark of respect to the memory of the late honourable gentleman I invite all honourable members to rise in their places.

All members present stood in their places as a mark of respect to the memory of the late gentleman.

QUESTIONS

Mr PETER IWEI – Thank you Mr Speaker, my question is directed to the Deputy Prime Minister. My questions are in relation to his ministerial statement presented on the Floor of Parliament on the Mining Industry during the June session last year.
The statement was comprehensive and informative but I am disappointed that there was no mention of the Frieda River Copper and Gold projects in my electorate, which is currently in the pre-feasibility and scoping stage by Estrada.
Mr Speaker, the Frieda project is predicted to be high in ore deposits and can have a major impact on the economy of this country and both Sepik provinces.
My questions are;
(1) Can the Minister tell the people of Telefomin as to why this important project has not been mentioned in the PNG Mining Status report?
(2) If the project has been intentionally left out in the records of his department than why is the company, Estrada, being allowed to do pre-feasibility and scoping work?
(3) Could the Minister tell this Parliament and the people of my electorate, the National Government’s position on the project?

Dr PUKA TEMU – Thank you Mr Speaker and honorable Member for your questions and also thank you for taking your time to read the comprehensive statement and make reference to it today. I can assure the people of Telefomin today that the Frieda river project exploration not specifically highlighted in my statement does not mean that the Government does not support it.
I agree that it is a very important finding and is one of those projects that if the pre-feasibility studies demonstrate that there is sufficient mineral deposits then a full feasibility study will take place following that.
So I want to assure the people of Telefomin that the Frieda River project is on the radar and as the Minister I am supporting the extension and the applications that have been submitted and we have already ensured that the pre-feasibility goes on.

02/04
We hope that the next two years the pre feasibility will prove sufficient resource and move onto full feasibility and hopefully, the project development will come up. Given the global financial crisis, we are finding that the smaller mining companies, particularly in exploration, are struggling at the moment because they are unable to raise a credit in the capital market. And that’s what is happening at the moment.
But I want to assure the good Member for Telefomin that MRA, which is an organ of the State gives full support to Freda River Project.
We have been watching this very important project and at the moment we are ensuring that those deposits, for instance, gold deposits around the country are giving particular attention because the gold prices are hanging on very well.
Therefore, we are encouraging those projects in existence as well as those that are in the feasibility stages and I have approved all the applications for them to continue either through pre feasibility or a full feasibility including Lihir and Porgera to continue to increase their gold productivity so that we can capture the market while the market are looking better than copper, nickel, silver or other mines at the moment.
But I want to assure the Member that it wasn’t specifically mentioned, I did not mention all those licenses that we have approved. I only specifically mentioned those projects are in operation and those that are in full feasibility. But unfortunately, Freda River missed out because it is in pre-feasibility stage and we are supporting it. It is a programme at the moment and hopefully within two years they will prove it and we will give them the support.

Supplementary Question

Mr SAM BASIL – Thankyou, Mr Speaker, BHP Billiton (inaudible) from the beginning of the mine and the ending of the mine. How or what method will be used to dispose the waste or tailing system before they use our environment? A classical example is in Hidden Valley Gold Mine, in the Morobe Province.
To-date, the people of Bulolo do not know how are they going to dispose their waste. They are definitely going to spoil our river system and our people at home will suffer while the National Government will generate and get the money and forget about the people.

Dr PUKA TEMU – Mr Speaker, I think this is a generic issue and as we know that Papua New Guinea has very good experience in terms of bringing in some world-class mining projects. Classical examples are BCL, OK Tedi, Porgera and now Lihir. So, we have had very good experience and on top of that we actually have very good policies in terms of project feasibility and fiscal regime that we normally engage them and we have very good environmental legislation as well. So, all the major projects and not only mining as mentioned by the honourable Member for Bulolo, have to always comply with our country’s legislation.
As Minister for Mining, I am very happy that all the major mines do comply with our legislation. As for Ok Tedi, the honourable Member would know, it has its own legislation, in terms of environmental impact.
We know that the issue is before Court but under the wisdom of BHP in consultation with the Government of the day, the PNG Sustainable Development Program was established.
I think it is a very good structure. In terms of full projects, in terms of their beginning and ending and environmental impact, we are seriously looking at PNG Sustainable Development Structure as a way forward for some of the mining in terms of close-up plans.
As honourable Members would be aware, in the case of the OK Tedi Mine, we have already begun the mine closing process. We have established a steering committee and we are going to make sure that the closure of the mine requirements are all processed, so that we will only have one experience of mine closure that is Misima Mine.
So, we are using that experience to ensure that we are looking at closure of OK Tedi Mine, when it closes in 2015.
Those are the policies that we are looking at seriously. At the moment we are seriously looking at trying to utilise the township of Tabubil into an institution like a regional training center, so that those facilities can be maintained and retained. Those are part of the processes that we are thinking of.
But in terms of environmental impact particularly, in regard to Hidden Valley and Harmony Gold Project, honourable Member, we did have a workshop in November last year concerning the deep sea tailings disposal system.
This was funded by the European Union to carry out an independent study on impacts for both a closed mine, which is Missima Mine that underwent a deep sea tailings disposal system.

03/04
Lihir Mine is an existing mine which has a deep sea disposal system and Ramu Nickel Mine is another one which the Minister for Environment and Conservation has approved. It would be the best option under the independent study that was done by a Scottish scientific company – globally renowned as a scientific company from Scotland.
Recommendations were presented and we are now looking at finalising a policy on how best disposal systems and the requirements have to be complied and also looking at finalising the guidelines. specifically, first of all on deep sea tailings system guidelines. That study is helping us to develop the guidelines so that we do not repeat the same mistakes. The technical specifications must be met and following the guidelines which will be disclosed to Parliament when completed.
We’ll also review the legislation with regards to environmental legislation particularly, on environmental impacts, Mr Speaker, that environmental impact is a very important issue in the country because our people survive on the river systems and environment, et cetera.
The other day we had a very big debate on climate change Environmental issues are part of that. I assure the honourable Member that my Ministry is seriously looking at some of these issues and we need to develop institutional capacity. I am happy that we now have a very competent study that will help us to develop guidelines on a disposal system, whether it’s deep sea, underground or whatever .We as leaders have to have a choice to make. The choice is that, we will allow our mining deposits to be managed in such a way that they are sustainable. We have had a very good experience and are looking at these issues in terms of policy review.
I have instructed the Department to specifically review some of the legislation and are working very closely with the Ministry of Environment and Conservation to ensure that all the major mining projects that are coming up in the country do comply with the Environmental Protection legislation.

Supplementary Question

Dr BOB DANAYA – Thank you, Mr Speaker. OK Tedi issue is a big issue for me so I won’t make any comments on it at this point in time. I’ll be making a report to Parliament later.
Mr Speaker, my question is directed to the Deputy Prime Minister and Minister for Lands and Physical Planning in regard to the statement he made. In the 2007 Report, 60 tonnes of gold was produced and K7 billion was given to Papua New Guinea.
Mr Deputy Prime Minister; in total, how much money was made in that year 2007 from a total of 60 tonnes of gold that was produced in Papua New Guinea?

Dr PUKA TEMU – Mr Speaker, I thank the honourable Governor for Western Province.
As it’s a very specific question, I ask the honourable Governor to put it on notice and I will specifically gather the details and respond to his question hopefully, in next week’s session.

Supplementary Question

Sir JULIUS CHAN – Mr Speaker, I hear from the Minister for Mining that he has unilaterally approved the extension of the Lihir Mine. I ask the Minister:
(1) Aren’t you required by the MOA to consult the Provincial Government and the people before you make the decision to further extend the mine?
Mr Speaker, the reason is because we have an original MOA that sets the mine for certain expenditure and the production for a period of 40 years. By your decision to allow the company to proceed to improve the fast extraction of that mine, by another equivalent amount over K700 million, you are reducing the life of that mine from 40 years to 20 years or even less. The impact of that mine on my people is going to be very great.
(2) Why do you think that the Provincial Government is going to support you when you make no consultation or whatsoever on that decision alone?
(3) Why did you think that my Provincial Government will support you when you don’t live up to the original MOA?
Mr Speaker, for 15 years the previous governments till this day have not lived up to the agreement made with the people of Lihir.
((4) Why are you treating my people like this?
We have contributed more than K6 billion to the national purse and in return we’ve got nothing – very little amount of money. I have written to you many times and don’t seem to have any replies. My correspondence to the Minister goes back over a year and I’ve lost my patience.
(5) How did you make the decision to proceed without consulting the Provincial Government and the people who are going to suffer by your decision?
(6) Are you prepared to compress the life of this mine from 40 years to 20 years?
(7) What have you got in line to prepare the people and my Provincial Government to cater for my people when that mine is closed?

Dr PUKA TEMU – Thank you, Mr Speaker. I thank the honourable Governor for New Ireland and the former Prime Minister for his series of questions.
I’m sorry that I have excited him in my decision. I believe the honourable Governor is referring to the million ounce project upgrade.

04/04
I have to advise Parliament that, it was a commercial decision by the company taking into consideration the operation. I know that consultation did take place with the Provincial Government and in the procedure I am not the one that gives its green light. That is a commercial decision and when the company asked me of my opinion, I simply told them that if it’s according to their feasibilities and their findings with the latest technology they have, then it was proper for them to undertake that Mopu Project so that we can make use of the good prices of gold that are coming in.
So in consultation with me I told them that if it was a commercial decision, I will support it but in that Mopu Project there is a provision for the National Government either to stop it or give the green light. That was an open consultation and I told them as long as they have the technology and ensure that everything is transparent I have no regrets for giving the green light and I believe it was the right decision. My position is that if it’s commercially viable we will facilitate the process and that is what I have done as Minister for Mining.
With regard to the outstanding MOA spending over 15 to 20 years, the honourable Governor for New Ireland was part of that process and he was Prime Minister at that time and I can’t understand why at that time he did not mobilise the Government to provide payment –

Sir Julius Chan – Point Of Order! Mr Speaker, I just want to correct the Deputy Prime Minister because he is likely to mislead Parliament. I was not part of the process but I was part of the making of that process. I made that decision on the terms of agreement and thereafter I left office so after the development of the mine I am not part of that process.

Dr PUKA TEMU – In view of the MOA agreements, the Government led by the Grand Chief the Prime Minister has instructed us to honour those MOA and the Prime Minister himself has delivered part of that and we are below K20 million. I have been instructed by him to look at the payments so hopefully we will come over and give you the outstanding payments.
Mr Speaker, as you know we are the only Government that is committed in meeting the MOA requirements throughout the country. We have in these Chamber former members of previous governments and former Prime Ministers including the New Ireland Governor, the Leader of the Opposition and former Governor for Western Highlands. I know they will blame the economic times because now the times have changed and we don’t have to point fingers at everyone but I believe on record we are the only Government that is now meeting the MOA requirements in terms of the budget process.
The good Governor also appreciates that the Lihir Mine has not yet paid any dividends but accounting, taxes, employment and the benefits of infrastructure, which we don’t have in some parts of the provinces are all there.
I certainly don’t think it is right for people and leaders to say that this important world class mine in Lihir Island is not providing any benefits. That is a wrong statement.
We need to attract investors in this country and the Lihir Gold Mine is one of the world class project and it is benefiting the country and I know the province, it has some outstanding matters and that is for us to sort out. The Somare/Temu Government has made a conscience decision to make sure that the MOA requirements are supported through the budget process. Thank you, Mr Speaker.

Mr ANTHONY NENE - Mr Speaker, I wish to direct my questions to the Minister for Planning in relation to Kokoda Trail Secondary High School Development Project that was made by me to his office four months ago. Before I go any further I would like to give some background and summary on this.
Mr Speaker, the Oro Province has a population of 360 000 and it has four secondary high schools. One is located in my electorate, Martyres Secondary High School, whilst the other three are located in the Ijivitari Electorate.
Due to the constant population growth in the province it is definitely demanding more schooling spaces. The three secondary high schools located in Ijivitari Electorate are filled by students mostly from that area and Martyres in Sohe District cannot accept the demand in additional schooling pressures.
Two of these high schools were built in the 1960’s whilst the others were built 30 years ago and at this point in time the critical concern is for the rights of children who cannot be given spaces in these schools.
Mr Speaker, when the Oro Province was devastated by Cyclone Guba in 2007, most education infrastructure were absolutely destroyed and the students from the Kokoda area were severely affected due to the disappearance of the big Kumusi River bridge the only link for the Kokoda population to the four secondary high schools down towards the coast.
Mr Speaker, I have realized that the Kokoda people will have problems with their children who go on to secondary schooling. If additional secondary high schools are not developed immediately and with the increase of the Oro population then that is applying too much pressure on schooling spaces. I have made a submission to the Planning Office and to the Education Minister and I am still waiting.

05/04
I’ve given them copy and I’m still waiting. I haven’t heard from them despite being re-assured by the respective Ministers and the secretary.
Mr Speaker, my questions are as follows;
(1) Has the Minister for National Planning and Monitoring considered the funding of Kokoda Trail Secondary High School in this year’s Budget?
(2) If not, then, when will the project be funded?
(3) Can the project be considered for funding under the Education Trust Fund, which has been transferred to the Department of National Planning and Monitoring?

Mr PAUL TIENSTEN – Mr Speaker, I thank Honourable Anthony Nene (Member for Sohe) for his series of questions.
Mr Speaker, these are very important questions and before I answer them, let me give to the people of Papua New Guinea the position of this Government on education. As Members of Parliament, we know that Education is the key to this country’s prosperity. An educated population will do tremendous things by ensuring that we move this country forward.
As a Government we are committed to that by putting in a lot of money into the sector, about K143 million. In this year’s Budget and in last two Budgets we’ve put K100 million for education subsidy and we will continue to put money in Education. I think we all know that it comes down to the affordability of the Government. That is why we need to carry out a study of total cost of the education in this country.
Past Governments had come up with different policies including introducing of elementary component of the education. This also adds to the overall costs. The Minister for Education and I we are working with our officers at the technical level to look at a comprehensive package for education.
You cannot just deal with the cash component only. We need to look at the cash component, material component, the infrastructure component and also training for our teachers. They need to be assessed and evaluated before we know the extend of the cost of education across the country. If it means cutting down on some of the unproductive areas, we have to do it because it all comes back to the affordability of the Government. So, we are committed to ensure that we deal with education across the whole country to make sure that it’s affordable and it’s sustainable in the long-term.
To answer the question, yes you have provided the submission to us but like every other project submission it has to be evaluated by the technical people before it comes back to the Budget. I must tell you that there was no funding in this year’s Budget specifically for your school. We do recognise that it’s an important school.
There are other options available that you suggested for me to look at the Rehabilitation of Education Sector Infrastructure (RESI). Let me now give you the background to RESI. RESI is also targeting infrastructure maintenance and like I said to you, it is addressing one part of the problem and not the entire problem. We will continue to look at RESI going forward but it must be up-scaled to the whole package. That means that we have to look at the whole entire cost of the education.
There have been many criticisms about why we have not rolled the RESI because it was already in the Supplementary Budget 2005 and 2006. It is still sitting in the trust accounts.
Everybody is talking about the trust accounts and drawing down on trust accounts. The money in trust accounts moved from one account to another simply because people that were put in there to administer and implement the projects did not do a good job.
Now we are taking it back to the Department of National Planning and Monitoring to implement this because we are getting pressure from everybody to draw down these funds. But it has to go through a process where the Education Department together with the Department of National Planning and Monitoring have to work on this project.
We’ve rolled out the programmes in Momase and Islands regions already and now we are moving to Highlands and then to Southern regions and Sohe for that matter. So when you talk about money, K143 million is not just money, it was based on projects. I am making this clear to Papua New Guinea and everybody.
Now, money given to Enga was based on a process where we ensured that Members from Enga were given money following RESI, NADP, Health and all those programmes identified by the development priorities. We don’t have to be insulted by the government and people of Enga through media but we are doing a job to deliver to the people.
To answer the honourable Member’s question regarding Kokoda Trail Secondary High School, Southern region is coming up and we will roll out the programme to you. But you must understand that we are managing an economy and right now part of the economy is contracting. The Treasurer is the man responsible for managing the economy.
We cannot move everybody at the same time because it will impact on inflation. If it affects interest rate, you can come and complain because banks will refuse to lend money due to high interest rate. We are managing it slowly by doing it through batches.
I stress that the challenge for us is the total cost of education in this country. We need to appraise the entire cost because we are not talking about just millions of kina, we are talking about billons. You have to ask if it is affordable for this Government. This is a serious matter for your side and this side of the House to collectively deal with.

06/04
We have to look at this because it is a serious matter for your side and this side to deal with, including health infrastructure. So for the Member for Sohe, hopefully yours is in the next batch in the Southern Region and if it’s not then I will make sure I get it in the next one.

Supplementary Question

Mr FRANCIS AWESA – Thank you Mr Speaker, my question is directed to the Minister for National Planning and is in relation to the National Agriculture Development Fund (NADF).

Mr Paul Tiensten – Point of Order! I am not the Minister responsible so can you wait till the right Minister comes in so that you can ask your question to him.

Mr SPEAKER – I did recognise the Member for Imbonggu so I will ask the Member for Imbonggu to ask his question. Whether you ask the question to the Minister for National Planning or the Minister for Agriculture who is available now.

Mr FRANCIS AWESA – Thank you Mr Speaker, my question is in relation to the National Agriculture Development Funds, which have been transferred from the Minister for Agriculture’s Office to the Minister for National Planning’s Office.
Mr Speaker, when we have Ministers like the Minister for Agriculture and Education who are responsible for the funds and I do not wish to undermine their capabilities and their work but why are these funds when transferred are all parked in one Ministry and that is National Planning.
So my question is, what is the instigation for the Minister taking over funds from different ministries and how can we be assured that these funds are not becoming discretionary funds for the Ministers to dish out to backbenches and others without giving prior considerations to all electorates in Papua New Guinea because this seems to be the practice at the moment.


Mr SPEAKER – Member for Imbonggu, if there is a transfer of funds or if there is a transfer of administration, I think it is a policy matter and it is something to do with NEC and I don’t think it is necessary for you to ask one of the Ministers.

Mr ARTHUR SOMARE – Point of Order! Mr Speaker, I respect your rulings on the supplementary questions but at the moment supplementary seems to be abused a little bit and there are new questions raised so we want the ruling from the Chair.

Mr SPEAKER – This is a prerogative of the Speaker so I do not want you to dictate to the Speaker.

Mr PARU AIHI – Thank you Mr Speaker for recognising me this morning and I rise to direct a few questions to the Minister for Petroleum and Energy.
Mr Speaker, for the information of this Parliament and nation, I have recently engaged in the Exxon Mobil to lead LNG Project and I have called the landowners of the state portion 152 for two meetings.
Mr Speaker, the second meeting was held at the Crown Plaza Hotel and that was sponsored by the Department of Petroleum and Energy and as the Minister may be aware some of the social mapping information was released at that meeting and I must say that, that caused a up roar amongst the landowners and since then I have been bombarded everywhere I have gone in the areas with questions only relevant State departments can answer.
Mr Speaker, in that same meeting, a representative of a small group called the ‘Boera Gadona’ declared that it was the only group that was recognised by the State. The documentation for that little group was already in the custody of the State.
Mr Speaker, this is the group, which is pushing for a land rate of five per cent of unimproved capital value, compensation for the loss of income, water for Boera and KPPA, free carried equity in LNG and subsequent projects, title to all traditional land to revert to Boera at conclusion of projects and preference to be given to Boera for plans for business development opportunities.
Mr Speaker, since I came on this scene I have noticed that awareness by the Department of Petroleum and Energy, Department of Lands and Physical Planning and Department of Environment and Conservation were grossly inadequate.
For this reason and for the sake of the majority of the landowners and the people of the affected villages, - my questions to the Minister are as follows:
(1) Is the Department of Petroleum and Energy still interested in Exxon Mobil-led LNG Project and will the State honour its obligations to the landowners?
(2) How long will it take for the Department of Petroleum and Energy to process and make decisions on the appeals by clans that have been excluded from the social mapping?
(3) Where is the Land Identification Report and when will the landowners and I get copies?
(4) When is the Minister going to announce the buffa zone?
(5) In relation to Boera Gadona, can the Minister confirm or deny that the State only recognises it?

07/04
Mr WILLAM DUMA – I wish to thank the Member for his questions.
Mr Speaker, as all of us know everywhere in PNG where you see projects, we always have problems with our landowners. It is not the job of any government department to identify and confirm a landowner. The people themselves know who the real landowners are. All government departments expect our landowners to demonstrate good faith and be genuine in helping us and making our job easier. Government after governments and department after departments has always had the same problems.
Mr Speaker, my Department has not yet recognized any particular landowner group. There is a process set out in the Oil and Gas Act and laws have been enacted by this Parliament and my department is following it.
On many occasions representatives from my Department have visited the various regions near the proposed LNG site. The simply reason is that our landowners do not want to except the truth which is that only those people who are the real landowners will be accepted and recognised. There is a process that is being followed and all those people who are genuine landowners will not be left out.
Mr Speaker, I can assure my good Member that as soon as the process is being finalized only the genuine landowners will be included and those who feel that they have been left out have an option and it is a matter for them to resolve to the Land Titles Commission. The State will go out of its way to allocate funds to establish such a Commission but then again my Department is not leaving any stone unturned in its attempt to ensure that only genuine and true landowners are included in this process.
After they have been identified there is a process of which the developer initially goes and conducts social mapping study and a landowner identification process study. Once that is done it is then submitted to my Department but my department does not simply accept this at face value. My Department then goes and conducts its own investigations and confirms and double check everything. Only then do you have a final document that is accepted by the department and only then will a genuine landowner group be recognised.
Mr Speaker, I can assure the Member that my Department has not recognised any landowner groups as yet. There is a process to be followed and we are following that process to the letter of the law and we will ensure that only those genuine landowners are included and recognised. They alone will receive the benefits that are normally available when you deal with these sorts of projects. All the landowners who are found to be genuine and who are true landowners will receive the normal benefits that are accorded to the landowners under these sorts of project.
Once again, I can assure the Member for Kairuku-Hiri and also other Members of Parliament that in any project concerning development of oil and gas, only genuine landowners will be recognized and benefits accorded to them.

Mr PITOM BOMBOM – I wish to direct my questions to the Minister for Public Service. I have three questions and they are as follows:
(1) Is it true that the three months acting of the Gulf Provincial Administrator lapsed on 20 February, 2009 and that the incumbent provincial administrator has resumed duties and that his allegations of not being formally charged?
(2) If so the statement by the Governor for Gulf in the print media on suspension of the acting appointee to continue as per the NEC decision No. 246 of 2008 is misleading in the essence that NEC never deliberated nor endorsed that acting appointee. Can the Minister please clarify the position of the appointee?
(3) The same media report also quoted that the Governor said that investigations were underway and can the Minister inform this Parliament on who is conducting the investigation and if the findings have been submitted to him?
The Gulf province is in disarray and is in a dismal situation with government service not delivered to the rural population due to the continuous in-fight over the provincial administrative position.

Mr PETER O’NEILL – I thank the Member for Kerema for his questions.
It is true that the acting administrator’s term of office for the Gulf province has lapsed and he continues to remain as acting who has been appointed under by the delegated powers by NEC given to me. The administrator remains suspended because the investigations are continuing. There are 20 serious allegations of financial mismanagement that need to be investigated and the Public Services Commission has referred those investigations to my Department, which is looking into it now.
The reports are not ready and they are yet to reach my office. I want those reports to be tabled to me before I make any further recommendations to NEC. However, the acting position of the current acting administrator remains in force.
On the second issue, the matter is also before the National Court because the suspended administrator within his rights has decided to take legal interpretation on the legality of his suspension.
However, I will get back to the NEC as soon as reports of the allegations are forwarded to me.


GRIEVANCE DEBATE

Question – That the grievances be noted.

Sir MICHAEL SOMARE (East Sepik – Prime Minister) – I do not have much to say but I am going to say this much. If you are sitting in a house that has glasses and you are looking out of that glass, then do not decide to get a stone and throw it outside because you are sitting in a glasshouse.

08/04
The criticisms that I received from both the Leader and the Deputy Leader of Opposition are unfounded. For I have not once seen them visiting their own villages in their own provinces. I have not seen Sir Mekere Morauta go to Moveave and I have not seen Bart Philemon go to Butibam and I wonder.
As for me, I went to Wabag and the people there were very happy to receive us. We feasted on muruks and pigs for two and half days and the people of Enga were very happy. They were happy that Cabinet went there to hold it’s meeting and also to receive their allocation from the budget that is to come to the five Members of each Open Electorates.
This law was passed in Parliament for the purpose of establishing a District Development Fund. The Cabinet followed this law and therefore allocated funds towards all the districts and when those districts who do not use the money this money is then returned to the provincial governments to decide what to do with it. Provincial Governments are also allocated funding from every budget that is passed by the Government.
Anyway the honourable Governor for Enga, who at present is absent, together with us had a farewell celebration the night before we returned to Port Moresby and a small problem occurred. I hosted the dinner and when someone gets up and swears at you the host, how would you feel? Do the both of you have any feelings? If not then maybe that is the reason why the both you do not go to your villages.
Therefore, when I heard of all these criticisms I thought to myself that we did not go and waste time up in Enga. We went to Enga and made the people of Enga happy by giving them their allocations and I would like some of you here to also go back to your villages and see your people for I am one who always visit my village as often as possible and I know first hand what my peoples needs and wants are.
That is the reason why I have been here in this Parliament for 40 years and I do not want us to waste our time to discuss such a petty issue. There are other more important things that we can discuss. When you criticise me about policy I have nothing to say about that because I do not heed to petty criticisms but this has insulted our Cabinet.
The Governor knows me very well and between the both of us I had made a lot of commitment to him but we were criticised for this. We left because Cabinet as a whole had decided to because it was unwelcoming when the Governor made his criticisms.
We had said that it was a law of Parliament and that Government was to allocate funding to every district for their own Members and themselves and they have there own politics to deal with things.
The both of you do not know the kind of politics that goes on up there in the Highlands and therefore you should not make any criticisms and should concern yourselves with your own electorates.
My second point is that, a lot of times the Government receives criticisms even though we believe that we have done a good job. We believe that we have met many of the requirements of the Members and the Governors throughout the country and that things are progressing well and also the co-operative feeling to work together among us must continue.
Your criticisms are also welcomed for check and balance purposes but issues such as these are too petty and a waste of time, and unbecoming from person with a stature like yourselves. These are village politics and should be left to their own devices.
Another issue that I would like to bring to attention concerns the rundown state of the National Parliament. There have been comments made in the media about the conditions of the chairs that we sit in. I therefore urge the Parliament to support the Speaker to make changes to the current state of the National Parliament.
In August 1984 when Mr Timothy Bonga was the Speaker we had opened this Parliament House. Many were present at that time like Sir Julius Chan, but many of the things including equipment here are now too old, and I for one and many of you too, would like to see more money spent for this Parliament House.
The problem is when we want to do such a thing our people will criticise the government for it. They should come and see the state of the chairs here, in the Cabinet room, conference rooms and the Government Caucus room. These chairs were here since 1984.
Mr Speaker, I believe Government will listen to you to improve on a few things. Our translation system is not that very good and the Hansard does not come out on time. It records the proceedings of each Parliament sessions on a daily basis so Members can look back at what was discussed, or asked and answered and check if they were quoted accordingly and returned for correction to the Hansard if need be.
Discipline in Parliament is also lacking and is like a hausman nating. People come and go and spit betel nut in the lifts. These lifts are from 1984 and have not been changed since then. Therefore, Parliament in its wisdom must now make a decision to fund heavily on Parliament for it is our Parliament and our dignity that we are talking about.

09/04
It’s our dignity that we talk about and it is the Parliament that enacts the laws for this country. It’s a law making institution and it is up to us to give that political will to support in the next budget to input more money to improve the facilities in Parliament.
Parliament is restricted to Members only and I am not saying that we should not restrict our members, visitors are allowed. Our people can come and see it is their Parliament but we must have some dignity in the pride of this country. Dress properly to show that it is Parliament.
In other countries that I have been to the people have respect for their Parliament, we in this country do not hold anymore respect for our high institutions. And I am talking about the new generation.
I belong to the ancient generation and it is about time we had some dignity in this Parliament and people should have some respect for the institution that enacts the laws for them, rather than just walking and hanging around the Parliament foyer, spiting all over with betel nut.
I am disgusted and I have watched it from the beginning to now and I think it is about time to do something. We will allocate money to do that and I think all of us should do something to improve the Parliament.
My third point is that I would like we the Members of this house to look at a very important resolution and that is the resolution of getting the changes of the provisions of the Constitution, Section 101 and 102. I would like the Members to take it seriously, to enable women to come into Parliament.
I asked all the Members to be present, not many are present but I think the men folk, we have half of the population of this country made up of women and we need to support that provision.
The provision is already provided in the Constitution, all we need to do is enact the Organic Law to govern this provision or we agree now to put the number of women members in Parliament.
It is a common debate now amongst the women and I think it is very important for all of us to reconsider, reassess ourselves and say that behind us all there is always a beautiful flower and that is our women, our mothers and it is about time we consider the role of women in Parliament.

Mr ARTHUR SOMARE (Angoram-Minister for State Enterprises) – Thank you Mr Speaker, I have only one grievance and this is in relation to a media report in the Post Courier, published on February 18 2009.
Reported by Ms Gorethy Kenneth, Government to pay a group K52 million. The article went on to report that a company lawyer wrote to me as the Member for Angoram and Minister for State Enterprise reported in that story.
On the third column of that story, it was reported that I took the matter up with the National Executive Council in one of the submissions made to the Cabinet September and was given the approval of the K52 million payment by Post PNG quoting a Decision No 172 of Meeting No 29, of 2008 for payments of a claim to a company purportedly from the Sepik area for the amount K52 million.
The report also stated that Post PNG was going to make the payment. I want to say that what was reported is based on a fraudulent NEC decision and Ms Kenneth and Post Courier must look and justify all stories before attacking Cabinet Ministers or any other person for that matter. I will emphatically deny that I had any

10/04
This matter is before the Police and it is being investigated.
Mr Speaker, my disappointment is the quality of reporting in the media. I am absolutely ashamed because of the continuous character attack on individual Members of the Cabinet especially myself in this particular issue.
I have been representing this Government and the country in negotiating with other countries for projects like LNG. My credibility must be intact when I am negotiating with leaders of other countries.
I cannot expect to see, especially false reporting, unprofessional reporting from the newspapers and media. I think, when this issue was first raised, they consulted with Mr Peter Maiden as well, yet, they reported that it was fraudulent and they proceed to publish it and continue to attack publishing that NEC was actually considering the payment of K52 million and that is not the case.
The whole basis of the payment on an NEC and that NEC decision is fraudulent. It is the significant grievance that I have and I hope that the Post-Courier, together with all the journalists can be more responsible in their reporting in such matters in PNG.
The credibility of PNG must be respected at all times because to deal and negotiate for investment or business with other countries is based on that. If I took the wrong paper to negotiate with big projects such as ExxonMobil like I did, and we have a project, which worth K45 thousand million in a pipeline. I play a lead role in such a project and I think if they see such false reporting on me, they will question my credibility.
This is a major impediment and concern. If things are true, write the truth and report it in the media. But on the information that the Post-Courier got, it was already fraudulent and they knew it and continue to publish it.
Mr Speaker, this is just intolerable and we must not do such things in PNG and not at this particular time when so many things are at stake.
I am not raising this grievance for myself but for all the Members in Parliament and I ask and urge the media that let us all be more responsible while doing our duties.

Mr JAMIE MAXTONE-GRAHAM (Anglimp-South Wahgi) – Thankyou Mr Assistant Speaker and I too want to raise some issues.
I am happy that the Prime Minister has expressed very big concern over the situation of Parliament regarding run down affairs of this institution and this is very important.
But, Mr Assistant Speaker, I wish to draw your attention to the need for the public sector reform. The whole government should be looking at reform constantly. The Governments worldwide are always looking at reforming the government to make it more efficient and better.
Mr Assistant Speaker, I think, the questions raised and the answers given by the Ministers reflected inefficiency within our bureaucracy. This is where our problems dwell.
Prime Minister, you have stabilised the politics on this nation and the economy is picking up and there are money passing through all the trust account everywhere in this country, but the delivery is not taking place.
A classical example is, Law and Justice must take place in this country but the Minister revealed that the system is not doing right. We can execute criminals but the justice system is not working right. Some convictions are not done in right system while some policemen and women are just like rotten apples or are corrupted people in the force. I believe, this applies to all the Departments throughout the country.
Mr Assistant Speaker, I raised a concern sometime ago about some 2 million condoms still sitting in Badili warehouse that were not delivered by the National AIDS Council and they were expired. This is not a new story that I am raising on the Floor of Parliament.
We always complain about the bureaucracy day-in-day-out. They cannot implement because they do not have capacity. There is so much corruption in the bureaucracy and nothing is working.
Are we going to just come and complain or blow hot air and go back or five years later we go back to election? Let us make some constructive changes.
Mr Prime Minister, I think, you spoke with power and I can hear you. You definitely want some change.
I think, we all want change. We must clean up this Parliament, the bureaucracy; get ride of all the Heads of Department who are not performing. We can change the system by amending the Public Service Act. Let us give them performance-based contract. This law is now protecting them. If they perform let them continue. If they are not performing, change them and get the new one for the job.
With due respect to former Prime Minister, those amendments we have made to cover the Public Servants and they are hiding under it.
We cannot even sack them. When we try to sack them, they take the Government to Court and they are back in their job. So, a very good example is, the provincial administrators, there are some provincial administrators who are acting for five years and they are still acting.
You know, it looks like we cannot do much but this is the feet of the power and we can make the power work. This is where the laws of this country are made.
Mr Assistant Speaker, I am so ashamed, my role as a legislator but now my role is reduced to a project manager with K10 million and the people are running after me for their projects. This is disgusting.
Mr Assistant Speaker, I wrote to the Clerk of Parliament two years ago trying to introduce a law to ban compensation.

11/04
I wrote to the Clerk of the National Parliament two years ago to introduce a law to ban compensation. Till now, no bill has been drafted for me as a private Member to introduce this law in Parliament. And last time, I also approached the Clerk that I want to ban lamb flaps. The food that is killing our people. I want to introduce a law but nothing is happening. When I followed up with the Clerk of Parliament, he said, sorry, we have only one lawyer.
Mr Prime Minister, please, let’s overhaul this Parliament and demand that the administration is separate from the chamber services. We are honourable Members of this Parliament and are here to make laws; not sit down, complain and go with the K10 million and run around like project managers. I am sick and tired of that.
Since I’ve been here as an honourable Member, I only introduced one amendment which is the Local-level Government amendment. That’s all I did and I’m really ashamed. I’m very proud of Minister, Lady Kidu. She has done so much as a Member of Parliament. As a legislator, she out performed most of us, all of us put together. I feel that Mr Prime Minister, we should really start somewhere; for example, today and see something happening tomorrow.
Minister O’Neil was working on the Public Sector Reform in reforming the bureaucracy. I think, he’s got some announcements to make. Hopefully, we will hear something good in the pipeline.
Money being passed in the Trust Accounts. Every time we ask questions to the Minister for Treasury and he says, okay. Sometimes the laws are too stringent. We need to amend the Public Finance (Management) Act (PFMA). The question is, when are we amending it? Let’s make it simpler in the delivery.
Finally, Mr Assistant Speaker, I want to talk about Provincial Government Reform. In my opinion, Provincial Government should be abolished because the system has failed. This is a report from the National Economic and Physical Commission. It started off well but today, looking at the expenditures of all Provincial Governments put together, most of the money goes into the administration. The grass is very tall, running the Office of the Governor and the machinery of the Provincial Government. All the money is going there and very small amount is allocated to health and education from the Provincial Governments appropriation, which is very insignificant.
We are busy looking after ourselves as big man. Little mini-prime ministers everywhere, running around, sleeping in the hotels and hiring cars. This has to stop. We must abolish the Provincial Government because it is a total failure.
The Minister has got a new structure in mind. Minister for Public Service, the district authority. Honourable Members, now is the time for you to stand out. There are only 20 Governors and 89 are Open Members. We change the law and abolish the Provincial Government. Let’s have our District Authority, run this country and not waste time. The Provincial Government is not created by God but by man. We talked about it and tried it but it did not work. We have the power to change it and not to muck around.
Finally, Mr Assistant Speaker. I thank the Government for giving us Jiwaka and Hela Provinces. I hope that you will vote for it because we need your support. However, our brothers in Hela are blessed by God with gas and oil and as soon as their province is created, they’ll have big revenue about K150 million. But Jiwaka Province only has agriculture.
I really appeal to the Government that we have so many submissions sitting in the Department of Agriculture both North and South Wahgi electorates. So many rundown plantations totaling about K100 million is sitting there. I know, it cannot be fully funded. Please, give us the priority, the Provincial Government and the ability to raise our revenue and build our economy up. And also, build our Provincial Headquarters, but I don’t believe in the Provincial Government System. Give us a Province so we can have revenue coming directly to our people but not the Government

Mr TIMOTHY BONGA (Nawae) – Thank you, Mr Assistant Speaker. I’m happy with you for giving me this opportunity to speak during the Grievance Debate.
I have two (2) points to make.
Firstly, I support the points raised by the Member for Angoram on the type of reporting by the media in the country.
Mr Assistant Speaker, I myself too on my duties with the Public Accounts Committee as the Chairman. I am mandated by the people to represent them on the Floor of Parliament.
Who is the head of Transparency International? Who authorised him to speak on behalf of the people? Who mandated him to stand up and make a comment that I am not doing my job?
Let him contest in the election and come and represent the people on the Floor of Parliament.
Mr Assistant Speaker, 75 per cent of the daily reporting in the two newspapers is false. And yet, we continue to allow them to make those kind of reports. When are we going to tell them, enough is enough? Our country’s image is destroyed due to those types of reporting.
I want the Media Council to be held accountable for all these reporting. Reporters are there but where is the Media Council? The same person that is heading the TI is the President of the Media Council. He’s been biased about this kind of reporting. Many reports have tarnished the name of the country and some found it difficult to take them to Court.

12/04
They ride on that freedom of speech when we try to take them to court. It is good they are reporting some positive development but most reporting made now are very questionable.
We must understand that people of this country are not fools and they know what these reporters are writing. I challenge the journalists to write and report on facts because 75 per cent of the stories are incorrect and they still are doing it.
Mr Assistant Speaker, I am generally talking about our newspaper reports. I think it is time we need to look into how they come up with these reports. I appreciate their work and what they do, but I want to stress that they must be responsible and report facts and must take time to research their stories before printing them.
When we want to bring development and there are negative reports, many people will think we are people from cave ages and are way back in time. Reporters must be responsible and when their stories are contradictory they must make an attempt to correct the errors that damage our images. Many times corrections are never done. Why? They ride on this freedom of speeches and they continue to make the same old mistake. I hope that they will take note of our grievances.
Mr Assistant Speaker, I would like to talk about this Parliament. I support the Prime Minister’s statement and my colleague, Member for Anglimp/South Wahgi that this Parliament has gone backwards.
When I was the Speaker, this Parliament had the dignity and the public had reverence for this Parliament and everyone that entered the Public Gallery in the Chamber had to bow to show respect to the Chair but it is a sad story this days because people just walk in and out of this building as they please.
Mr Speaker, I think we all need to work together to rectify this problem. Yesterday, when all the Chairmen of Parliamentary Committees met and I would like the Minister for Planning and Leader of Government Business to take note, we expressed many concerns and yes, we at the Committee level are ready to assist in the Governments drive to develop our nation but if there is no money, how will we do our work?
Mr Speaker, the only time Committees have their hearings is during Parliament Session times because there is no other time to call for hearings because of money problems. I would like to call on the Government because all the Chairmen play a very integral part in legislating and making decisions for our country. We are here to help the Government of the day and make sure that some of our legislations are upheld. There are still some legislation’s like the Finance Act that need change and this same old legislations are breached over and over and what are we doing about this? If we are serious about this, change this Act and come up with something that is more easier so that people can abide by them and do their work.
Mr Assistant Speaker, I also want to echo the same sentiments by Members who spoke before that it is time our National Parliament and it’s administration operate separately and the Office of the Speaker who is in charge of all of us, be on its own and we will bring change.
I sat in one of the chairs up at the B3 Conference room and the chair broke. Who will be responsible for compensating my injuries?

Sir Julius Chan – Take Parliament to Court.

(Members laughing)

Mr TIMOTHY BONGA – Yes, but Parliament is a building, I need to take someone to court.
Mr Assistant Speaker, it is time we, as Members of Parliament, put our heads together and try and improve this building and its facilities so that respect, dignity and credibility can be restored. I thank the Member for Bogia and former Chairman of the PAC for buying an air-condition unit which is a bit comfortable, but as soon as I am outside its like a copra shed.
Mr Assistant Speaker, I hope you bring this matter regarding air-conditioning up with the Speaker himself because countless assurances have been made that there will be air-condition but where is it? If Parliament is not able to get that, then in the meantime I think Parliament should buy air-condition kits for each Member in this building because it is just uncomfortable. Thank you.

Dame CAROL KIDU (Moresby-South – Minister for Community Development) – Mr Assistant Speaker, I want to talk about two things taken from my colleagues here. The first is the situation that makes many of us on both sides of the Floor. I know I have felt it for 12 years, often feeling quite powerless to make decisions in the country. It is a long hard road and I just want to tell a little story that will give us an idea of some of the problems we are facing. I don’t want to really knock out our systems but we have to really look into them and make sure they are adequately staffed to do their jobs. Because quite often you will find in the public sector that they are terribly understaffed and there is no way they can do their work properly and a lot of mistakes are being made.
In July 2007, Parliament passed a Bill sponsored by myself called the Lukautim Pikinini Act 2007, and it was a review of the Child Welfare Act 1961 long waited for and we have gone from 45 years to get it done. We know which Bill was passed on the Floor of this Parliament and as the sponsor of the Bill I signed on it with the Clerk of Parliament.
We then let the processes happen and the Department didn’t do too much about it for quite a while because they had no money to implement it at that time. But thankfully the Treasurer and Minister for Finance has this year given the Budget to implement awareness on the Lukautim Pikinin Act 2007 and we looked at the certified Act and suddenly we realized that the certified Act is not what we passed on the Floor of Parliament.

13/04
Somewhere between the Floor and what we pass, which we normally pass, which I signed it, and a certified Act, a different thing came up. So there are real issues we have to look at.
I don’t know it’s quite significant that two whole sections were missing. So obviously between going from here down to the Legislative Council and back up to here, something went wrong. One section that disappeared was ‘the child maintenance’ section. Somewhere the wrong draft got sent up here and certified so we do have a problem.
We can’t blame politicians for that, we did our job here on the Floor. Now I am in conversation with the Clerk and later with the First Legislative Council to redo it to repeal the wrongly certified law and to bring in the correct law. The complaint that was made up here about the backup that we need and the systems and the processes, are valid. We must do everything we can to sort it out. We can only be as effective with as long as the programme and the people around us are working appropriately.
There is another thing that I want to talk about and is an important issue of women’s representation on the Floor. The Prime Minister in his wisdom have committed to this cause since he became the founding father of this nation.
As a founding father in writing up the Constitution, he was the first Prime Minister to appoint Nahau Rooney as a first women Cabinet Minister way back after the Independence of this nation. I realise that there is quite a lot of confusion about what is happening at present of the final NEC endorsement.
I sincerely thank the NEC, the Prime Minister and the Deputy Prime Minister for having the commitment to set up something that some male Members of Parliament in the past have tried to do inline with relevant sections of our Constitution.
I’d like to mention on the Floor here that Honourable John Nilkare, former Member of Parliament, when he brought the recommendations for women’s representative on the Floor using section 102, nobody questioned his process. Then in 2002, Honourable Luther Wenge also brought names to the Floor for the nomination of women in Parliament, nobody questioned the process that was on the notice paper at that time.
When you notice it, it’s coming from the backbenchers, which has little chance of getting the numbers to be noted. But now that we have a Government that have the courage and commitment to move forward and try to test this section of our Constitution, everyone is questioning what’s happening. Quite rightly so, we must always take charge and not question processes to rightly show the Members that we’ve been extremely thorough in the way we approached this.
I actually failed in 2004 when I attempted to bring an NEC submission into the last term of Parliament when I was a Member of NEC and it was rejected. I clearly remember that several Members of the Cabinet at that time questioned the process and I thank them for it. I believe in retrospect that what I had tried to do at that time was not good enough.
Then I let it go and in 2007, I was absolutely convinced there will be other women on this Floor we make. I thought the Limited Preferential Voting system help them. But again I am here alone under 0.1 per cent of the Parliament would. Thankfully, up to three NEC submissions and finally I am glad that it is finally in.
The final one came about at the time of Budget last year and I actually asked for our finance people to get it into the Budget for this year to have Women on the Floor. But I do apologise to Members because it kind of all happened around when we all went of for a break and now we are all here at this first session.
I thanked Prime Minister yesterday for holding lunch and I am aggrieved that not enough people were there but I do understand that because we have a lot of things to do, some Members missed the presentation. I fear running out of time so I better go a bit faster.
I think the Members who were there yesterday will agree with that we have gone through doing this in an extremely transparent and fair way. In the end there was bipartisan between the Prime Minister and the Leader of the Opposition. I am so delighted that they will go to their caucuses to come with the final three names out of the short-listed six that had come from a very clear process, independent of me and completely independent of politics.
These are all highly qualified women including professors, doctors and lawyers appointed by their organisations. There was integrity of a huge technical working group that have been behind me with United Nation’s independent observation on what we were doing and every single thing have been documented.
I want to assure honourable Members that this is a special and practical approach and I hope that both sides of the Floor are uncomfortable about nominating the seats. But we have to work out how we can use this provision or we have to get rid of it forever. There is an agreement that women need to reserve seat by election in 2012 and we are absolutely committed. What we are doing now is trialing a process. Hopefully if this process is going to be fair and transparent, we can then use it for disable people in the next term of Parliament when I am going to be here.
The 600, 000 plus disable people of the nation could get a vote on this Floor by the process that we are trialing now.

14/04
I do hope that if you have any misgivings please do come and talk with me or ask about the technical working group and talk with them and I hope, we will have the support of the Members of the Parliament.
Mr Assistant Speaker, when we are not voting on the three women and not focusing on who are they and I said that on the World Day of Prayer this morning because I did ask them to pray on this and many other issues and I said its not about which women but we are voting on a principal that women do deserve a voice in the highest decision making body of the country.
And so, I hope that any misgiving and grievances people might have can be cleared up before this vote is taken up on the Floor of Parliament. Thank you very much Mr Assistant Speaker.

Mr KONI IGUAN (Markham) – Thank you Mr Assistant Speaker for recognising me. Mr Assistant Speaker, my small contribution towards this grievance debate is on the condom wastage, which was also reported in the papers.
Mr Assistant Speaker, from a report that I received on the status of HIV/AIDS in Morobe, which is the largest province in the country, HIV/AIDS is not only in urban areas but is already in the rural areas.
I am happy with the Government for putting a lot of effort towards HIV/AIDS and also setting up a separate Ministry for it and a lot of money has been spent on fighting against HIV/AIDS and by doing this our efforts have been recognised by other countries and they have contributed a lot of money.
Mr Assistant Speaker, a lot of money has been put towards HIV/AIDS but yet the disease is getting bigger. My main concern is that HIV/AIDS is moving faster in the remote areas and different people and committees are being set up to have a share of the money.
Mr Assistant Speaker, many theater groups and departments are forming because all they want is the money and they do not carry out any effective awareness in the rural areas. We keep on channeling the money to them and all they do is eat it up. These groups of people use the money to sleep in hotels, hire cars and host conferences in hotels where the village people cannot afford to attend.
They also use that money on advertising on television, radio and newspapers, which the people living in the rural areas do not have access to but yet they keep on arranging conferences at Melanesian Hotel or Lae International Hotel.
Mr Assistant Speaker, the village people sell their coffee, betelnuts or peanuts and with the little money that they have, they go into town to buy necessary things like sugar and when they see all the latest developments in town, they get very excited and go to night clubs and see young girls with short skirts and businessmen with lots of money and they decide to go for it and give themselves for money and excitement.
Mr Assistant Speaker, they do it for fun because there is no HIV/AIDS awareness in the remote areas. I would like the Ministry for HIV/AIDS to look seriously into it and those who are getting the money to go and carry out effective awareness in the rural areas.
I am a village man and not once have I seen any of those people use the money to carry out awareness in my village. I am bringing this grievance to the Floor of Parliament but unfortunately the Member responsible for HIV/AIDS is not available but if he is listening somewhere, look seriously at the committees who receive funding and inform them to restructure their programs and go out to the rural areas.
Mr Assistant Speaker, if they submit their reports for funding, they must also have a program to go to the rural areas on which you can give them the money. But if they cannot go out to the rural areas on which then do not give them the money because they will eat up the money and will not carry out any awareness in the rural areas.
We must look seriously into this and make sure that effective awareness reaches every home in the rural areas and if there is no way then we have the Local Government Council. Why not channel the money to the Local Government Council and the Councilors use the money in their respective wards and carry out the HIV/AIDS awareness.

Mr THEO ZURENUOC (Finschhafen) – Thank you Mr Speaker, I would like to talk about the Department of Agriculture and the Minister responsible with the other Members of Parliament should sit together and come with some points and take note of the hindrances which are affecting our lives and the development of the country.

15/04
When we talk about the integrity and dignity of this Parliament I feel I have to give my view on this before I continue with what I would like to deliberate on.
As we all sit here on this Friday afternoon and as a Member of this Parliament, I do not see much reason why Members of this Parliament are not present. I am expressing my disappointment here because when it is Question Time many of us who would like to ask questions do not because of the time limit.
Therefore I would like us to increase the time limit so as to give many us the opportunity to ask questions, as most often many of the Ministers are not present. This is so that, on behalf of our people who need to have answers to questions that we bring here to this Floor of Parliament, Parliament have the answers, for we are here to represent our people.
Again I want to also say that it is very disappointing that during Grievance Debate on Fridays many of the Members are absent. When we talk about dignity it is ourselves who are downgrading our dignity. We might be talking about physical things but it is morality that I am talking about here.
I believe that we as leaders are failing our people by not being present and to debate during Grievance Debate. It is an opportunity that we should not overlook and abuse but at the moment we are abusing our privileges.
I for one am not happy because I wanted to talk about the work of the Department of Agriculture and Livestock but the Minister is not present and with due respect, Mr Assistant Speaker, I think the Minster needs to be disciplined. I have noted that he is not always present during Parliament meetings to answer questions directed to him.
This is of concern to me because unlike many other provinces that have mineral based economies, in Finschhafen we depend on agriculture and fishing, and if the Ministers of the concerned departments are not around, how can we stress what we think is good for our districts and who will take note of them?
Apart from that, agriculture is not being addressed seriously at the district level and the aspirations that we wanted to achieve for the National Agricultural Plan has not been achieved. I am saying this because in addition to having a Department of Agriculture and Livestock we also have institutions such as CIC who looks after our coffee, KIK for copra, CCI for cocoa and the Livestock Development Corporation (LDC).
I want to inform you all here that at the offices of the Department of Agriculture and Livestock in each district, you will not find an officer from these institutions there to carry out extension work for the various activities they look after.
In my own district I have seen that it is a big problem and when my people want to do activities regarding coffee they have to come directly to the CIC in Lae to get assistance. The thing here is that, the CIC office in Lae is manned by only two to three officers who look after around 50, 000 people in Finschhafen including the other eight or nine districts in Morobe as well. This will make their work next to impossible.
We talk about making the agricultural sector a major contender in bringing development to this nation but the way we are going about it, it will not happen. Again I would like to emphasise here that those institutions should be re-established because they are just using up money with nothing to show for it.
Also there is great confusion when money is received under the DSIP and when my people want to farm coffee, copra and cocoa there are no agencies that are supposed to assist the people and make sure that this money is properly used for the benefit of the district, the province and the country? These implementing agencies are now non-existent in the districts.
For example, the Coffee Industry Corporation (CIC) does not exist in Finschhafen but only in Lae but the office there has only a skeleton staff and their programmes to reach out into the districts is practically non-existent. So who is managing the coffee industry in the country? CIC is unable to do that I can tell you that.
The same also applies to the cocoa industry for we have only one officer in Finschafen and how will he carry out his extension programmes for the whole district that covers five LLGs and 50, 000 people. It is very disappointing that we cannot depend on the government system. Moments earlier my colleague from Anglimp-South Wahgi mentioned something regarding the reform of the public service and that is a must and if it is online it must be fast tracked. Funds must be made available for its establishment to see the fruits of the money that we put into the districts.
Therefore my grievance is that if we just come here to just talk what good will come from it for the sake of our districts and the people that we represent? Therefore, I believe that rather then just talking we start doing some action and see to it that the institutions that we put into place must be effective. They must delivery what they are supposed to do in the country.
Before I conclude, I would like to say something regarding the issue of women representatives in Parliament. I as the Member for Finschafen am not happy in the way that these women were selected to come to Parliament if we were vote in agreement.
We are Papua New Guineans and hausman em hausman but we now acknowledge that gender equality must be allowed, but it is only fair that these women should go through the same way that we did to get here. In my own opinion I am not happy with how these women were elected to Parliament. What is the rush that it must be this term of Parliament that women are brought into Parliament? We have all this term to discuss this matter properly in detail and through what appropriate process that they should be elected to Parliament.

16/04
It is a due process that has been brought to Parliament so I think that before we talk too much in support of this, I want to ask the Members of this Parliament to re-think and not support this bill.
We must go back re-assess and come back and see what we want in the next election and maybe make seats for women to contest for in the next election.

Motion – That grievances be noted – agreed to.



MOTION BY LEAVE

Mr PAUL TIENSTEIN (Pomio-Minister for National Planning and Monitoring) – I seek leave of Parliament to move a motion without notice.

Leave granted

ADJOURNMENT

Motion (by Mr Paul Tienstein) agreed to –
That the Parliament do now adjourn.

The parliament adjourned at 12.30p.m..
=============================================================================

WEEKEND * Opened Grace Memorial High School Broad Band Internet on Monday the 09th March,2009. Headed back for Parliament on Tuesday the 10th March, 2009.
======================================================================
FIFTH DAY

______________________

Tuesday 10 March 2009

DRAFT HANSARD
______________________

Subject: Page No.
QUESTIONS. 1

PERSONAL EXPLANATION.. 16

GOVERNMENT EQUITY SHARE IN THE PAPUA NEW GUINEA
LNG PROJECT – MINISTERIAL STATEMENT –
MOTION TO TAKE NOTE OF PAPER.. 21

SUSPENSION OF STANDING ORDERS –
REARRANGEMENT OF BUSINESS. 23

PROPOSED NOMINATED MEMBER OF PARLIAMENT –
MARY TOLIMAN.. 23

RESCISSION OF RESOLUTION.. 35

PERMANENT PARLIAMENTARY COMMITTEE ON CONSTITUTIONAL
LAWS AND ACTS AND SUBORDINATE LEGISLATION –
DISCHARGE AND APPOINTMENT OF CHAIRMAN
AND COMMITTEE MEMBERS…………………………….36

MOTION BY LEAVE.. 36

AJOURNMENT.. 36


FIFTH DAY

Tuesday 10 March 2009

The Parliament met at 10 a.m..

The Clerk – I have to inform the Parliament that both the Speaker and the Deputy Speaker are unavoidably absent. Mr Assistant Speaker will take the Chair.

Mr Assistant Speaker (Mr Guma Wau) took the Chair and invited the Member for Kabwum, Mr Bob Dadae, to say Prayers:

‘Our Heavenly Father, if we are not honest and perfect in everyway, there would not be any reason to come before you this morning. Father, by way of our conducts, actions, our feelings, we do many things wrong.
Lord God, we take this opportunity to come before you that you may grant us forgiveness. We pray that, Father, there is nothing that we can give back to you for the assistance and guidance you have granted to us daily. We only want to give and submit ourselves completely to you, so that, you can transform us inwardly in everything we do with your inspiration.
Father, we pray that in our deliberation today, you will lead us by the power of the Holy Spirit. Guide us in all the decisions we will make today for the good of our nation. We ask for your wisdom and may this day and the days to come be a blessing for us and our people. We make this prayer thought Jesus Christ our Lord and Saviour’. Amen:


QUESTIONS

Mr TIMOTHY BONGA – Mr Assistant Speaker, my questions are directed to the Minister for Housing.
Mr Assistant Speaker, we have been questioning the public servants whether they are performing their duties or not or we are shifting blame to and from the public servants.
Many public servants are residing in the settlements or living with their relatives or wantoks and go to work.
(1) Can the Minister tell this Parliament whether he has a plan for the proposed
housing for the public servants throughout the country?
(2) What is the progressive state of the housing proposal?
(3) When will you build the houses?
Mr Assistant Speaker, we have a real housing crisis in PNG and we need to
address the issue because many public servants are living in the settlements where it is risky for them to work late or get up early to get to and from work.

Mr ANDREW KUMBAKOR – Thankyou Mr Assistant Speaker, I thank the Member for Nawae for his questions but I want him as the Chairman of the Public Accounts Committee to assist me to address this issue.
In fact, when I took the office as Minister in 2006, there were problems that I need to sort out. I faced management problems within the National Housing Corporation (NHC) where I could not produce a good report and make policy for the NHC. I want to make sure that the public servants and the private sectors workforce do have a decent shelter for themselves and their families. My dream is to build decent affordable homes for the workforce in this country.
However, currently we are going through major problems, which are directly involved in building the houses of the public servants and the private sector. We are slowly and critically addressing them and as soon as we are done, we will put up our proposal for our plan of action. We cannot just go ahead and build the houses even to an extent that the policy gives direction that there is readily developed land available or there is sufficient money available to fund this project. These are problems faced by the Housing Corporation.
I think, as much as the Government wants, I have tried my best to see my policy direction implemented but the management did nothing about it. The management did not do their job and there was a lot of corruption in the management system.
Mr Assistant Speaker, the story about the NHC and the statutory bodies are not new issues because at times, there was bad management with no vision, no policy and no programme.
Consequently, a lot of State organisations have failed and ventured into privatisation policy. Today, we see and hear about the many advantages and disadvantage stories of privatisation. These State corporations should have been self-financing so that they can generate revenue to sustain themselves.
They are supposed to be generating revenue for themselves and give dividends back to the Government but this has not been happening. Only a few are doing it today and the Somare-Government is aware of this. Probably, it changes from privatisation of the whole ownership, which has changed the management where we can see some successful stories.
The Housing Corporation is one of those bodies and it’s a sad story at the time when it emerged or amalgamated in 1980 to 1990 from the Department of Housing and Housing Commission.
Mr Assistant Speaker, the Government in its wisdom thought that the two entities are doing the same function and amalgamated the two entities under National Housing Corporation (NHC). A sad news at the time of transferring all the assets was that nobody knows how much records are lost or kept.
I hope the Public Accounts Committee can assist me today to conduct an investigation into National Housing Corporation to assist me to expose those assets for my policy direction.

02/05
Mr Assistant Speaker, the Sunday Chronicle newspaper reported wrongly and it’s not a new story. The Post Courier and the National newspapers tried to ignite the fire but it died out. These types of public servants that do not want to implement the Government decisions and directions should not be employed because they are insubordinate. The National Executive Council (NEC) made the decision.
To answer the honourable Member’s question, I have the programmes and the policy directions. The Government, hopefully, by this year will engage a Strategic Policy Adviser for K3.5 million. The Cabinet has endorsed the proposal for this.
Mr Assistant Speaker, there were three draft Policies in place which were done without my consent as the Minister for Housing. I rejected the policies rather than having the policy written outside and advised the NRI, the Housing Task Force and the National Housing Corporation to get back to me as I will give directions as to how to write the policies and not writing them outside.
I read the news that was published in the media (newspaper) of a NEC Decision made by the Cabinet whilst in Wabag and I am hopeful that the Government through this initiative will engage a strategic policy adviser. The tender was out in December 2006. At least a policy paper will cover a policy which is a sustainable housing policy.
The Housing Corporation’s mandate is limited and is restricted to but does not stop Housing Corporation from playing a major role in the real estate industry. This is one of the failures why the Housing Corporation is not functioning well and the real estate companies are taking advantage of this. The market prices, either rental or sale have increased rapidly.
When Housing Corporation was amalgamated, the total amount of 20 thousand houses decreased down to two thousand houses currently. Some of the good prime assets were not maintained properly and some have gone missing. An example is the one at Gordons – a controversial one.
Mr Assistant Speaker, why did that happen? Because the Housing Corporation did not have enough funds to cater for its Operational Budget.
The National Housing Corporation gets money from the rental payments alone and the lowest rental payment is K5.00 and the highest is K66-00 fortnightly compared to the real estate industry payments of over K2 000. What would the National Housing Corporation do? It cannot afford to purchase a water tank for a tenant residing in the NHC house. This is the problem we have. What will I do?
There are two things:-
(1) The Government will have to allocate more funds to carryout a mass housing program; and
(2) Only then the real estate will consider decreasing their rates for affordable accommodation to cater for the people. Build low, medium and high class houses and that is the only option.
Mr Assistant Speaker, for the first time, the Government has allocated K15 million in the Supplementary Budget. I have 80 houses under construction at Gerehu stage 3B area and we intend to build more because we want to sell them, not building and renting.
We will try and help the people by owning the houses at the end of the day. Renting houses do not work out right because too many problems are encountered and certain bad decisions by the Government also contribute to the rundown of the National Housing Corporation. For instance, the Morgan scheme that was implemented in the past that took most of the good houses away. The Housing Corporation made a big loss in the Giveaway Scheme that gave more than 4 000 houses away. So what did the Government do? I advised them to stop the two thousand houses, engage a special purpose company, identify all the assets, value them and liaise with the Bank. Stand firm if the Government doesn’t assist.
Since 2007 till today, the same old news is ongoing. What alternatives do you have to assist the management crisis of the National Housing Corporation? I am doing my best and I seek the assistance of the Public Accounts Committee.
What’s the alternative in assisting the National Housing Corporation to relieve it from its financial burden? It must be in access of more than K7 million to run its housing program.
How would the National Housing Corporation establish a commercial arm in the corporate structure like all other statutory bodies did? What’s the problem?
The Government has already given the mandate to establish a special purpose company to help address its financial problems and the housing needs faced by Papua New Guinea.
The National Housing Corporation through the NEC hopes to address the policy aspects which will have a sustainable housing policy and a set program. Only then, I’ll be able to justify to the Ministers for National Planning and Monitoring, Finance and everybody that I do have a policy and a program in place. Hopefully, it will cover the low income earners as first priority. The middle income earners housing program has commenced at Gerehu 3B which will be rolled over for sometime.

03/05
Mr Timothy Bonga – Point of order! Mr Assistant Speaker, because the Minister has mentioned the Public Accounts Committee, I would like to clarify that it is definitely a state of affair for the Housing Corporation alone and it didn’t take one week to investigate Housing Corporation but it took us 10 minutes so on record the Minister will be adviced accordingly as to how the Public Accounts Committee conducted its hearing and findings. For the Minister to say that the media has usually misconstrued and started writing something else that we have done our job, we have actually done our job. Thank you.

Supplementary Question

Mr JAMIE MAXTONE GRAHAM – Mr Assistant Speaker, housing is a fundamental right of any person in the world. I am very happy with the Minister’s explanation to the question by the Member for Nawae, however, I want to ask the Minister,
(1) Does he know exactly, the population of this country and its housing needs in total?
(2) Are there any statistics to plan and develop polices?
(3) The Minister is in the process of putting his polices together, can he look at countries in the region who have dealt with their housing needs?
One good example is Indonesia, where the President got all the unemployed and people without houses from Java and put them in Irian Jaya under the Transmigration Policy and it became a successful programme.
President Marcos of Philippines also got the unemployed and homeless people of Manila and brought them to General Santos and built a city there and created a big industry.
Mr Assistant Speaker, I think it is important that the Minister look at models that have been successfully implemented in other countries. Thank you Mr Assistant Speaker.

Mr ANDREW KUMBAKOR – I take this opportunity to thank the Member for Anglimp/ South Wahgi for his Supplementary Question. We are working on estimate figures as to the needs of housing. But the Prime Minister in launching the Gerehu 3B Project made an estimate for 500 000 houses but for Housing Corporation alone, the information we have is almost 100 000 people wanting houses just in Port Moresby alone. So you multiply 100 000 houses with K100 000 that is about K10 billion more and can create a lot of economic benefits and the fastest growing industry, but unfortunately, it needs the land and the money to build and it also needs a policy. Those are things that you are looking at. So we are working on the estimates figure for Port Moresby of about 100 000 houses and 500 000 houses for the whole nation and the way forward is to be able to have those information and we will be working on a IT system to have a database which has been lacking in Housing Corporation for the last 20 years. That is also one of the new work to be undertaken by the new Board because the last Board never really helped. In fact, this Board will be sitting this week to clear some of these issues for management implementation, which will help us develop a system that is required.
With the third question in regards to strategic policy advisor, Mr Assistant Speaker, the experience of our overseas and neighbouring countries in Asia, and of course the engagement of a strategic policy advisor to assist in the formation of a policy. We will be looking into all those areas and come up with a sustainable housing policy for middle income to the higher covenant houses. Thank you, Mr Assistant Speaker.

Mr BENJAMIN MUL – Mr Assistant speaker, I direct my questions to the Minister for Information and Communication, Honourable Patrick Tammur.
Mr Assistant Speaker, in the 2008 National Budget, the Government appropriated K20 million for the formulation of Papua New Guinea National Information and Communication Technology Policy. In April 2008, the Department of Communication and Information produced the ICT Policy to encourage its competition in all sectors of telecommunication including mobile telephones, fixed lines and valued added services such as internet. We are informed that while there is factual competition certain critical areas are currently being reviewed under the phase one for NEC approval in March 2009 for full competition in phase 2.
My questions are as follows:
(1) Can the Minister explain who the PNG nationals or foreigners are carrying the specific reviews which include Telecommunication Regulatory Structure, development of an appropriate community service regime and the development of rural communication strategy under a universal access scheme?
(2) Can the Minister confirm that the ICT Policy review is not done by PNG nationals but in fact, it is done by two Australian Companies, Pre Use and Concept Economics?
(3) Can the Minister explain to the nation why foreign companies should be engaged to formulate PNG’s national ICT Policy?
(4) Can the Minister tell Parliament and the nations tax-payers how much money has been paid to both companies and for what specific jobs they have carried out?
(5) Can the Minister confirm that it is not the Department of Communication and Information who is directly involved in this but rather it is driven by the Ministry of Public Enterprises?

04/05
Mr PATRICK TAMMUR – Mr Assistant Speaker, I thank the Member for North Wahgi for his questions.
First of all, let me say that communication is vital for the development of our country. I want to say to this Parliament and the people of Papua New Guinea that currently my Department is reviewing the ICT Policy and I don’t want to pre-empt NEC decision on the matter. I’ve been directed by the NEC to report back by the end of this month on the ICT Policy.
Mr Assistant Speaker, I want to ask the honourable Member to put his questions in writing and I will respond to him in detail in black and white because some of the questions he raised are very technical. I need to go and sit down with my officers from the Department and then I will respond.
Mr LUTHER WENGE – Assistant Speaker, my questions will be directed to the Minister for Treasury and Finance. I invite the Minister for Higher Education to take note of those questions that I am going to ask.
Mr Assistant Speaker, Lae annually delivers K300 million into the funds of this country. Lae, without any question, is the industrial city of this country and is the central hub of commercial activity where three modes of transport routes are connected.
Mr Assistant Speaker, Lae is ever growing and is a very important city. There is a continuous rainfall in Lae almost everyday and as a consequence, the roads continue to deteriorate with so many potholes. Year in, year out, we continue to endeavour to fix the roads yet we are struggling.
Mr Assistant Speaker, if I can call on the Prime Minister that almost to the verge of the 2007 Elections, he made a commitment of K50 million for Lae roads. Of the K50 million, only 50 per cent was discharged for the project. Contract was awarded to companies who did not seen fit to do the job and unfortunately, the roads continue to deteriorate.
Mr Minister, K25 million of that K50 million is yet to be discharged from your office. Time and time again, I have come to the office and I’m made to look like a guinea-pig in your office. The people of Lae deserve more than what we’ve been treated with now.
Mr Assistant Speaker, my first questions are;
(1) When can we have that K25 million discharged to the provincial government so that tenders can be called for interested applicants to maintain the roads?
I don’t want twist and turn here. Today, you must tell the people of Morobe that money is there in your trust account, as was promised to me, that you will really discharge the money for the work to be commenced.
Mr Assistant Speaker, the University of Technology is the second premier institution for intellectual learning in this country, which we are all proud of. Unfortunately, all the streets in that University is as worst as any of the street roads in Lae City. It’s important that we have those streets maintained to the certifiable standard and that has never been done.
I was told, Mr Minister you take note, that there has been money made available in the Budget and yet that money has not been discharged for the work to begin.
(2) Mr Minister, could you tell the University, the Morobe people and Papua New Guinea, when that money will be released to carry out the work?

Mr PATRICK PRUAITCH – Mr Assistant Speaker, I thank the Governor of Morobe for his important questions in relation to funding for the Lae roads and of course the maintenance of the University of Technology roads.
Mr Assistant Speaker, yes, Prime Minister has made commitment to fund Lae roads to a tune of K50 million. The first K25 million was captured in the 2007 Supplementary Budget whilst the other K25 million was captured in the 2008 Budget.
The first K25 million was released to the provincial government, which in its wisdom awarded the contract. There was a bit of hiccup with the Department of Works and Central Supply & Tenders Board regarding that particular project to follow procurement process. I believe that issue has been sorted out.
The second batch of K25 million, currently sitting in the Trust Account will be released once the scope of work is furnished, to the Department of Works. Money is there and I can confirm to the Governor and to the people of Lae City.

05/05
We are waiting for the scoping for the roads to be submitted then the money will be released and I hope that the Governor is aware of it. Mr Assistant Speaker, in terms of money for Lae roads, I am not aware of any funds earmarked specifically for fixing of Lae roads and if it is to be part of the –

Mr Luther Wenge –Point of Order! Minister, I am not asking for the Lae roads for the second time. I have asked you for roads or streets in the University of Technology. Thank you Mr Assistant Speaker.

Mr PATRICK PRUAITCH – I will answer his questions but he talked about the roads at the University of Technology, which I am not sure whether there is a specific allocation or if it is to come from the remaining K25 million allocated for the Lae city roads. I can confirm that the money is still sitting in the Trust Account. Thank you Mr Assistant Speaker.

Mr MICHAEL SAPAU – Thank you Mr Assistant Speaker, my question is directed to the Minister for Commerce, Trade and Industry and I would like the Minister for Finance to take note.
But before I ask my questions, I would like to make a brief statement. Mr Assistant Speaker, we can continue to talk and debate on the major issues concerning our nation but I wish to put forward on this Floor of Parliament, certain concerns that affect many of our ordinary people everyday.
My concerns relates to the quality of goods and exorbitant prices of goods offered in stores, poor quality for services rendered, faulty meters and scales that organisations use to charge people and bad company policies, which simply exploit our people.
Mr Assistant Speaker, I have actually witnessed an incident where a person could not return a radio nor obtain a refund for a faulty item purchased from an Asian shop a few hours before. Despite the plea by the customer who came into the shop with his witnesses, the Asian refused to have anything to do with that man.
Mr Assistant Speaker, a heated argument followed resulting in violence and the local man was locked up in the police cell. There are also instances where certain Internet service providers forfeit credits from customers who do not use their hours purchases in a given time and a certain mobile phone company literally forces people to keep on purchasing cards or it becomes ineffective with a certain limited time. Faulty scales used by airlines at airports and meters at service stations and the list goes on.
Many of our people have lost millions of kina through unscrupulous dealings as they go unchecked by authorities and there is an urgent need for better consumer protection.
My questions to the Minister are as follows:
(1) What are the mechanisms in place if any, to provide better consumer or better customer protection and if so, are they well represented in all provinces?
(2) How can companies and organisations who apply policies that exploit people or are illegal in nature be dealt with?
(3) Who carries out checks on accuracies of meters and scales and if so how often are they done?

Mr GABRIEL KAPRIS – Thank you Mr Assistant Speaker.
Firstly, I would like to acknowledge and appreciate the very important questions, which were raised by the honourable Governor for Manus.
Those are very important questions and many times we have seen or read from the newspapers that some Papua New Guineans are customers or clients to many of our business houses here.
When they buy goods, those goods don’t last and I recall an incident where my wife bought a bag from one of the shops and just within few hours, the sling of the bag came off and that is how serious it is. In Papua New Guinea, we have seen so many goods that are now been imported into the country without proper checks been done because we have dealt with so many businesses because they have close relations with some of our legal authorities who are law and order enforcers.
And this makes it very difficult for those people who have been importing illegal goods into the country. I have had similar encounters with a number of industries in Papua New Guinea who have raised similar concerns to the office, which we are now addressing, but its very difficult.
Mr Assistant Speaker, going back to the Governor’s first question on how do we protect our consumers or the customers; at this point in time, the Government has two entities and one is the ICCC and it’s within the Department.

06/05
Both institutions should be working closely hand-in-hand to address some of these issues.
Now in the Department, we have the quality check inspectors that are registered within the ICCC and they normally go out and help check the industries. When we receive complaints such as what the honourable Governor has raised and when such formal complaints are raised we address them through those two entities. The ICCC and the National Institute of Standards Office. They normally go together to check and I think that is very important that we have realised that we have difficulties to deal with customs.
At this point in time, it is very difficult to handle this because there are so many things going on and we know as you may have read some time back many of our Customs Officers have been caught and some are now being charged. For this reason, the Government and I believe that it is one of those important areas that we will have to address.
With regards to the second question, it is the representation and how we as a government can have representatives in all the 19 provinces to check on the importation of foreign goods into the country. I believe that if we can work together with ICCC and NISIT with Customs we can be able to apprehend some of those illegal imports that have gone into the provinces.
With regards to the third question and as I have responded earlier, we do have ICCC and NISIT but we like to see the boards of ICCC, Customs and NISIT to work hand in hand to check those problems. It is a concern to many of our domestic industries in Papua New Guinea because we have received so many complaints.
One particular complaint that I have received was from British American Tobacco in Madang and RD Tuna for some products have been imported into the country using forged names indicated that, they were RD products. This also applies to other domestic industries in Papua New Guinea. It is creating a lot of competition and it is killing our industries and that is something that I as the Minister will take on. I will be calling a meeting to talk to my officers to how best we can address these issues.
Thank you Mr Assistant Speaker.

Mr VINCENT MICHAELS – Thank you Mr Assistant Speaker, my questions are directed to the Minister for Information and Communication. These questions are related to the National Television Service, KUNDU 2.
Last week, in response to the Governor for Morobe’s question, the Minister has undertaken that by next year more financial resources will be earmarked towards the development of the KUNDU 2 and further, the Minster undertook to assist the development of the Morobe TV.
Mr Assistant Speaker, So far the National Broadcasting Commission has been allocated K20 million to develop the government owned television service.
My questions are as follows:
(1) Can the Minister confirm or deny that of the K20 million the National Broadcasting Commission earmarked K3 million for the purchase of 28 vehicles from a car dealer and in fact K3.126 million was released to the car dealer?
(2) Can you confirm whether the vehicles have been delivered, as I understand only 5 vehicles where delivered to date leaving an outstanding 25 vehicles?
(3) Can you also confirm or deny that an additional K1.5 million was paid on top of the K3.126 million for reasons only known to the management of National Broadcasting Commission and still 23 vehicles have not been delivered?
(4) Can you confirm whether or not the purchase of the vehicles have met the procurement process as these funds are taxpayers money and public rightfully need to know how these funds have been used?
(5) If there are questionable processes involved can you as the Minister commission an investigation into the purchase of these vehicles?
Thank you Mr Assistant Speaker.

Mr PATRICK TAMMUR – Mr Assistant Speaker, I would like to thank the Member for Tewai – Siassi for his questions.
Regarding the National Television Service, I would like to take this opportunity to inform this Parliament and the people of Papua New Guinea on the vision of the Rt. Hon. Chief Sir Michael Somare in wishing that the people of Papua New Guinea should have their own television station.
I would also like to congratulate NBC for taking the lead to make sure that the National Television Service of Papua New Guinea is telecasted. A similar question was raised last week by the Governor for Morobe and I had said that currently KUNDU 2 is running a two hour programme.

07/05
On your question on the allocation of funds, K12 million was actually allocated to the National Television Services and not K20 million.
And your question on cars, I have instructed NBC Board to look into this issue. Their first board meeting was held in Kokopo and this issue was on the agenda.

Sir MEKERE MORAUTA – Mr Acting Speaker, my questions are directed to the Right Honourable Prime Minister.
Between 2005 and 2008, your government through the annual budget and a number of Supplementary Budgets appropriated funds totaling K31 billion. Of that K31 billion, K4 billion was in supplementary budgets, and most of it went into trust accounts.
Prime Minister, there are growing calls of suspicion and concern about the lack of transparency in the allocation and disbursement of funds from this trust account. By putting these vast amounts of funds into trust accounts, your government has removed it from the scrutiny of the annual budget process and quarterly budget reviews.
As time passes by, the public loses sight of this money and Parliament loses control of it and accountability is difficult to be established not enforced, then the money becomes virtually the government’s slush fund.
Prime Minister, these are public funds and to calm such concerns my questions are as follows:
(1) Can you inform the Parliament how much of the K4.1 billion through Supplementary Budgets paid in trust accounts remain?
(2) Will you table in Parliament, the detail of all disbursements from these trust accounts?
(3) Can you commit your government to table a quarterly report to this Parliament on the operations of the trust accounts with details of all withdrawals and expenditure from them?
(4) Prime Minister, why have sectoral funds allocated to Education, Health, Law and Justice, to name a few, have been taken back and centralised under the National Planning Ministry? Is it because line departments are not capable of spending the money properly and efficiently? What guarantee is there that the funds will now be spent properly by the Planning Ministry according to the original purposes for which the funds have been appropriated for?

Sir MICHAEL SOMARE – Mr Acting Speaker, I thank the Right Honourable Opposition Leader. The answers in relation to the reports and finances are not readily available. I will ask the Treasurer to furnish you the information on trust accounts. And he will also table the report on the accounts, which are associated with the expenditure. I will also ask the Minister for National Planning to explain to you the reason why the funds were moved around.


PERSONAL EXPLANATION

Mr PAUL TIENSTEN (Pomio – Minister for National Planning and Monitoring) – I ask leave of the Parliament to make a personal explanation.

Mr ASSISTANT SPEAKER – Do you claim to have been misrepresented?

Mr PAUL TIENSTEN – Yes, Sir!

Mr ASSISTANT SPEAKER – Go ahead, leave is granted.

08/05
Dr Bob Danaya – Point of Order! When a Member asks for leave, the Parliament must agree to it.

Mr ASSISTANT SPEAKER – Honourable Governor, I think the Leader of Government Business has made his stance clear so the Chair has given him permission to go ahead.

Mr PAUL TIENSTEN – I think the people of Papua New Guinea and this Parliament want to know about a question that the Leader of Opposition asked regarding NADP, Law and Justice and Health. This same issue was brought up by the media in the country.
Mr Assistant Speaker, as you know the RESI Funding has raised a lot of concerns and according to newspapers has also raised a lot of controversies however, I want to make it very clear that the negative and false media report by Post Courier on Government management on RESI Programme and Trust Account is uncalled for.
Mr Assistant Speaker, you would have read another Post Courier article attacking the Government and this time, my Departmental head and myself over the handling of the RESI Fund. The RESI programme was appropriated in the last term of Parliament in 2006 and held under trust account arrangements with the Department of Finance for the National Department of Education to roll-out.
Since that time not one single kina was spent on projects until August 2008 when trust instruments were initially amended to allow the Department of National Planning to implement the funds held in the RESI and other trust accounts. Since 2006 many line agencies of government continue to frustrate our efforts as political leaders to see through the implementation of our government’s development policies.
As a result the Government through our Treasurer amended the RESI Trust Account that would enable a central agency like the Department of National Planning to speed up the implementation of trust accounts.
Mr Assistant Speaker, again Post Courier has sought to report misleading and unfounded reports to discredit our Government with the assistance of the Opposition. They have done it in the past and headline was in yesterday’s paper titled “RESI Controversy.” This is another example of the low standard of journalism we have all come to expect from Post Courier.
The report yesterday only highlighted the bureaucratic procedures and processes that government departments manage behind the scene to roll-out government policies. Yet by forcing such internal processes Post Courier and some of our leaders like the Opposition Leader want to make an issue of nothing. This results in damage done according to the eyes of the public.
Let me go to the transfer of K60 million from the Bank of Papua New Guinea main government account to BSP RESI Subsidiary Account. As you are all aware all monies are held in a separate main bank account with the Bank of Papua New Guinea. In the case of RESI Trust Instrument section No.4(a) specifically mentions that RESI funds are to be held in the Bank of Papua New Guinea to be known as Education Infrastructure Rehabilitation Trust Account.
Under the RESI Trust Instrument 4(b) and 4(c), it specifies that RESI Funds held under the main account with the Bank of Papua New Guinea are to be transferred to a subsidiary account held in a commercial bank. That is normal accounting and if nobody knows this, I do not understand why you continue to dwell on something like that.
It requires specific signatories to authorize this transfer of funding from Bank of Papua New Guinea to the subsidiary bank account. In this case, the signature of the Secretary of Finance and the Secretary of National Planning are required as specified in the RESI Trust Instrument. The Secretary for Finance is the mandatory signatory and the Secretary for National Planning or the Secretary for Education in this case are counter signatories.
This is the case of the transfer of K60 million which is now a subject of the Ombudsmen Commission. Don’t cry those of you who have proposals with me because it will be stuck in there.

Mr Timothy Bonga – Don’t say that!

Mr PAUL TIENSTEN – You should know!
Mr Assistant Speaker, the main account transferred to BSP is also authorized by both secretaries and it is consistent with the approved amount required to roll-out the RESI project.
I want to make it come back to the Transfer of RESI Subsidiary Account with the Westpac Bank to BSP. The creation of RESI Subsidiary Account with BSP replacing Westpac is also in order and there is nothing wrong with it. The authorization was signed by both the secretaries for Finance and National Planning consistent with RESI Trust Instrument. These are all spelled out in the trust instrument. It is not for the Treasurer or me dishing out money to stay in power like what the reports are implying.

09/05
The creation of Section 4 of the RESI instrument specifically states that a new subsidiary bank account shall be established with Bank of South Pacific to be known as Education Sector Infrastructure Rehabilitation Trust Account Subsidiary. The establishment of trust account with BSP and the subsequent transfer of K60 Million from the Central Bank of Papua New Guinea’s main account to BSP to facilitate implementation of projects under RESI is in order and consistent with the trust instruments. Again, we have regulated the trust instruments and in line with the Public Finances (Management) Act 1995 and any established procedure of the government.
Now the interesting part is the signing of cheques using pen. Mr Assistant Speaker, again, the critics have not clearly understood the government’s accounting system before going to the media when funds are transferred to the subsidiary trust accounts held in commercial banks.
In the case of RESI, BSP Bank issues a bank cheque to the government. It is then used to draw down RESI funds held in commercial banks in order that projects are funded and implemented.
The RESI trust instrument section specifically states that all trust account transactions including production of cheques shall be processed to the PNG Government accounting system or its replacement system, which is the BSP Bank cheque. That is why people are getting it wrong.
Since the National Planning Department rolled out the RESI projects in collaboration with the Department of Education, it has done two things; first it releases funds using BSP issued bank cheques made payable to provincial or district treasury operating accounts. It never pays to individual Members and the media must get their facts right.
There are means and acts and when the districts control treasury operated trust accounts they release the cheques to service providers and contractors to implement RESI projects such as the process to the bigger system. So when you take it from a cheque book account and pay the provincial and district treasury, it goes into the bigger system.
Secondly, when a contract is executed by Central Supply and Tenders Board or Provincial Supply and Tenders Board, cheques are drawn from RESI subsidiary trust account and paid directly to the contractor per approve fund draw down schedule. If it is 30 per cent mobilisation, the net installment is 20 per cent, next one is 20 per cent and the final one when it is completed is 30 per cent. Read your contracts if you don’t know.
Mr Assistant Speaker, as you will appreciate the Department of National Planning and Monitoring has been responsible for driving government’s development agenda through the utilisation of trust account funds including that of RESI in full conformity and in accordance with provisions of Public Finances (Management) Act and the RESI trust instrument.
The essence of the secretaries of National Planning and Finance respectively have always been lawful. The public disclosure of legal government procedures in the Post Courier with the intention by some of our leaders from the Opposition to portray a negative circulation using the press must be condemned.
Mr Assistant Speaker, it would have been proper if leaders have some issues then they should have approached me as the Minister responsible or even the Treasurer rather then approaching the media.
Let me assure Parliament and the people of Papua New Guinea that we will continue to pursue and drive the implementation of government policy to transform the rural economy and this is in line with our 2009 Development Budget Strategy. These trust accounts are very important in this regard and no corporate governance has been maintained in roll out of trust account funds including that of RESI. We will continue to do so with the other trust accounts as well.






GOVERNMENT EQUITY SHARE IN THE PAPUA NEW GUINEA
LNG PROJECT – MINISTERIAL STATEMENT –
MOTION TO TAKE NOTE OF PAPER

Mr ARTHUR SOMARE (Angoram – Minister for State Enterprise) – I ask leave of the Parliament to make a Ministerial statement.

Leave granted.

Mr Assistant Speaker, I wish to inform this Parliament of a further development regarding the finalisation of a transaction that will enable the Papua New Guinea Government to fully finance its 19.4 per cent equity in the PNG LNG Project.
Mr Assistant Speaker, as I have announced last November, funds will be provided under an agreement concluded by the Independent Public Business Corporation on behalf of the National Government with IPIC – the International Petroleum Investment Company who is a wholly owned subsidiary of the Abu Dhabi Government.
I wish to advise this Parliament that IPIC on Thursday last week deposited A$1.681 billion into quarantined bank account in Singapore, a global financial centre. The account is ‘quarantined’ because the use of the funds will be exclusively for the purpose of financing PNG’s equity and its contribution to the capital expenditure of the PNG LNG Project.
Mr Assistant Speaker, the funds will be made available when required as PNG LNG Project proceeds from the current Front End Engineering Design (FEED) stage to project construction. The LNG Project consortium led by Exxon Mobil has set a timetable that will result in a final investment decision by the end of this year with project implementation to commence in early 2010.

10/05
Our partners in the venture have reiterated their view that the PNG Governments financing arrangement with IPIC provides an added element of certainty regarding this momentous project, which promises a transformational impact on the national economy over decades.
The finalisation of this financing deal also adds greater confidence around the project, especially at this time when the project is focused on tying up marketing, debt financing, engineering, construction and procurement contracts before project sanction in October and final investment decision in December this year.
This Government’s ability to conclude this financial package is a milestone achievement in itself, especially in the current gloomy global financial climate where some of the biggest financial institutions are battling for their survival and most banks have greatly curtailed their lending portfolios.
The resounding observation and conclusion by reputable investment advisors and financial experts in our immediate Asia Pacific region and the world at large, is that the IPIC deal is a truly exceptional deal. These include lending institutions such as the Japan Bank for International Development, the World Bank as well as Export Credit and Ratings Agencies.
Some acknowledge that this LNG project is Papua New Guinea’s fiscal stimulus package, given the current financial crisis and economic meltdown the world is experiencing.
What this Parliament must be wary of is that the feedback we are getting from many regional and global investment experts and financial houses completely contradicts the views of our own financial analysts and advisors.
In a statement last week the Managing Director of Oil Search Mr Peter Botten, said his company has recently held discussions with IPIC, a potential major new shareholder and he believed IPIC’s relationship with Oil Search would prove beneficial to both parties over time.
This development is important for the Parliament to note because this fresh strategic partnership that the IPBC and Oil Search are building with IPIC is sure to have a broad-based long term beneficial impact on our national development into the future.
As I have said on previous occasions, the manner in which this Government has accessed the substantial funds needed to secure our equity entitlement in the PNG LNG presents a win-win situation for all stakeholders.
Undoubtedly, this financing will generate a positive impact in Papua New Guinea’s vision to commercialise its gas resources. And given the stage the PNG LNG project is currently in, the projects eventual delivery commences early next year thus positioning PNG as the newest gas supplier to the world.
Mr Speaker, the project is prioritised as number five in the global pipeline of LNG project earmarked for development. In our Asia Pacific region, the PNG LNG project is ranked number one. And it makes a lot of sense for the Government to do everything we can to maintain that position
As has been clearly demonstrated, this Government remains committed to ensuring that all further milestones are delivered so that Papua New Guinea commence LNG exports by early 2014.

Motion (by Mr Paul Tienstein) agreed to –
That the Parliament take note of the Paper

Debate adjourned.


SUSPENSION OF STANDING ORDERS –
REARRANGEMENT OF BUSINESS

Motion (by Sir Michael Somare) agreed to –
That so much of the Standing Orders be suspended as would prevent me moving a number of motions without notice on matter of National importance as provided for under Section 101 and Section 102 of the Constitution.

11/05
PROPOSED NOMINATED MEMBER OF PARLIAMENT –
MARY TOLIMAN

Sir MICHAEL SOMARE (East Sepik – Prime Minister) – Mr Speaker, I ask leave of the Parliament to make a statement.

Leave granted.

Mr Assistant Speaker, obstacles to educational and other opportunities which face women at present should be removed, and insofar as it is within the power of the Government do so, the difficulties facing women who wish to involve themselves in the affairs of the nation should be reduced.
Mr Speaker, these words are taken from the Constitutional Planning Committee Report of 1974. It is thirty-five years since that Report was written. Today, is an historic day for Papua New Guinea. Today, we have the opportunity to take action to reduce the difficulties facing women who wish to involve themselves in the affairs of the Nation.
Mr Speaker, Papua New Guineans are a diverse people. We come from the highlands and we come from the islands large and small. We come from coastal villages and towns. We come from big sprawling cities and from tiny remote villages with unique languages. We are many and we are different and we are proud to be so.
Despite these differences, there is much we share. We share a love of this extraordinary country that is our home. In a world which is losing touch with its humanity by living in big cities where people do not know their neighbors and do not care about them, Papua New Guineans still share a love of community and a love of family. We understand the importance of kinship ties and we value the closeness in which we live with our families, our wantoks and our villages.
Women are an inseparable part of community and our family life. They share our lives as mothers, wives, daughters, nieces and friends. Women work at the markets. They sell fish, rice or buai. Women work in the villages. They grow vegetables, they make sago or bilums. Women work in our homes. They prepare the children for school, they cook the food that we love to eat, and they care for family members. They dance when we have celebrations and they cry when there is a death in the village. They are at the heart of community and family life. Community life and family life would be unthinkable without them.
Mr Speaker, today, we say that for too long women have been absent from this part of life in PNG, political life of nation building.
Too long has the business of lawmaking been done without the benefit of women’s perspective, their wisdom and their experience.
Today, Mr Speaker, we say that they belong here in this Parliament as surely as they belong in the villages and in the family homes of PNG.
Our Constitution tells us the same story. In Goal 2 of our National Goals and Directive Principles, we said to all Papua New Guineans that they will have equality and participation. As a people, we called for:
Equality for every citizen to take part in the political life of the country
Equal participation by women in all political activities and;
The National Parliament of PNG to ensure that, as far as possible, it is to composed as to be broadly representative of citizens fro various parts of the country.
Mr Speaker, we know that this call has not been answered for women since the
advent of nationhood.
Since independence, there has been a maximum of two women in Parliament
during any one term. This is a maximum of 2.2 per cent from a group comprising 50 per cent of the population. There is currently one woman in Parliament, comprising less than 1 per cent of these 109 seats in Parliament.
These figures and many scholarly reports on the position of women in PNG show
that the current electoral system does not deliver equality of opportunity to participate, allow broad representation of women in line with the National Goals and Directive Principles.
So, we ask the questions. Is there a power that the National Parliament can use to help it implement the National Goals and Directive Principles as they call for the participation and representation of women in Parliament?
Yes. The National Parliament has the power to appoint up to three members under Section 101 and 102. With a two-thirds absolute majority vote, it can use these powers to increase the number of women in Parliament by appointing three women members.
Mr Speaker, the Constitutional Planning Committee Report tells us why such a power was included in the Constitution: it provides the opportunity for bringing into Parliament people from particular groups not otherwise represented.
We know that women have not been properly represented in Parliament since independence. The use of the power to increase the number of women in Parliament is using the power as it was intended to be used. It is a legitimate way to increase the presence of women in the National Parliament.
The use of the power can also be considered to be giving effect to the Constitutional right to a reasonable opportunity to be afforded to very citizen in PNG to take part in the public affairs of PNG’ hold public office and for all citizens to have the same rights and privileges respective of gender.
The figures demonstrably reveal that the system has denied women such a reasonable opportunity.
Mr Speaker, we also know that culture and community organisation in PNG deny women a reasonable opportunity to undertake the tasks and roles which might then lead to them being put forward a suitable candidates for election.

12/05
Imagine what might become possible for these untapped pool of Papua New Guinean talents. If we truly give our women the opportunity to grow, to learn and to take the rightful place in participation in law making in the country, today we start.
Mr Speaker, appointment of three women. The Members of Parliament will constitute progress with obligation at the international law to reduce discrimination against women, obligation which were created when Papua New Guinea ratified a convention on elimination on all forms of discrimination against women. Taking the action will go someway towards an unseen reputation of Papua New Guinea in the international and regional community. In taking the action, we will also show leadership amongst our neighbours in the Pacific and comply with the Pacific Plan.
Mr Speaker, the Constitution does not prescribe a process to select the three nominees to be put to Parliament for a two-third absolute majority vote. This leaves the process open and to fill the gap, NEC endorsed a process, which has been conducted in a manner which is both transparent and fair.
Some of the people have asked what such a measure (might mean for the families of the nominated women). This is indeed an important question, but there are always hundreds of thousands of working women in Papua New Guinea, whether in paid employment or selling vegetables at the local markets. Many Papua New Guinea women work outside their homes. Many families in Papua New Guinea support their women folk to undertake work, which then make a contribution back to the family income, better nutrition, opportunities for children’s education and other benefits. In the same way, the family support will be crucial for the new women Members of Parliament. Their job will be hard with long hours and they will face intense scrutiny. They will need strong family support behind them, just as all Members of Parliament benefit from support of the strong family behind them.
Today, we will decide whether to appoint three women as Members of Parliament.
Mr Speaker, although the Parliament possesses the power to appoint but has not done so before. I have taken this time today to reassure every Member of Parliament that the use of power in Section 101 and Section 102, appoint three women Members as a highest legal and moral legitimacy. Today, we have the opportunity to take action to begin to achieve the goals and principles we aspired to thirty-four years ago at Indedpendence. I emphasise against are: the temporary arrangement. If three women are appointed today as nominated Members of Parliament, this arrangement will remain in place until election in 2012. It is hoped that by that date, there will be new laws and I believe a proposition is also coming from the Opposition to propose the new law creating reserved seats for women which will mean there will be no further need for the use of Section 101 and Section 102 to appoint the women Members of Parliament.
Mr Speaker, as the matter is to put to vote, I hope for a strong clear yes from the Government and the Opposition alike. It’s time for the Parliament to find some balance together as Members of this Parliament represent the interest of every men and women entirely in Papua New Guinea. It is their duty to create a fairer more inclusive system, a society and nation.
Today, we set an example in this Parliament. I call upon every Member to speak clearly with their vote so that the Parliament may say “the daughters of Papua New Guinea, welcome home”.
I now seek leave to move the first motion.

Leave granted.

Sir MICHAEL SOMARE (East Sepik – Prime Minister) – I move –
That, pursuant to Section 101 and Section 102 of the Constitution, Ms Mary Toliman, being selected under NEC Decision Nos. 106/2008, 175/2008 and 232/2008 as suitable for nomination as a Member of Parliament and having accepted the nomination be appointed as a Member of Parliament for the remainder of the term of Parliament.

Sir MEKERE MORAUTA (Moresby Northeast – Leader of Opposition). Thank you, Mr Speaker. The parties in Opposition stand ready to support and work with the Government –

Mr Luther Wenge – Point of Order! That was moved and there should be a seconder to that motion. So I am seconding that motion.

13/01
Sir MEKERE MORAUTA (Moresby North West- Leader of Opposition) - Mr Speaker, the Opposition Party stand ready to support the Government and establish a process that will substantially increase the number of women elected by the people to Parliament. The basis of our support is obvious, out of our population of six million, half are women. In fact, the figure maybe slightly higher given the fact that women, on average, outlive men.
Mr Speaker, women constitute half of our human resources. Women represent half of our nations’ stock of human capital.
Mr Speaker, the lack of representation of women in Parliament means not only that half of our population do not have a voice in Parliament, the nation is poorer by the under utilization of this half resource of human capital. These facts are the basis of our support to increase the number of women elected to Parliament.
Mr Speaker, we recognize the good work that Dame Carol Kidu has done in setting the process to invoke Sections 101 and 102 of the Constitution. We recognize her good intentions. But the Opposition has some serious problems and concerns about the process and concept of nominations. We do not question the integrity of the process. We do not doubt its impartiality. The Opposition questions its legal basis. The Opposition will support any process to increase representation of women in Parliament that meet the following principle and criteria;
(1) The process must be meaningful, in that, it must lead to a sizable number of women in Parliament,
(2) The process must be prescribed by law and must not be subject to the discretion of any Prime Minister or any Government,
(3) The process must be based on the premise that Membership of Parliament or to be a Member of this Parliament is an elected office.
The proposal before us meets none of these principles and the proposal will not result in a significant increase in the number of women MP’s. It will, if successful in producing three women Parliamentarians which is a mere 2.7 percent of the total number of sits of 112. Add Dame Caro Kidu to the number, who is fairly and squarely elected by the people of Moresby South, the percentage jumps to a fabulous 3.6 percent. Is that fair to women? To us it is token symbolic representation. It is not meaningful.
The process that has been followed has not been prescribed by law, however, honourable or balanced the process followed by the Government, the fact remains it is a made up process. As we know the process involves the following;
(1) Public Advertisement,
(2) Establishment of a Second Committee by the Government,
(3) Establishment of a Selection Committee by the Minister,
(4) Interview by the Selection Committee of 12 women in order to submit six names, to the Prime Minister and Leader of the Opposition to rank and then;
(5) The vote by Parliament on the three highest ranked nominee’s separately.
But this process, no matter how transparent, has no legal basis. It is not binding. There is simply no law, which establishes the process to be followed to invoke Section 101 and 102 of the Constitution. In the absence of such a law the process is subject to legal challenge not only by any or all of the 93 unsuccessful applicants but by any aggrieved citizen. The process can also be disregarded, changed or corrupted by Governments in the future. It can be subject to the whim of any Prime Minister or Government.

Sir Michael Somare – Point Of Order! Mr Speaker, at the whim of any Government or Prime Minister, I would like to point out to the Honourable Member that Section 101 and 102 which stipulates in the Constitution and we are merely following the constitutional provision and now it is for Parliament to decide.

Mr SPEAKER – Thank you, Right Honourable Prime Minister for your clarification.

Mr Luther Wenge – Point of Order! Mr Speaker, each speaker must be given a time frame so they can say what they need to say in that given time. We cannot carry on forever.

Mr SPEAKER – Thank you Governor.

Sir MEKERE MORAUTA – Mr Speaker, the process can be subject to the whim of any Prime Minister or Government and used as a reason to avoid establishing a more meaningful and legally binding mechanism to bring women to Parliament.

14/05
Mr Speaker, there is nothing in the Constitution that specifies that only women can be nominated under Sections 101 and 102. A future Government might decide that the three nominated Members should be representative of youth, churches, NGOs, trade union, vegetable farmers, immigrants or disabled people. Indeed, it could be any minority or interested group, where will the women be then? Certainly not in this Parliament.
Mr Speaker, the process that has been followed compromises the integrity of this elected Parliament.

Mr Bart Philemon – Yeah! Yeah!

Sir MEKERE MORAUTA – It introduces a class of Member of Parliament, a separate class from Member of Parliament not elected by the people, but nominated in an indeterminate way than to be elected by the Members of Parliament.
A further concern is the status, powers and privileges of nominated Members. Will the nominated Members be generally be independent Members of Parliament or will they be used as Government backbenches? It has been suggested that they might be appointed ministers, which means they are certainly to become supporters of Government.
Mr Speaker, will the nominated Members be entitled to vote on constitutional laws, budgets, election of a prime minister or vote of no-confidence? Will the nominated Members receive electoral allowances, constitutional grants, or the K10 million allocated to Members for district development? Is it fair for the non-elected Members to enjoy the same rights and privileges as Members who have spent considerable resources in terms of time and money for election?
Mr Speaker, it is obvious from my comments that the Opposition does not support a process of nomination of Members to Parliament. Women must be elected and not appointed. We therefore, have to find a way to guarantee the election of women.
In this context, the Opposition proposes an alternative to the present initiative. We propose that the Parliament

(Members interjecting)

Mr Bart Philemon – Have your say later on.

Sir MEKERE MORAUTA – We propose that the Parliament enact a new Constitutional provision, reserving a minimum of 20 seats to be contested by women only to come into effect in 2012 Election.

(Members interjecting)

Sir MEKERE MORAUTA – The reserved seats should remain as such for three parliamentary terms. Prior to the 2029 Election, the Government of the Day would then review the need for continuation of those reserve seats, or whether women have a chance equal to man to be elected to this House.
Mr Speaker, at the same time the Opposition request the Government to consider fresh recommendations of the Electoral Boundaries Commission to determine, based on population size, if more seats are justified and where. The final determination of the appropriate number of reserved seats for women to ensure that the representation should be based on achieving a target, a proportion of one seat for women for every five elected seats.
Mr Speaker, the Opposition’s alternative meets all the criteria and the principles that I have set apart. It would provide meaningful representation of women, through election. The process will be enshrined in law and will uphold the integrity of this Parliament, which is an elected House. In this way, the women Members will be equal to all Members of Parliament with the same rights, powers and privileges. Once certain constitutional law has been passed, only then the Opposition will support the present initiative.
Members of Parliament, our proposal is that we enact the constitutional law first and once that is in our hand, we can then see the process through.

Motion (by Mr Patrick Pruaitch) agreed to –
That the question be now put.

The motion requiring a two-thirds absolute majority of 73 Members, the Speaker ordered that the bells be rung.
15/05
Dr Bob Danaya – Point of Order! Mr Speaker, the three appointed women, one of whom has been named already, I have no idea who these women are and it will be good to get a profile that we all can look at. Thank you Mr Speaker.

Mr SPEAKER – We have to complete the process and we are into voting, Governor for Western Province.

Mr SPEAKER – Honourable Members, in accordance with Section 101 of the Constitution, this motion must be passed by two-thirds absolute majority, a vote of 73 members.

Mr SPEAKER – Those of you in the gallery, I do not want you to make noise – no clapping.

16/05
Mr SPEAKER – Governor for Western you have to indicate your position.

Dr BOB DANAYA – Mr Speaker, I abstain from voting.

Mr SPEAKER – Governor for Western you will have to visit your Standing Orders 187, if you are in the Chamber you will have to indicate your position. If you are to abstain you will have to get out of the Chamber I will ask you to indicate your position.

Dr BOB DANAYA – Mr Speaker, if you want me to walk out, I will walk out now.

Mr SPEAKER – You are a Elected Member on this Floor of Parliament it is your wish if you want to vote you will have to vote if you do not want to vote or you want to abstain you will have to go out of this Chamber.

(Dr Bob Danaya leaves Chamber)

Mr SPEAKER – Thank you Governor for Western Province.

Mr Michael Ogio – Point of Order! Mr Speaker, if I remember correctly, I refer to the Standing Orders when the Governor for NCD did exactly the same thing. The Standing Orders is very clear Mr Speaker, if a Member of Parliament does not support then he must leave, but since he is here he supports the motion. The Standing Orders is specific on that, Mr Speaker.

Mr SPEAKER – Thank you for your point of order and also I sought clarification from the Clerk.
I will ask the Sergeant At Arms to bring the Member for Western Province into the Chamber.
Sergeant At Arms, I would like the Governor for Western Province to be brought into the Chamber.

(Dr Bob Danaya leaves readmitted to the Chamber)

Mr SPEAKER – Governor, you will have to resume your seat for you were already in the Chamber and I will not allow you to go out so you will have to indicate your position.

Dr BOB DANAYA – Mr Speaker, I will decline to vote.

Mr SPEAKER – You will have to indicate your position whether you are in favour of or not.

Dr BOB DANAYA – Mr Speaker, it is a hard decision as I told you Mr Speaker, I wanted those relevant information before I can make a decision.

Mr SPEAKER – You will not –

Dr BOB DANAYA – I am a Leader in my own right here Mr Speaker, and nobody must force me to do anything here against my own rights.

(Members interjecting)

Mr SPEAKER – Order!

Dr BOB DANAYA – Mr Speaker, I will not support the vote.
Thank you.

Mr SPEAKER – Thank you Governor.

17/05
The Parliament Voted (the Speaker, Mr Jeffery Nape, in the Chair) –

AYES – 60

NO – 16
There being no two-thirds absolute majority as required by the Constitution, motion not carried.


RESCISSION OF RESOLUTION

Motion (by Mr Patrick Pruaitch) agreed to –
That the resolution be rescinded and the motion be made an Order of the Day for future consideration.


MOTION BY LEAVE

Mr PAUL TIENSTEN (Pomio – Minister for National Planning and District Development) – I ask leave of the Parliament to move a motion without notice.

Leave granted.


PERMANENT PARLIAMENTARY COMMITTEE ON CONSTITUTIONAL
LAWS AND ACTS AND SUBORDINATE LEGISLATION –
DISCHARGE AND APPOINTMENT OF CHAIRMAN
AND COMMITTEE MEMBERS

Motion (by Paul Tiensten) agreed – I move –
a) That, Mr Thomson Harokavek be discharged as Chairman and Mr Benjamin Philip be discharged as Members of the Constitutional Laws and Acts and Subordinates Legislation.
b) And Mr John Pundari be appointed Chairman, Mr Francis Potape be appointed Deputy Chairman and Mr Jamie Maxtone Graham be appointed Member of Constitutional Laws and Acts and Subordinate Legislation Committee.


AJOURNMENT

Motion (by Mr Paul Tiensten) agreed to –
That the Parliament do now adjourn.

The Parliament adjourned at 12.30p.m..
=========================================================================


SIXTH DAY

Wednesday 11 March 2009


The Speaker (Mr Jeffery Nape) took the Chair at 10 a.m., and invited the Member for Kompiam-Ambum, Mr John Pundari to say Prayers:
‘Papa blong mipela long Heven, Yu gutpela God tru long laif bilong mipela. Yu wokim Heven na graun na olgeta pawa na strong em bilong yu tasol. Mipela iluk save long yu olsem God blong kantri bilong mipela, God bilong laif blong mipela na ol famili bilong mipela.
Papa God, tudei long dispela taim mipela laik tok tenkiu long luk save bilong yu, sore bilong yu na blesing bilong yu, mipela i amamas long em long dispela kantri.
Tenkiu long konstitusen bilong mipela na long fridom mipela i amamas long em. Tenkiu o Lord yu save stap lukautim mipela oltaim.
Papa long dispela taim mipela laik tok tenkiu olsem sore bilong yu istap wantaim mipela na bikpela moa bai go long ol pipol bilong mipela husait istap long taim nogut. Lord mipela i prei olsem luk save, sore, na belising bilong yu bai stap wantaim ol lain husait ibagarap pinis long ol bikpela rein, win na graun buruk ibagarapim ol.
Lord, long dispela taim tu mipela ilaik tok tenkiu olsem yu makim mipela lida long wokim wok bilong ol pipol na kantri bilong yu. Mipela ikam wantaim ol diferen wei bilong mipela wanwan. Planti taim mipela isave burukim ol lo bilong yu tasol long sore bilong yu, yu makim mipela olsem lidas na mipela itok tenkiu.
Lord, mipela iprei tu olsem bai yu lus tingting long olgeta pekato bilong mipela na bai yu stap klostu long mipela na blesim tingting bilong mipela. Blesim Praim Minista na Deputi Praim Minista na ol minista waintaim Opesisen Lida, Opesisen membas na mipela olgeta yet na yu was long mipela wantaim wisdom na andestending. Mipela iaskim dispela long nem bilong pikinini bilong yu, Jesus.’ Amen.


SUPREME COURT ORDER (Mr PETER WARANAKA) –
STATEMENT BY MR SPEAKER

Mr SPEAKER – Honourable Members, I present the Supreme Court Order dated 5 March, 2009 and entered 10 March, 2009 which ordered among others that the review is granted to the decision of the National Court sitting as the Court of Dispute and Returns for the Yangoru-Saussia Open seat for the 2007 National Election dated 23 April, 2008 is quashed and the election of Mr Peter Waranaka as Member for Yangoru-Saussia Open in the 2007 National Election is confirmed.

QUESTIONS

Mr FRANCIS POTAPE – I wish to direct my questions to the Minister for National Planning and Rural Development.
Mr Speaker, before I ask these series of questions, I would like to thank the people of Komo-Margarima for giving me the mandate the second time to represent them in Parliament.
I want to assure the losing candidates and the developers in the electorate and the Government of Papua New Guinea that I will try my best to provide the political leadership that is needed in the electorate that is hosting the LNG Project.
Secondly, I would like to thank the Government and the Minister for National Planning and Monitoring for funding the up-grading of the Komo to Tari and Tari to Margarima section of the Highlands Highway and the maintenance of the Noweli Police Station under the Tax Credit Scheme. The contractors did an excellent job and the people of Hela are very happy.
The Komo-Margarima Electorate hosts the Hides Gas Fields, North-West Moran and South-East Manada Oil Fields and yet the road and its network are very poor in some cases and non-existent in many.
Mr Speaker, Komo is a district administrative centre, hospitals and police stations are rundown and eventually burnt down to ashes due to escalating law and order problems some 10 years ago.
Mr Speaker, Margarima is a rundown government station and it has a police station which is mended by a lone old policeman from Enga province who has retired some six years ago but is still looking after the police station while waiting for his retirement payment.
Papua New Guinea is talking too much about the LNG Project but what about the electorate and the people who will be hosting the project remain with no better roads, police stations, hospitals, shopping centers et cetera.
The landowners of South-East Mananda allow oil to flow out of Komo on the agreement that the 20 kilometer Komo to Ajakaiva road which has a debt under the Tax Credit Scheme. This project was ready to be funded by Oil Search Limited under the Tax Credit Scheme but now Oil Search Limited is saying that they are unable to fund the road because of the dropping oil prices. Unfortunately, for the poor landowners they were never told at the first place that the agreement for the road will be subjected to the oil prices.
(1) Can the Minister fund this lifeline road for the Komo and South-East Mananda landowners using funds from the road sector programmes?
The Komo and Margarima hospitals were also approved last year by the Department of National Planning for construction at a cost of K7 million under the Tax Credit Scheme.

02/06
Again, the project has been put on hold due to the dropping oil prices according to Oil Search.
Mr Deputy Speaker, can the Minister fund this important and strategic hospital using funds from the health sector programs? The hospital will worthily compliment the LNG Project.

Mr PAUL TIENSTEN – I thank the Member for Komo-Magarima and I want to take this time on behalf of my people of Pomio to thank him for returning to Parliament. At least he has left the other side and he is in the right place. Thank you, you have made a right decision to be on this side.
Mr Speaker, Komo-Magarima is a very important district. It lies within the Hela area and hopefully we will make them become a province soon once the Parliament makes a decision. It is a very important district where we will have the biggest LNG plant in the history of this country.
The Government’s commitment in terms of helping those districts where this project is located is not to be underestimated. We will continue to ensure that we put money in there to help build infrastructure and also other critical areas so that we can literate the LNG gains and also the benefits going to the people in the project area.
But coming back to the specific question in relation to health centre and roads, first of all let me thank the Member for raising this question in relation to lack of development in the Komo-Magarima in the last ten years.
Mr Deputy Speaker, as Member also complain about lack of basic services like roads, police stations, hospitals, district administration in our electorate and also location of the electorate including retired 60 year old policeman looking after the police station there.
Let me say that the Somare/Temu Government recognises the importance of that province and also the importance of ensuring that we address the law and order problem so that there is a conducive environment in the project site to allow for the project to kick-off in terms of contracts in the next two years. We presented K71 million worth of cheques to the provincial government to deal with specific law and order related infrastructure and also ensuring that there is a Mobile Squad or Riot Squad established in the proposed Hela Province. This is to ensure that we address some of the law and order problems that are currently happening there.
On his question relating to police station, I think that is a matter for him and his Governor to sit down and reallocate some of those funds to ensure that those specific problems in his district are addressed.
The Somare/Temu Government only allocated K80 million for law and order problem in the budget so some of that has gone to Southern Highlands Province and rest has other law and order problem provinces. But we will certainly look into that and speak to the Member and his Governor to ensure that we address those urgent needs.
In terms of the health centre, it was supposed to be funded under the tax-credit scheme. This is an important scheme where the government forgoes its revenue to allow the contractors or developers to build infrastructures and they are reimbursed. It is an accounting process but I had dialogue with the Oil Search recently and we have asked them to provide specific technical details on both the health centre and the road. So once they provide all these information, I am sure under the tax-credit scheme, they will be able to construct those two critical areas. I will follow-up on this and inform the Member in the next couple of days.
As you know, it is a K7 million worth of project for the health centre. Your road is very important and I want to also advise Parliament that the Government through the Minister for Transport and Works has negotiated US$750 million known as the Multi-Trans Funding Facility that will address all the road systems in both Southern Highlands and Enga. This will be the first phase and then we will deal with the rest of Highlands region under the ADB program.
I am sure your road should be part of those critical roads to be funded under this scheme. So we will have to discuss the road issue with the Minister for Transport so that we can prioritise it as it is an important road for the LNG project.
This Government has also committed K40 million to all Members and I guess some of that is for infrastructure and also for health sector.

03/06
I am sure Member, you have not spent any money because you were out for a while but the money is still there. Prioritise your GDP to ensure that you spent some of that or partner with some of the big roads that are going in there.
I can assure you that this Government will not forget Komo-Magarima, it is a very important district and we will continue to ensure that we address some of your critical needs.

Mr JAMIE MAXTONE-GRAHAM – My question is directed to the Minister for Internal Security,
Mr Assistant Speaker, I think this would be my sixth time to ask about police housing especially for my district of Anglimp-South Wahgi. I understand the Government has allocated K50 million for police housing.
I thank the Prime Minister for that but I would like to say here that the Minister is aware of the run-down state of the barracks.
He has been very active in building Bulolo barracks and many others but what about the Minj Police Barracks?

Mr SANI RAMBI – Yes, you’ve asked on a number of occasions on the police housing in Minj and I would say that, yes, the Government has given us K50 million and the money is being taken care for by the Police Department and it is an administrative issue. I do not direct them as to where that money is supposed to be spent.
It is an administrative issue and when I had the opportunity or when I was asked to work on some of the houses I told most of the Members that it is an administrative issue. Yes, we have built house in Bulolo and its situation is similar to that of Minj. For the one in Bulolo that we have worked on I need to state here that it’s something that I am not directly in charge of but I can say that, do allow me to look at it again and if there are any funds available let me go into Minj and work on that but I do thank you for the question.

Supplementary Question

Mr TIMOTHY BONGA – My question is again directed to the Minister for Internal Security. Policemen in Lae have had most of their land areas destroyed by the Bumbu River and the police have asked me to move them to my electorate. We the people at Nawae are very happy and the police have made their submissions and I want to know if you are able to look into this submission and let Nawae look after some of the policemen.
People in my district are very co-operative to bring policemen from Lae to my district and we want to make sure that the rural policemen are moved to a new location because the houses there are slowly being washed away by the river.

Mr SANI RAMBI – I made a joint submission with the Public Service Minister to NEC on the housing problem in Lae and it is a submission that has got to do with the housing in Lae.
That is an area that we are addressing but if your electorate wants to assist us in moving the police and bringing them into the Nawae for housing purposes alone then it will be a welcoming news and we can go into it.
As I have said the K50 million that has been allocated for the rehabilitation for police housing that money has already been depleted. We do not have any of that money left. We have worked nationwide and you could not see any impact on that because we had to spread that money thinly.
The scope of work that has come into address the housing issue of police right throughout the country has exceeded K700 million and if you look at the K50 million, we have spread it so thinly and that is why you could not see the impact.
We have addressed a few areas like Bulolo but we do not have any money left but in your case where you want to come in and assist the police, I totally appreciate that.

Mr MALAKAI TABAR – I direct my question to the Agriculture Minister and I ask the Minister for Finance and Treasury to take note. The question is in relation to some submissions that were made to National Agriculture Development Plan. I shared this with my other Members from the NGI region and we have found out that our region has not had any funding under this project in 2008 or even in 2007.
At this time the cocoa crop in the region is suffering especially with the Cocoa pod-borer and also the weather pattern is affecting most of the farmers in the region.
(1) Can the Minister explain why none of the NGI regions submission were not addressed or have not received any funding so far?
(2) Can the Minister explain the administrative and operational setup of the NADP or if there are any changes?
I visited the office and was told that Treasury was to release some more funds.
(3) Can the Minister tell us how much money is left?

04/06
Mr Prime Minister, can you inform the Parliament of how much money is left and how much has not been released by the Department of Treasury?

Mr JOHN HICKEY – (Bogia – Minister for Agriculture and Livestock) – Thank you, Mr Assistant Speaker. I would like to inform the Parliament that the submissions provided to National Agriculture Council (NAC) over the last couple of years are intact and are there. They have been generally prioritised but not all of them have been researched and verified. That can be done.
The NAC has not received any funding or whatsoever, none from 2008’s K100 million budgeted for and in the year 2009, we did receive a small amount of money that was due from 2007 funding. That is today’s financial status for the National Agriculture Development Programme (NADP).
The other matter the Member raised was regarding the reorganisation. There has been some reorganisation with the NADP and that is still been done and we’ll expect that to be completed. Submissions will be verified easily.
Mr Assistant Speaker, one of the problems we have with NADP funding is double dipping. It came up in a question directed to me on the Floor last year regarding the matter. I’m told that K20 million has been sent across to the National Development Bank. That’s the source of funding for some of our people involved in agriculture. The other source of funding in the past was through PIP project from the Department of National Planning and Rural Development and of course, direct from our districts, the Joint District Budget (JDB) under District Support Infrastructure Program (DSIP).
When NADP approves a project, they must ensure that no other entity is also funding that project so that the funding meets the guidelines of NADP. That’s the verification process.
Mr Assistant Speaker, there are quite a lot of properties attached to NADP and coffee is one of them. The money that has been provided, a small amount by NADP has been very successful. The biggest impediment that we find with all of these commodities are roads.
In 2006, the Government decided that we park alongside NADP – some funding for a commodity road improvement program. This funding was provided but never came across to NADP and to our knowledge, none of that money has been spent in support of agriculture projects particularly, coffee. Coffee along with cocoa in our country is a success story.
In 2002, PNG produced 680 000 bags of coffee. At the end of last year, Papua New Guinea had almost produced 1.2 million bags of coffee, which is 100 per cent increase in production.
It’s the policy and aim of the Government to increase coffee production up to two million. But we need roads, improvement on our commodity roads so that the people can move their products out. That is the biggest impediment at the moment that we see towards the development and increase in production of the agricultural sector.
A lot of money has been spent in East New Britain on cocoa pod-borer. To eradicate cocoa pod-borer as it’s demonstrated in my own district, where we had a very serious outbreak, we eradicated b with the support of the community and very little funds from the Government.
In some areas where money has been provided, the officers have not gone down to the ground and work closely with the growers and the various communities in those areas. That has been one problem.
Mr Assistant Speaker, the other problem with cocoa pod-borer is finance accountability. There has been very little accountability provided by Copra and Coconut Industry (CCI). The CCI is not a success story. I must advise the Parliament on that. We have not been able to eradicate cocoa pod borer in East New Britain or in Sandaun. That has not been done. Its overflowed to East Sepik. It is a real problem that needs to be seriously addressed.
I have spent a lot of time personally on that problem but unfortunately, I have experienced a lot of incompetency with the CCI where they are not working directly with the producers. Should the Member wish any further advice or answers to queries, I’ll be pleased to address them.

Mr PETER IWEI – Thank you, Mr Assistant Speaker. My question is directed to the Minister for Petroleum and Energy and the Prime Minister to take note.

05/06
It is the first time in the history of the country that local people have been given three lousy licenses to the people of Telefomin. My questions to the Minister are as follows:
(1) Mr Minister, can you tell the people of Telefomin and me as the Member for Telefomin on the progress of the licenses that you have issued?
(2) Can the Minister tell us the name of the company that he has engaged under the Mineral Prospecting Licenses?
(3) What is the real idea behind giving these local people licenses under the Mineral Prospecting Licenses?

Mr WILLIAM DUMA – Mr Assistant Speaker, as you all know we as Member of Parliament all wish to see that our people advance economically. We want to see that most of the businesses that are operating in this country are owned by our people. We don’t want to see our people become beggars and rent collectors and simply bystanders in the economic development of this country.
Mr Assistant Speaker, I would expect the Member for Teleformin to be the first one to congratulate this Government and the Prime Minister and me for helping him by giving his people licenses.
As you all know since independence not one single landowner company has applied for and compete at the same level as foreigners and to be able to get Petroleum Prospecting Licenses.
Our people have always dreamt of owning those licenses and for the first time since independence, through the wisdom and guidance of the Prime Minister, this Government has been able to give licenses to our own people.
It is one of the policies of this Government that we empower our people economically and yes, we have given three licenses to our landowners from Teleformin, simply because just like all other applicants and in most cases are usually foreigners, they were able to demonstrate that they had access to technical expertise and financial ability and that was why we gave them the licenses because they met all the requirements. Those licenses are owned by the people of Teleformin and in the end if these people are fortunate and are able to strike a bridge with significant amount of oil and gas are discovered they will be able to get those in partnership with other companies and the National Government.
Mr Assistant Speaker, those licenses were given to landowner companies and to my understanding and on what I have been told, it is correct in the process to organise themselves to be able to drill for oil and gas.
The licenses were given for a period of five years and they have a period of five years to be able to drill for oil and gas just like any other company.
I would expect our Members in this Parliament including the Member for Teleformin to assist our people and that means the Member for Teleformin should have a dialogue with his people and find out what they need so that he can support them on this issue, instead of discouraging his own people. We should all take pride because for the first time since independence our own local people have been granted licenses.
Mr Assistant Speaker, I wish to take this opportunity to encourage the Member for Teleformin to have time for his people and see what they need and if possible to assist them to organize finances and to explore for oil and gas which we know are abundant in that area of our country. Thank you Mr Speaker.

Mr SAM BASIL – Mr Assistant Speaker, my questions are directed to the Minister for Works and Transport and Civil Aviation, Honourable Don Polye.
Mr Assistant Speaker, I would like to say that the Works and Transport Department has not performed to expectation especially in their responsibility to the so-called national highway’s in the districts, which are no longer safe to use.
The Bulolo District has a national highway and it starts from 10 Mile in Lae to Bulolo and to Wau and Aseki. This national highway covers four electorates which are Lae, Huon Gulf, Bulolo and Menyamya Electorates.
Mr Minister, there are claims of your works manager in Lae are engaging contractors who then pay bribes under the table and also partly own machines that are currently being used in Morobe. That is one of the many reasons why they are not focused in delivering services effectively. But at another time I will present these questions.
Mr Assistant Speaker, the Lae, Bulolo, Wau and Menyamya Highway is now in a disrepair state with over grown vegetation covering the road, narrowing the access for both the pedestrian and vehicles.
Mr Assistant Speaker, I brought pictures as you can see this highway really needs urgent maintenance and there is a sign post reading, “Where is my Minister and where is my Works Department? Come and cut the grass”.

(Members interjecting)

Mr ASSISTANT SPEAKER –Honourable Members Order!

Mr SAM BASIL – This is a national highway and it is no longer safe and the Works Department is not living up to its responsibility. People are not seeing the roads been repaired.
I also know that the Madang road has been repaired by AusAID, and I got a printout from the Momase Works Office in Lae stating that they have spent almost three or four hundred thousand kina repairing that Madang road from Bogia.
Mr Assistant Speaker, in my observations of the Minister for Works during Question Time and also during his Ministerial Statements, he has a vision with big talks about fixing this and fixing that and raising funds for this and that and the list goes on.
Mr Minister, I think it is time that we all must come together and come up with some new innovative ideas and we must admit that Works Department cannot fix this problem alone.
Mr Assistant Speaker, I ask the Minister for Works to consider a partnership programme between my District and the Works Department and through the Bulolo District Road Maintenance Programme to engage youths along the highway including a tractor to clean vegetation along the highway.
The other proposal will be to have machines to look after the Bulolo to Menyamya border, Bulolo to Wau section on a weekly basis, instead of letting the road become very bad and then responding with very expensive road contractors.
Mr Minister, there is a K9 million earmarked for the Wau-Bulolo section of the road under the 2008 Supplementary Budget. Can your Department allow that money to be used in conjunction with my Bulolo District Road Maintenance Programme to carry out the functions of maintaining the road.
This will greatly reduce the responsibilities of the Works Department as they are currently struggling to deliver services using very expensive earth moving contractors.
I am sure as a Member of Parliament I put my hands up to assist a National Department to effectively delivering services into the rural area. If the Minister thinks otherwise, than what is your plan?
There is no tomorrow and it is now we have to agree and move on. Thank you.

Mr DON POLYE – I thank the honourable Member for Wau/Bulolo for asking his questions in a very aggressive manner which I think he deserves to do because he has seen the conditions of the roads in his Electorate

06/06
The roads in the electorate are not in good condition and the photographs taken indicate that those were seen one or two years back. I had the Secretary for Department of Works, Mr Joel Luma, attending to the honourable Member’s electorate particularly, the highway of Lae to Wau-Bulolo.
A month ago, the Secretary did travel with his works manager to do some training on works programme there and as well as address those very issues that the honourable Member has raised.
Mr Assistant Speaker, I would like to see the dates on which those photos were taken and where you got the placard saying ‘where is the Works Department,’ in those bushes. I hope they are not fabricated to just raise a point because Department of Works is on the ground doing its work.
I do appreciate the honourable Member’s question but I would also like to point out that the Works Department is not sleeping as was portrayed. Works Department is indeed working. If you really go back to the background of Department of Works, looking at all the budget allocations by the National Government, you will see what the strategies on the ground are and you will then have an actual view of what’s happening so that you can be able to come in where you can assist.
However, Mr Assistant Speaker, I’d like to assure this House, the people of Wau-Bulolo and Honourable Member, Sam Basil that those issues he raised about road maintenance, vegetation control, river drainage system and other issues that he was raising are important.
I want to assure the honourable Members and the people of this country that under very difficult circumstances, the Department of Works, through the leadership of the Secretary, under the direction of this Government and also under my ministerial guidance, we are doing all that we can. I’d like to send my team maybe tomorrow to go and look at those roads again because I doubt that they would appear the way it is portrayed on those photographs.

Mr Sam Basil – Point of Order! Mr Assistant Speaker, the photographs were taken on Monday and I think you should go and see it yourself because your works manager couldn’t tell you what’s on the ground. It’s been long time now since you’ve been Works Minister.

Mr DON POLYE – Mr Assistant Speaker, yes, I’ve been the Minister for Works for a long term and I know actually what is there. I would rather ask the honourable Member to co-operate so that I can give him more advice on this and probably guide him to what we are doing.
Mr Assistant Speaker, the road is being addressed and the K9 million that is within the budget has already being put to use on the roads. So I’d like to assure the honourable Member that the Department for Works-

Mr Sam Basil – Interjecting.

Mr DON POLYE – Mr Assistant Speaker, I’d like to advise the honourable Member to listen to the answers and appreciate it. You will get your roads done.
I’d like to also advise this House that if you compare to other parts of the country, some of the roads are sealed like the Lae-Bulolo-Wau but some national roads are far worst than the road that the honourable Member for Wau-Bulolo is referring to. This road is at least in a much better condition than the others. All he is complaining about is the grass growing on the sides.
The second part of this question, Mr Assistant Speaker, in regards to innovative ideas, I’m glad the honourable Member has raised that issue because that is the crunch of the matter. He’s got a solution to himself, which I commend the honourable Member to come in and partner with the Department of Works to achieve those intended strategic objectives. That is the way to go.
The argument is not that the Government through the Department of Works delivering to the people, but the argument is mobilising of resources and improvising under the difficult circumstances to deliver to our people. That must be the crunch of the matter.
You will never get all the money that you desire to have in an electorate. It is difficult and it is all the same throughout the world. That’s why all the smart thinkers, politicians and government and people in the government systems do is try to look at partnership arrangements. That is the policy of this Government the public-private partnership. That is what the Department of Transport and the Department of Works have been talking about and I am glad that the honourable Member has now come into this particular policy framework.
I thank other honourable Members like the Member for Anglimp-South Wahgi, Member for Chuave, Member for Nawae and the Member for Finschhafen who have already come into this arrangement.
The Member for Bulolo, I commend him and encourage him to come and discuss with me and my officers in the Department to go into partnerships to build your roads there. Works alone cannot do all the roads. You’ve got some money in your DSIP fund like K10 million. You must think smart as to how you can go into a strategic alliance to perform our duties. We are doing the same job.
The Department of Works cannot do all the roads networks and rural roads in all the provinces and throughout the country. The fact remains that we do not have adequate resources to address all those needy areas. But the best thing is I encourage innovative thinking and that is what the Department of Transport is doing. I ask all of you to come forward and let’s put all the ideas together and work.
I’m glad to mention here that the Member for Finschhafen, has he bought machines (earth moving machines). I committed funds using his machines to do his roads. So this is the way to go and that is what we are doing.
So let us not talk on the Floor, but credit must be given where credit is due and where things are done, we should have an overarching overview of issues before we can raise those things with some kind of collective approach.
Thank you, Mr Assistant Speaker, I hope I have answered the questions.

07/06
Mr Luther Wenge – Point of Order! It states clearly in the Standing Orders that a Member is only allowed to talk once during question time so, with the greatest respect, I ask the Member for Lae or whoever did not had a chance to speak.

Mr ASSISTANT SPEAKER – Governor for Morobe, your Point of Order is out of order because its supplementary time.


SUSPENSION OF STANDING ORDERS –
EXTENDED TIME FOR QUESTIONS

Motion (By Mr Jamie Maxtone Graham) agreed to –
That so much of Standing Orders be suspended as would prevent the time for questions without notice this day being extended by 20 minutes.

There being no absolute majority motion not carried.

Supplementary Question

Mr JAMIE MAXTONE GRAHAM – Mr Assistant Speaker, my supplementary question is directed to the Minister for Works, Transport and Civil Aviation regarding road maintenance. We always react to such things as assets, buildings and roads when they deteriorate and we try to go and fix them.

My question is that can the Minister look at some long-term maintenance arrangement for all the roads in the country instead of waiting till the roads are deteriorated and we try to fix them. Thank you Mr Assistant Speaker.


Mr DON POLYE – Thank you Mr Assistant Speaker and I also thank my Member, which I am one of his voters in his electorate. In fact he is one of those Members who have come to work in partnership arrangement with the Departments of Works to work in his electorate and that is the kind of project that I am doing and I would like all of us to work together.
Mr Assistant Speaker, I would like to advise the Parliament and the people that yes, I do have a long-term plan and strategy in place to address those problems.
There are several other projects; one we have been doing it through institutionalising and restructuring this Department inorder to make them become self financing agents so that in that way, they can be able to assist the Government in raising funds to do a long-term road maintenance programme.
Like for instance, this Parliament did enact and establish a road authority and that is the way to go. You will never get the full required funding through the National Government Funding because it is very difficult and impossible but you can only get some but you will not get everything.
So you have to work out a way and that is what the Somare–Temu Government has done but in the previous government, we did establish a National Road Authority (NRA) that has funds for roads. You will find in the budget that every year, you have a road fund in terms of fuel levy at four toea paid to the road fund to carry out maintenance.
Mr Assistant Speaker, what is happening now is that the Department of Works is looking after the national roads and under the National Government budget allocation you will gradually find over time the policy approach and that is the National Authority takes over those section of roads and the Department of Works moves into the roads that have not been attended to for a long time and we would like to look at the National Government through the Department of Works looking after all roads in the country.
Mr Assistant Speaker, that is the area all Governors of the provinces and honourable Members in the Districts should be working towards so that in that way you do not have roads that are been looked after by two to three tiers of government but the National Government through the Department of Works and its agents like National Roads Authority to look after them so that the NRA can find the maintenance programmes through the self-financing entity mechanism whilst the Department of Works through Government funding will be targeting at those strategic roads like what the Minister for Agriculture was talking about.
Mr Assistant Speaker, there is a system already in place and it’s working. At the moment under the National Roads Authority, we’ve got slightly over K40 million per year to address the issues and the first roads that have now been designated by NRA is the Lae to Nadzab roads and today I signed I think, three or four more instruments to go from Nadzab to the Markham Highway and that programme is already in progress.
Mr Assistant Speaker, you will realise that there will be sustainable funding mechanism available overtime. The second approach is by way of awarding a long-term construction road maintenance and major projects. If I wanted to construct the Gulf and Southern Highlands Highway, which is also a very important agenda on this Floor of Parliament for some time because we must have some alternative routes connecting the highlands and the lowlands. Like we’ve been saying all the time the road is under construction now.
Mr Assistant Speaker, we do have under tax credit scheme and the Gulf –Southern Highlands Road is under construction. Also under the ADB loan, under the joint venture arrangement with the Government of Papua New Guinea. Under a additional loan we’ve got that section of the road done through Honourable Peter O’Neill’s electorate then to the Kagua-Erave. We have already awarded two contracts to carry out the work.
Mr Assistant Speaker, what I see is to have long term contracts awarded to major constructors that can be able to mobilise resources and I am confident that they will do a particular section of a road first over a time frame and I think that is the way to go. We have already started that and I have a technical team in place. The Transport Infrastructure Co-ordination and Implementation Committee has already put a paper together and I have looked at it and I told them to go and do some more changes.
So, that is the other policy approach we are taking so you have to already establish the mechanisms in place. You are also looking at a long-term contract mechanism where there is confidence and certainty.
08/06
Therefore, the contractor becomes responsible to take ownership to maintain over a long-term period rather then assigning them for a few weeks of maintenance work.
We are addressing those issues so I would like to advise that this is being done and that can all the Members of Parliament to work with my Department and the Somare – Temu Government and look at what is happening so that you are informed with the real facts that we have. Most of those queries that you have are being addressed by us but there are some things that we must address firstly, the structuring and the reculturing of the Public Service system.
The restructuring of the Public Service, I believe will see some of these issues materialise faster and sooner, so it is a collective approach that we must all take. It is not an issue for pointing fingers at each other or to the government but it is a collective approach that all of us must take under a privatised partnership strategic approach.
Thank you Mr Assistant Speaker.


MOTION BY LEAVE

Mr PAUL TIENSTEN (Pomio – Minister for National Planning and District Development) – I ask leave of the Parliament to move a motion without notice.

Leave granted.


SUSPENSION OF STANDING ORDERS –
REARRANGEMENT OF BUSINESS

Motion (by Mr Paul Tiensten) agreed to –
That so much of the Standing Orders be suspended as would prevent Order of Day Nos. 68, 69 and 70, being called on forthwith.

ORGANIC LAW ON PROVINCIAL GOVERNMENTS
AND LOCAL LEVEL GOVERNMENTS


First Reading

Bill presented by Mr Patrick Pruaitch and read a first time.


Second Reading

Mr PAUL TIENSTEN (Pomio – Minister for National Planning and District Development) – I move –
That the Bill be read a second time.

Mr Speaker, the Inter-Governmental Relations Functions, and Funding Bill provides new funding arrangements for Provincial and Local Level Governments to improve the service delivery system.
These funding arrangements are the backbone of service delivery in the country. If lower levels of government do not have enough funding then they have no hope of meeting the service delivery responsibilities.
Mr Speaker, Parliament has already passed amendments through the Organic Law on Provincial Governments and Local Level Governments. This Bill merely provides the details of how the new funding system will work in practice. It tells us how the pig will be shared among the Provincial and Local Level Governments.
Finally, the pig will be shared in accordance with the Constitution and the Melanesian-way.
Mr Speaker, this is not just a bit of housekeeping this is one of the most fundamental and far-reaching reform that has been undertaken in the country. This is in fact, Mr Speaker, nation building. Our Constitution declares our second goal to be; ‘for all citizens to have an equal opportunity to participate in and from the development of our country’. We accordingly call for equalisation of services in all parts of our country and for all citizens who have equal access to services.
Mr Speaker, the Prime Minister said it best in his speech on the occasion of our 30th Anniversary of our Independence. What then can we do in the next 30 years to share our wealth more equitably among our people. After all, the familiar Melanesian-way is to share what we have in abundance.

09/06
Mr Speaker, at the moment almost two million Papua New Guineans live in provinces that have less than half the funding that they need to deliver minimum basic services. This is happening because we are not sharing our wealth according to our way, previously we have not done as well as we should to honor our goal of equity across the country. Not everyone has shared equally from the benefits of our achievements. This new Bill will achieve this and much more.
Mr Speaker, let me outline some of the key points of the Bill. Part two of the Bill provides for a mechanism to clearly determine which level of government is responsible for which services and the provincial and local-level governments have key roles in the delivery of many basic services in health, education, roads and agriculture.
When governments are not sure what they are responsible for it is unlikely that services will be provided. These new Acts will provide for the Governor-General on the advice of the National Executive Council to issue a determination that clearly sets out the service delivery functions and responsibilities of each level of government. Finally, there will be no more confusion about roles and responsibilities.
Part three of the Act establishes the equalisation system; the equalisation system will form the core of the new funding system. The objective of the new system is to ensure that each provincial and local-level government have a similar financial capacity to deliver the legally mandated service delivery responsibilities.
One of the most significant area of service delivery in this country is the huge dispiriting cost between provinces.
Mr Speaker, the cost of providing the same services varies enormously. Some provinces have high population spread over the large and inaccessible areas and others have more developed road nets that allow our citizens to access services more easily. It can cost up to five times more to deliver the same service on a per person basic in one province compared to another. There are also huge differences in the funding that each province has available to meet the cost of these services. Some provinces receive very large amounts of revenue from mining and petroleum developments and others receive none. Some provincial capitals serve a large commercial center for neighboring provinces and receive large amounts of GST and remote provinces are left out. And they are the very ones that need the money most because their cost are higher.
Mr Speaker, the three factors; different cost, funding and completion of our responsibility has impacted on the quality of life for our people. The result is deteriorating service delivery.
Mr Speaker, we can do better, this Bill is the first of many steps to improve the service delivery system. This new system will distribute funding that will take into account the different cost and revenue of the province and it is in accordance with our second Constitutional goal for the equalisation of services in all parts of our country and for all citizens to have equal access to services.
Mr Speaker, we all realise the importance of service delivery in our districts. Most of our people live in rural areas, for this reason the National Government has agreed to contribute additional funding for provincial government. This money will be for the recurrent cost of delivering services. It will provide for maintenance of school and roads. The extra money will be added into the new system of over five years and will be directed to those provinces that needed most, this means that no province will be washed out in the new system.
Mr Speaker, we are not robbing from Peter to give it to Paul, however, we are looking after those provinces that need more.
I ask honourable Members of this Parliament to support this Bill. It is one of the most important step we can take to improve our service delivery agenda.
I commend the Bill to the Parliament.

10/06
Motion – that the question be now put.

Motion – That the Bill be now read a third time – put

The Parliament voted (the Speaker, Mr Jeffrey Nape, in the Chair) –

AYES – 86
NOES – 0

Bill, passed with the concurrence of an absolute majority, as required by the Constitution.

Bill read a third time

11/06
NATIONAL ECONOMIC AND FISCAL COMMISSION (AMENDMENT) BILL 2009

First Reading

Bill presented by Mr Patrick Pruaitch and read a first time.

Second Reading

Leave granted to move the third reading forthwith.

Mr PATRICK PRUAITCH (Aitape–Lumi–Minister for Finance and Treasury) – I move –
That the Bill be now read a second time.

Mr Speaker, the National Economic and Fiscal Commission (Amendment) Bill 2008 provides for amendments to the National Economic and Fiscal Commission Act to ensure the role and function of the Commission are consistent with the new inter-governmental finance system and improves the operations of the Commission.
Since there has been extensive changes to improve the operations of the funding system, it is now necessary to make some changes to the operations of the National Economic and Fiscal Commission. The National Fiscal Commission as well as my own Department of Treasury played a crucial role in this new funding system. The new funding will be as good as those people who are operating it.
The Bill makes it clear that the overarching role of the Commission is to provide advice to the Government on inter-governmental finance. The Bill clearly sets out the functions of the Commission and allows the Commission to concentrate on its core business in the calculation of the amount of funding for each provincial and local-level government.
Mr Speaker, I commend the Bill to Parliament.

Motion (by Mr Luther Wenge) agreed to –
That the question be now put.

Motion – That the Bill be now read a second time – agreed to.

Bill read a second time.

Third Reading

Leave granted to move the third reading forthwith.

Mr PATRICK PRUAITCH (Aitape–Lumi–Minister for Finance and Treasury) – I move –
That the Bill be now read a third time.

Motion – That the question be now put – agreed to.

Motion – That the Bill be now read a third time – agreed to.

Bill, by leave, read a third time.


PUBLIC FINANCES MANAGEMENT (AMENDMENT) BILL 2008


First Reading

Bill presented by Mr Patrick Pruaitch and read a first time.


Second Reading

Mr PATRICK PRUAITCH (Aitape–Lumi–Minister for Finance and Treasury) – I move –
That the Bill be now read a second time.

Mr Speaker, the Public Finances Management (Amendment) Bill 2008 provides for a small amendment that is necessary because of the new funding arrangement. Under the new funding arrangement, provincial governments will receive Service Delivery Function Grants. These conditional grants must be spent on basic service delivery and other key component of the new system. These grants will ensure that funding is directed towards key sectors such as health and education. Increased spending in these sectors will assist the Government to meet its millennium development goal.
Mr Speaker, I commend the Bill to Parliament.

Motion – That the question be now put – agreed to.

Motion – That the Bill be now read a second time – agreed to.

Bill read a second time.

Third Reading

Leave granted to move the third reading forthwith.

Mr PATRICK PRUAITCH (Aitape–Lumi–Minister for Finance and Treasury) – I move –
That the Bill be now read a third time.

Motion – That the question be now put – agreed to.

Motion – That the Bill be now read a third time – agreed.

Bill, by leave, read a third time.


GOODS AND SERVICES TAX REVENUE
DISTRIBUTION (REPEAL) BILL 2008


First Reading

Bill presented by (Mr Patrick Pruaitch) and read a first time.

Second Reading

Mr PATRICK PRUAITCH (Aitape–Lumi – Minister for Finance and Treasury) – I move –
That the Bill be now read a second time.

Mr Speaker, the Goods and Services Tax Revenue Distribution Bill repeals the Goods and Services Tax Revenue Act in the new funding system. Provincial governments will continue to receive 60 per cent of the internal GST collected in their provinces. The provisions giving effect to this have now been re-located into the Inter-Governmental Relations (Functions and Funding) Bill. This means that all provisions dealing with Inter-Governmental Relations will be re-located in a single Act. This will make the new system easier to implement and more transparent.
The IRC will continue to distribute the GST in the same manner then it does now. There will be no change to the method of distribution. Provincial governments will continue to enjoy the GST that their provinces have raised.
Mr Speaker, I commend the Bill to Parliament.

Motion – That the question be now put – agreed to.

Motion – That the Bill be now read a second – agreed to.

Bill read a second time.

Third Reading

Leave granted to move the third reading forthwith.

Mr PATRICK PRUAITCH (Aitape–Lumi – Minister for Finance and Treasury) – I move –
That the Bill be now read a second time.

Motion – That the question be now put – agreed to.

Motion – That the Bill be now read a third time – agreed to.

Bill, by leave, read a third time.

12/06



MOTION BY LEAVE


Mr PAUL TIENSTEIN (Pomio - Minister for National Planning) - I ask leave of Parliament to move a motion without notice.

Leave granted.

SUSPENSION OF STANDING ORDERS
REARRANGEMENT OF BUSINESS

Motion (by Mr Paul Tiensten ) agreed to
That so much of the Standing Orders be suspended as would prevent Notices Nos. 77, 72, 71, and 73 being called on forthwith.


ORGANIC LAW ON PROVINCIAL BOUNDARIES
DESCRIPTION (AMEMNDMENT) LAW

Debate resumed from 4 March 2009 (see page …)

Sir MICHAEL SOMARE (East Sepik and Prime Minister) – In accordance with Standing Orders 222(A) I now commence the first required opportunity for debate.
Honorable Members this is a historic moment, first time since independence, this Parliament is called onto create two new provinces. The Hela people’s request for a Hela province started in 1943, then the Member for Koroba–Kopiago in the House of Assembly, Mr Andrew Wabiria moved a motion to establish the Hela Province.
The struggle for Jiwaka province was born at the same time. In 1974 the North Wahgi Local Government Council passed a motion calling on their administration to establish a separate administration area for the Jiwaka people in the Western Highlands.
The people of Hela and Jiwaka have been seeking to realise the dream for almost 36 years, this Bill will realise those two dreams.
Mr Speaker, the Organic Law on Provincial Boundary Amendment Bill proposes to alter the boundaries of Southern Highlands Province and to create the new Hela province; same applies to Western Highlands Province to create the Jiwaka province.
The new Hela province will comprise of the Tari-Pori, Komo-Magarima and Koroba –Kopiago electorates. The Jiwaka province will comprise of Jimi, North Wahgi and South Wahgi areas of the Anglimp- South Wahgi electorate.
In August 2008, the Government approved a criteria that must satisfy to qualify for a grant of provincial status and I am proud to say that they met all the requirements.
The National Government has taken extensive consultation with the people of Hela and Jiwaka. Officials from relevant Government departments and agencies have extensively toured the Hela and Jiwaka regions and are satisfied that these people are ready and committed.
I am satisfied that the people of Hela and Jiwaka have a very strong case for granting of a new province.
Mr Speaker, on the platform of this Government in this last campaign is to ensure the establishment of the two new provinces. The tabling of this Bill demonstrates the commitment of this Government in delivering its promise to the people of these provinces.
Mr Speaker, whilst this represents is a significant milestone for the people of Hela and Jiwaka there is still a very long road.

13/06
There is still a very long road to go down before the new provinces will be fully operational. Just like a small baby. It will need to be nurtured and cared for before it can run freely on its own.
Mr Speaker, this amendment will come into effect in accordance with the Notice in the National Gazette, by the Head of State, acting in accordance with the advice of the Minister. It is expected that the notice would be issued immediately before the writs are issued for 2012 elections. This will mean that there is enough time to make the necessary preparations for the new provinces.
There are many things that will need to occur between now and 2012 and there is still much hard work ahead of us. Provincial Headquarters and Local level Government Centres will need to be established in Hela and Jiwaka and necessary staff arrangements must be in place to form the new Provincial Administration. Provincial Governments have many service delivery responsibilities. The people of Hela and Jiwaka will rightly expect improvement in services. They will want their children to go to school. If they get sick to be treated and to be able to take their crops to markets, the new Provincial Government has a mammoth task ahead of them.
Mr Speaker, the Department of Provincial Affairs and the Local level Government has been working closely with the people of Hela and Jiwaka to determine suitable transitional arrangements to ensure that in 2012, the new Provincial Government and Administration will be operational effectively.
The Minister plans to introduce a bill in June that will establish a Hela Interim Authority and Jiwaka Interim Authority. These Authorities will be responsible for preparation of the new provinces attainment of full provincial government status. It is the intention of the Government that in 2012, the people of Hela and Jiwaka will finally have their Provincial Government.
Honourable Members, we only live once, but the decision to vote on this bill will be recorded for generation to generation. The future children of Hela and Jiwaka will live in their own provinces and enjoy the benefits derived from their provinces. I commend the bill to Parliament.

Motion (by Mr James Marabe) agreed to –
That the question be now put.


Third Reading

Leave granted – to move the third reading fourthwith.

Motion (by Sir Michael Somare) put –
That the Proposed Law without amendments be agreed to.

Mr SPEAKER – As required by the Constitution, the vote must be recorded and that in order for the Proposed Law to be passed, it must be supported by three quarter absolute majority of 73 Members.
Honourable Members, in accordance with Organic Law on Integrity of Political Parties and Candidates are required to submit their Party resolution indicating their party position on the Proposed Law.


PARTY RESOLUTION –
STATEMENT BY THE SPEAKER

Only three (3) political parties have submitted their resolutions. Those who have not submitted their resolutions, it is a requirement that you will have to send in your position. The leader of the Party will have to stand and indicate your position.


14/06

Mr SPEAKER – National Alliance Party?

Sir MICHALE SOMARE – We support the Bill.

Mr SPEAKER – Papua New Guinea Party?

Sir MEKERE MORAUTA – We vote in favour of the Bill.

Mr SPEAKER – Peoples Action Party.

Mr GABRIEL KAPRIS – We support the Bill.

Mr SPEAKER – Papua New Guinea Union Party?

Mr ANDREW KUMBAKOR – We support the Bill.

Mr SPEAKER – Peoples Democratic Movement?

Mr FRANCIS AWESA – We will support he Bill.

Mr SPEAKER – United Resources Party?

Mr WILLIAM DUMA – The United Resources Party wholeheartedly supports this long overdue Bill.

Mr SPEAKER – New Generation Party.

Mr BART PHILEMON – We will vote on conscience.

Mr SPEAKER – Rural Development Party?

Mr MOSES MALADINA – We support the Bill.

Mr SPEAKER – Peoples Party.

Mr PETER IPATAS – We fully support the Bill.

Mr SPEAKER – Melanesian Liberal Party?

Dr ALLAN MARAT – We whole heartedly support the Bill.

Mr SPEAKER – United Party

Mr BOB DADAE – We support the Bill.

Mr SPEAKER – Peoples Labour Party

Mr KONI IGAN – We support the Bill.

Mr SPEAKER – Melanesian Alliance.

Dame CAROL KIDU – We support the Bill.

Mr SPEAKER – National Advance Party

Mr JOHN PUNDARI – We support the Bill.

Mr SPEAKER – PNG Country Party

Mr JAMIE MAXTON GRAHAM – We support the Bill.

Mr SPEAKER – PNG National Party

Mr JOE MEK TEINE – We support the Bill.

Mr SPEAKER – PNG Conservative Party

Mr SUCKLING TAMANABAE – We support the Bill.

Mr SPEAKER – Peoples First Party.

Mr LUTHER WENGE – Mr Speaker, it is the dream of the Peoples First Party to see those proposed provinces birthed. We are here to provide the boat to carry those proposed provinces to the provinces. We support.

Mr SPEAKER – PNG Labour Party.

Dr BOB DANAYA – We support.

Mr SPEAKER – Peoples National Congress?

Mr PETER O’NEIL – We support the Bill.

15/06
The Parliament voted (the Speaker, Mr Jeffrey Nape, in the Chair) –

AYES – 87
NOES – 1

Motion so agreed to.

Ordered – That the third reading, which is the second required opportunity be adjourned for at least two months.

ORGANIC LAW ON THE TERMS AND
CONDITIONS OF EMPLOYMENT OF
JUDGES (AMENDMENT) LAW 2008.

Second Reading

First required opportunity for debate and First Vote from 25 November 2008 (see page…)

Mr MOSES MALADINA (Esa’ala) - Mr Speaker, the first amendment I’d like to present to the Parliament relates to the Organic Law on Terms and Conditions of Judges including the age of retirement, which means from 60 to 72.
This is an amendment to the Section 7 of the Organic Law on Terms and Conditions of Judges. This amendment is a recommendation in the Judicial White Paper compiled by the Law and Justice Sector and presented to Parliament in last Government.
For the purpose of my Committee, this was one of the consequential laws that will be affected by the proposed amendments concerning the Organic Law on the Duties and Responsibilities on Leadership.
Presently, the make up of Tribunals under the Leadership Code is too restrictive and only allows for one sitting judge and two magistrates. This amendment increases the accessibility to tribunals giving the Chief Justice that flexibility to appoint sitting judges, former judges and judges from other jurisdictions similar to ours to sit on Tribunals.
Mr Speaker, you will also see from the amendments, which I will present concerning the Duties and Responsibilities of Leaders that we are now embracing head of departments and their officers to be accountable under the Leadership Code.
And so in widening the parameters of the Ombudsman’s Jurisdiction, we are obliging the Commission to deal with issues expediently within specific time frames. Hence we must make the courts and Tribunals more accessible for cases to be heard.
This amendment also has a positive impact on the Courts in that it potentially makes available more judges to sit in our Courts, which is currently experiencing a shortage of manpower.
In other jurisdictions, for example in the Australian Federal Courts, the average age of retirement is 70 and in Canada it’s 75.
Mr Speaker, I commend the Bill to the Parliament.

16/06
Motion – That the question be put – agreed to.

Leave Granted to move the Proposed Law without amendments fourthwith.

Mr MOSES MALADINA (Esa’ala) – I move –
That the Proposed Law be now agreed to without amendments.

Mr SPEAKER – Honourable Members, as this is the first vote, the Constitution requires that a vote must be recorded with that in order for the proposed law to pass, it must also be supported by two-thirds absolute majority of 73 Members.
Honourable Members in accordance with the Organic Law on the Integrity of Political Parties and Candidates the Parliament will now vote.

The Parliament voted (the Speaker, Mr Jeffery Nape in the Chair) –

PARTY RESOLUTIONS –
STATEMENT BY MR SPEAKER

Mr SPEAKER – Honourable Members in accordance with the Organic Law all registered Political Parties are required to submit their party resolutions, indicating their parties persistent on this Proposed Law. I will ask the Political Party leaders to indicate their positions.

Mr SPEAKER – National Alliance Party.

Sir MICHAEL SOMARE – National Alliance party whole-heartedly support the Amendment.

Mr SPEAKER – Papua New Guinea Party.
Sir MEKERE MORAUTA – The Party will vote in favour of the motion.

Mr SPEAKER – Peoples Action Party.

Mr GABRIEL KAPRIS – We support the Bill.

Mr SPEAKER – Papua New Guinea Union Party.

Mr ANDREW KUMBAKOR – We support the Bill.

Mr SPEAKER – Peoples Democratic Movement Party.

Mr FRANCIS AWESA – We will support he Bill.

Mr SPEAKER – People’s Progress Party.

Mr BYRON CHAN– We will support he Bill.

Mr SPEAKER – United Resources Party.

Mr WILLIAM DUMA – The United Resources Party whole-heartedly supports this long overdue Bill.

Mr SPEAKER – New Generation Party.

Mr BART PHILEMON – New Generation Party supports the Bill.

Mr SPEAKER – Rural Development Party.

Mr MOSES MALADINA – We support the Bill.

Mr SPEAKER – Peoples Natural Congress Party.

Mr PETER O’NEIL – We support the Bill.

Mr SPEAKER – Peoples Party.

Mr PETER IPATAS – We fully support the Bill.

Mr SPEAKER – Melanesian Liberal Party.

Dr ALLAN MARAT – We support the Bill.

Mr SPEAKER – United Party.

Mr BOB DADAE – We support the Bill.

Mr SPEAKER – Peoples Labour Party

Mr KONI IGUAN – We support the Bill.

Mr SPEAKER – Melanesian Alliance.

Dame CAROL KIDU – We support the Bill.

Mr SPEAKER – National Advance Party.

Mr JOHN PUNDARI – We support the Bill.

Mr SPEAKER – PNG Country Party.

Mr JAMIE MAXTON GRAHAM – We support the Bill.

Mr SPEAKER – PNG National Party.

Mr JOE MEK TEINE – We support the Bill.

Mr SPEAKER – Peoples First Party.

Mr LUTHER WENGE – The Bill will be supported.

Mr SPEAKER – PNG Conservative Party

Mr SUCKLING TAMANABAE – We support the Bill.

Mr SPEAKER – PNG Labour Party.

Dr BOB DANAYA – We support.

17/06
The Parliament voted (the Speaker, Mr Jeffrey Nape, in the Chair) –

AYES – 87
NOES – 0

Motion so agreed to.

Bill read a second time.

Mr SPEAKER – Honourable Members, in accordance with Standing Order 222E, I now order the third reading which is the second required opportunity for debate and the second to be adjourned for at least two months this day as required by the Constitution.

ORGANIC LAW ON DUTIES AND
RESPONSIBILITIES (AMENDMENT) LAW 2008

First required opportunity for debate and first vote from (25 November 2008) (See page….)

Mr MOSES MALADINA (Esa’ ala) – I move –
That the Bill with Amendment be read a second time.

Mr Speaker, the whole purpose of the Amendment to the.…of the leadership of these two make the Ombudsman more effective to protect the integrity of leaders and to ensure that the system of government is effectively to the people of this nation.
First of all I would like to stress on the outset that the funding of the Ombudsman Commission is an important part of the government instrumentality who must effectively dispense its duty. And Mr Speaker, I am reminded of the debate that was first recorded in the Hansard on Tuesday 24 of June, 1975 by our founding fathers of the Constitution. Two of whom sit in our midst as Members today.
When the National Constituent Assembly met to introduce the Constitution it was clearly established then that the purpose of the Ombudsman was to ensure that the systems of government work. Also, an effective delivery of services and that the integrity of leaders were protected to enhance the quality of leadership that our people are looking for to guide our nation into the future.
Mr Speaker, as times changed and institutions evolved the government instrumentality must also be reviewed just like the Organic Law on the Terms and Conditions of Judges to increase their age of retirement.
Even the Court System is in need of review. The white paper of the Law and Justice Sector recommends a separate National Court from the Supreme Court with their own judges. And these are issues with legislative changes and perhaps we need to review the jurisdictions of the district courts. For years and years the district courts can only deal with matters up to K10, 000 any amount higher has to go to the National Court, and this is creating a huge backlog of cases in the district courts.
Why can we not increase the district courts’ jurisdiction to K20, 000 or K30, 000? Why can we not empower the district courts so that it can deal with indictable offences? Why do we have to send all these matters up to the National Court where we are experiencing a huge amount of backlog of cases.
Likewise the Ombudsman Commission needs to be reviewed and I would like to go through the Amendment proposed in this Bill to highlight the provisions that definitely should be amended.
First of all I will deal with shareholding, this Amendment was initially proposed by the Ombudsman Commission during our consultation.
18/06
These amendments relates to Section 8 of the Organic Law on the Duties and Responsibilities of Leadership. The current law as it stands provides that prior to any business dealing the leader must get the approval from the Ombudsman Commission.
Mr Speaker, we know that many leaders today have business interest to sustain themselves. For example, if you buy shares on the Stock Exchange here in Port Moresby, Sydney or Wall Street in New York at any time you need approval from the Ombudsman Commission. Some times the window of opportunity to buy and sell shares or to save your investments will only be available within 48 hours or 24 hours or even just within two hours.
We learnt recently that millions of people lost their investments within hours of the market collapse. It will be unreasonable to expect a leader to sit back and wait for approval at two o’clock in the morning from the Ombudsman Commission.
So on these Amendments in Section 8 (3) a leader may conduct his business provided he notify the Ombudsman Commission as opposed to seeking the Ombudsman Commission’s prior approval.
Mr Speaker, under Section 8 (1) it is very clear that if under any circumstances there is a potential for a conflict of interest concerning a leader, his spouse or children under the voting age must obtain approval from the Ombudsman Commission.
Mr Speaker, the second Amendment I would like to deal with relates to Section 16 and it has two issues; the first aspect concerns the heads of department who are now embrace together with the junior officers who are under their control, the second aspects relates to parliamentary committee.
First of all a head of department under the amended Section 16 (a) is obligated to properly expend public funds to implement government policy and directives including the governments budgetary allocation but failing which amounts to misconduct in office.
In addition, a head of department is responsible for action committed by an officer in his/her department. A head of department cannot now just pass the buck for misuses of public funds under his control in his/her department.
Mr Speaker, we stand here in Parliament time and time again complaining about the failure of the simple service to deliver and now with these amendments, they are legally bound to implement government policy.
Mr Speaker, today the government pays over for 700 000 people from the government’s revenue and that is far too many and we need to deal with it. But 70 000 people are formally employed.
Mr Speaker, the other part of Section 16 relates to what we call the amended version in Section 16 (b) and these amendments deals with Parliamentary Committee and its powers to issue directives and summons with it.
The Parliamentary Committee System is an important part of the Parliamentary Institution, which for too long has been neglected. The committees are in fact a mini Parliament that can sit during Parliament recess and should be able to screen and discuss matters of importance to Parliament.
The next Amendment relates to Section 18, which relates to complaint, under this amendment Section 18 (5) it obliges the Ombudsman Commission to complete its investigation within four years and also obliges the Ombudsman Commission to refer matters to the Pubic Prosecutor.
Mr Speaker, it is important that cases concerning leaders are dealt with quickly, it is no good having issues hanging over a leader’s head for years which affects their performance and it is unreasonable to refer cases to the Public Prosecutor. And it is important that leaders are cleared before they present themselves to their electorate for election. The public and the constituent should have the benefit of knowing that their leader has been cleared. Even many public servants also run for Parliament and this time frame also enables them to be cleared before the election.
Mr Speaker, the next Amendments relates to matters that are to be investigated privately and also the right to be heard.
This Amendment relates to Section 20, where the Ombudsman Commission in the course of its investigation are required not to disclose information to the public media of an investigation.
In fact, under the existing law as it stands the Ombudsman Commission is obliged to undertake its investigation privately. It is becoming more often that information about the Ombudsman Commission investigations are being debated publicly.

19/06
The amended Section 20 merely gives the leader concerned the option of seeking re-dress in the National Court. It also gives the leader concerned the right to be heard. The amended Section 30, subsection 6 also obliges the Ombudsmen to, within 14 days, if it is of the view that there is a complaint that warrants an investigation consult that leader concerned to investigate that so he or she rectifies that breach. I am aware that Honourable Luther Wenge will be trying to amend 14 days to 30 days.
If for example, you a minister and you are using a departmental vehicle or if you a member and you are using your district vehicle and when you are already receiving your car allowance. A complaint is sent to the Ombudsmen then within 30 days, the Commission must contact the minister or member and advice him or her that what he is doing is wrong and he should return the vehicle. If the minister or the member refuses then, obviously, that person’s actions may amount to misconduct and the Ombudsmen can take the necessary action against the leader concerned.
Mr Speaker, what we are trying to achieve here is that there should be more interaction between the Ombudsman and the leader. It should be more of a consultative approach to correct what may be wrong rather than have a prosecuting law.
The other proposed amendment is to subsection 20 and 11 which empowers the Ombudsman to give directives to a leader to rectify a situation if the Commission is of the view that an action by a leader is not serious, or trivial. Presently, under the existing law all breaches whether serious or trivial have been referred to the Public Prosecutor and this has been inconvenient.
It has been inconvenient firstly because it creates a backlog of cases if it is fully implemented by the Commission. The Commission, in many cases does not refer so in fact they are themselves breaching the section even for trivial matters like failure to submit your returns. This amendment merely clarifies this issue and gives discretionary power to the Commission where it concerns trivial matters.
Mr Speaker, Section 27 is also amended. By giving the Ombudsmen that discretionary power of deciding whether or not to refer matters and where it concerns trivial matters it can give such directives to ensure compliance with the Leadership Code. We are actually empowering the Ombudsmen with more powers.
The other amendment concerns Section 27 sub-section (c) which deals with the standard of proof. Under the new amendment the standard of proof is beyond reasonable doubt. The Courts have usually set the standard at higher level than civil cases which the standard is on a balance of probabilities. Courts have stated that the standard of proof should be nearer to the standard set in criminal cases which is beyond reasonable doubt and this amendment clarifies this issue.
The Courts have acknowledged that the highest standard is required because we are dealing with leaders and also the fate of their constituents which comprises of thousands of people and whether or not they will have a representative in Parliament.
Mr Speaker, the next amendment is Section 27 and it concerns the composition of tribunals. Presently the composition of Leadership Tribunal is too restrictive in that it only allows for a judge and two magistrates. The new Section 27 sub-section (7) now gives the Chief Justice more options. The Chief Justice may now appoint, for example, three judges or one judge as the chairman and two former judges or judges from other jurisdictions similar to ours. This amendment allows Leadership Tribunals to be more accessible to hear leadership cases.
Mr Speaker, the final amendment is to Section 30 which operates as a bar to proceeding that have been committed in a Court of Law or a tribunal so it won’t be heard a second time. It’s a principal of law that a person should not be prosecuted twice for the same offence.
This amendment also empowers the Ombudsman to refer cases to other authorities. For example, if the matter can be adequately addressed by the police then the Ombudsmen has the power to refer the matter to the police rather than having to have all matters dealt with by the Public Prosecutor and Leadership Tribunal.
Mr Speaker, I commend this Bill to Parliament.

Motion (by Mr Paul Tiensten) agreed to –
That the question be now put.

In Committee

Bill, by leave, taken as a whole

Mr LUTHER WENGE (Morobe) – I ask leave of the Committee to move the following amendments.

Leave granted.

20/06
Motion (by Mr Luther Wenge) agreed to -
That the following amendments be made:
1. CLAUSE 2, NEW SECTIONS – 16A AND 16B, PAGE 3
Clause 2 is amended in Section 16A(1) –

(i) before the word “implement” omit the words “National Government” and insert the following:-
“the Governments, including the Provincial and Local-level Governments”; and

(ii) before the words “implement that” omit the words National Governments” and insert the following:-
“Governments, including the Provincial and Local-level Governments”.

2. CLAUSE 3, COMPLAINTS (AMENDMENT OF SECTION 18), PAGE 4
Clause 3 is amended in Sub clause (5)(a) and (b), by omitting the number “4” and insert the following:-
“2”

3. CLAUSE 5, TRIBUNALS (AMENDMENT OF SECTION 27), PAGE 6-7
Clause 5 is amended in Sub clause (e) in Subsection 7(e), by omitting the paragraphs (i), (ii) (iii) and (iv) and inserting the following:-

“(i) senior magistrate; or
(ii) Judges of the National or Supreme Court; or
(iii) former Judges of the National Court; or
(iv) former Judges of the pre-Independence Supreme Court of Papua New Guinea; or
(v) Judges or former Judges of an equivalent court of a country that has a legal system similar to that of Papua New Guinea.”

4. CLAUSE 6, REPEAL AND REPLACEMENT OF SECTION 30, PAGE 7.
Clause 6 is amended in –

(a) Section 30(1), by omitting the words “Subject to Subsection (8), the” and substituting the following:-
“The”; and

(b) Section 30(2), by omitting the words “Subject to Subsection (8), the” and substituting the following:-
“The”; and

(c) Section 30(3)(a), by omitting the comma and the numbers in brackets and the word “,(2) or (8)” and substituting the following:-
“or (2)”; and

(d) Section 30 by omitting Sub clause (8).

The Opposition has submitted a proposal to be included in the proposed amendment but my advice from the Speaker is that it has to be transcribed and circulated in accordance with the Organic Law so we will do this later.

Bill, as amended, agreed to.

Remainder of the Bill, by leave, taken together and agreed to.

Bill reported with amendments, report adopted.

Mr John Hickey – Point of Order! Could we, with your approval, ask Clerk to ensure that the Attendants distribute these papers to all the Members?

Mr SPEAKER – Minister for Agriculture and Livestock, resume your seat and allow the process to complete.

21/06
Mr MOSES MALADINA (Esa’ala) – I move –
That that the proposed law, with amendment be agreed to.

PARTY RESOLUTIONS –
STATEMENT BY MR SPEAKER

Mr SPEAKER – National Alliance Party?

Sir MICHAEL SOMARE – We support the amendments.

Mr SPEAKER – Papua New Guinea Party?

Sir MEKERE MORAUTA – We will support for the amendments.

Mr SPEAKER – Peoples Action Party?

Mr GABRIEL KAPRIS – We will support the amendments.

Mr SPEAKER – Papua New Guinea Union Party?

Mr ANDREW KUMBAKOR – We support.

Mr SPEAKER – People’s Democratic movement?

Mr FRANCIS AWESA - We support.

Mr SPEAKER – People’s Progress Party?

Mr BYRON CHAN – We support the amendments.

Mr SPEAKER – United Resources Party?

Mr WILLIAM DUMA – We will support the amendments.

Mr SPEAKER – New Generation Party?

Mr BART PHILEMON – We support the amendments.

Mr SPEAKER – Rural Development Party?

Mr MOSES MALADINA – We will vote for the amendments.

Mr SPEAKER – People’s National Congress Party?

Mr PETER O’NEIL – We support the amendments.

Mr SPEAKER – People’s Party?

Mr PETER IPATAS – We support the amendments.

Mr SPEAKER – Melanesian Liberal Party?

Dr ALLAN MARAT – We support the amendments.

Mr SPEAKER – United Party?

Mr BOB DADAE – We support the amendments.

Mr SPEAKER – People’s Labor Party?

Mr KONI IGUAN - We support.

Mr SPEAKER – Melanesian Alliance Party?

Dame CAROL KIDU – We support the amendments.

Mr SPEAKER – National Advance Party?

Mr JOHN PUNDARI – We support the Bill.

Mr SPEAKER – PNG Country Party?

Mr JAMIE MAXTON GRAHAM – We support this amendment.

Mr SPEAKER – PNG National Party?

Mr JOE MEK TEINE – We support.

Mr SPEAKER – People First Party?

Mr LUTHER WENGE - We support.

Mr SPEAKER – PNG Conservative Party?

Mr Mr SUCKLING TAMANABAE – We support the amendment.

Mr SPEAKER – PNG Labour Party?

Dr BOB DANAYA – We support the amendment.

Voting in Progress


22/06
AYES - 89

NOES - 0

Motion so agreed to.

Ordered – That the Proposed Law to alter the Organic Law on the Duties and the Responsibilities of Leadership stands adjourned for two months as required by the Constitution.

CONSTITUTIONAL (AMENDMENT) LAW 2008

Second reading

First required opportunity for debate and first vote from 25 November 2008 (see page…).

Mr MOSES MALADINA (Esa’ala) – I move –
That the Proposed Law be now read a second time.

The amendments to the National Constitution are enabling provisions facilitating for the changes to the Organic Law, which I explained previously. The exceptionwhich I will expound on separately relates to Section 27B and also a new section, Section 219A relating to the establishment of a Permanent Parliamentary Ombudsman Committee.
Mr Speaker, the enabling provisions are firstly, Section 27A and that relates to the embracing Heads of the Departments and their officers. This has been adequately dealt with under Section 2A of the Organic Law on the Duties and Responsibilities of the Leadership.
Secondly, the amendment of Section 28 of the Constitution, which deals with Upholding the Principles of Natural Justice and also the issue of double jeopardy. In other words, barring matters been tried twice for the same offence. Both these matters are dealt with under Section 20 and 30 respectively of the Organic Law on the Duties and Responsibilities of Leadership.
Thirdly, the amendment of Section 29 deals with empowering the Ombudsman with the authority to deal with issues which if they consider trivial in nature. And they may issue directives other then referral for the purposes of implementing the Leadership Code.
Mr Speaker, I would now like to deal with Section 27 (4). This section has being used by the Ombudsman on numerous occasions in issuing general blanket directives to management, statutory departments, provincial administrators, Office of the Rural Development and to others, stop issuing cheques and thus preventing the implementation of government policy and initiatives.
These directives from the Commissioner, quite populared signatoring the election year and general directives are issued. It virtually brings the entire system of government operations to a standstill halting service delivery and generally preventing development process impacting on the lives of millions of Papua New Guineans.

23/06
When these directives are give issued it virtually brings the entire service to a stand still, halting service delivery and generally preventing the development process impacting the lives of millions of Papua New Guineans.
Mr Speaker, we want to make it very clear for purposes of the Hansard that the action of the Ombudsman in issuing the directives using Section 27 (4) is wrong. It was not the intention of Parliament for the Ombudsman to utilise Section 27 (4) in this manner.
From time to time the Ombudsman has also utilized Section 27 (4) in issuing directives to airlines in an attempt to prevent Leaders from traveling to conduct their duties, and on many occasions there have been physical confrontation between officers of the Ombudsman and the leaders in the international terminal. It is not the intention of Parliament for Ombudsman to utilize Section 27(4) to confront leaders in this manner.
We have also experienced incidents where the Government Departments, like the Office of the Rural Development, National Planning and Finance and even the Provincial Administrations are given blanket directives preventing them to operate, directives that they can only operate and deal with Leaders only with the approval of the Ombudsman. The classic example is the Office of Rural Development. Time and time again directions are issued from the Ombudsman that the ORD cannot deal with Leaders without their approval.
Mr Speaker, I want to make it very clear for the purpose of Hansard so that there is no dispute in the future, that it is not the intention of Parliament for the Ombudsman to utilize Section 27 (4) in this manner. The Ombudsman is not an administrative section of these departments.
It is for this reason that we have now amended Section 27 to include subsection (5) to especially, state that the powers conferred on the Commission in this Section does not include power to give directives that prevent the implementation of the Governments annual budgetary allocation, nor was the intention of Section 27 (4) to prevent the Government from exercising its powers, functions and duties aimed at the economic, social, cultural and infrastructural developments of the country.
Mr Speaker, I now refer to the amended Section 219A which deals with the establishment of the Permanent Parliament Committee on Ombudsman Commission.
Mr Speaker, we must make it very clear from the outset that the Committee is not established to oversee the operations of the Commission. The Ombudsman Commission must maintain its independence.
But like other jurisdictions there needs to be a Permanent Parliamentary Committee responsible for Ombudsman Commission.
The responsibilities of the Committee are two-fold. First and foremost reports for the Ombudsman presented to Parliament have not been addressed primarily because no one knows whose job it is to deal with these reports. In other jurisdictions it is the function of the Ombudsman Committee. So instead of having these reports collect dust in Parliament, the Committee can now deal with these matters.
Mr Speaker, secondly, the Permanent Parliamentary Committee on Ombudsman Commission will function like the Public Accounts Committee and has similar powers. Where the PAC deals with financial issues the Ombudsman Committee deals with administrative issues. If for example lives are lost because of lack of medicine at the Port Moresby General Hospital and because people are turned away due to lack of beds despite the Government allocating hundreds of millions of kina to health in the Budget, it could be an issue, which this Committee can make a Parliamentary inquiry on. Where the Ombudsman Commission should deal with this privately, the Permanent Parliamentary Committee on Ombudsman can deal with this matter publicly, in front of the media, which has more impact.
Mr Speaker, sometimes the Government also spends millions of kina establishing tribunals and inquiries to investigate issues. Whereas engaging the Ombudsman Committee would be virtually free apart from hiring one of our conference rooms and paying for coffee and sandwiches.
Mr Speaker, I would recommend the establishment of a Permanent Parliamentary Ombudsman Committee
Mr Speaker I commend this Bill to Parliament.

Motion – That the question be now put – agreed to.


In Committee

Bill, by leave, taken as a whole

Motion (by Mr Luther Wenge) agreed to –
That the following amendments be made, Clause 1, responsibility of office amendment of Section 27, Clause 1 is amended in Sub-clause B,
a) by ommiting the word national Government twice appearing and substituting the following:- Governments, including the Provincial Government and Local Level Government;-
b) and by subsiding after the word policies and directives be made together with the following, powers, functions and duties aimed to achieve the economic, social, cultural infrastructure development of the country.

24/06
Proposed Law with amendments, agreed to.

Remainder of the Proposed Law, by leave, taken together and agreed to.

Proposed Law with amendments, report adopted.

POLITICAL PARTY RESOLUTIONS

Mr SPEAKER – National Alliance Party.

Sir MICHAEL SOMARE – Mr Speaker, we support the Bill.

Mr SPEAKER – Papua New Guinea Party

Sir MEKERE MORAUTA – Mr Speaker, the Party will support the Proposed Law

Mr SPEAKER – People’s Action Party

Mr GABRIEL KAPRIS – We support the Amendment.

Mr SPEAKER – PANGU Party

Mr ANDREW KUMBAKOR – Supports the proposed Amendment.

Mr SPEAKER – People’s Democratic Movement Party

Mr MICHAEL OGIO – We support the Law.

Mr SPEAKER – People’s Progress Party

Mr BYRON CHAN – Support the Bill

Mr SPEAKER – United Resources Party

Mr WILLIAM DUMA – We support the Bill

Mr SPEAKER – New Generation Party

Mr BART PHILEMON – New Generation Party supports the amendment.

Mr SPEAKER – Rural Development Party

Mr MOSES MALADINA – We support the proposed Law.

Mr SPEAKER – People’s National Congress Party

Mr PETER O’NEILL – Thank you, Mr Speaker, we support the proposed Amendment.

Mr SPEAKER – People’s Party

Mr PETER IPATAS – We support the Amendment.

Mr SPEAKER – Melanesian Liberal Party

Dr ALLAN MARAT – Support the proposed Amendment.

Mr SPEAKER – United Party

Mr BOB DADAE – We support the Bill.

Mr SPEAKER – People’s Labour Party

Mr KONI IGUAN – People’s Labour Party supports the Amendment.

Mr SPEAKER – Melanesian Alliance Party

Dame CAROL KIDU – Support the Bill

Mr SPEAKER – National Advance Party

Mr JOHN PUNDARI – the Party supports the Bill

Mr SPEAKER – PNG Kantri Party

Mr JAMIE MAXTONE-GRAHAM – Mr Speaker, we support the Amendment.

Mr SPEAKER – PNG National Party

Mr JOE MEK TEINE – We support the proposed Law

Mr SPEAKER – Pipol’s First Party

Mr LUTHER WENGE – We support the proposed Law.

25/06
Mr SPEAKER – Peoples First Party

Mr LUTHER WENGE – The Proposed Law will be supported.

Mr SPEAKER – PNG Conservative Party.

Mr SUCKLING TAMANABAE– We support the Bill.

Mr SPEAKER – PNG Labour Party.

Dr BOB DANAYA – We support.

Mr SPEAKER – All Political Parties have indicated their positions.
The Question is that the Proposed Law be now agreed to with Amendment.

The Parliament voted (the Speaker, Mr Jeffery Nape in the Chair) –

AYES – 86
NOES – 0

Motion so agreed to

Ordered – That the Third Reading, which is the second required opportunity be adjourned for at least two months this day.

AJOURNMENT

Motion (by Mr Paul Tiensten) agreed to –
That the Parliament do now adjourn to 10 a.m.

The Parliament adjourned at 1.50 p.m..

==========================================================================

SEVENTH DAY
_______________________________

Thursday 12 March 2009

DRAFT HANSARD
______________________________

Subject: Page No.

QUESTIONS. 2

PERSONAL EXPLANATION.. 15

DOWNTURN IN THE WORLD ECONOMY –
MINISTERIAL STATMENT –MOTION TO TAKE NOTE OF PAPER.. 19

ADJOURNMENT.. 30

SEVENTH DAY

Thursday 12 March 2009

The Parliament met at 10 a.m.

The Clerk – Honourable Members, due to the unavailability of both the Speaker and the Deputy Speaker, Mr Assistant Speaker will take the Chair.

The Assistant Speaker (Mr Boka Kondra) took the Chair and invited the Member for Morobe Mr Luther Wenge to say Prayers.

‘Papa bilong mipela long heven, mipela ino lukim yu na mipela ino filim yu na mipela ino tasim yu. Tasol tok biliong yu, yu tokim pikinin bilong yu Jesus Christ na tokim miplela. Tupela o moa i bung long naim bilong mi, mi stap wantaim ol. Olsem na papa God mipela save yu stap wantaim mipela long dispela dei insait long dispela Palament.
Papa, mipela i askim Holy Spirit bilong yu long kam insait long dispela Palament. Long givim tingting na save na wisdom long olgeta membas bilong Parliament. Long ol i mekim toktok na ekspresim wanem samting ol laik ekspresim bilong ol pipol bilong ol na bai Holy Spirit bai halvim ol.
Papa mipela askim long halvim bilong Holy Spirit bilong yu, papa yu no save failim miplela long wanpela dei. Mipela tasol i save failim yu, tasol yu ino save failim mipela. Olsem na tudei bai yu harim prei bilong mipela.
Praim Minista wantaim olgeta minista ol i karim wok yu yet i givim long ol. Olgeta Open Membas karim wok yu yet i givim long ol wantaim olgeta gavenas yu yet i givim long ol.
Ol man ol bai sot long save tasol yu no save sot lo save na sot long ol samting mipela i nidim long em. Olsem na bai yu inapim mipela long dispela dei. Mipela karim hevi bilong kantri , mipela traim best tasol mipela tuat nogut tru na sotwin. Em kantri bilong yu olsem na bai yu helvim mipela.
Ol pipol i laikim ol samting klostu klostu tasol mipela inonapim ol laik bilong ol.
Papa mipela prei long givim undastending long ol pipol bilong dispela kantri. Na olgeta hevi na ol lidas bai inonap long solvim tasol em yu yet long taim bilong yu yet bai stretm long laik bilong yu yet na long plen bilong yu.
Papa mipela prei long bai yu tingting mipela wantem dispela point. Papa mi komitim olgeta membas long dispela Palament wantaim ol lain ol wok insait long dispela Palament igo long han bilong yu, na tu ol lain ol i kam long harim toktok na lukim wanem samting bai kamap long dispela Palament. Helvim ol na toksave long pipol bilong ol olsem lida God yet i makim ol i mekim dispela wok.
Papa ol narapela samting mi ino askim yu, Papa God, yu ol maiti, yu save olsem na mi askim yu wanem samting mi askim yu em yu yet yu save pinis. Na mi askim yu yet i stretim long laik bilong yu.
Fogivim ol rong bilong mipela, mipela save mekim planti ol toktok nogut we bai inap long bagarapim ol sindaun bilong ol pipol. Mipela i askim yu long lusim sin bilong mipela long naim bilong pikinini bilong yu, Jesus Christ .
Papa mipela mekim dispela sotpela prei na komitim olgeta samting long dispela dei na taim bilong dispela Palament i kam long han bilong yu. Mipela mekim dispela prei long naim bilong pikinini bilong yu, Jesus Christ.’ Amen.

02/07
QUESTIONS

Mr BENJAMIN PHILIP – Thank you for recognising me. I want to direct my questions to the Deputy Prime Minister who is also the Minister for Lands, Physical Planning and Mining.
Mr Assistant Speaker, before I ask my questions let me clarify a bit on this issue. Menyamya District is located on State land and it has a small township comprising of district administration, public servants houses, airstrip, high school, vocational and primary schools, DPI, private business houses and churches. But the space within this State land is very limited and not enough to cater for any future development and extension of the township.
Mr Assistant Speaker, with that limited space available we are thinking of future developments for the purposes of commercial, industrial and reserve land for future use as well.
In the beginning of 2002, some businessmen secured this State land without going through the proper procedure. The land they secured didn’t had the right documentation process followed like tendering process, allotment and section, and even the District Administration was not aware of it. These businessmen dealt directly with the officers from the Lands Department in Port Moresby and Lae and got the title of the State land. After securing the land no development has taken place but instead they have used it for raising domestic animals and built bush material houses making gardens on the State land. The image of Menyamya station is very bad and doesn’t look like a town at all.
Mr Assistant Speaker, in the beginning of 2009, a businessman named Timothy Elisha, secured a portion of the State land within the vicinity of the township. This portion of the land was reserved for construction of a police station and office for correctional services.
My questions are as follows:
(1) Can you instruct an independent team to investigate the acquiring of this State land in Menyamya/Aseki Township?
(2) Can you confirm or deny that the officers from the Lands Department in Port Moresby and Lae have not followed the right procedure in issuing of titles?
(3) Can you suspend the title from being transferred to Timothy Elisha?
(4) Can you instruct the independent team to conduct this investigation also in the entire Morobe Province and other provinces as well? There are a lot of foul play going on in securing State land in the country.

03/07
(5) Can you also review the laws and powers to give land back to each district so that Joint District Planning (JDP) and Budget Priority Committee (BPC) can look into in and make recommendations to the Department of Lands and Physical Planning to give titles and permissive occupancy papers in Port Moresby?
This is because employees of the Department of Lands and Physical Planning in Port Moresby and Lae do not know who the landowners are. They usually end up giving the titles to the wrong people over a few lousy kina.
Mr Assistant Speaker, as you are aware, land is a major issue today and the National Government in its budget has allocated huge monies to each district. This is where land is important; we need the land to put up projects in our districts.

Dr PUKA TEMU – I thank the Member for Menyamya for his concern over the Menyamya-Aseki land. It is an important concern and I am sorry about what our public servants are doing.
We will all agree that land is an important asset to all of us. We are running out of State land everywhere and I am happy the Member has brought up his concerns with regard to his electorate.
According to the new policy that we have made when I became the new Minister is to delegate some powers to each province therefore, we are starting to establish Provincial Land Boards. On the same note, I would like to commend governors who have submitted the names of their provincial land board members.
My Department has no plans to delegate powers down to the district level as in district land board or a district land committee however, as a matter of consultation we need to bring in JDP. This is because we need JDP and the Open Member as the chairman of JDP to be consulted with these land issues. I think we can come up with a process for consultation and it must be between the Open Member, the Governor and the concerned Provincial Land Board.
In some provinces, people have asked their Open Member, to nominate a person to represent them in the Provincial Land Board and I think that is very good. I would like to encourage our governors to consult with our Open Members to have representatives so that all land matters can be solved peacefully and fairly but if it cannot be handled there then the National Land Board can look into it.
I know some land Boards will not make fair decisions and my Department is aware of that and will look into such matters. However, with regard to delegation of powers, the process is already there. The other issue of concern is the Provincial Physical Planning Board.
I have delegated powers to the Provincial Physical Planning Board and I have written to all our governors and I am waiting for their nominees. There are however, pre-requirements for the provincial physical planning board. The Office for the Director of National Physical Planning will advice our governors about the pre-requirements that are there. If you meet the requirements then a Provincial Physical Planning Board will be set up. This is because planning for our towns and districts must be done properly. This Board will be responsible for both big and small towns.
I would also like to advise Parliament that only three provinces have Provincial Physical Planning Board while the 16 others do not have one as yet. I will wait for you people to do so according to the requirements so that we can have the Provincial and the National Physical Planning Boards working side by side. I know Lae city has a 20 year development plan already in existence and I expect other smaller towns to come up with something similar.
I would like our Open Members and governors to work together and come up with your plans according to the requirements so that we can plan our towns properly. I will refer to Buka Town as an example; the houses have been placed too close to each other and it does not look nice but they have already taken the initiative to fix that problem.

04/07
Specifically on the issue that the honourable Member raised, yes, I got a letter from the honourable Member and I have instructed my Secretary to organise a team to go and investigate it. The Secretary will inform the provincial administrator, the district administrator, provincial lands officer and district lands officer to work together and consult with us to engage investigation officers. I will establish terms of reference for the investigation to be carried out.
I am sure there are some corrupt deals going on but it is our duty to put in corrective measures. If officers are collecting briberies from private sector and investors, we have to minimise that by establishing an effective Land Board. All the decisions at the Provincial Land Board must scrutinise all applications based on due process.
As the Minister for Lands and Physical Planning, it’s my responsibility to protect the interest of people who are legal leaseholder, or titleholder through due process. Let me inform this House that an investigation has been carried out within the Department and those questionable land dealings, which were not acquired through the due processes have been referred to the Office of the Attorney-General.
Last month, for those of you who have sighted the National Gazette, you will notice that we have been effected forfeiture process already. Up to 42 forfeited land have been gazetted and they are on public tender. We have gone through the books and sighted those land that are available for development and after two years when nothing physical happens on the land, we forfeit that land. That process has been effected and now we are continuing with it.
The honourable Member’s question regarding a businessman who has a license to develop business in Menyamya-Aseki station, and if we find out that he had acquired the license without proper process, we will not stop him from doing his business. If he did get his title through proper process, we will investigate it out and forfeit his land title.
Regarding the land that currently Lae City occupies, I have written to the Deputy Opposition Leader to furnish to my Department the status of Lae City land. Carbon copies have also been made available to the Leader of Opposition, the Governor and Members of Morobe. I want all of you to sit down together and address the issue of land because many customary landowner groups and associations want this issue to be addressed as soon as possible.
Your request to review the existing laws, like I once mentioned on this Floor of Parliament some time ago, I as the Minister for Lands and Physical Planning, we have undertaken Land Reform Programme. There were three areas that we looked at. The first area concerned is the administrative capacity.
If you look at the newspaper two weeks ago, we’ve begun the restructure programme within the Department. We’ve signed agreement with the Queensland Government to improve our filing system through electronic storage and build our capacity to administer and manage State land.
Looking at land disputes, we’ve got about 300 outstanding land dispute issues in the country and that is not good because land disputes creates so many social tensions and problems. As a result of that, the Chief Magistrate through his leadership capacity and under the Land Reform, he established a division to address the problem of land dispute cases.
Hopefully, next week or maybe during the next Parliament session, the Attorney-General will bring in two amendments, which we did base on customary land and LLGs. These are the two amendments that are before this Parliament to address how best we can manage customary land in the country because 97 per cent of the land is customary land whilst the mere remaining 3 per cent is State land.
Mr Assistant Speaker, I hope these answers satisfy the honourable Member for Menyamya.

Supplementary Question

Mr MALCOLM KELA-SMITH – Mr Assistant Speaker, my question to the Lands Minister is very simple and it’s regarding the Lands Board and the Physical Planning Board.
I am led to believe that you personally have to swear in the Boards. My questions are;
(1) Can a magistrate be appointed to swear in the Physical Planning Board and Land Board members?
(2) Would that be acceptable to you, or do you really have to personally swear in the Land Board?

Dr PUKA TEMU – Mr Assistant Speaker, It is best I shouldn’t be on the swearing-in panel. We have the magistrates to do the job. I will approve recommendations from the Provincial Executive Council.

Mr PHILIP KIKALA – Mr Assistant Speaker, my questions are directed to the Minister for Justice and Attorney-General, Honourable Dr Allan Marat.

05/07
Mr Assistant Speaker, village court magistrates and peace officers throughout the country including my electorate of Lagaip/Porgera are simple but hard working people who play a major role in maintaining peace and order in the communities that we all come from.
They should not be mistreated and introduce them to practice corruption by demanding pigs, dogs and money to maintain their position. They should not be made village court officers of the government only to collect K37 a month for allowances and other expenses. This is very demoralising and goes unnoticed.
My question is simple and short. Can the Minister review the relevant laws and legal issues and directly decentralise all village court functions to district development authorities which are under the 89 Joint District Planning and Budget Priorities Committees to supplement funding from our District Infrastructure Programme Funds and others for the operational expenses as an insensitive to perform more efficiently and effectively? Thank you.

Dr ALLAN MARAT – Mr Assistant Speaker, I would like to thank the Member for Lagaip/Porgera for his very important question on village court magistrates.
No one denies the fact that this village court magistrates and peace officers are very hard working people. In fact because of them they prevent a lot of cases coming to higher courts, mainly the district courts and they also prevent a lot of backlog of cases from appearing in the District Courts.
On the issue of mistreatment, I think these group of people are real fighters. They do protect themselves and as I said they are hard workers and yes, mistreatment can be seen in the fact that they are not paid on punctuality and the K37 per month allowance and some times they spend more then K37 just to secure that K37.
Not long ago I received a correspondence from the honourable Minister for Foreign Affairs, expressing the concern and I have promptly raised this matter with the Village Court Secretariat in my Department and we are now beginning to review not only their entitlements but the possibility of reviewing if the responsibility of village court magistrates and peace officers can be brought into their respective districts. Because at the moment they get their allowances from the provincial governments and sometimes a lot of things happen.
Mr Assistant Speaker, yes, I will take this matter on board very seriously with our Village Court Secretariat and see if they can come up with a submission to Cabinet in order to effectively implement the concerns that have been raised.

Supplementary Question

Mr ISSAC JOSEPH – My question to the Minister for Justice and the Attorney- General is on the K37 allowance. It has been for years that these magistrates and peace officers of our villages are underpaid.
Many of them travel and spend a lot of money to come into towns to collect that lousy K37. The living standards are very high.
Can the Minister bring a submission to Cabinet or Parliament so that we can increase that amount to something reasonable from K37? Some of these people have served this country faithfully and they are just underpaid. This money cannot help their grandchildren or families back home.
Mr Minister, some of us here are children of these magistrates and peace officers, and we need to review this quickly and implement some changes.

Dr ALLAN MARAT – Mr Assistant Speaker, I personally agree that K37 per month is very low and it is a fact that our living standards have gone up and they are also human beings and I have noticed in my village that a lot of their time is committed to presiding over cases in the village.

06/07
And it is true that a lot of peace is maintained at the village level and this issue will be looked at thoroughly and we’ll make NEC submission and present it to the Cabinet to look at whether or not we should increase the amount from K37 to something else but for the moment I want to say that nothing is preventing us the members from using some of these funds on law and order and I am talking about the K1 million that has been given to us.

Mr Issac Joseph – Point of Order! Law and Order is a problem but magisterial Services come under Law and Order. You will see that in many provinces it is difficult to split the money. Can you just inform us whether or not you are going to help us?

Dr ALLAN MARAT – We will look into the K37 allowance as well in the submission that we make to Cabinet. For the time being while we are awaiting the review we can get some of these money and assist first as nothing prevents you from taking the matter to JDPBC , how you are going to use that K1 million and use a bit for the village court officials.
These officials are part of law and order.

Mr BART PHILEMON – My question is directed to the Prime Minister and its prompted in a way by an article by Dr Kristoffa Ninkama former Chairman of the National Broadcasting Commission. In an excellent article titled ‘Forty years of complete neglect’ the question that he asked is the question that I will put to the Prime Minister. Is PNG better of now than it was 40 years ago?

Mr Philip Kikala – Point Of Order! Mr Assistant Speaker, I think the Deputy Opposition Leader has been a Treasurer in this country for sometime and he knows the answers very well and it is totally illogical for him to ask that silly question.

Mr BART PHILEMON – Prime Minister you have presided over a period in the history of our independence that generates the highest revenue each year since 2003. K4 billion in 2003 and 2004, K5.7 billion in 2005, K6 billion in 2006, K7 billion in 2007 and K9 billion in 2009 plus a K4 billion surplus for the year 2003 to 2008 a massive K40.4 billion.
It is an interesting article by Dr Ninkama which is 40 years of complete neglect.
I ask the Prime Minister, could you provide some comfort to all of us here as elected representatives of the people; how does that high revenue translate in terms –

Mr Ben Semri – Point of Order! I want to ask the Deputy Opposition Leader that when he is asking his question he must be aware that the Grand Chief wasn’t the Prime Minister for 40 years. There were other Prime Ministers at that time.
For him to ask this question, would seem irrelevant considering the fact that he ruled for ten years consecutively.

Mr BART PHILEMON – I feel sorry for you Mr Assistant Speaker, because all these are useless points of order and they are not really points of order. I am not making a statement I am using the time allocated for question time.
Why are the Government Ministers debating my question, instead of sitting down shutting up and listening so they learn something from this?
Can you disallow any Ministers from opening their mouth until I am finish?

07/07
Mr Assistant Speaker, a record level of revenue at the end of this year will be K47 billion. My questions directed to the Prime Minister who presided over the government since 2002 are:
(1) How does that translate to 7, 300 babies that die every year at 20 per day?
(2) How does that translate to 10, 000 children that die under 5 years old every year?
(3) How does that translate to 55 per cent of our people being illiterate?
(4) How does that translate to 3, 700 mothers who die every year with 10 mothers per day?
(5) Is there, Prime Minster, a system that you use in your Government to tell us and the people of this country what improvements the amount of money that we spend out of the K47 billion brought over the last six years?
There must be a government system where you can tell us and the people of Papua New Guinea how we spent this K47 billion and that the infant mortality, maternal mortality, illiteracy rate and infrastructure have improved.

Sir Michael Somare – Mr Speaker, in reply to the Deputy Leader of Opposition, I would like to say this. I have been the Prime Minster for Papua New Guinea for 16 years if you go back and look at your records and statistics.
Since the country’s independence up until today others, besides me, have also been Prime Ministers of this country. Sir Julius Chan who sits beside you has also been Prime Minster and some of them have set a precedence for us.
I was the Chief Minister in 1972 to 1975 and then from 1975 to 1977 and again from 1977 to 1982. Therefore, I have been in Office for a total of almost 16 years and not for the rest of the years that make up my 40 years in politics, I was re-elected to Parliament to represent my people’s seat because they believed in me.
Mr Speaker, at those times when we were the government we had a planning system. It was a planning system that the Deputy Leader for Opposition knows very well. We had set up a permanent system in 1972 and 1973, which was an adopted plan for Papua New Guinea for the next 20 years.
When I was voted out in 1982 by the former Member for Namatanai and the Governor for New Ireland –

Mr Bart Philemon – Point of Order! I did not ask the Prime Minster on the history about his political career. I am relating back to specific issues from 2003 until the present and with such high revenue, can he tell us if the government has a system whereby you measure the improvements since 2002?

Sir Michael Somare – Mr Speaker, can you tell the Deputy Leader of Opposition not to get too emotional?
He wanted a history lesson and that is what I am telling him because when he talks of my 40 years of politics in Parliament people will think that for 40 years I have been the Prime Minster. That was why I wanted to explain firstly before I addressed the issues regarding the years 2002. Deputy Leader of Opposition himself was responsible for handling my finances for almost five years and he cannot deny this.
My Speaker, in regards to the growth of this country since 2002, when we have changes in government our growth fluctuates. In 2002 I was the Prime Minister and the Deputy Leader of Opposition was the Treasurer. We had increased the country’s GDP by 0.8 per cent, which was then undertaken by others until Sir Mekere Morauta became Prime Minister for only 18 months.
Since then this growth rate had not increased and therefore caused problems for the country and because of this we had to reorganize the whole country. Under that previous leadership the country had experienced negative growth. The government system then was appalling but under the present government, under my leadership we fixed things up.
The people of Papua New Guinea have confidence in this Government and therefore gave us the mandate to return to Office for another term. Since we became the government from the year 2002 up until now the country has experienced a huge amount of growth.

08/07
We spent a lot in the growth of education, health and other infrastructures and its more than what we have done 16 years ago.
Mr Assistant Speaker, the economic growth when he was my Treasurer, it went up to 2.8 per cent. It was still climbing when you decided to leave us and we struggled to grow it up to 5 per cent today. We have a lot of money in the Reserve Bank and we brought many supplementary budgets and we have lot of money.
Mr Assistant Speaker, today we have a growth of AUS$380 million to AUS$400 million budget when I became the Chief Minister.
Mr Assistant Speaker, I am more delighted to announce and pronounce that today, we have a budget of K6.2 billion. What does this mean to the economic growth of this nation? Is it a growth or is it not a growth of this country?
We have improved Lae and Bulolo roads and we have sent many students to universities, and we have improved the Angau Memorial Hospital as well as other hospitals in the country. We have also competed in the telecommunication system of this country and infrastructure developments like the Lae Wharf. We have put so much money into infrastructure developments. So don’t say that our districts and provinces will not be developed. But in order for this to happen there must be concerted efforts by all of us. It is not for you to point fingers at someone on this Floor of Parliament. You must tell the truth.

Mr Bart Philemon – Point of Order! My question has been avoided specifically by the Prime Minister in his long history lesson. Can you tell us whether your Government, since 2003 has a system to determine your monies worth, that is, K47 billion worth of work over the last three years?
Have those social indicators improved over the years or have they gone worse? That is all I want to know. Surely, you can tell us that.

Sir MICHAEL SOMARE – Mr Assistant Speaker, it may have taken him almost 20 years to spend in this Parliament and if he cannot read I think it’s far better for him to sit down and look at the statistic figures from the Finance and Health Departments and also Central Bank in particular to be to able to confirm what we have done so far including the economic growth of this country and how far we have come.
There is no point in asking this irrelevant question relying on newspapers.
Why don’t you go and do your own research? We have improved this place since we form this Government. We have improved the Highlands Highway, we have improved the districts and we have put more money into your District of Lae. You have not spent the money yet. Your district authority has not told me anything yet. My friend I am also from Lae.

Dame Carol Kidu – Point of Order! Concerning the social indicators, I think we need some clarity on this Floor. The way to improve the social indicators is to get more women on this Floor of Parliament.
I am never questioned on our social indicators on this Floor except to raise questions to score points like this.
The economic and social indicators are far more complex than money. All you talk about is money, roads, bridges -

(Members laughing)

Mr Patrick Pruaitch – Point of Order! When a Member is still talking the Deputy Opposition Leader must not stand up without raising a point of order. He must not be carried away by emotion in here.

Mr Luther Wenge – Point of Order! Mr Assistant Speaker, the Deputy Leader of the Opposition has asked a general question and its unfair question. However, the Prime Minister is trying his best to respond to him and I think he has basically answered the question. There is no need for the Prime Minister to continue answering.

Sir MICHAEL SOMARE – Thankyou Mr Assistant Speaker. I want to remind the Deputy Leader of the Opposition that we are in fact developing and he must come with facts to prove that we are not growing. We have greatly assisted the provinces in many ways through giving money to the districts.
Mr Assistant Speaker, recently I went to deliver K2 million discretionary fund to the Member for Bulolo for his road infrastructure development from his village in Bulolo to Lae. The honourable Member now can have access to travel to Bulolo and he can drive a landcuricer to go to his village on the mountain. Unfortunately, Lae does not have such a huge mountains.
Where did he get the money? He got the money out from the K10 million from the Government.

09/07
Now vehicles can travel to his village up in the mountains. Lae does not have mountains.
Mr Speaker, the Member received his funding from the K10 million that the Government has allocated for each Member of Parliament. We wanted the development to go to the rural areas so that is why we have restructured the budget. We did not want to borrow from the international financial institutions as has been done previously and keep on repaying debts. We can still repay debts, but we must also at the same time, change the lifestyle of our people.
So we reconstituted the method of planning to take into account districts because that is where the people are so that they can be able to afford their children’s school fees and create employment opportunities.
Mr Speaker, It is a genuine question from the Member for Lae but sometimes, he must go to other parts of the country and observe what is happening instead of only traveling between Lae and Port Moresby and sleeping in hotels.


PERSONAL EXPLANATION

Dame CAROL KIDU (Moresby-South – Minister for Social Welfare and Community Development) – Mr Speaker, I ask leave of the Chair to make a personal explanation.

Mr ASSISTANT SPEAKER – Do you claim to have been misrepresented?

Dame CAROL KUDU – Yes Sir!

Mr ASSISTANT SPEAKER – Go ahead, leave is granted.

Dame CAROL KUDU – I would like to make a personal explanation on a statement made by the Trade Union Congress President. I wish to question whether he spoke on behalf of the Trade Union Congress or was it his personal opinion.
He has stated in the paper here and I quote ‘the rejection, but not the rejection for women, rather it is a rejection of a sloppy process and a lack of Constitution and administrative clarity’.
Mr Assistant Speaker, I take a stand and I want to be able to make a personal explanation because maybe I am emotional on something like social indicators, I don’t have sloppy processes. There have been no sloppy processes in the whole thing of trying to bring nominated Members to the Parliament, which our Constitution allows.
The process is not sloppy either illegally or constitutionally. Let us question why in former terms of Parliament, Honourable John Nilkare put a motion to the Floor and later Honourable Luther Wenge put a motion to Floor to have women representative in Parliament, nobody then questioned the process and legitimacy of the motions.
Now here is a Government that has the courage to stand up and fix this provision in our Constitution, everyone is questioning the process and they are saying things that are factually incorrect. After three NEC submissions, I eventually got the final submission approved giving me the go ahead to work on a NEC endorsed process because, whether we like it or not, it is the highest decision making body of this country. There is a NEC endorsed decision for this process and it took three different submissions to NEC to get to this stage.
Are we trying to play with numbers? Are they trying to check the Floor with numbers to get a vote of no-confidence? Absolute garbage! All that was already dealt with in dealing with the process and I sought legal advice all the way. I then put a technical working group in place and I brought in the United Nations’ resident representative to be an independent observer of the process as they helped to fund it.
Mr Assistant Speaker, we also had very prominent Papua New Guineans lawyers, the chairperson of the Integrity Board and most of the people from the technical working group who have worked with me since November last year. We were meeting almost every week.
We anticipated this problem because we knew that there are a lot of problems. We knew that people would think all sorts of mischievous things when actually there is honest intensions here to have our Prime Minister be the first prime minister in the Pacific region to respond to the Pacific Islands Forum Communiqué on stronger 2008 which specifically said that the leaders of the Pacific must get more people into Parliament.
We have a provision in our Constitution but we anticipated problems which I will talk about in a minute. I want to be given time because I have not said anything on it yet.

Mr Bart Philemon – Well, stop debating it.

Dame CAROL KIDU – I am sorry, I’m making a personal explanation because the nation has been told that this is a sloppy process and I object to it.
We called for expressions of interest from the whole nation. I have been given a copy of the press release which has been given to the press and I guess it is public and the Leader of the Opposition is asking why the candidates’ names were not published. The technical working group discussed this in great detail and we made specific decision not to do it because people would start questioning and criticising it and we did not want this to happen.

10/07
The technical working group discussed this in great detail and we made a specific decision not to do it because people would start questioning and criticising, and we did not want this kind of nastiness going on.
I wrote to seven organisations, they are not little NGOs, they are not women’s groups like the YWCA. I wrote to seven organisations asking them if they could put a nominated person on a screening panel so it is completely away from politics.
Those seven organisation were the Public Service Commission, the Public Employers Federation, the Council of Churches, the Evangelical Alliance, the National Council of Women, the Academic Staff Association of Papua New Guinea and the Trade Union Congress.
Quite naturally the Trade Union Congress did not give us a nominee so we then to the Public –

Mr Bart Philemon – Point of Order! This matter is on the Notice Paper. Dame Carol, the honourable Minister, is debating that particular thing. When the matter is on the Business Paper for this Parliament’s deliberation she should make a brief personal explanation and stop lecturing us on the issue because it is already on the Business Paper.

Mr ASSISTANT SPEAKER – Deputy Leader of Opposition you are right the matter put is on the notice on this Floor of Parliament. Can you make your personal explanation short?

Dame CAROL KIDU – We have a legal opinion and we have done a lot of work on this and I object to being called a sloppy thing and I will respond to this later. I will also tell this Parliament that the Prime Minster and I did not attempt to bribe the Leader of Opposition, which we are being accused of in another press release and suggest to the media who are standing over this press release that it is factually incorrect.

Mr Paul Tiensten – Point of Order! Can you tell him not to stand when a Member is talking? Deputy Leader, sit down.

Mr Bart Philemon – I seek leave of Parliament to make a personal explanation.

Mr Timothy Bonga – Point of Order!

Mr SPEAKER – Resume your seat, Member for Nawae.

Mr Timothy Bonga – Dame Carol was giving her personal explanation and she almost finished and she makes a personal explanation when there was a Point of Order made by Deputy Leader of Opposition to ask and the Assistant Speaker accepted that fact.
And for him to rise again to use the same provision again I think is totally improper and that he should not allowed to make that personal explanation arising from another personal explanation.

Mr Bart Philemon interjecting.

Mr Timothy Bonga – Have you been misquoted on the newspaper and if so say so for she has been. That is a fact for it is in the Standing Order.

Mr Bart Philemon interjecting.

Mr Timothy Bonga – If you have been misquoted –

Mr SPEAKER – Order!

Mr Bart Philemon interjecting.

Mr Timothy Bonga – I do not care!

Members laughing.

Mr SPEAKER – Order!

Mr Timothy Bonga – Mr Speaker, I have the right for you have recognised me.

Mr SPEAKER – Order! Resume your seat, thank you.

DOWNTURN IN THE WORLD ECONOMY –MINISTERIAL SYTEMENT –
MOTION TO TAKE NOTE OF PAPER

Mr PATRICK PRUAITCH (Aitape–Lumi – Minister for Finance and Treasury) – I rise to present an update on the state on the downturn in the world economy and what that means for the economy of Papua New Guinea, and what the government is doing to support economic growth in our country in context of the bleak international backdrop.
Mr Speaker, as we are all too well aware, after years of strong economic growth the world economy has now slowed very sharply. The disruptive effects of the global financial crisis, which wrecked havoc throughout the global financial system and resulted in a near harming of global equity prices are now being transmitted through the world’s real economy. The US is now officially in recession as is the United Kingdom, Japan and much of the Western Europe.

11/07
Mr Speaker, the severity and the nature of this crisis should not be underestimated. This is the largest financial crisis since the 1930’s Great Depression. A number of the world’s largest banks and financial institutions, including Lehman Brothers, Lloyds, Bear Stearns, American International Group, Northern Rock, Fannie Mae and Freddie Mac have either failed or are teetering on the edge of bankruptcy.
The financial crisis has spread widely across the world from the United States where it began with the sub prime debacle. Financial institutions across the developed world have collapsed, in countries such as the United Kingdom, Germany, France, Ireland, Belgium, Luxembourg, Iceland and Holland.
Across the world, equity prices have fallen sharply and the cost of borrowing has risen significantly – even in markets that had little to do with the initial crisis. This is having damaging effects on economies around the world.
Mr Speaker, global output and trade plummeted in the final months of 2008. The continuation of the financial crisis has caused asset values to fall sharply across advanced and emerging economies, decreasing wealth and putting downward pressure on consumer demand. The associated high level of uncertainty has caused households and businesses to hold off spending, reducing demand for consumer and capital goods, and curtailing production and trade. The freezing up of credit markets has choked off business access to credit – meaning that otherwise viable companies in many countries are now struggling to meet commitments.
In short, the outlook for the major developed economies is bleak, as shown by:
· The IMF’s latest estimates update on the world economy, which now projects world economic growth falling to half per cent in 2009 – the lowest rate since World War II. Advanced economies are now expected to shrink by 2 per cent this year.
· The sharp increase in US unemployment which has shot up to 7.6 per cent in January, compared to 4.9 per cent a year earlier.
· The huge fall in Japanese GDP, which shrunk to 3.3 per cent in the December quarter of 2008 alone – the biggest drop since 1974; or,
· The collapse of consumer and business sentiment to their lowest recorded levels in the US, Australia and the UK.
Just as worrying for PNG is the news that the developing economies have also slowed markedly. The IMF is now projecting that growth in emerging and developing economies will slow sharply from 6 ½ per cent in 2008 to 3 ¼ per cent in 2009. This is being driven by falling export demand and financing, lower commodity prices, and much tighter external financial constraints.
In particular, Mr Speaker, the slowdown in China is significantly worse than previously expected. Chinese industrial production slowed from 16 per cent growth in mid 2008, to 5.7 per cent growth through the year to November 2008 – the smallest increase since 2002.
Chinese exports fell by 17.5 per cent through the year to January – a concrete demonstration of how the slowdown in developed economies in affecting China. This is then being transmitted throughout the region, with Chinese imports falling 43.1 per cent over the same period. These developments are influencing the dramatic declines in commodity prices.
Mr Speaker, declines of this magnitude are impacting on every other economy in the region.
In response to the continued fallout from the financial crisis, sharp contraction in economic activity, and rising rates of unemployment, policymakers around the world have been taking drastic action.
Initially, most policy responses related to the disruption in the financial markets, with large financial support packages directed towards banking and financial institutions announced in the US, Europe and UK. These were primarily aimed at recapitalising and propping up banks’ balance sheets, which had been decimated by the collapse of asset values.
These measures appear to have had some initial effect, with, for example, the interbank lending market beginning to function again – but they are yet to lead to a widespread revival of credit markets. Nevertheless, there are other problems in the international financial sector and credit markets, and some major financial institutions remain very shaky.
As the financial crisis unfolded, policymakers started to introduce measures in order to boost flagging aggregate demand. Central banks have reduced official interest rates substantially across most of the world – although the freezing of credit markets has limited the impact this has had on business and households across most economies.
There have been major fiscal stimulus packages announced around the world. In the US, President Obama recently announced a US$787 billion (or 6 per cent of GDP) package. In Australia, a A$42 billion (or 4 per cent of GDP) package was passed through parliament two weeks ago. And in China, a massive stimulus package, equating to more than 16 per cent of GDP was announced earlier in the year.

12/07
In Australia, a AUS$ 42 billion or four per cent of GDP package was passed through parliament two weeks ago. And in china, a massive stimulus package, equating to more than 16 per cent of GDP was announced earlier in the year.
However, it will take some time for these packages to have any major impact. The US package is spread out over the years, with 2.4 per cent of GDP expected to be spent in 2009. The Australian package will be spread out over three years and the Chinese package includes a significant amount of spending that was already underway, reducing the size of stimulus in the pipeline.
Nonetheless, according to the IMF, because of continued efforts to ease credit strains and apply expansionary fiscal and monetary policies, the global economy is expected to experience a gradual recovery in 2010, with growth projected to be picking up to three per cent.
Mr Speaker, so what does that all mean to Papua New Guinea? Due to good fiscal and macroeconomic management by the Somare Government over the last years, PNG was in relatively good shape coming into the international financial storm.
Mr Speaker, on a positive not, our banking sector has been largely unscathed by the international financial crises. Banks in PNG are largely financed by domestic deposits and are not exposed to some of the instruments that have created havoc on the international scene.
The banking sector in PNG is relatively well capitalised, and has maintained strong liquid asset ratios, which puts our banks in a relatively good position. Banks have continued to lend strongly over the last year which is continuing to support private sector expansion. Mr Speaker, having a financial sector which represents the backbone of the economy being in relatively good shape in the current international environment is a major bonus for PNG.
Mr Speaker, the Government took prudent fiscal action during the boom years. Most observers would have expected the PNG economy to be hit very hard by the global slowdown, mainly because PNG’s export prices have fallen dramatically. Indeed, this is having a major effect on PNG, through a sharp reduction in export values and Government revenues.
However, by restraining Government expenditure, and saving a large portion of the proceeds of the commodity boom during the past four years, the Government has prevented the need for a sharp adjustment in Government expenditure now that the boom is over.
Now that the boom has ended and the global economy is in recession, we can use the saved funds held in trust over the next few years to help build up infrastructure and shore up the economy.
Government debt has fallen from over 70 per cent of GDP earlier this decade to around 30 per cent today, and more than 15 per cent of GDP has been saved in the form of trust funds. These savings and the lower level of debt allow increased flexibility to deal with the fallout from the international financial crisis on PNG.
Mr Speaker, I am happy to report that we are now in a position where Government spending can be maintained at a moderately high level, in order to support the economy. However, we need to be careful and ensure that fiscal policy is conducted within the Medium Term Fiscal Strategy 2008 to 2012 framework that has served us so well. The Somare Government plans to maintain its fiscal and macroeconomic credibility that has been built up over recent years, this will be a crucial aspect in maintaining domestic business confidence about the outlook.
The slump in global demand has led to a collapse in prices of PNG’s key export commodities which, as foreshadowed in the 2009 Budget, will impact on Government revenues and on the balance of payments.
The price of oil continues to be volatile and has fallen to around US$35 per barrel which is a 75 per cent fall from the high US$147 per barrel in July 2008. This is well below the oil price assumption in the 2009 Budget of US$55, while the copper price is hovering around the Budget assumption of US$3250 per ton down from almost US$9000 in July last year.
On the other hand, because of its status as a safe haven asset, the price of gold has strengthened to nearly US$990 per ounce. This is significantly higher that the US$ 600 assumption contained in the Budget. While it is unlikely that this will be enough to fully offset the revenue impacts of other commodity price falls below that expected Budget time, it will partly mitigate the impact on revenue.
Mr Speaker, while the dramatic fall in oil prices has had a large negative impact on the value of PNG’s exports and Government revenue, it has led to a substantial fall in fuel prices paid by ordinary Papua New Guineans at the petrol pump. This is assisting to ease inflationary pressures in the wider economy.
World agriculture prices have also dropped, due to a sharp reduction in demand. The prices of PNG’s major cash crops have fallen significantly, with the price of palm oil and copra oil down more that 50 per cent from their peak in mid 2008, and the price of cocoa and coffee down by around 15 per cent. Most cash crop prices are now below the 2009 Budget assumptions.
Falling agriculture prices could have a pronounced effect on domestic demand, as agriculture producers have less income to spend.

13/07
Falling agriculture prices could have a pronounced effect on the domestic demand as agriculture producers have less income to spend. Furthermore, falling commodity prices are likely to reduce the profitability of some mining projects and reduce expansion of marginal mines.
Mr Speaker, these developments are increasing the downside risks to the economic growth forecasts outlined in the 2009 Budget, which projected GDP growth for 2009 of 6.2 per cent and non-mining GDP growth of 5.6 per cent. I will be updating this forecast in a few months time when further information comes to hand.
However, Mr Speaker, despite all the bad news coming in from overseas and notwithstanding the vulnerabilities to PNG economy that I have just described, the picture in PNG has remained relatively robust today.
Early indications are that the non-mining sectors will continue to grow in 2009. Initial consultation with the business community indicates that while businesses are nervous about the outlook, economic activity is robust and continuing to expand. Banks are still lending strongly, investment projects are progressing, there is a lot of construction in progress that we can all see and jobs are continuing to be created.
The Government increased expenditure in the 2009 Budget and is increasing the utilisation of Trust Accounts, all of which should support economic growth. Credit growth is continuing to increase strongly, indicating that the private sector is still confident in the future of PNG. Commercial bank lending continues to grow at the fastest pace rate on record, indicating continued investment in the year ahead.
In addition, Mr Speaker, the LNG project is already beginning the early stages of construction, and if it goes ahead as planned, can be expected to provide further stimulus to the PNG economy over coming years.
Nonetheless, the sharp slowdowns in other countries illustrate the speed at which investment and GDP can turn around. We will continue to monitor the situation closely as the year progresses and Treasury will be stepping up liaison with the private sector in order to put together more informed assessments.
As 2009 progresses, I will provide Parliament updated assessments on the state of the PNG economy to keep you and the nation informed of how events are playing out.
Mr Speaker, the Government will need to be very careful how we spend our revenues and funds in trust, making sure that we keep to our budget and spend only on our highest priorities, to extract the most value for money. To do otherwise would represent the failure on our part to those who elected us to manage their tax revenues – the ordinary people of Papua New Guinea.
Mr Speaker, the Government remains focused on maintaining the long and medium term sustainability of our nation’s finances. By holding to the Medium Term Fiscal Strategy (2008 – 2012), we will utilise the flexibility made by our fiscal prudence over the boom years without creating fiscal and economic problems further down the road.
Mr Speaker, we also need to be very mindful of the significant emerging risks to our balance of payments. The value of PNG’s exports has fallen sharply in the range of 30 per cent while the imports continue to grow inline with broader economy.
In the absence of a large reduction in PNG’s imports, the current account is in the process of moving into a large deficit position. While PNG has built up large foreign reserves which provides a buffer against such swings, there will need to be adjustments within the economy in order to prevent this becoming a major issue in the period ahead.
In formulating fiscal policy over the coming year, the Government will be focusing on balancing supporting economic growth with the need to reign in strong demand for imports and keeping inflation in check.
Mr Speaker, I will now turn to discuss how the Government is responding to the sharp downturn in the international economy.
Mr Speaker, the Government is committed to shielding PNG’s economy from the worst of the global financial crisis and world recession as best we can. At a time of unparalleled international uncertainty, the Government will not leave PNG’s continued economic growth and development to change.
The Government has and will put into place a number of measures to shore up PNG’s economic growth and development through this challenging period. There are two key phases of the Government’s plan.
Phase 1, Mr Speaker, provides a substantial short-term injection and fiscal stimulus to the PNG economy. This phase will be implemented in 2009 and will include public investments funded from vastly increased budget appropriations including the substantially larger 2009 Development Budget, as well as from funds available in the trust accounts.
Phase 2, Mr Speaker, which is expected to be implemented over the medium term in 2010 and beyond, involve significant investment in public projects and infrastructure, which is expected to be funded by the PNG Government, the Australian Government and possibly other aid partners. Phase 2 will not only provide an economic stimulus but crucially will ensure the continued economic and social development of our country.
Mr Speaker, under phase 1 of the Government’s response to the global recession, the Government will provide a fiscal stimulus to the PNG economy in 2009 that will rank among the highest in the world.
Mr Speaker, the 2009 fiscal stimulus has two key elements. First, measures included in the 2009, which were framed against a backdrop of the global financial crisis only a few months ago. The pre-emptive measures and fiscal stimulus contained in the 2009 Budgets, made PNG one of the first countries in the world to respond to the slowing international economy.
Mt Speaker, the Government used the 2009 Budget to shield the economy and support its citizens by promoting sustained economic growth and to further empower and transform the rural economy.

14/07
The pre-emptive measures and fiscal stimulus contained in the 2008 Budget made Papua New Guinea one of the first countries in the world to respond to the slowing international economy.
Mr Speaker, the Government used the 2009 Budget to shield the economy and support its citizens by promoting sustainable economic growth and to further empower and transform the rural economy.
As a result, total recurrent expenditure in 2009 Budget increased by K265.2 million to K3904.5 million in 2009 which represents an increase of 7.3 percent over the previous year. The 2009 Budget saw extremely large increase in the Development expenditures which increased by K720.6 million to K2595.2 million in 2009. This represents a substantial increase of 38.4 percent. This included reprioritizing of funds held in the Gas Equity Trust to other spending programmes, including the large boost to the District Service Improvement Programme and to undertake substantial investments in agriculture, infrastructure maintenance, improvement and development.
Mr Speaker the increases in the 2009 recurrent and development Budgets spending amounts to almost K1 billion being injected into economy, or almost 5 percent of GDP.
As the second element of Phase 1 in 2009, the Government will make available monies currently held in trust of up to 4 percent of GDP, equivalent to about K844 million, for spending on public investments. This is the maximum allowed under the Medium Term Fiscal Strategy for 2008 – 2012. This will provide a further fiscal stimulus as well as promoting sustained economic growth and development across the country. Spending from trust funds will complement the level of development expenditures already allocated in the 2009 Budget for public investments. However, the final level of investment spending will need to be responsive to changing economic circumstances and capacity constrains.
Mr Speaker, together, this brings the expected fiscal stimulus in the country in 2009 to in excess 7 percent GDP. This additional stimulus would certainly rank among the largest in the world and is more than double the very large economic stimulus packages announced by Australia, USA, the United Kingdom and other countries. This is despite the Papua New Guinea economy being in a relatively robust position compared to most of the major developed and developing countries.
The 2009 fiscal stimulus in Papua New Guinea is substantially larger than the stimulus for Australia and the United States, even before additional expenditures from trust funds are considered. Additional spending from trust accounts, over and above the reprioritization of Gas Equity Trust Fund announced in the 2009 Budget, brings the total fiscal stimulus in 2009 to more than double the fiscal stimulus or even triple the fiscal stimulus in comparison to Australia, the United States the United Kingdom, Germany, Japan and China.
Mr Speaker, despite the world economic downturn, the level of economic stimulus that will be made available from the trust accounts each year is very significant. The Government will allocate up to the maximum spending from the trust expenditures permitted under the Medium Term Fiscal Strategy to add further stimulus if there is evidence that the Papua New Guinea economy is slowing significantly. But the usage of trust funds will be subject to capacity constraints, the ability of the private sector to deliver value money, and inflationary and balance of payment pressures.
Mr Speaker, the Second Phase of the Governments plan applies in 2010 and beyond. The Government is actively exploring a significant investment in the development of Papua New Guinea that would provide a further economic stimulus through the Papua New Guinea- Australia Partnership for development programmes. The Partnership for Development programmes is currently being developed between the Governments of PNG and Australia, following the agreement of Prime Minister Sir Michael Somare and Prime Minister Kevin Rudd in August 2008.
It is expected that the programme will deliver significant increase in public investment from Governments of Papua New Guinea and Australia and possibly other aid partners from 2010 to 2015. Investments are being considered in the critical sectors of, elementary and primary education, transport, especially the national road network, airports and ports, basic health, the public sector and statistics.
While the details will be firmed up over the coming months and in the lead-up to the 2010 Budget, I can confirm that the programme is expected to provide significant injection and fiscal stimulus to the economy in support of a range of critical public investments. A significant portion is expected to come from funds held in trust accounts in addition to increased contributions from aid partners. The Government will provide further details after Ministerial forum between PNG and Australia, which is expected to be held in late April 2009.
Because the Partnership for Development and trust fund spending will be carried out over the medium term, it will give certainty to the private sector that there will be an ongoing stream of projects and public investment for many years ahead. This will enable the private sector to invest to increase their capacity and plan for the future with confidence that a significant amount of public investment is in the pipeline.
Finally, in announcing these different components that represent a substantial fiscal stimulus, the Government is mindful of the need to be prudent and fiscally responsible, and not repeat the mistakes of the past. The Government is committed to implementation of these measures without additional borrowings or increasing the level of public debt.

15/07
The Government will also recognise the expenditure to remain on a sustainable path towards the end of the commodity boom and the need to continue to adhere to the MTDS of the physical strategy that has been serving us so well. The Government will continue to monitor the economic and fiscal development and adjust its response as necessary.
In conclusion the PNG economy has remained robust to date despite the international financial crisis. While their many reasons to be optimistic about PNG’s economic prospects, dark international storm clouds are all around us and the international economic outlook has never been so uncertain and bleak. There is no room for complacency; we have already seen a substantial decline in the Government revenue and PNG’s export value as a result of the substantial falls in the commodity prices.
In addition the emerging balance of payments pressures will require careful management by the Bank of Papua New Guinea and the Government. Given these challenges and the world recession, the Government will not leave PNG growth and the development prospects to chance.
The Government has already responded and will continue to respond. to shield the economy from external sources as best as we can.

The Government will provide a significant fiscal stimulus in 2009 that is more than double the rescue packages announced by Australia, the US, the United Kingdom and others. Spending from trust funds will also support the economy over the medium term.
The Government will support the PNG economy over the medium term and short term in a manner that improves PNG’s economic development. The Papua New Guinea-Australia partnership for development programme, which is expected to come into force in 2010 and over the medium term should involve significant additional public investments in areas that are critical to PNG’s economic and social development.
This programme together with investment spending from trusts will also provide certainty for the private sector to expand and invest, knowing that there is continuity of development programmes in train over the medium term.
The Government is committed to the development of Papua New Guinea and to measure prudent steps to navigate through these turbulent economic times. While the end of the commodity boom affects PNG more than all but a few other countries in the world, PNG stands well placed to tackle these challenges in the years ahead. This is because of a vibrant domestic economy the fiscally responsible policies of the Government to accumulate part of the proceeds from commodity boom in trust accounts and reduce debt. These trust funds and lower debts will help cushion PNG in avoiding the full effects of international recession and the sharp economic contraction that has followed past commodity booms.
Let me assure the people that this Government continues to monitor international developments closely and we are doing what we can to secure our economic future.

Motion (by Mr Paul Tiensten) agreed to
That Parliament take note of the Paper

Debate adjourned.

Sitting suspended for lunch.

16/07

ADJOURNMENT

Motion (by Mr Tony Aimo) agreed to –
That the Parliament do now adjourn.

The Parliament adjourned at 2.30 p.m..

FRIDAY's SESSION still to be updadownloaded

EIGHTH DAY


Friday 13 March 2009


The Parliament met at 10 a.m..

The Clerk – Honourable Members, due to the unavailability of both the Speaker and the Deputy Speaker, Mr Assistant Speaker will take the Chair.

The Assistant Speaker (Mr Thomson Harokaqvek) took the Chair at 10 a.m., and invited the Member for Manus, Mr Michael Sapau to say Prayers:

(The Prayer read by Michael Sapau was inaudible)

Our Father, who art in heaven, hallowed be thy name, thy Kingdom come, thy will be done on earth as it is done in heaven, give us this day our daily bread, and forgive us our trespasses, as we forgive those who trespass against us, lead us not into temptation, but deliver us from evil, for thine is the Kingdom, the power and glory, forever and ever, Amen.


QUESTIONS

Mr ANDREW MALD – Thank you, Mr Assistant Speaker, I direct my questions to the Deputy Prime Minister and Minister for Lands, Physical Planning and Mining I also ask the Ministers for Finance and National Planning and the Governor for National Capital District to take note.
Two years ago, the Government signed a contract with Exxon Mobil which is in its eighth months now. It shows that the rate of business in the city is increasing very rapidly.
Almost 20 to 30 vehicles are out on the city roads daily. There are too many car dealers. At the same time, there are two main roads only – the freeway from Erima to Down Town and the road from Boroko to Gerehu Stage Six. There’s always heavy traffic congestion and maybe after a few more months, problem will be worse.
The National Capital District Commission had a very good initiative by upgrading the same roads and resealing them and that doesn’t mean building new roads to accommodate the increasing number of vehicles on the roads. The business community and the number of vehicles are still increasing. Instead of talking about other provinces first, we must start with the nation’s capital city, Port Moresby.
My questions are as follows:
(1) Can the Minister inform the people of NCD and Papua New Guinea if the Somare/Temu Government will make a commitment to assign the Physical Planning and the Town Planning Authorities to propose another new freeway connecting 9 Mile, 8 Mile, Morata, Waigani to Tokarara and all the way down to Port Moresby Technical College area?
This is to give easy access to the Oil and Gas projects that has been established in Gulf and the logging companies delivering logs at Anderson and Konedobu areas that cause accidents.
We could increase the values of properties at 8 Mile and 9 Mile, Morata and Waigani; whilst having the good economic standard and windfall. The values of properties at Boroko and Town are very high compared to other suburbs. In the past, the houses sold at Boroko ranged between K200 000 to K300 000 but currently, they are sold at K1 million and above. I believe the values of properties in other parts of the city will also increase as economic activities will also be extended to those areas. No extended economic activities will go out because other areas are very lowly valued.
I see that the Poreporena Freeway is incomplete as there is no ending of it. It’s just like a bandicoot with a value less tail.
(2) Can the Government establish another project to assign the Town and Physical Planning Authorities to remove the harbour (wharf) from the town area of the city?
This is to complete the Freeway up to Paga Hill to Ela Beach to Koki to East Boroko to Kaugere and towards the back of the airport. It will look like a ring.
(3) Can the Physical and Town Planning Authorities ensure that there is proper drainage done on the newly constructed roads?
The city road designs that are approved by the Physical and Town Planning Authorities must be very careful with the drainage system.

02/08
(4) Can the Town Planning Authorities and the National Physical Planning Department construct public car parks? Because at the moment, the car parks available in the city are those provide for by major shopping centers, like Anderson’s Foodland, Boroko FoodWorld and Stop N Shop, which are privately owned.
If these companies were to shut down their businesses then we will have problems with parking spaces.

Mr ASSISTANT SPEAKER – Member for Moresby North-East, ask your question, you are being too elaborative.

Dr PUKA TEMU – I would like to thank the Honourable Andrew Mald for his questions. The issues he raised are problems that we are facing today. When we are traveling in the morning and afternoon rush hours traffic is very congested. This is a sign of the growing city population and our city roads are not designed properly.
Regarding this issue, the Governor for NCD and I have held talks and plans have been put into place. At the moment the Governor is working on 20 city development plans. Therefore, I would like to say that the Governor and NCDC must finalise their plans quickly. I have given the responsibilities of the National Physical Planning board to NCDC because NCDC has its own Physical Planning Board.
The issue that the honourable Member has raised is important because Port Moresby city is growing rapidly in terms of business developments taking place. With this rapid growth the city will experience traffic congestions.
In regards to his question if there is any specific plan to address such issues, there are plans with regards to our Freeway system. The original plan for the Freeway also included a direct link from the Parliament to the airport and also connect Erima to Gerehu. That was not completed due to lack of funds.
I also would like to thank the Member for his initiative to reopen the Erima road to ease traffic congestion, as it is money well spent. There is also a similar plan to connect Koura Way road in Tokarara to Hanuabada. The field materials would then be used to relocate the wharf and these projects will be funded from the allocation of K10 million from last year’s Supplementary Budget.
In relation to the relocation of the wharf, at the moment, we are waiting for PNG Ports Corporation to make their decision. My officers from the Lands Department have already held talks with landowners from Tatana and they are willing to be relocated. All these will eventuate when funds are been allocated through the budget process.
Studies have been done, since 15 years ago to relocate the wharf to the other side of the island. When this is done we will consult with businesses to redevelop that old wharf site to right around Paga Hill and connect it to the site where the upgrading of the old sea park is located. All these plans are in place to be implemented which includes the construction of a four to six lane freeway behind Hanuabada at the site where Exxon Mobil is located. Exxon Mobil will then occupy a large area at the airport allowing for roads to link up to the Konebada Petroleum Park.
This freeway will be used by container trucks and heavy trucks so as to ease traffic congestion on the roads and is in the design stages at the moment. Another plan which has been completed along with the costs is to upgrade the Gerehu-Baruni road to connect it also to the Konebada Petroleum Park.
All these plans are there, awaiting budget process and when constructing roads you need a very high initial input. That is why the Somare–Temu Government is pushing for major impact projects to raise revenue.
I agree with the Member concerning our country’s road designs. The engineers should redesign the type of roads that we construct. I think that it is about time we build overhead roads and also bicycle lanes. Thus, the Honourable Member has raised valid issues and I, as the Minster for Physical Planning have given responsibility to NCDC, because it has a competent Physical Planning Board in place. At the moment they have completed the Downtown Physical Planning Plan, which I have already approved regarding the number of stories of high-rise buildings and on how we are going to rebuild the city.
We will have to wait for NCDC to come up with the twenty city development plans, which also includes the relocation of the city settlements.

03/08
We cannot relocate the illegal settlements, but we need to provide them well-serviced land and develop standard houses so that settlers can then know how to handle the land.
I can assure the Governor that as the funds become available, surely we will consider some of the main areas that need development because Port Moresby is our country’s capital and it’s our gateway to other main centres. Therefore, we must develop it to the standard of other international communities.
With that, I commend the Governor of NCD for a tremendous job in keeping and developing our city.

Mr JOHN KEKENO – I direct my questions to the Deputy Prime Minister who is the Minister for Lands and Mining and the Ministers for Petroleum and Energy and Culture and Tourism to take note.
My questions relates to the land around the Hides gas field. The Hides Power Plant was build about 19 years ago, it starts from Nia to Pindel 1. The land where the power plant is doesn’t have a title. The previous and current companies were using that portion of the land illegally. Therefore, the landowners want K500 million as compensation for the illegal use of the land.

Mr ASSISTANT SPEAKER – Member for Koroba-Lake Kopiago please make your statement short and ask the questions because many Members are waiting for their turn and also when answering questions make it short.

Mr JOHN KEKENO - My questions are:
(1) Can you confirm or deny that the companies have been using this portion of land illegally?
(2) Are you aware that a private investor has bought the land, which the old House of Assembly is standing? That land was preserved because of the preservation of the old House of Assembly for tourism purposes and historical site.
(3) How much was the property sold for?
(4) Can you explain to this Parliament why such a historical site has been sold?

Dr PUKA TEMU – I thank the honourable Member for Koroba-Lake Kopiago for his questions, particularly on the status of the title on where the Hides Power Plant is. I am sure that over the process we normally identify who are the customary landowners through the Land Titles Commission process and the Department of Petroleum and Energy has under taken that.
I will consult the Minister responsible to give us the details and we will inform the Member. But I am sure that the identification has been done, that is why the power plant is there.

04/08
With regard to the old House of Assembly land, I wish to inform the Parliament and our people that the National Executive Council, after knowing that there were various attempts at re-building the old House of Assembly to its former status. I have brought a submission to Cabinet three years ago.
The NEC then decided that we nominate, through application, a company which is a partner with Nambawan Super or old POSF to rebuild the old House of Assembly as it was. The estimated value stands at approximately K7 million. The process has already been started and they are finalising the exact replica of the building which will mean that we will be restoring part of the history of Papua New Guinea.
Once the re-building is completed, it will then be handed over to the Department of Culture and Tourism and they will be taking care of it. That is the National Executive Council decision and that’s what’s going to happen.

Mr KONI IGUAN – I direct my questions to the Minister for Inter-Government Relations.
Mr Minister, as you are aware because of climate change, we are facing natural disasters all over the country. My electorate is usually one of the worst hit ones.
My questions are as follows:
(1) Mr Minister, what are your strategic plans if disasters should strike?
(2) Mr Minister, can you tell the Parliament what your plans are for emergency relief if disasters like tidal waves should strike?
(3) Mr Minister, when disasters strike we always engage the army however, what is the capacity of the army to assist? Do they have the necessary logistics and assistance? The Minister for Defence can take note of this question.

Mr ASSISTANT SPEAKER – Member for Markham, please ask your questions through the Chair. Do not look at the Minister and ask your questions.

Mr KONI IGUAN – Thank you, Mr Assistant Speaker. I am going to look at him.
(4) Mr Minister, can you inform Parliament of how much the Government has allocated to your Department to cater for disasters?
(5) Mr Minister, can you inform the Parliament about the instruments that are used to detect possible disasters? If they are not effective, what are you doing to fix the matter? If there are none, what are you doing to bring them in?

Mr JOB POMAT – I thank the Member for Markham for his important questions. Disasters are striking us everywhere so it is important that I fully answer his questions.
The five provinces of the Highlands region have felt the effect of the disasters as we speak. So have the Sepik provinces.






05/08
All around the world many are affected by natural disaster and Papua New Guinea is no exception. Five Highlands provinces are severely affected by the natural disasters such as landslips, including East and West Sepik where floodwaters are rising and displacing people from their homes.
Mr Assistant Speaker, I want the honourable Member to put his questions in writing and I will respond to him. I would also want all the Members to go back to your respective electorates and inform your people of the problem that we are facing during this wet season so that people can take precautionary approach on what is happening.

Mr THEO ZURENUOC – Mr Assistant Speaker, I would like to raise my questions to the Minister for Education.
Mr Assistant Speaker, in response to a question raised by the Member for Markham last year on the subject of elementary education, the honourable Prime Minister gave assurance to the nation on this Floor that the Education Department would undertake a review of the education reform, particularly the success or the failure of the elementary education system in this nation.
Mr Assistant Speaker, my questions are as follows:
(1) Could the Minister inform this Parliament and the nation if an assessment of the reform system of education, in particular, the elementary system has been undertaken yet?
(2) If yes, what are the findings or recommendations of the review?
(3) If not, why has this been so?
Mr Assistant Speaker, the reform of the education system and the introduction of the new curriculum in elementary, primary and high school education, according to my own analysis, is doing more damage than good to our nation.
I have evidence from interviews I conducted across my district’s teaching staff in both primary and high schools. They are openly confessing that they dislike the reform curriculum and are blaming the very low standard and even intelligence of our students basing on the reform and the elementary system of education, also taking into consideration the Outcome Based Education (OBE).
Mr Assistant Speaker, can you imagine students who failed in grade ten and even grade eight and grade six leavers were recruited off the streets, so to speak, and were given a few weeks of training under the reform system and they are now imparting those knowledge to our children in elementary schools. It is clearly evident that the curriculum adopted under the education reform is suppressing the intelligence of our children, who will be the future human resource and builders of this nation.
Mr Assistant Speaker, when you look around this honourable Parliament this morning, you will agree that nearly all of us here are the result of the old system of education that was prior to the reform. Mr Assistant Speaker, no one can question the level of our intelligence.
(4) If the old system has brought this nation thus far, could the honourable Minister clarify to me and to this nation in this Parliament, what was the basis for this change?
(5) Was there really a need for such irrelevant reform?
(6) Can the Minister tell us who initiated this change and for what reason?
(7) If there are no justifiable reasons or causes for such a whole system to change to the education system, wasn’t that a deliberate plot by some powerful agencies to suppress the intelligence of our manpower to remain in a state of inferiority?
(8) Can the Minister assure this House that his Department will immediately take steps to seriously verify this reform and abolish the elementary system of education, including OBE and reverse it back to the old system?
Otherwise, the old system is a better system we had.

Mr JAMES MARAPE – Mr Assistant Speaker, I’d like to commend the Member for Finschhafen for raising important questions.
Mr Assistant Speaker, as I assumed the Office, these were some of the fundamental issues that I had in mind. Perhaps I will go through by giving a little bit of background into why there is a reason for reform to take place.
We had the old system where you have the structure of the education system, which was six, four and two. This was a more prohibitive structure in which, as a nation, in order for us to achieve universal basic education and universal education status for our citizen, that structure was very prohibitive.
I will quantify what I mean by this. You have a grade six level of basic education stage, you had four levels of high schools with four national high schools at that time. For those of us who were privileged to go to national high schools, we belonged to the elite five per cent of students who came through that school system.
One of the primary intentions of the reform was to create more opportunity for many of our young people who were in those various stages. So there are two issues in the whole reform debate that is going on now. There is reform on the structure of the education system and the reform on the curriculum.
For me, this structure today serves the intention of the Government to ensure that our children are given more spaces in classroom. You would agree that there is more grade 11s and grade 12 spaces today than what it was before.

06/08
You will also agree that there are more students enrolled in primary schools today and around 47 percent of our young people who are supposed to be in basic education learning programmes are still not in school. How do we deal with them? Do we go back to a structure that still limits enrolment of students or do we embark on a structure that allows for more of our students to be in place?
To answer the good Member’s question, I feel the structure has per the reform agenda is alright. The issue lies with implementation, the type of curriculum and teachers standards. For instance, why is Japan still teaching at their schools Japanese venicular? Why are most countries teaching their own venicular? It is probably because they have qualified teachers teaching at various level of education.
Mr Assistant Speaker, the issue for me is about implementing the reform agenda that has deficiencies and I have instructed the Department that this year is the year that we will revisit the reforms because grade 9 students for this year are the first batch who have come out of the grade 8 examinations when they sat for the examinations last year from learning through the reform curriculum. Yes, I must admit that there are deficiencies in the reform and it is only eight years old and how to make it work is my business.
For the elementary schools that the Member asked in his first question, I must put on record that the level of teachers is very poor. As I took Office one of the primary statements I made was for us to emphasis as Government the teaching at the elementary level.
I must commend my predecessor of the Department for designating two specific teachers colleges, the Papua New Guinea Institute of Education and Madang Teachers College and last week, I spoke with the University of Goroka and we are going to embark on a post-specific Diploma and Degree Programmes to train teachers who will teach at that elementary level.
It is essentially important to get teaching at that level so that you will have students who will grow up with sound principles of learning.
Mr Assistant Speaker, one of the activities we are pressing in the Department is to embark on proper teacher training at that level so that they don’t only attend to a six week training as we all know or a one or two months training but they attend to a proper one or two year diploma training so that we have qualified teachers at that level.
The issue about the language is on that qualified teacher teaching in that local dialect bridging with proper introduction of English as a subject. That is the issue that has been lacking for a very long time and we hope that as we embark on proper quality training of teachers for elementary these teachers will have capacity and capability to teach and educate students at that level will address these issues.
Mr Assistant Speaker, 2009 is the year where we will make all these interventions to improve the education sector and one of the things I will be calling for and the University of Goroka will facilitate is an education debate.
For instance, Out-come Based Education is just one reform issue in the whole reform agenda and the reform to look into the structure of education, and curriculum and we will have this education debate at the University of Goroka. Hopefully, every learned person for and against the Out-come Based Education will be given an opportunity debate and hopefully, after 2009 we will be placed in a position to improve our education system.
Mr Assistant Speaker, I am personally very committed to the course of education and these are issues that are very sensitive to me and I am mindful of the consequences of the reform and we will make findings using last year’s batch of grade eight and this year’s current grade nine and we will do an assessment and appraisal on the quality of learning development and from the forums that we will be having will place us in a position to lead the nation on the education reforms.
I would like to assure this Parliament and the nation as a whole that as a Government we have discussed this at the executive level about the importance of pursuing the basic universal education programme and the current structural reform that we have made. The three, six and four structure where you have three years of elementary, six years of basic education and you have four years is an expanded opportunity to have more children and more students to enroll in grades 11 and 12 spaces.
This is the structure we need but it boils down to the issue of implementation and correct resources and as a Government that is the bit that we will be working on. Thank you, Mr Assistant Speaker.

07/08

Supplementary Question

Mr POWES PARKOP – Before I ask my question I would like to congratulate the Minister on his appointment. I think he has performed exceptionally well as a first term politician.
Mr Assistant Speaker, I got a visit today from the principal and the chairman of the fundraising committee for the Sogeri National High School. Since the reforms, our former national high schools look like just any other school. In today’s newspaper, you would have read that Aiyura National High School is having problems. So is Kerevat National High School.
My question to the Minister is as follows:
Are there any plans for these National High Schools or not? Are we going to convert them into colleges or not? As we all are aware, most of us would not be sitting here if it wasn’t for these four National High Schools.

Mr JAMES MARAPE – I thank the Governor for NCDC for his question regarding the four National High Schools.
The National High Schools are the responsibility of the National Department of Education. The National Government within its wisdom appropriated funding through the RESI Programme that looks at the restoration needs of these four National High Schools. As we speak, we have some issues under RESI which some agency of the Government has failed to step in which I personally feel was unnecessary.
We are working in close partnership with the Department of National Planning to address the various need and programmes in so far as rehabilitation of education sector is concerned.
Mr Assistant Speaker, the national high schools used to be under the responsibility of the National Education Department. As per the reform, the secondary schools fall under the responsibility of various provincial governments but the National Government will assist where necessary. The provincial governments are directly responsible for the provincial high schools and community schools in the province.
Education system is a partnership effort that must be shared by all agencies of the Government. I call on every agency of Government to step in and assist if any school in your area is in need.
With regard to the Governor’s question, the four National High Schools are within our direct responsibility and it is my call of duty to ensure that they are alright. I just assumed office but I am definitely going to look into the need of the four National High Schools.

Mr JOHN GARIA – I direct my questions to the Prime Minister but since he is not here, I direct them to the Deputy Prime Minister.
Since Independence, there has always been a Chimbu man in the NEC but this Government does not have one and it is mid-term of this Government already. I as the regional member am in the Opposition whilst all my six Members are in the Government benches. Thus I do not know if we are being fairly given our share.
My question is:
Can the Prime Minister and NEC consider and recommend that one of us be part of the NEC?

Dr PUKA TEMU – I thank the Governor for Chimbu for his question. We need 83 Members of Parliament to support the Prime Minister’s Bill to increase the number of ministries so if you support it then maybe one Chimbu man will get one. I think you have made a commitment to support it so when we introduce it on Tuesday, please support it.
Our Speaker is from Chimbu and the Chairman for Constitutional Law Reform Committee is from there, therefore, Government does recognise Chimbu.

08/08

The Government has given two major portfolios to the Members of Chimbu and all the projects are properly funded for.


MOTION BY LEAVE

Mr PAUL TIENSTEN (Pomio – Minister for Finance) – I ask leave of the Parliament to move a motion without notice.

Leave granted.






SUSPENSION OF STANDING ORDERS –REARRANGEMENT OF BUSINESS – PERMANENT PARLIAMENTARY COMMITTEE ON NATIONAL PARLIAMENT – DISCHARGE AND APPOINTMENT OF MEMBERS

Motion (by Mr Paul Tiensten) agreed to –
That Dr Bob Danaya and Mr Tom Olga be discharged as Members of Permanent Parliamentary Committee on National Parliament and that Mr Peter Waranaka and Mr Sam Basil be appointed as Members of the Committee.


PERMANENT PARLIAMENTARY COMMITTEE ON PRIVATE BUSINESS – DISCHARGE AND APPOINTMENT OF MEMBERS

Motion (by Mr Paul Tiensten) agreed to –
That Mr James Lagea be discharged as Permanent Parliamentary Committee on Private Business and that Mr Peter Waranaka be appointed as Member of that Committee.


PERMANENT PARLIMENTARY COMMITTEE ON PRIVILEGES – DISCHARGE AND APPOINTMENT OF DEPUTY CHAIRMAN

Motion (by Mr Paul Tiensten) agreed to –
That Mr James Marabe be discharged as Deputy Chairman on Permanent Parliamentary Committee on Privileges and that Mr Peter Waranka be appointed Deputy Chairman to that Committee.


GRIEVANCES DEBATE

Question proposed –
That the Grievances be noted.

Mr LUTHER WENGE (Morobe) – Mr Assistant Speaker, I would like to thank you for the opportunity to express my grievances. I would also like to thank the Prime Minister for being present here today because my grievances will be directed at him.
Mr Assistant Speaker, all my modern infrastructure in Lae are driven by electricity. Since 2003, we have been having problems with electricity because PNG Power has been failing on its part. They have not been constant with the power supply to us. Normal business has been very much disrupted, dead bodies smell because the morgue depends on electricity to keep them frozen. The hospital incinerator is not functioning because there is no electricity and therefore waste materials cannot be incinerated.

09/08
Tourists who come to visit Lae and stay at hotels also experience these blackouts and this will paint a negative image for Lae’s tourism industry. Also there are industrial companies in Lae that rely on power for their manufacturing machines, especially for storage freezers. For example, companies like Niugini Tablebirds, Zenag and Highlands Kakaruk rely on power for their freezers to store their poultry products. When there are blackouts, the products go bad. This scenario is the same for our dairy meat manufacturers.
These constant blackouts have occurred since 2003 and since then I have called for many public forums where many have come and given their views, but still there has not been any action taken. Each time I called these public forums, PNG Power kept giving excuses.
In the media it seems that this problem is not faced by Morobe alone but throughout the country as well. The Governor for NCD is a witness to this and up in Mt. Hagen it is a big problem. This issue is a cause for concern for the country. Is the Prime Minister and his Government taking any note of this issue? Our people are suffering. It is not a question of the DSIP, it is a question of what PNG Power can do to address this issue.
We had all agreed that privatisation was necessary and therefore Elcom was privatized to PNG Power. We had believed that through privatization, service delivery would improve for the people of this country. But with respect to the Government’s wisdom in the matters concerning privatisation, how come PNG Power has not improved? PNG Power has failed Morobe province and the country and if that is so then another company should come and take its place.
The gas that will be harvested in the Hela Province should be piped to Lae to generate power. Lae is the industrial capital for PNG and can have the capacity and capabilities to produce power from gas and produce other by-products instead of pipping the gas to Australia where they will make more money from manufacturing the by-products from the gas why can we not do that in Lae? Lae is an exporter to the world markets.

10/08
Other sources that we can use for power are gas, bio fuel, wind power and solar power because PNG Power has been failing this country.
Mr Prime Minister, can the Government and Minister for Privatisation tell the people of this country, especially the citizens in Lae city, the reason why PNG Power has failed in its service delivery?
For the benefit of the people of Morobe and the country as a whole, can the Prime Minster call for a Royal Commission of Inquiry to investigate the board members of PNG Power? This is not a minor issue Mr Prime Minister. Those of you that live in Port Moresby will not appreciate how we suffer from the lack of power in Lae city.
Next week, I will bring a petition to Parliament this and it will be signed by 3000 citizens of Lae city for me to present in Parliament.
Thank you Mr Assistant Speaker.

Mr JAMIE MAXTONE GRAHAM (Anglimp–South Wahgi) – Mr Assistant Speaker, my debate is in relation to health issues and a motion that I will introduce next Tuesday. This motion is for the total ban of lamp flaps in Papua New Guinea.
The reason why I am pushing for this is because on 27 January 2008, the Minister for Health had made some statements concerning the health crisis that this country is now facing from non- communicable diseases or lifestyle diseases.
Figures in 1999 state that 14 per cent of deaths in the country was due to heart diseases. Another survey that was carried out in 2003 stated that since then this has increased to 32 per cent. The people of Papua New Guinea are dying of heart diseases, which is increasing due to Western lifestyles.
Historically, our forefathers did not die from these lifestyle diseases like diabetes, heart disease, cancer and et cetera. All these diseases are foreign diseases that we have acquired with the acquisition of foreign and Western lifestyles. This has become a very serious issue.
Mr Assistant Speaker, if you go to Ward 7 at the Port Moresby General Hospital you will see many heart patients admitted there. Some of them need oxygen to help them breathe and there isn’t enough oxygen machines for everyone, so relatives of patients are using manual pumps to pump air into the patients’ lungs.
When there is a death either from the settlements or from a prominent person in society from such diseases we think that only a few die, but in fact, many die and the number is increasing.
Mr Assistant Speaker, this diet of ours, which includes the consumption of lamp flaps is the cause of many of our diseases. Lamp flaps is a cheap form of food.

Mr ASSISTANT SPEAKER – Member for Nawae, please resume your seat.

Mr JAMIE MAXTONE GRAHAM – We are here to represent our people and to bring their grievances to be heard so that we can do something about their grievances. We need to make some serious debate on serious issues and not play around here in Parliament.
This issue is a serious concern for our people for our grassroots people can be seen eating these lamp flaps on the street corners because almost everywhere lamb flaps are sold. This is not part of our culture. Because it is cheap we think that it is a cheap form of protein. But if you look at the lamb flap it is 95 per cent fat and five per cent protein.
In Australia and New Zealand they do not eat lamb flaps. They eat the other parts like the leg or mutton but this lamb flap is waste meat. It has a high cholesterol level and fat that block our body’s blood vessels and therefore, we see all sorts of sicknesses come about.
The Minister was in agreement with this and had given instructions to his department but it has been a year and two months since then. Also there is this big issue going on at this time within the Health Department and I pity the Minister but he has the political will to get things moving. The National AIDS Council has problems of its own too and there are still many outstanding issues yet to be addressed.
And all the fingers are pointing back at our beauracy, the institution of Government. We are at the executive government level where we make the policies but the government system is not working.

11/08
So I want us to debate this issue of lamp flaps seriously because it’s an imported food item. I am happy the Prime Minister has introduced an important office called the Office of Climate Change. What are we doing in Papua New Guinea to support the issue of climate change; global warming, reducing of greenhouse gases, if we want to reduce our carbon footprint then we have to stop importing food from long distance. These foods are transported by ships, which burns diesel that produce greenhouse gases to the environment.
Mr Assistant Speaker, in fact Papua New Guinea should not import any kind of food like rice at all. Papua New Guinea is not a drought stricken country where we don’t have land to grow food; we are blessed with the best fertile soil and rainfall in the world. Unlike other countries like Australia where they are struggling to irrigate their farms and even their soil is very poor that they have to apply fertilizer to grow their crops.
We should not important any food at all. One major imported food is rice and it is commercially farmed in Thailand and other countries. And they use all kinds of chemical and it is not a good food. But we have already adopted it as our staple diet.
Our staple foods are kaukau, taro, banana, sago and other traditional food, which are of good use to our body.
Mr Assistant Speaker, let’s make some bold decisions on the issue of imported goods, what is wrong with that we must not waste our time here talking away and ignore some of these important issues.
Major countries such as American and Europe are seriously considering to reducing their carbon footprint and starting to introduce the idea of importing food from other countries. They encourage their local farmers to grow local food and sell them in their local markets for people to buy.
Mr Assistant Speaker, the world economy has collapsed and it is not strong anymore; we must try to build our local economy.
To end my debate, I want to thank the Minister for Works, Transport and Civil Aviation for answering a question in relation to preventative maintenance program for roads.
Mr Assistant Speaker, a country that I know of that has the best road system is New Zealand. I can say their road system is well zoned and most excellent in the region. Their government award contracts to construction companies for five years and they do preventative maintenance continuously over that time period.
Here in PNG, we are faced with a lot of problems with roads, when a contract is awarded to a contractor they only work on it for short distance and less than one to two years because of not enough funds. And the financing company comes and take the machines back. That is why the cost of constructing roads is very high because we don’t have a proper system. But if we introduce this system that the Minister is advocating then it will help this country a lot.

Mr TIMOTHY BONGA (Nawae) – I have a very short debate to contribute because I was trying to ask questions on this issue but time caught up and I didn’t had the chance, but thank you for allowing me now.
Mr Assistant Speaker, many important issues have been debated. But let me commend my colleague, Member for Anglimp-South Wahgi and the people of Hela for the smooth first vote for their separate province.
There is a lot of confusion on the issue of Electoral Boundaries because the Electoral Boundaries Commission is not doing its job properly.
Many electorates’ population has increased over the years. Here we are only looking at the smaller portion of it and the bigger portion of it is still there.
Mr Assistant Speaker, Morobe Province will be divided into two because Huon Gulf and Nawae comes under Lae. Our electorate comes under Lae and we don’t want this because we want to be with the rural people and we don’t want the urban people. But we don’t have any choice but to share the same boundaries and face the problems together.
Therefore, I urged the Government to seriously consider this and review the electoral boundaries. Our problems will be solved if we are given one more electorate, which will separate Nawae Urban and Huon-Gulf Urban so that Nawae and Huon-Gulf Urban can go together.

12/08
Should there be one more electorates then it will really help the Member for Huon Gulf and me. The people of Nawae Urban and Huon Urban really belong to another electorate which is Lae. I think one more electorate should be created in order to cater for these people.
Morobe Province is the biggest province in the whole country. We have nine districts and one regional seat. If you cannot look into the electoral boundaries then I think it should be separated and made into two provinces. I would like the Minister responsible to take note of these grievances.
The second thing that I would like to speak about is the village court magistrates and the peace officers. I am pleased with some of the answers that the Minister for Attorney General and Justice gave. Some of us have taken up the initiative to use our K1 million to look into the village court magistrate matters.
We will find that our villages are not like what they used to be in the past. One will find crimes that usually happen in towns and cities happening in villages and the only people around who can help minimise them are the village court magistrates and peace officers.
We need to look after them properly so they can adequately do their job. These people are very important people in our villages and districts. I have already allocated my K1 million to look into this matter. I have asked law and justice officers to go to my electorate and help upgrade the skills of my village court magistrates and peace officers.
In the past, our Luluais and Tultuls were recognised because they had a badge. We need to bring back that system so that our community will identify them as government officers. I am aware that you have taken the step to look into these problems and I commend you for doing that. The similar treatment should go to our village councilors because they carry out similar jobs.
I think that if we look after these people then our jobs as chairmen for our districts will be much easier. These are the people who will bring reports from their own little villages thus making it easier to understand what is happening in our electorates.
I would also like to talk a bit about what the Member for Bulolo raised to the Minister for Transport and Civil Aviation. Some years back there use to be Works stations all along our main highways and when there was a need things got done very quickly. But today, it is very hard because there are no such stations. We see a small creek dig up the road and before you know it the road has already been eaten away and the costs escalates making it harder for us to meet.
We do not need band-aid treatment for these problems. We need to solve it as soon as it starts. The smaller it is, the better chances we have of curing the problem. I support the Member for Bulolo on his comments about the Works Stations and recommend that we look into it.

13/08
It’s good to build as many roads as we can but to maintain those roads especially in times of disasters, we take a lot of time.
In terms of scooping, we at the JDP&BPC level are looking at engaging contractors that are not capable of carrying out proper and quality work and as a result we are spoiling ourselves. We have so many contractors that do not have technical and equipment capacity to implement.
For example, in my electorate when the JDP&BPC approves a project, I must make sure to get chief engineers and mechanics to inspect the machines and equipments before I award that particular company the contract to work.
Mr Assistant Speaker, these are some of the things if we are not careful it slows down our development opportunities. We think that we are doing the right thing but yet what we do is not right thus burdening our people in the rural areas.
We have to re-visit the proper systems where checks and balances are in place before we award project contracts to any unknown contractors. Our contractors must have the right machinery with expertise involved before we award contracts. We have to help them but the onus is also on them to prove themselves that they can implement a better and quality job.
The mentality of awarding contracts to contractors where we have our hands in them have to be somehow stopped. We must change from such thinking and mentality and give jobs to those people who can really do the job.

Mr BYRON CHAN (Namatanai) – Mr Assistant Speaker, before I speak on this Floor, I want to acknowledge the recent trip by the Prime Minister to my Electorate of Namatanai in New Ireland Province.
I appreciate his Government for committing K50 million towards some of the outstanding commitments to the people of New Ireland. Once again, I thank the Prime Minister and the Government for your great help to the people.
However, I believe the Prime Minister could have been misinformed of the total outstanding amount because during his speech, he stated that only K90 million will be committed by the National Government on outstanding MoA.
From my discussion with various Departments like Treasury and Finance, National Planning and the Mining as well, we have agreed that the total amount outstanding could exceed K300 million. That has to be verified by the Government and the departments responsible. I believe from the speech at that time, the Prime Minister was misinformed.
I encourage the Government and Ministers concerned to advice the department secretaries to attend to these meetings. I believe before the Prime Minister actually flew over to New Ireland, I met with the Provincial Government and the departmental heads.
However, some of the departments were not represented. Finance was not there and not even the people from Internal Revenue and Planning. Yet the Prime Minister committed only K90 million. Some people are not attending to this matter seriously.
Therefore, I’d like to ask the Government, especially the Ministers please make sure your secretaries or department staff are represented in every such meeting. Some things we talk about cannot be replaced like land, which is being mined out of Lihir Island. It’s going to be a big hole and there is nothing to replace with once all the land are dug out. The money that we are fighting about is rightfully for New Ireland that it be reimbursed.
Minister, I was about to ask you a question on your recent approval for Mopu extension. The Mopu extension by Lihir Gold extends the production another three hundred thousand ounces from seven hundred thousand to one million ounces.
I have written a letter to the Deputy Prime Minister, the Department of Mining, MRA and certain Ministries as well for the intention of Namatanai JDP&BPC on the increase of extension. If there was an approval by the Government, then Government should firstly consider some of our requests.
My letter was sent to the Minister prior to the approval on 04 February, 2009. In my letter, I asked the Government to take into account Namatanai and New Ireland’s problem. You know that Lihir Gold is a multi million mining company and it is worth A$7.5 billion. It is about K16 billion and it is operating in my Electorate.
However, this mine also did not declare any profit in the last 15 years of operation.

14/08
Namatanai and New Ireland have not been privileged to any of these tax benefits and this is very disappointing for my district and the National Government as well because it has not been receiving any tax declared on profits.
In my letter to the Minister I advised him and the Department of Mining of possible increased royalties by all stakeholders, increased landowner royalties, participation in revenue earning, implementation of tax credits and a possible direct district development grant.
This is similar to the current DSIP programme that the Government has in the electorate because in the last 15 years Namatanai District has not received one major project out of this multi-billion kina company.
I think it goes for all other mining Districts as well. They might have the same problem here but I don’t have a problem with mining companies its just that my people are not receiving anything. Not one major project is funded by this company since its operation started and now its worth about K16 billion, its very frustrating to see the Government approving extra revenue production without tying it to district and provincial development.
Mr Deputy Prime Minister, another concern is that once the mine increases production by 300 ounces it also reduces the mine life by an estimate of 10 years. That is a problem for us to resolve. Also there are health problems arising like what the Member for Anglimp/South Waghi is saying about importing a lot and sustaining themselves on a lot of external food and many locals are not gardening anymore. My problem is that I don’t have the financial capacity to resolve this and I would like the Government to seriously consider it. I know that approval has already been given but if we can discuss this further in the MOA and the IBP review.
I would like the Government Ministers to take note of my grievance because it is very serious and it is very frustrating to know that a multi-billion kina company has no direct input in this country. I think they have only spent K500 000 outside of Lihir but in Lihir there is plenty of money.

Mr JOHN KEKENO (Koroba-Lake Kopiago) – Mr Assistant Speaker, I thank you very much for giving me this opportunity to air my grievances. Before I continue, on behalf of the people of Koroba-Lake Kopiago, and on behalf of the 350 000 people of Hela, I sincerely thank the Members of Parliament on both sides and Ministers of the Government, especially Opposition Leader Sir Mekere Morauta, I thank you for supporting the first vote and it was an undivided vote.
The Hela issue has been an issue since 1972 and the Grand Chief Sir Michael Somare was the Chief Minister and the Deputy Chief Minister was Sir Maori Kiki and during their time it was brought up on the Floor of Parliament by former Member Andrew Wapiria and it has taken 36 years for it to be realized.
On behalf of my people, I also sincerely thank the Members of Parliament for the Jiwaka issue which was also undividedly supported during the first vote and I believe you will continue to support it when it comes around in two months time.

15/08
In the Koroba–Lake Kupiago electorate, we share the border with Komo–Margarima electorate where the Hides Gas Field is located. At the moment, we are facing problems caused by floodwaters where five Council Wards have been devastated. This disaster was reported in the media some time ago and the Minster for Provincial Affairs and Inter-Government Relations is aware of this and inspectors have been sent to survey the affected areas.
The floodwaters have not gone down since. It has been five months now and what I have gathered from villagers is that similar incidents have occurred in the past and it took 30 to 40 years for the floodwaters to dry up. This resulted in villages being relocated but now the high grounds where the villagers could seek refuge have also been flooded. Many areas are now under water like schools, health centres, aid posts, churches and gardens.
There are 2000 people who have been affected and they are also principal landowners to the LNG project area. Because of this the people are not happy to come and sign any agreements.
I think that the Minister responsible alone cannot do much for it needs the attention of the government as a whole to seriously look into this issue. People are suffering and dying and it is not good that we Members from those areas affected talk about the LNG project for they will be angered. This issue is serious as we need to relocate the people affected.
If we do not help these people we may face problems with the LNG project for the media have stated that the people are crying out why there has not been any assistance from their respective Members and from the government.
Therefore, I think that we should consider this issue very seriously.

Motion – That grievances be noted – agreed to.

16/08

ADJOURNMENT

Motion (by Mr Paul Tiensten) agreed to –
That the Parliament do now adjourn.


The Parliament adjourned at 12:40 p.m..

=================================================================================
WEEKEND*Opened Bulolo Technical School's Broadband Internet Service Courtesy of Telikom (PNG) Ltd in Bulolo on Monday the 16th March,2009. Three truck full of Library Books were also delivered to three schools in Bulolo namely, Ompiri, St. Stevens and St. Peters courtesy of Hope Worldwide, NZ Aid, Ausaid, Nestle and Consort Shipping.

==============================================================
NINETH DAY
_______________________________

Tuesday 17 March 2009

DRAFT HANSARD
______________________________


Subject: Page No.


QUESTIONS. 1

AUDITOR-GENERAL OF PAPUA NEW GUINEA – REPORT OF
THE AUDITOR-GENERAL – PART II, NATIONAL GOVERNMENT
DEPARTMENTS AND AGENCIES – ACCOUNTS AND
RECORDS 2007, CONTROLS 2008 – PAPER –
MOTION TO TAKE NOTE OF PAPER.. 18

ANNUAL PROVINCIAL PERFORMACE REPORTS OF CERTAIN PROVINCIAL AND LOCAL-LEVEL GOVERNMENTS 2006 –
PAPERS AND STATEMENT –
MOTION TO TAKE NOTE OF PAPER.. 18

MOTION BY LEAVE.. 24

ADJOURNMENT.. 24

NINETH DAY

Tuesday 17 March 2009

The Parliament met at 10 a.m..

The Clerk – I have to inform Parliament that due to the unavoidability of both the Speaker and the Deputy Speaker, Mr Assistant Speaker will take the Chair.

The Assistant Speaker (Mr Guma Wau) took the Chair and invited the Member for Bulolo, Honourable Sam Basil to say Prayers:

‘Papa God bilong heven, mipela olgeta sanap long dispela Haus, givim hona, prais igo long yu bikos yu sous bilong olgeta laif mipela live long em bilong dispela graun.
Papa, yu ibin makim mipela long makim maus bilong pipol na sanap long dispela Haus long karim wok we yu bin makim mipela long em. Dispela dei mipela askim yu long spesal blessing yu long istap wantaim mipela, lidim mipela taim mipela delibarate long importance issue long dispela kantri.
Papa, fogivim mipela long mistakes mipela kam wantaim na helpim mipela long sowim strong na pawa yu givim mipela. Amen.’


QUESTIONS

Mr JOE TEINE – I direct my questions to the Minister for Works but he is not available so I re-direct it to the Prime Minister.
In view of the fact that the deteriorating state of the Daulo, Watabung and Chimbu sections of the Okuk Highway is yet to be cleared, my questions are as follows:
(1) Will the Government consider a limited State of Emergency to be imposed in the affected areas in order to restrict movement of people who are likely to hinder urgent maintenance being carried out?
(2) If so, when will the State of Emergency be declared?
(3) If not, what response plans are there to re-open the economic lifeline of the highlands provinces and Papua New Guinea as a whole?
(4) How will the landowners be contained and controlled?
These next questions are specifically directed to the Minister for Works but for the record, I’ll raise them.
(5) Could the Minister confirm approving a contractor from Chimbu to carry out the ASSRP using satellite imaging program?
(6) If so, could the Minister confirm if his Department has allocated funds to carry out this program?

Sir MICHAEL SOMARE – Mr Assistant Speaker, I would like to ask the honourable Member to put his questions on the Question Paper because the Committee on the road is having meetings with the Minister for Transport and I am sure that the Minister will be able to furnish the answers. I will ensure that the Minister makes a statement in relation to his questions and also regarding the satellite monitoring system.

Mr FRANCIS POTAPE – I direct my questions to the Prime Minister and I ask the Ministers for Foreign Affairs and Community Development respectively to take note.
Papua New Guinea under the leadership of the Prime Minister and Dame Carol Kidu’s ministerial leadership is now in the process of nominating three women into Parliament in order to partly meet the satisfaction of the international community including Australia and United Nations.
On the same token, I say that the indigenous people of Australia called Aboriginals by the white Australians and the Pacific Islanders including those of the Torres Straits and Thursday Islands are not represented in the various Federal and State Parliaments.
(1) Can the Prime Minister bring these issues up in the next South Pacific Forum?
(2) Mr Assistant Speaker, to promote trade and commercial activities within the South Pacific Region, do the prime ministers of the South Pacific Region have any intention of introducing one common currency in the South Pacific?
(3) In the next South Pacific Forum, can the prime ministers of all the countries in the South Pacific resolve that travelling within the region be visa free like that of Singapore and Malaysia?
It is quite difficult for ordinary Papua New Guineans are struggling to obtain visas to travel to Australia and New Zealand.

Mr ASSISTANT SPEAKER – Honourable Member for Komo-Magarima, I am ruling out your first question because the matter is already on the Notice Paper but I will allow the Prime Minister to answer the rest of the questions.

02/09
Sir MICHAEL SOMARE – Mr Assistant Speaker, to answer the honourable Member’s question I will delete the three nomination system because we should not enter debate before the motion is before the Parliament.
I will answer part of the question in regards to the international community’s views on this issue, which includes Australia and New Zealand. It was not because of pressure by the UN but because a provision in our Constitution we adopted on the 15th of August 1975, the constituent assembly had a vision where CPC recommended for nominated members.
The reason why we nominated at that time was because we know the natural attitude of Papua New Guinean men towards housewives and women. We felt then that there should be a provision at any time when Parliament decides to have the nominated provision. We then decided that we would try the nominating system of having three. The original idea was to have representatives from the churches and from the community where women play a major role in the community.
That was the original intention but CPC in its wisdom at that time decided to leave that provision in the Constitution and later on when the organic law was introduced about women membership, we started having the nominated member system.
And it was there in the provision of the Constitution and my Government thought that it would be a good idea to try after almost thirty-five years of independence I thought that we would be matured enough to understand and realise the importance of women, women who can play a role not only as housewives but women in academic, engineering, philosophy and others.

Mr Bart Philemon – Point of Order! Mr Assistant Speaker, you made it quite clear that this matter is on as Government Business and the Prime Minister is entertaining that subject.

Sir MICHAEL SOMARE – Mr Speaker, I was trying to explain the general principle why we wanted that to happen. In Australia you have the Aborigines and that is a problem for the Australian Government. If Australian Aborigines decide to run for seats in the Australian Parliament I am pretty sure that they will and there are mixed raced Australians who sit in some of the State Parliaments. I think that in Western Australia, there is an Aboriginal Member of Parliament and Aboriginal women as well.
The Pacific Islander countries have women members in their Parliaments. In Fiji for example, the Parliament is suspended at the moment but at those times when Fiji was in flying colours they had a number of women in their Parliament. Samoa I remember in 1960, Miss McArthur, the daughter of the then Prime Minister of Western Samoa was a very prominent member. In Tonga it also had a similar passion for Pacific Islanders except their women but I thought I would just make that point. Since a Point of Order was raised I will speak on that during the debate on that matter.
Regarding the second Question in relation to commercial activities in the Pacific, the idea has been floated but our economy is not large to be able to do that. In Europe, they have a common European currency but each individual countrie’ in the Europe tries to maintain their own currencies.
In the Pacific once upon a time, our kina was equal to the Australian dollar and of course from time to time it used to exceed the Australian dollar and the US dollar. We have our own base to determine the value of our kina.
For other smaller States like those from the Pacific Islands their small economies are no match to have a reserve to allow them to go into common currency with the rest of the Pacific region.
Therefore, each individual State in the Pacific had decided to stick that way. As for Australia and New Zealand, the New Zealand currency is used in Niue, in Tokelau, Cook Islands and other small island States. Samoa has its own dollar or Tala, the Cook Islands the same and the Fijian dollar in Fiji. So it is up to individual countries but I think that the time is not yet right for us to have a common currency.
That is the reason why Australia and New Zealand maintain their own dollars and I think some of the Pacific Islands have a parity with their own currencies with New Zealand and Australian dollars. For us, the kina fluctuates all the time compared with the Australian dollar but as we build more reserves that will probably put us along the same standing as Australia.

03/09
Mr Speaker, on the third question on visa, both Singapore and Malaysia have a common understanding with us and not so much restrictions are placed on us. As for Australia they have changed unlike before where we normally travel to Australia without so much restrictions. But now they decided to put restrictions probably because of too many people from other countries bypassing Australia. These are only 26000 Papua New Guineans. It is their decision on who they want to take into their country. If they don’t want us then fine we have a beautiful country.

Mr KONI IGUAN – I want to direct my questions to the Minister for Treasury and Finance. Before, I ask my questions, I want to commend the Government for introducing this District Services Improvement Program (DSIP), which helped us both old and new Members a lot. This program has given us strength and we, as Members of Parliament have brought many services to the district level unlike before. Therefore, people back at the village are very happy and celebrating by dancing and beating their kundu drums. On behalf of the people of Markham, I commend the Government for bringing many services through this program.
I went to my electorate over the weekend and was happy to find out that through this program (DSIP) a K4 million was allocated to my electorate. Unfortunately, that money was withdrawn the next day.
My questions are:
(1) Why was this K4 million withdrawn the next day?
(2) When will this money be put back so that we can continue with the good work that we have started?

Mr PATRICK PRUAITCH – I thank the honourable Member for Markham for recognising some of the many services, which this Government has done in its efforts to restore services particularly in the rural areas.
District Services Improvement Program, is a very important program introduced by the Somare/Temu Government.
This is one of the interventions this Government has done apart from other programs like Rehabilitation Education Sector Infrastructure, Law and Order, Border Development Authority, Health and et cetra.
The main intension for introducing these programs is to focus Members’ attention to concentrate on all the districts. On the District Services Improvement Program the National Government has emphasised a lot because as many of us know, facilities in each of our districts have been deteriorating for the last 20 years.
Many governments come and go but don’t seem to have the ability to continue funding. The maintenance of those infrastructures therefore, this Government has decided to concentrate more on servicing our rural districts.
Your question on the disappearance of the allocated funds, I am not aware of it. But, I only know that funds will be made available at the end of this session of Parliament to each district from the 2008 National Budget.

Mr MALAKAI TABAR – I direct my questions to the Minister for Commerce and Industry and I want the Ministers for Justice and Health to take note.
My questions are on how best the Government can manage in the selling of betel nuts.
Lately, the Governor of National Capital District has done a tremendous job in looking and keeping our city clean. I want to emphasise here that the Government must take responsibility in engaging some of its agencies to reorganise the market system of betel nut.
Today, betel nut is one of the commodities and many people make a lot of money from selling and buying betel nut. There was a time when betel nut was one of the commodities in the basket of commodities determining our Consumer Price Indexation. As betel nut comes to our commodity trade, it also affected the production for other agricultural commodities and some of them have been dying out over the last 10 to15 years.

04/09
As betel nut comes into our markets as a commodity for trade it affects the production of other agricultural commodities and some of these commodities have been stagnant over the last few years and have not grown. Many of our farmers have left farming and are now selling betel nut.
(1) Mr Minister, can we not ban but regulate the trading of betel nut? This regulation should involve the marketing chain so we can protect the small farmer from intimidation and abuse on the market.
We also need to monitor the chemical composition of betel nut, the lime and the mustard. There are rumors that fibro is sold as lime at the markets. Our provincial and city authorities can use this legislation as an example for other loitering legislation.
(2) Mr Minister, can we regulate betel nut farming so that farmers will only farm and not involve in the trading of betel nut? There is a demand for betel nut in some parts of the Highlands like in Porgera and other places like Oro Province and Bougainville. I think farmers are also intimidated when selling their buai (betel nut) so if provincial governments are involved and regulate, then I think there would be better trading taking place.
(3) Can we also allow National Agriculture Research Institute to help monitor the kind of betel nut, mustard or lime being traded? I believe this trade can be used as a substitute when other trades have problems.

Mr GABRIEL KAPRIS – I would like to thank the Member for Gazelle for his questions. I will do my best to answer his questions because I am not a betelnut chewer myself.
Betel nut is not like any other ordinary crop but for many of our farmers in the country it is a cash crop. I know that many informal farmers use buai trading as a means to earn an income.
With regard to how the Government can come up with a legislation, I think my Department is more involved with the trading part of it so I think the production of it will be with the Department of Agriculture. But if the Government can be able to help the growers then I think it will be more involved in facilities and places where buai is being sold. It should be protected so that it should not be covered in dust and making it a health hazard for the consumers.
These questions are very technical in nature so I would like to ask the Member to put them down in the question paper so after I have consulted the Agriculture Department and my Department, I will respond to him.
I believe both these departments can put up a technical team to look at this cash crop. What has happened here in the city has raised concerns from the public especially those who rely on it for survival. I fully support what the Governor of NCDC has done but at the same time we have got to find a better way to help the traders of betel nut.
This is something that I will ask my Department together with other line agents to address this particular commodity.




05/09
We can even export betel-nut and as a Government, we should help the small farmers and growers find better ways of selling betel-nuts both domestically and overseas.

Mr SIMON SOLO – Mr Assistant Speaker, I have been standing up for the last two weeks and this is the last week hoping to be recognised by the Chair. This is the last week. I thank you for recognising me and the people of West Sepik.
Mr Assistant Speaker, all of us here represent each of our district and province and it’s good that the Chair recognises us, especially the backbenchers.
Mr Assistant Speaker, I would like to direct my questions to the honourable Minister for Planning and Monitoring and I’d like the Minister for Finance and Treasury to take note, as well as the Minister for Health.
Mr Assistant Speaker, the Department of Health was allocated a total of K80 million under the 2007 Supplementary Budget and from this amount, a total of K2.6 million was appropriated to West Sepik Province.
Mr Assistant Speaker, from the K2.6 million, K1.4 million was allocated to Vanimo General Hospital to improve facilities like the morgue, laundry, water supply, catering facilities, staff accommodation and ward maintenance, while the other K300, 000 each was allocated to improve health facilities at Bewani, Nuku, Telefomin and Raihu hospitals.
From reliable sources, this money has been withdrawn by the Department of National Planning and Monitoring and it is now with them.
Mr Assistant Speaker, my questions are as follows;
(1) Can the Minister confirm on the Floor of this Parliament, if this money is still with the Department of National Planning?
(2) Can the Minister explain to the people of West Sepik why this money was taken back to the Department of National Planning and Monitoring?
(3) Can the Minister instruct the Department to release the money allocated to West Sepik Province to improve health services needed by the people there?

Mr PAUL TIENSTEN – Mr Assistant Speaker, I thank the Governor of West Sepik for his series of questions.
Mr Assistant Speaker, like the RESI, and also some components of NADP that this Government has embarked on, most of these funds were decentralised as a way of appropriation to various Departments and sectors.
Unfortunately, most Departments do not have the capacity and have not rolled out these programmes. The Treasurer indicated in his statement in relation to the status of the economy and how this Government is looking at managing the flow of those funds. He is mandated to move the funds back to Department of National Planning and Monitoring as the central agency to implement these programmes.
Most Departmental heads were given cheque books when subsidiary accounts were created. Because the funds have come back to the Department of National Planning and Monitoring and the cheque books are still with the Departmental heads, they could not release the funds. As a result we have not moved a lot of these programmes in terms of implementation.
So RESI is now a subject of investigation by the Ombudsman Commission and they have now put a stop to its implementation. We are now taking the matter to court because it is the Government’s mandate to do what it wants to do. Unfortunately, we’ve got Ombudsman Commission interfering with the Government process. Therefore, RESI is put on hold until the matter is resolved in the court.
Health is not a problem right now. There is a due process that the Department has to go through. As the Governor has said, K2.6 million was allocated for West Sepik and it has to be processed through my Department and we are looking at releasing some of these funds by this week or next week.
We are targeting some of the major hospitals in the country like Port Moresby General Hospital and Angau Memorial Hospital in Lae where infrastructure has deteriorated. We’ve got to do it in batches and in phases so that we do not affect the economy in terms of the inflationary effects.
Governor, your money of K2.6 million is still in there and I will check with the Department and if it’s still in there, then we will roll it together with the other ones that come under the health sector.

06/09
I think the department is working on all this projects because the Prime Minister and this Government have declared 2009 as the year of implementation. We are tired of just talking on and on. We are serious of rolling some of these programmes.
I will see to it that you get your K2.6 million released to you as part of the first batch.

Mr ANTHONY NENE – Mr Assistant Speaker, my questions are directed to the Minister for Finance and Treasury.
The National Development Bank branch in Popondetta, have applied court proceedings on agriculture loan defaulters for inconsistencies in loan repayments which has affected and shocked people in the province.
How has the bank taken this approach when the province has been severely affected by Cyclone Guba recently?
Mr Assistant Speaker, all these so called loan defaulters are annoyed because the Bank has not been sending them their bank statements and so are wondering if the Bank is attempting a double dipping of their pockets on loans which are supposed to have been already repaid.
When the floods destroyed the Oro Province in October 2007, the constant cash earnings from the oil palm industry was suspended for about five months for those whose road infrastructure where beyond repair at that time.
Mr Assistant Speaker, just yesterday, 11 bridges and the Popondetta-Kokoda road was washed away by the Kumusi River when it burst its banks. People are now severely affected and are struggling to make a living today.
Mr Assistant Speaker, some of the loan defaulters are in these group of people and my questions to the Minister are:
(1) Can the Minister order an investigation into the Management of the National Development Bank branch in Popondetta and determine if the management is adhearing to management principles or not?
(2) Complains are being received from the affected people that the National Development Bank branch in Popondetta hasn’t been giving out their loan repayment annual statements and they were shocked to find out that they have been prosecuted for loans that they supposed to have already been paid. Therefore Can the Minister direct an investigation into these claims?
(3) Finally, can the Minister determine the economic situation after the flood in the Oro Province and consider assisting the loan defaulters some kind of increased time frame to repay their loans?

Mr PATRICK PRUAITCH – Mr Assistant Speaker, I thank the Member for Sohe, for his very important questions in relation to loan repayments and the demand by the National Development Bank to the loan defaulters.
Mr Assistant Speaker, as you know Oro Province suffered severely by natural causes and the National Government responded very quickly to ensure those people affected were provided with necessary services needed to ensure that they returned to normalcy in their lives. As a result the Oro Restoration Authority was created and K20 million was allocated to that particular authority in the 2009 Budget.
Mr Assistant Speaker, when we talk about issues of emotions we try to mix with commercial interests and we really need to separate these two. The Bank and its policies and the National Government undertaking relief and emergency services to disaster affected areas should be separated. Because it is a Government entity we tend to think that the Government will just move in and write-off loans or otherwise.
Mr Assistant Speaker, the National Development Bank or the Ariculture Bank, as was formerly known has come to its present state because of this sort of situation, where politics has taken over the running of the Bank.
I want us to understand that commercial principles are there and cannot change and principles for the National Government to provide services are also there.
I certainly concur with the Member for Sohe. There was a situation on the ground in terms of the disaster in Oro Province, and I will make an undertaking and direct the Managing Director and the Board of the National Development Bank to thoroughly look into this matter and I can respond to the people of Oro and Sohe through their Member.

Mr BENJAMIN MUL – Mr Assistant Speaker, before I ask my questions I would like to take this opportunity to thank the Members of Parliament for their undivided support on behalf of the people of North Wahgi, which is also part of the Jiwaka Province.

07/09
My questions are directed to the Minister for Inter-Government Relations in regards to the vacancy in the Office of the Governors for Western Highlands and Madang Provinces. I will speak particularly on Western Highlands Province as it is a town of oil and gas.
When Mr Olga and Mr Wingti took the case to Court, the Kapal House was burnt down and all the public servants were scatted all over the place in Western Highlands Province. The province is currently experiencing a disastrous situation without a political head and a lot of fighting going on. There are two groups in Western Highlands Province carrying ammunitions around, doing holdups and escaping with money. Law and order is a big problem in the province now.
The Court made a decision and awaited the results of the elections of Mr Olga as the Governor for Western Highlands and Sir Arnold Amet as the Governor for Madang Provinces respectively. But the records here show that both Governors don’t receive pay in Parliament.
Now, the people of Western Highlands and Madang Provinces have claimed that the Deputy Governor will be Acting Governor of the Provinces referring to the Organic Law on Provincial and Local level Governments. The Deputy Governor automatically becomes the Acting Governor when the Governor is absent either on leave or sick leave or for any other reasons until his return.
I’ve acted as the Deputy Governor for almost six weeks now and who is in control of the province?
(1) Can the honourable Minister confirm and inform the Parliament if Mr Olga is the Governor of Western Highlands Province?
It’s almost seven weeks now being without a Governor and everybody is not sure of who their Governor is.
(2) If there is a vacancy in the Office of the Governor officially, why wasn’t I permitted to act as the Acting Governor for the province as stipulated under the Organic Law on Provincial and Local level Government ?.
(3) Is it because I am in the Opposition?
(4) Can the Minister inform the people of Western Highlands Province of their Governor?

Mr JOB POMAT – Mr Assistant Speaker. I wish to say that the law is clear. It is always the case that the Regional Member becomes the Governor of the province unless he rejects the post as Governor then one of the Open Members is nominated to take the Chair of the Governorship.
The Court decision is that he is no longer the Regional Member but as he has appealed or filed another case to the Court. The Court is still awaiting the election results of Mr Olga before making a decision.
He is still the Governor of the Province. If you read the Section properly, it stipulates that when the Regional Member or whoever is the Governor vacates the Chair, either as a Member of Parliament or of a Court decision, the position of the Governor in the Province is withheld until a new Governor has been voted in.
You, as the Deputy Governor should be acting on the Chair whilst the Governor is busy attending to his case with the Court. Please cooperate with him and maintain the affairs of the province properly, not because you’re in the Opposition and should not do the work of the Governor. I’m sure you will be satisfied with my response but if you’re not, then after this meeting of Parliament, you can come and sit with me and my Departmental Secretary and discuss it further

08/09
Mr PETER WARANAKA – Thank you Mr Assistant Speaker, firstly I would like to thank the Member for Komo-Margarima for leading us both and I also thank the people of Komo-Margarima for voting him back to Parliament.
I also thank him for making an important decision to switch over to the Government side and I encourage the Members in the opposition to do the same to give numbers to the Government.
Mr Assistant Speaker, I would like to say a big thank you to the court system in this country, which is truly strong and alive. A lot of people want to manipulate the election of members whom the people have voted for to provide goods and services for their electorates. The court system has a lot of God-fearing judges on the bench who can reason out things from the knowledge God gave them.
Mr Assistant Speaker, my question is directed to the Minister for Justice and Attorney-General and this is in regard to the courthouse in Wewak. The contract was awarded 18 months ago but still to date there is no construction. The Chairman of CSTB and myself are confused and do not know what is happening but we do know that the contract has been awarded but construction has not started.
Mr Assistant Speaker, I heard that the judge who is in charge of the Court Building Projects has issued a warning that any public servant or whoever releases money for the contract will be arrested because the awarding of the contract for the Wewak courthouse did not follow procedures of the National Judiciary Services and, CSTB awarded the contract to a company that was not shortlisted.
Can the Minister inform the people of East Sepik when the people can receive services like registry, judges and prosecutors from the National Court in Wewak?

Dr ALLAN MARAT – Thank you, Mr Assistant Speaker. I would like to thank the honourable Governor for East Sepik for his questions regarding the Wewak courthouse even though the contract was already awarded by CTSB to a company, which was not shortlisted.
Mr Assistant Speaker, the honourable Governor also asked when they will have a courthouse in Wewak. The contract has already been awarded and the money is lost and no courthouse has been built. Are we going to forget that and start looking for more money again? We are Members of Parliament and we must not allow this attitude to continue to occur. This is not the only instance, there are so many others in the different areas of governance where a contract was awarded by CSTB to companies who were never on the list and those companies used up all the money. Then they are coming back to the Government and crying for more money for a new courthouse.
Mr Assistant Speaker, this is very serious. There are ways that they can start up an investigation on this matter. That is a point that I always raise, and that is, enforcement. Because it is not present, corruption is eating up every system of governance in this country.
Mr Assistant Speaker, I will bring this matter up again. The Minister for Finance is listening and I do not know if he is going to give us more money to build a new courthouse or should we send the thieves to prison first then we can build a new courthouse.
This is a problem that we really need to be serious about in not only resolving, but preventing. I do not want to repeat myself. We all know the problem. Why did CSTB award the contract to a company that was never on the list? And if they are corrupt then investigate the member of the CSTB and which ever company so that we will find out the truth

09/09
I’ll take this matter up with whatever sources to get the courthouse that you are requesting. We do not have to go through the same CSTB but some other channels and hopefully we have a new courthouse built.
You have to be serious with corruption in your districts, in the provinces as some of us leaders here are guilty of corruption. We have set up our own personal companies in our districts and provinces to eat up all the funds that are coming in for development purposes.
Now we are talking and making a lot of noise and what the Governor for East Sepik has raised is a clear example of what we leaders here in Parliament have been doing.

Mr Ben Semri – Point Of Order! I think it is unfair to categorise everyone? How do you know that everyone is corrupt? We are not corrupt. Can you be specific or rephrase or don’t generalize.

Mr Peter Wararu – Point Of Order! There is money in the system but we have to work with the Public Servants but the judges in charge of the courthouse building did not approve the shortlist from the CSTB, the contract was awarded without their concurrence.
We want to get money to build the courthouse but, we and the public servants are too scared because the judge who is the team leader for that courthouse project has said that any public servant who pushes for this project will be imprisoned.
That is why, Minister I am appealing for your intervention to liaise with the Chief Justice and I want a new courthouse for my province. I am not asking for new money.

Dr ALLAN MARAT – Thank you, firstly I will respond to the Governor’s point of order. I want to say that the Governor did not clearly state that there is money available, that is why I responded in that manner.
That makes it a lot easier for me to be able to sit down with the Chief Justice and we can discuss on the issue of a new courthouse for East Sepik.
On the Point of order raised by the Minister for Fisheries, I agree with you that I should have rephrased and that yes, some of us leaders sitting here in this Parliament are corrupt.

Dr Bob Danaya – Point of Order! I want to say that this should not be said in Parliament. If it is an issue with the Executive Government, it must be ironed out in there.

Mr ASSISTANT SPEAKER – Governor your point of order is out of order.


AUDITOR-GENERAL OF PAPUA NEW GUINEA – REPORT OF THE AUDITOR-GENERAL – PART II, NATIONAL GOVERNMENT DEPARTMENTS AND AGENCIES – ACCOUNTS AND RECORDS 2007, CONTROLS 2008 – PAPER – MOTION TO TAKE NOTE OF PAPER

Mr ASSISTANT SPEAKER – I present the following paper pursuant to statute:

Report of the Auditor-General – Part II, National Government Departments And Agencies – Accounts and Records 2007, Controls 2008

Ordered – That the report be referred to the Permanent Parliamentary Committee on Public Accounts

10/09
ANNUAL PROVINCIAL PERFORMANCE REPORTS OF CERTAIN PROVINCIAL AND LOCAL-LEVEL GOVERNMENTS 2006 – PAPERS AND STATEMENT – MOTION TO TAKE NOTE OF PAPERS

Mr JOB POMAT (Manus – Minister for Inter-Government Relations) – Mr Assistant Speaker, I present the following papers pursuant to statute:

(a) Central Provincial Government Annual Performance Report 2006;
(b) East New Britain Provincial Government Annual Performance Report 2006;
(c) East Sepik Provincial Government Annual Performance Report 2006;
(d) Eastern Highlands Provincial Government Annual Performance Report 2006;
(e) Enga Provincial Government Annual Performance Report 2006;
(f) Gulf Provincial Government Annual Performance Report 2006;
(g) Madang Provincial Government Annual Performance Report 2006;
(h) Manus Provincial Government Annual Performance Report 2006;
(i) Milne Bay Provincial Government Annual Performance Report 2006;
(j) Morobe Provincial Government Annual Performance Report 2006;
(k) Oro Provincial Government Annual Performance Report 2006;
(l) Sandaun Provincial Government Annual Performance Report 2006;
(m) Chimbu Provincial Government Annual Performance Report 2006;
(n) West New Britain Provincial Government Annual Performance Report 2006; and
(o) Western Provincial Government Annual Performance Report 2006;

I move –
That the Parliament take note of the papers

Mr Assistant Speaker, today, I wish to present 2006 Annual Performance Reports of the 15 provincial governments. The following provinces have submitted their reports to the Office of Inter-Government Relations:
· Sandaun
· East Sepik
· Morobe
· Madang
· Eastern Highlands
· Simbu
· Enga
· Oro
· Milne Bay
· Central
· Gulf
· Western
· East New Britain
· West New Britain
· Manus

Mr Assistant Speaker, I would like to make a statement before I table the reports to Parliament.
Mr Assistant Speaker, Section 119 of the Organic Law on Provincial Governments and Local-level Governments requires that:
(1) Each provincial government shall, by 30 June of each year, furnish to the Minister responsible for Provincial and Local-level Governments, a report for the year ending 31 December of the preceding year on the affairs of the provincial government and the local-level governments in the province.
(2) The Minister shall present a copy of this report to the Parliament before 31 December of the year in which it is furnished to him.
Mr Assistant Speaker, I must inform this Parliament that since the adoption of this Organic Law in 1995, there has not been any Provincial Annual Performance Reports presented to Parliament. These are therefore the first to be tabled under the Organic Law.
Mr Assistant Speaker, in 2002, the Department of Provincial and Local-level Government Affairs (DPLGA) introduced a standardised reporting format for the provinces to report annually on their performance. However, until recently, the response from many provincial governments has generally been poor. In addition to the long delays in submitting reports, information contained in many of these reports was incomplete.
Mr Assistance Speaker, the Southern Highlands Provincial Government has never submitted a report to date.
The poor reporting by many provincial governments is mainly due to their failure to:
§ Establish a robust framework for regular performance monitoring and reporting; and
§ maintain an up-to-date database of key information on service delivery and associated outcomes.
The failure also rest with the department of Provincial and Local-level Government Affairs because it has not assessed the reports properly and informed the provinces of the outcomes whether their reports were in order or not. As a result, the provinces are reluctant to submit their annual reports.
Mr Assistant Speaker, now my Ministry has come up with some good initiatives to assist the provinces to alleviate their problems and providing good reports. We have a program in place in all the provinces and it is called the Provincial Performance Improvement Initiative (PPII). This program is supported by AusAID and the Department of National Planning and Monitoring to provide good services to our people.

11/09
Mr Assistant Speaker, in this way the provinces can take stock of development work that is been done in each province and reports will sent to me as the Minster responsible. In accordance with section 119 of the Constitution this report that I am presenting is the result of the all the assistance from my Department given to the provinces.
I would like to tell Parliament that my Department has given copies of these reports to the Provincial and Local Level Government Services Monitoring Authority, so that they too can see what development plans were carried out for the year 2006.
These reports will help the Provincial and Local Level Government Services Monitoring Authority to see the capacity and capabilities of each province so services can be given to the people of each province. Also, these reports can be used as future references to help the Provincial and Local Level Government Services Monitoring Authority to appropriate the necessary services towards each province. This is also known as the Minimum Service Delivery Standards. At present the National Economic and Fiscal Commission (NEFC) is heading this programme.
Mr Assistant Speaker, as I have mentioned earlier, these reports are only for 15 provinces. Three provinces that have not given their reports for the year 2006 are Southern Highlands, Western Highlands and New Ireland. The Government of the Autonomous Region of Bougainville is not recognised under the Organic Law. I have given strict instructions to my Department to obtain the reports from these three provinces and the rest of the provinces for this year.
My Department has also notified me that the administration and service delivery provided to the people from these 15 provinces is very lacking and insufficient for the year 2006.
Some causes for these are:
(1) National grants allocated to provincial and local-level governments were insufficient for good service delivery within the provinces.
(2) Management of provincial government and its administration for road planning and fiscal management was lacking or poor.
(3) The knowledge of project planning, bringing service delivery to the districts and LLGs, and the implementation and planning of projects was lacking in those provinces.
(4) Government infrastructures and services in provincial districts were rundown and no government department had thought about or had the initiative to upgrade or maintain them.
(5) There seems to be no co-operation between the Government and provincial and local-level governments.
Mr Assistant Speaker, all theses provinces are not the same as the issues that they face also differ from each other. The services that are given to each sector in each province is also not the same because of under funding and the lack of qualified personnel. This which has made it difficult for my Department to rank the provinces as to who is No. 1, No.2 to No.18. That makes it difficult for my Department to put the provinces in some sort of order.
Mr Assistant Speaker, the report for the year 2006 showed that development in the provinces, districts and local level governments was lacking and at this rate it would not bring us to our millennium development goals. Therefore, I would like to tell Parliament of improved developments that have started to improve the delivery of services to our people.
Mr Assistant Speaker, these developments include the appropriation of K890 million for the District Service Improvement Programme, which was given by Government not so long ago. The main priority for that funding is for the provinces, districts and LLGs to strengthen their development strategies and bring service delivery to more people.
The co-operation between the Department of Provincial and Local Level Government Affairs, NEFC, NRI, Department of National Planning and Monitoring with the assistance of AusAID in the districts is still ongoing. This co-operation has taught the provincial governments to manage their funds appropriately, strengthen law and order and better management of provincial administrations to bring service delivery to our people.
The Provincial and Local Level Government Services Monitoring Authority will play a major role in maintaining and strengthening in the management of the provincial and local level governments to bring service delivery to the people.
Mr Assistant Speaker, my Department will work tirelessly to improve the way reports are tabled and received by my Department under Section 119 of the Organic Law.
To conclude I would like to highlight the following points:
This is the first time that a Minister for Provincial and Local Level Government Affairs has tabled a provincial government report in Parliament. I have done this so that provincial governments and their administrations manage themselves well with appropriate fiscal management and proper training for public servants in the provinces and districts.
The Provincial and Local Level Government Services Monitoring Authority is going ahead in its job of monitoring each province to find out whether provinces are using and managing their funds appropriately and making use of assistances that come from the Department to help them table their reports.
12/09
This shows clearly that the government is committed in providing services to the people in each provinces starting from 2006 onwards.
Therefore, the government has initiated some very important programs to solve some of these problems. Under Section 119, reports will be presented from all the years to inform Papua New Guineans on the work of each provincial governments.

Debate (on motion by Mr Paul Tiensten) adjourned.

Sitting suspended from 12 midday to 2 p.m..

13/09
MOTION BY LEAVE

Mr PATRICK PRUAITCH (Aitape-Lumi – Minister for Finance and Treasury) – I ask leave of Parliament to move a motion without notice.

Leave granted.


ADJOURNMENT

Motion (by Mr Patrick Pruaitch) agreed to –
That the Parliament do now adjourn.

The Parliament adjourned at 2.20 p.m..

==============================================================================================================

TENTH DAY

________________________

Wednesday 18 March 2009

DRAFT HANSARD
________________________

Subject: Page No.

QUESTIONS. 1

FOREIGN POLICY, DEVELOPMENT AND GLOBALISATION –
MINISTERIAL STATEMENT –
MOTION TO TAKE NOTE OF PAPER.. 17

PERSONAL EXPLANATION.. 33

MOTION BY LEAVE.. 34

SUSPENSION OF STANDING ORDERS –
REARRANGEMENT OF BUSINESS. 34

LUKAUTIM PIKININI BILL 2009. 34

SALARIES AND REMUNERATION COMMISSION –
THIRTY FIFTH REPORT – PAPER AND STATEMENT –
REPORT ADOPTED. 37

ADJOURNMENT.. 38

TENTH DAY

Wednesday 18 March 2009

The Parliament met at 10 a.m.,

The Clerk – Honourable Members due to the unavailability of both the Speaker and the Deputy Speaker, Mr Assistant Speaker will take the Chair.

The Assistant Speaker (Mr Guma Wau) took the Chair and invited the Member for Central Bougainville, Honourable Jim Miringtoro, to say Prayers:

‘Tenkyu Papa long lukautim mipla kam nau. Mipela kam lo dispela Haus long toktok long isus long dispela kantri. Lod mipela tenkyu long hamamas bilong yu we yu sowim long dispela graun. Lord dispela dei bai mipela toktok long samtin we emi inpotent lon dispela kantri na mi pray bai yu salim Spirit bilong yu lo lidim mipla wantaim honesti na truth. Lord mi tu pray lon Pri Minista bilong dispela kantri na Diputi Pri Minista wantaim ol Members bilong dispela Haus. Mi invaitim Spirit bilong yu long lidim mipela ol tru long dispela seson bai olgeta samtin mipela tok long en inap lon halivim dispela kantri lon kamap gut. Mipla tenkyu long dispela blesin we yu save givim long laif na mipela preisim yu tu lon hamamas bilong yu. Amen.’


QUESTIONS

Mr KONI IGUAN – Mr Assistant Speaker, my questions are directed to the Minister for Labour Industry and also I would like the Minister for Community Development and Social Welfare to take note.
Before I ask my questions to the Minister let me provide some background to my questions.
Mr Assistant Speaker, the Ramu Agro Industry involving agro industry between Lae and Madang employs a total of 52 Seventh Day Adventist Church members who live in that town with their families.
Mr Assistant Speaker, the company last week issued an across the board notice to all employees including these workers who respect and honour Saturday as the Sabbath day of rest. These SDA workers are now expected to go against their conscience and their religious beliefs to work with their colleagues on Saturdays. The management has indicated it will take drastic actions and severely penalise those who don’t turn up to work on Saturdays.
Mr Assistant Speaker, the action taken by the company is unfair and it breaches the United Nations Convention on Human Rights Universal Declaration article 18, which quotes, “everyone has the right to freedom and thought, conscience and religion. These rights include freedom to change his or her religion or belief, and freedom either alone in a community with others, in public or private, to manifest his or her belief in teaching practice worship and observance “.
Papua New Guinea has rectified the United Nations Convention on Human Rights and also incorporated these word for word in the National Constitution.
What this means is that the company has breached the constitutional guaranteed human rights of Papua New Guinea, particularly to hold belief in their practices.
Mr Assistant Speaker, my questions are as follows:
(1) Can the Minister order the Department to conduct an immediate investigation to this as a matter of urgency?
(2) If the Minister confirms that what I am highlighting is true, what will he and his Department do about it?
(3) Can the Minister and his Department find out how this matter can be resolved in a sensible non- political way so there is law and justice done to SDA workers and their families who simply want to work for themselves
(4) On a broader scale, what is the Minister and his Department going to do to ensure that there are similar breaches by other companies not just on religious freedom and practices but other unfair and discriminatory work place requirements are not carried out or practiced?



02/10
Mr MARK MAIPAKAI – In reply to the Member’s questions in regards to the governance of the workforce in the country as you and I understand, this is a Christian country and you have correctly stated the relevant laws regarding the workers in terms of our affiliation with those International Labour Organisation (ILO) Conventions and other human right conventions that we have signed.
I will direct the Department to investigate what you have highlighted and will formally write to you and inform you of the Department’s decision.
My understanding is that every operator in this country recruiting workers should have their Sabbath on Sundays and Saturdays or whatever days our citizens are entitled to worship. So, I’m totally surprised of that particular incident but if there are people practicing it, as a Christian nation and as stipulated in our Constitution, Christian principles should be upheld by allowing our people to worship on whatever days they prepare, whether it’s on Saturdays or Sundays.
For Sunday worshippers, there’s no problem for them working on Saturdays because they can make shift arrangements and that is the normal understanding of the practice today.

Mr BONNY OVEYARA – Thank you, Mr Assistant Speaker, I direct my questions to the Minister for National Planning and Rural Development.
Firstly, I thank the wisdom of well educated and the honourable leaders under the Directions of this Government to give more funds to develop rural districts. It is the right decision and I ask that we follow the same direction.
Today as I stand to speak, your officers from your Department are visiting my district to see the realities of what is done and what is yet to be done to my people with the K10 million that was given to each district.
The funds that are kept and distributed from the trust account which includes the Rehabilitation of Educational Sector Infrastructure (RESI) Fund, Market Development Fund, National Agriculture Development Program (NADP) Fund, National Health Fund, National Roads and Jetty Funds of which some of these funds are not under your care.
I commend you for such visits to the district by the implementers.
Mr Minister, the point is that we have so much to do for our rural people and we cannot rest until we have sent all the K10 million and the trust account funds are appropriately given to our people. If not well-spent in developing the rural economy now then when the booming gas, oil, copper, gold and timber is gone, we’ll be sorry for ourselves.
Mr Assistant Speaker, I have two questions.
(1) Does the Department has any criteria for the distribution of the trust funds to all 20 provinces and 89 districts? If not, why not?
Because the self serve approach which requires anyone to come up with project submissions to grab these funds will not bring equal and fair distribution of development benefit to the people.
(2) Can the Minister assure the people of Okapa that they will be allocated with some funds from these funds?
To-date, my district has not received any funds, even though I have some submissions to your Department for funds from the trust account.

Mr PAUL TIENSTEN – Thank you, Mr Assistant Speaker, I thank the Member for Okapa for raising two very important questions in relation to some of the interventions Somare/Temu Government has undertaken to develop Papua New Guinea (PNG) at the District level is because that’s where 85 – 87 per cent of Papua New Guineans are. The number continues to increase. That’s one of the reasons why most of these programs have been developed to address some of the lack of development at the districts.
The District Services Improvement Program (DSIP) is a deliberate intervention by the Somare/Temu Government to ensure that the K10 million or K14 million must go to the districts. We want to ensure that those funds are channeled directly from Waigani to the districts. Of course, all the governors will have problems with that and will always argue that it should be channeled to the provincial treasury. But they must play their roles in implementing the guidelines and to ensure that the provincial treasuries are involved in terms of disbursement so they are not cut-off from it.

03/10
But for quick implementation of this programme, the JDP & BPC and also the district administrators or district treasuries are in charge of implementing those programmes.
We, have given you K4 million already and the Treasurer said that he will ensure that the other K4 million will go in and so you will have K8 million and the balance will be given to you in due course.
Now on the Rehabilitation of the Educational Sector Infrastructure (RESI), as you know that the Treasurer, myself and our three Secretaries, the Secretary for Finance, Secretary for Treasury and Secretary for National Planning have been served directives from the Ombudsman Commission.
Mr Assistant Speaker, I do not want anybody to talk about RESI because RESI has been stopped until we lift the freeze, we will talk it. And of course, the Government is taking the matter to court to ensure that we have some understanding with the Ombudsman and the Ombudsman needs to see the process of Government that is established in ensuring that it is done.
Mr Assistant Speaker, we are not doing these things outside of law and these are lawful mandated processes. The Treasurer and I are ensuring that those programmes are implemented as I said yesterday; this Government has declared 2009 as a year of implementation.
It’s good to criticise the process when you also criticise us for not also doing our job to ensure that this funds are drawn effectively. Most of these funds were in the 2006 Budget and now we are in 2009. Don’t you think if we are not on this programme, we are failing our responsibilities as well?
So you are talking about stopping these funds, think about denying our peoples’ rights for those services. Today a lot of schools are closing down because funds are locked up by way of direction. So if Ombudsman wants to come and do Treasury’s job or my job, they are welcome to do so, however, they have no right to prejudicing and they do not understand this internal processes.
Mr Assistant Speaker, going back to the question on criteria, as I have mentioned in the DSIP that it is evenly spread to all the 89 districts. And it follows the guidelines of that programme. All the other programmes like RESI, Health and NADP, are national programmes and that means that they follow your district and provincial plans and when you submit this with your proposals, it must feature in your plan because the question of wider and broader impact to go to the community must be taken into account.
On top of that is the question of return, you cannot put money into a project that does not give a return back to you and the other one is sustainability. The project must be sustained over the long term. So it must be part of your five-year development plan or even in the long term planning.
But the people are the centre of this programme and so there is a criteria that follows the guidelines and what it means is that when your submission goes through the National Government or National Planning and has followed the procedures and guidelines that have been approved and at the same time there must be a appraisal and evaluation based on this criteria.
Mr Assistant Speaker, it’s not me that is going to decide whether you are going to get it or not. It is the process that will decide so you just follow your district and provincial plans because it’s about those issues, whether it’s about another project that you plucked from the sky and you are asking for the proposal or you just follow your district and provincial plans because it has to have impact on the lives of the people and at the same time it must have an economic return to you. There is no way you spend all your money and nothing comes back, it must return to you and it must be sustainable for the long term.
So, those are processes that the people are praised for in National Planning and if you have sent a proposal but has not arrived yet, it’s probably still in the system but at the same time you can give a copy to me so that I can discuss with my officers to cater for you.
What is the other question? I lost my paper but you can put it on the Notice Paper and come and give it to me and I want to make it very clear to this country that we have been fair and we have not been playing politics with this one and as much as you accuse us from the other side, we have been fair all the time and we will continue to be fair because this is for the people of Papua New Guinea. I repeat, the people of Papua New Guinea are centre of this programmes and developments but otherwise, if you are dreaming, you should not be in this Parliament. Thank you very much.

Supplementary Question

Mr PARU AIHI – Thank you, Mr Assistant Speaker. The Minister for National Planning and District Development has given us a very good lecture on the processes. I have just recently submitted my acquittals for his information to ORD and the objective of that was to make sure that I have access to the K6 million.

04/10
There is a rumor that there is K4 million released to all Members of Parliament.
Mr Speaker, my question is.

Mr Timothy Bonga – Point of Order! With due respect to the Member for Kairuku Hiri, I thought that question was asked yesterday by the Member for Markham and that we had an answer for that question, thank you Mr Speaker.

Mr ASSISTANT SPEAKER – Member for Nawae your Point of Order is out of order.

Mr PARU AIHI – The simple question is, can we follow the processes? Some of us have lodged acquittals, what about everybody else? If they have not then why is this K4 million being released?

Mr PAUL TIENSTEN – I thank the Member for Kairuku Hiri for his question. I think the Treasurer answered the question yesterday, it does not mean that every Member will be getting this K4 million.
It’s subject to same process that I was talking about. You got to understand that the acquittals must come from all districts, not Members. The guidelines are very clear on how you spend that money.
Some of your contracts run for the whole K10 million and there is no way you can just get K4 million get it acquitted and come back
If your question is whether all of the Members have acquitted their spending before any funds are released, then let me say here that it is not a blanket approval where myself and the Treasurer will give to all the Members but will be subject to acquittals as well.

Mr MICHAEL SAPAU – My question is directed to the Minister for Finance and Treasury and the Ministers for Mining, Petroleum and Energy, Forestry and Agriculture to take note.
Before I ask my question let me firstly commend the Minister for Finance and Treasury for doing such a fine job in managing our economy under very difficult circumstances. I also wish to thank the Government for ensuring that the revenue earned through the non-renewable resource sector is fairly distributed to all provinces.
Mr Assistant Speaker, foreign investments are important to our economy and must be welcomed as much as possible and they must operate with our laws and their operations must be scrutinized at all times to ensure the Government and the resource owners benefit. Also our social and cultural values are not eroded and the Health of our people as well as the environment is protected.
Recently there has been certain leaders who have raised in Parliament about the Government not honoring its MOAs, such as the tax-credit scheme, payment of royalties et cetera. I also note that some of the agreements where signed before the term of this Government. There are certain companies, for instance who are allowed tax holidays for up to 30 years and under the agreement they are allowed to meet certain obligations, tax credit schemes, social obligations and so on.
My questions are
(1) Are they honoring such agreement with the National Government, who in turn pay credits due to the provinces and resources owners concerned or maybe a social service obligation?
(2) Has Papua New Guinea benefited in reality from those companies operations given such a long period of tax holiday?
(3) Why do we give such long periods for tax holidays when some companies can or are fully utilizing the resources before the agreed time or makes more profit than what was initially indicated?

Mr PATRICK PRUAITCH – I thank the Governor for Manus for his questions in relation to tax credit schemes for the companies that have been operating in our country.
Tax credit scheme is one scheme where the Government has agreed with the investor due to capacity issues so that the company can go ahead and operate and carry out some community service obligations like road constructions, schools clinics and others in the infrastructure development particularly in the areas where they are investing in and operating from.

05/10
Mr Assistant Speaker, this money is revenue that the Government has forfeited back to the company tax proceeds. When a company pays its taxes the government allows the company to use some of its taxes instead for its community service obligation. So when a company makes a profit it can deduct from its taxes
One such company that is carrying out this program is Oil Search. Oil Search has successfully carried out road infrastructure programmes around the surrounding areas at the site of the oil and gas fields in the Southern Highlands. They invoked this provision to carry out the road projects.
Others like the Lihir Gold Mine may not invoke on this provision because they may not have made profits. To date Lihir Gold Mine has not made nay profit and therefore it will not invoke on this provision, but I would like to say that this Tax-Credit Scheme is prerogative of the Government. If the provincial governments think that they are needed then we can hold talks to discuss this provision in regards to certain infrastructure developments in a particular investment area.

Mr JAMIE MAXTONE GRAHAM – My question is directed to the Minister for Health but before I begin, I would like to mention something here if I may.
Last week and the week before we heard numerous allegations aimed at the National Aids Council Secretariat. This has now become an issue because the allegations point to mismanagement by the National Aids Council Secretariat and investigation are being carried out.
I am also sad to say that Papua New Guinea is a rural country. We Members here represent 105 rural electorates while the other four are urban electorates. The Minster for National Planning had received a report form the UN and this report also known as the ‘Angus Report’ showed that prevalence of urban areas was one per cent while for rural areas was two per cent.
Similar issues like these are addressed through policy-making by the government but when it comes to implementing these policies the government creates another bureaucracy under the Public Services Act. There are too many small organisations that we are using to implement these policies, like the policy for National Strategy Against HIV/AIDS.
This is a very important policy because the rate of infection is increasing. Even in the rural areas the rate of infection is increasing. Some local surveys that have been carried out have shown that it has gone up to ten per cent. Therefore, I am worried about the indigenous people of this country because our people will be wiped out and the country will be run by foreigners.
My question therefore is, would the Minister consider abolishing the National Aids Council Secretariat, and give the responsibilities to church-run organisations or a Non-Government Organisations (NGO) that are transparent and can manage public money? After all the government already has a private partnership policy in place. Why then are we going around and creating more departments? The National Aids Council Secretariat should be abolished.

Mr SASA ZIBE – I would like to thank the Member for Anglimp–South Wahgi for his question. He asked if the National Aids Council (NAC) could be abolished. The government has only one system and everyone including donor countries must support the system.
The government in its wisdom created a system whereby it could seek assistance by creating bodies if the need ever arises. Therefore, the government saw that this health issue could cause problems. Like you have just mentioned and that the rate of infection has gone up two per cent. Government created this body so that it could address this issue.
The reason why we did this was because statistics have shown that this health issue from Papua New Guinea’s point of view had the lowest indicators in the Western Pacific region. That was why we created an institute that would give its full attention to this health issue. But again we are faced by management issues and I agree with you.

06/10
So, we have created this institution but it is the management issue that needs to be solved. I agree with you by saying that it is not the system but how we manage it.
We have appointed new office bearers for National Aids Council and have developed seven vocal points for NAC to work on.
But let me emphasise that our health system is the lowest in the Pacific. Therefore, if we have a good management system put in place then we can achieve our goals but for us to abolish NAC, I don’t think it will solve our problem. This Government has created this system and we have to support it.

Mr Jamie Maxtone Graham – Point of Order! Mr Assistant Speaker, my question is straightforward. We have to abolish National Aids Council Secretariat but not National Aids Council. They must remain to monitor the system put in place.

Mr ASSISTANT SPEAKER – Minister for Health, you answer the questions accordingly.

Mr SASA ZIBE – As I have said the Government has created a very good system. It is the people within the management who are not managing the system well but I will take it up with our new council members.
The Chairman is Sir Peter Barter, with other highly qualified members. They are screening all the necessary documents on how to manage this system effectively.
I also want to commend the Member for taking the leadership of Parliamentary Committee on HIV/AIDS; he has done a tremendous job.
I am willing to discuss with him further on this issue.

Mr PETER WARANAKA – Mr Assistant Speaker, under Standing Order 140 through the Chair, I want to direct my question to the Governor for NCD.
While waiting for my court decision, I have seen mothers selling betel nuts on the streets of Port Moresby were beaten and chased away by police personnel and city rangers and destroy their informal markets.
I commend the Governor for NCD for doing an excellent job by cleaning our city. The betel nut stains are now starting to disappear.
My question is:
(1) What strategic plan do you have in place to cater for the informal markets in NCD?
In 2005, Dame Carol Kidu conducted a survey and found out that selling of betel nuts can generate K15 million and that is in NCD alone.

Mr ASSISTANT SPEAKER – I thank the Governor for East Sepik for his question but this question is out of order though it’s allowed in the Standing Order.

Mr ISSAC JOSEPH – I want to direct my questions to the Minister for Petroleum and Energy and Member for Hagen.
Southern Highlands is going to benefit from the immensely consolidated revenue fund in the national development of PNG. Oil initially are now together with gas resource from the wealth of Moran, Kutubu Hides and Gobe will continue to help progress and make this nation even more strong economically independent.
The multi billion kina gas project, which will boost national revenue but many in Southern Highlands are also wondering what sort of lasting legacy will be left behind, once these non renewable resources depleted.
Mr Assistant Speaker, when OK Tedi Mining Limited packs from the Star Mountains the people will inherit Tabubil Township, when the Porgera Joint Venture partners leave, the people will inherit the Pogera Township, when the developers in Lihir Gold Mine depart the people will inherit Londville Township.
My questions are:
(1) Can the Minister push for a township in Southern Highlands as a possible legacy in the future?
Immediately, this will ensure that there is no fly-in-fly-out and the sum of the money made from the resources will actually be spent there.

07/10
We will even build some of the world class roads and schools that they will leave behind when they go. If there is no current plan for such, can the Minister take it up to the Cabinet and the developers?

Mr WILLIAM DUMA – I would like to thank the Member for Mendi for his question.
Mr Assistant Speaker, if we take time to look at the records kept by the Department of Planning, the Department of Treasury and the Department of Petroleum and Energy, one will realise that nearly K1 billion worth MOA commitments have been made. Some of which have been paid and some are yet to be paid.
A lot of money has been paid to our landowners as royalties. Nearly K400 million has been paid over the years as development levies of which some are yet to be paid. All the outstanding commitments, for instance, the MOA commitments were discharged by way of Cabinet decisions in the last two years in which some have been paid. The Government has tried its best to meet all its outstanding obligations and will continue to meet those obligations over the years to come.
However, the responsibility of managing those monies remains firstly with the landowners themselves who receive loyalties and secondly with the provincial government.
As the Minister responsible, I am pleased to be able to confirm that I am seeing positive indications that most of the MOA commitments that have been paid by the National Government have been utilised well at the provincial level under the leadership of Governor, Anderson Agiru. The people of Southern Highlands for first time since the last years are beginning to see their money at work in the province.
Mr Assistant Speaker, the law does not require a developer to establish a township. It is a matter for negotiations between the Government and the developer. We are in the process of conducting negotiations which hopefully will see the project developer agreeing to help us provide some infrastructure in the province and to create a township if possible.
Exxon Mobil, the developer, has given some indications that it is considering the possibility of helping our provincial governments create and develop the existing towns in the Southern Highlands Province.
I am aware that the developer is also conducting studies to see whether it is possible to increase or to improve the existing Tari Airstrip or to build a new airstrip. These sorts of plans are in the pipeline and we are in the process of negotiating with our developer to see whether if the economy makes it possible then those things can be done.
I for one do not think that we should stay away and abstain from negotiating the best terms possible for our people. If it is possible and the economic condition indicators it can be done then we will insist that a township, if it is required be built in a relevant location in the province.
Mr Assistant Speaker, may I remind our Members of Parliament that our responsibility for managing the benefits that any development provides lie with the landowners and their representatives. If they misuse their money then they cannot blame their elected Members of Parliament, their provincial government, or the National Government.

Supplementary Question

Mr JAMES MARABE – Thank you, Mr Assistant Speaker.
Mr Minister, can you ensure that the PNG LNG Project is not a fly-in–fly-out project? If that is the case then many of the employees will live in Cairns or Brisbane. They will not want to leave in Mendi or Tari claiming that it has a lot of law and order problems. They want our oil and gas but they are shopping and living in Australia and that’s what is happening to Porgera and other mining areas in PNG.

Mr WILLIAM DUMA – I thank the Member for Komo-Margarima for this important question.
Mr Assistant Speaker, I am aware that the man in charge of the Exxon Mobil Project is re-locating to Port Moresby with his family. This is a positive indication that Exxon Mobil is committed and genuine and it is here to stay. I am also aware that Exxon Mobil is encouraging and pushing for banking facilities to be introduced to those areas in the Southern Highlands that do not have one.
We have made it clear to our partners that we do not encourage fly-in–fly-out programs. The State negotiating team is putting those proposals and I cannot pre-empt the final decision that will be made by the project however, I can assure this Parliament that we as a Government are sending this message to our developers that the days of fly-in – fly-out are over. But I cannot pre-empt the decision of the project management.

08/10
Mr SAM BASIL – Mr Assistant Speaker, my questions are directed to the Minister for Mining, Lands and Physical Planning regarding the developer of the Hidden Valley Mine in Morobe, the Harmony Gold in South Africa and New Crest Mining in Australia.
Since, I become the Member for Bulolo, the people have pressured me to make sure that the negotiations are carried out with the Department of Mining, Lands and Physical Planning and the landowners through Mineral Resource Authority (MRA) to ensure that the developer builds the houses for the workers within the township. This will in turn put pressure on the utility services at the township.
In addition, the Provincial Government has allocated K500 000.00 to build police house at Mumueng and the National Government through Police Department has allocated K7 million and the construction is underway for 21 house in Wau.
Furthermore, within my budget of K4 million of the District Support Improvement Program (DSIP) for last year I allocated K1 million for the maintenance of Wau-Bulolo Township for rubbish collection and a grader for clearing the place.
We are glad that the company will build the houses in the township of Wau-Bulolo. But, unfortunately, the company has gone ahead and built the houses in Ten Mile in Lae City. Consequently, this has greatly affected the people of Wau-Bulolo.
(1) Can you confirm or deny that this Government has stood behind the resource
owners of Papua New Guinea to make sure that such developments can be retained in the area?
(2) Do you have any mine closure plan of that mining operation? We do not have
any plans at the district, provincial levels and also Department of Environment Conservation does not have one.
(3) Can you tell us or this Parliament whether your Department have one or not?
(4) By June and July this year, this mine will be operating but the impact on the
Kumalu River is unsolved. There was a submission of K27 million to divert the new route of that road and it’s with the National Planning. Last year we were with PIP program and as Minister responsible, I know you will represent PNG in any mining conferences within and abroad.
(5) Can you show and prove your responsibility to us? Mr Minister, I want to see that the Kumalu road leading to mine area must be maintained and in good condition.

Dr PUKA TEMU – Mr Assistant Speaker, I wish to let the Member know that the Government is behind that mine because these two companies are very good companies, the Harmony Gold and New Crest.
They have been very transparent and they have been working very well with the provincial and local-level governments as well as the Member for Bulolo. In terms of the launching of the Joint Venture Project last year, there was a lot of support by the landowners.
All the landowners came to town and we lounged the JV Program and I believe that both companies are good and they will closely work with the provincial and National Governments.
In regard to Wau-Bulolo Township, it is in the agreement and the National Government will give its full support to encourage building infrastructure, particularly, the housing in Wau-Bulolo Township.
However, with regard to alternative residential building constructed outside of Lae, I am not aware so I will consult my Department to investigate. Usually, the company informs me regularly but for this diversion, I will look into this matter.
Mr Assistant Speaker, in regard to the road, I have informed the Minister for Transport and Works and under the Works Program it is considered as the priority road because of the project and the National Government has made commitment to it.
But for implementation process, the Minister for Transport and Works and his Secretary will manage the budget on that road because this road is a strategic road. It is a very important road to linking and increase a lot of opportunities for our people of Wau-Bulolo, so the National Government will support it.
Mr Assistant Speaker, I must say that, this is one JV company that is always providing and consulting with the National Government. I must express my strong appreciation on the way that this project has been managed because we have been briefed on a regular basis, unfortunately, in the brief that I had with them before Christmas, this diversion on Lae town infrastructure development, was not know to me. The commitment on Wau-Bulolo Town. It is part of the agreement and I have lot of confidence in Harmony and New Crest Companies.

09/10
FOREIGN POLICY, DEVELOPMENT AND GLOBALISATION – MINISTERIAL STATEMENT –
MOTION TO TAKE NOTE OF PAPER

Mr SAM ABAL (Wabag – Minister for Foreign Affairs, Trade and Immigration) – Mr Assistant Speaker, as honourable Members would be aware Papua New Guinea became responsible for the conduct of our foreign relations at Independence with the first Foreign Affairs Minister, late Sir Albert Maori Kiki.
Our country’s first foreign policy statement of universalism, ‘Friends to all Enemies to None’ was appropriate to the time when Papua New Guinea was opening relationship with other countries and joining the United Nations and other international organisations.
Some 16 years later, the first major foreign policy review that produced the 1980 White Paper foreign policy builds on what has been achieved. In doing so, it gave fresh direction to the conduct of foreign relations but proposing a new basic approach of ‘Active and Selective Engagement and Strategies for Implementation.
These foreign policy approaches have generally served Papua New Guinea well. They developed a different international environment from that in, which in which we find ourselves today. The challenge and the opportunities before us now are to keep building on previous achievements and address the challenges and opportunities now and in the foreseeable future.
Mr Assistant Speaker, that is why Government, under the direction of the Prime Minister, Right Honourable the Grand Chief Sir Michael Somare, has decided to conduct a foreign policy review.
My purpose in making this statement is to outline some of the key issues we need to address and invite Members and also the public to make their views known. In doing so, let me assure the other governments and international organisations that this Government will continue to honour the commitments and the agreements previously made on Papua New Guinea’s behalf.
Mr Assistant Speaker, globalisation, we live in a world of increasingly rapid changes. Many different aspects of life and public policy are directly involved. The challenge and the priority is to identify, develop and seek support for a basic approach towards foreign policymaking, which will promote economic and other aspects of development in an increasingly challenging global environment.
Globalisation plays a significant role and affects all countries in the world today in many different ways. Trade in particular, Mr Assistant Speaker, leads to changes in many people’s desire, demands and consumption of food, clothing and other material goods as well as entertainment and services.
This has obvious implications for local businesses, employment, government revenue and general outlook on life. Changes in diet and behaviour can affect public health including the spread of HIV/AIDS and other diseases.
Public attitude towards the changes occurring can have important political consequences in regard to support, criticism, and opposition to particular ideas, leaders’ parties and policies. Other challenges to globalisation come from a growing capacity of governments and other actors, which include criminals and terrorists to intercept communications.
In an increasingly interconnected world, the foreign policy is not just a matter for national political leaders and a small number of highly trained professional diplomats to advise them or represent them abroad. International relations are of direct control and concern to almost every government department and agency in the country.
The Department of Foreign Affairs, Trade and Immigration, by definition, is an obvious case. But so are all the other departments and agencies responsible for promoting and implementing Government policies in regard to foreign investments, development co-operations, tourism, planning and providing infrastructure support for agriculture and other forms of development to help grow an export oriented economy, for managing international aviation, shipping, post and telecommunications; and for ensuring sustainable use of Papua New Guinea’s fisheries and other natural resources.
The international community is concerned not only in Papua New Guinea, but worldwide with preventing spread of diseases, illegal movement of people and goods across international borders, and transnational crimes. It is also concerned with promoting such critical sources of future development as improving access and standards in public health, education and human rights.
Mr Assistant Speaker, progress towards achieving the Millennium Development Goals requires diverse forms of co-operation between governments, international organizations, non-government organisations and civil society around the world. International trade in particular is also important to many businesses, farmers and ordinary consumers.
Civil society and many individual Papua New Guineans are quite properly concerned with what they see hear or read in the media about events and the situations of people in other countries.
Membership of the United Nations and other multilateral organisations together with the responsibilities, which go with good international citizenship and the need to engage the interest and support of people and governments in other countries mean that we all have to concern ourselves with issues which are relevant to others and sometimes of more immediate importance to them than to Papua New Guinea..
This is part of Papua New Guinea’s responsibility as the member of the global community, to participate and as occasion arises, to offer leadership on issues of shared concern.
Foreign policy or the position that the Government takes and seeks to advance on issues in international relations is of truly a national concern. Its wide-ranging implications mean that it needs to be formulated and implemented on a whole of Government and truly national basis.
It is accordingly important that honourable Members and the people of PNG are aware of the foreign policy issues that Government faces and make the issues known so that we are sure that Government policies address and seek to advance important national interest.

10/10
It is accordingly important that honourable Members and the people of Papua New Guinea are aware of the foreign policy issues that the Government faces and make their views known so that we can be sure that the Government policies address and seek to advance important shared national interests.
This is why I am making this statement now. In order to encourage the kinds of inputs that are critical to developing a foreign policy which addresses the issues we face in promoting development in a challenging global environment.
Mr Assistant Speaker, previous foreign policy approaches have helped PNG to protect and promote the security, development and other achievements our country currently enjoys. The challenge and the opportunity we face is to build on what has been achieved.
We should review where we are now and identify how best to approach the challenges and opportunities lying ahead. The Government’s overall aim is to ensure that the basic approach towards foreign policy making recommended as a result of the current review promotes an updated, truly national approach towards PNG’s foreign relations.
This will, in turn, have significant implications for the conduct of PNG’s diplomacy, including recruitment and training, the structure and the management of the Department of Foreign Affairs, Trade and Immigration, both here at headquarters and at our missions and posts in other countries.
The foreign policy review will lead to a systematic review of the costs and benefits of PNG’s membership and participation in international organizations, as well as our representation abroad. It will also lead to an examination of our national record in regard to giving legal effect to the international agreements to which PNG is party and to putting them into practice.
Mr Assistant Speaker, the Department of Foreign Affairs, Trade and Immigration can make an important contribution to the achievement of many different objectives. Foreign policy can, for example, be an instrument for achieving the goals specified in the key document which guides national planning and the allocation of budgetary resources such as the Medium Term Development Strategy (MTDS). This includes promoting development and trade `in resources, products and commodities in which PNG enjoys a comparative advantage in global markets’.
However, the MTDS does not go on to say any more about the role, responsibilities, or resource requirements of the Department of Foreign Affairs, Trade and Immigration in national development.
It is, therefore, important that we not only discuss what an updated foreign policy should do, but ensure that the Department’s activities are included in the MTDS and in the Long Term Development Strategy (LTDS) for the period 2010-2050 which is currently being prepared.
These, must, in turn, lead to allocation of the resources required for action. They are critical to practical implementation of the paradigm shift needed to protect and promote PNG’s national interests in security, development and the wellbeing of our people in a challenging global environment.
Mr Assistant Speaker, like most other countries, PNG cannot just act on our own to reshape our external environment to suit our national interests. We lack the power and resources to set United Nations or other global agenda on our own; to determine all critical outcomes; or even to ensure that every portent issue is addressed.
We rely on the understanding and support of other countries, just as other countries rely on us. This is what effective diplomacy and good international citizenship require. Bilateral and multilateral diplomacy are not alternatives. They are complementary ways of promoting and protecting our national interests. They must be conducted so that they are mutually supportive.
There have, of course, been occasions when PNG has effectively pursued global agenda that had greater impact, than previously expected. The United Nations Initiative on Opportunity and Participation was one such occasion. Others include the election of our ambassadors as chair of the United Nations Special Committee on Decolonisation and to other influential diplomatic positions.
Other distinguished and experienced Papua New Guineans hold or have held important international positions as Secretary-General of the ACP; at the Commonwealth Secretariat, the World Bank Group, the Pacific Islands Forum Secretariat and the Melanesian Spearhead Group and in leading or coordinating international action on particular issues.
Mr Assistant Speaker, PNG Police, Defence Force and civilian personnel serve with distinction in the Regional Assistance Mission to Solomon Islands (RAMSI). It is vital that we continue to engage with issues and actors relevant to PNG’s national interests and contribute in a purposeful way.
In a challenging global environment, PNG must be more than selective. We should be pro-active as occasion required. Above all, we have to be purposeful in making decisions and acting to engage. This will require and help the Government to set priorities for the use of scarce diplomatic resources, both funds and personnel and for seeking to influence other actors. These priorities must take full account of urgency, importance and PNG’s capacity to make a real difference.
A firm commitment to purposeful and pro-active engagement will provide a sound basis for working with other countries, international organizations, non-governmental organizations, and civil society with related interests. This means that our basic approach needs to evolve and adapt to the contemporary and emerging international environment.
Mr Assistant Speaker, as with previous policies, it should not only leave room but provide appropriate support for successive Governments and Ministers to decide their own policies and priorities within the broad framework of PNG’s national interests. In doing so, they will, of course, have to pay close attention to the issues involved in engaging in mutual cooperation with other partners.

11/10
For example, cooperation with the Asia Pacific Countries.
Mr Assistant Speaker, in a globalised world, the boundaries between the countries do not remain constant. Enhanced communications, increasing travel, growth and diversification of trade open up new possibilities for movement, co-operation and exchange between countries and regions.
The European Union (EU) has made impressive progress in this direction. In our part of the world, APEC has made a modest but positive progress in promoting trade and other forms of co-operation and facilitating travel for business between the 21 member economies.
The Pacific Islands Forum has established agreements which provide a framework for freeing up and facilitating trade between Pacific Island countries (the Pacific Islands Trade Agreement – PICTA) and between Island countries and Australia and New Zealand (the Pacific Agreement on Closer Economic Relations, PACER). Several meetings at officials’ levels have been happening and pretty soon we will be launching into that PACER arrangement.
The Melanesian Spearhead Group (MSG) has reduced previous barriers to travel and trade between Papua New Guinea (PNG), Solomon Islands, Fiji and Vanuatu.
To our west, the ten-member Association of South-East Asian Nations (ASEAN) continues to make a solid progress in co-coordinating and promoting shared national economic and other interests. PNG enjoys the privileged (though still limited) access of a Special Observer to ASEAN Ministerial Meetings, as well as participation in the ASEAN Regional Forum. We are seriously looking at ASEAN more closely to possibly seek membership office.
Together with Australia, Indonesia, New Zealand, Philippines and Timor Leste, we also participate in the Southwest Pacific Dialogue.
Mr Assistant Speaker, each of these arrangements has a membership, focus and purpose of its own. They are additional to a number of bilateral arrangements we have for regular consultations with ministers and officials of other countries, some of which include arrangements for business executives to discuss common problems and develop mutually beneficial connections. The annual PNG-Australia Ministerial Forum is an important example, which will happen in June 2009, where we participate with the Australian Government.
Experience suggests that PNG may not be alone in having an interest in exploring options for reducing differences and strengthening links between existing multilateral arrangements in the Asia Pacific in order to promote shared interests which facilitate national development.
The Asia Pacific, broadly defined to include Russia and the whole of East Asia, North and South America, as well as countries in the Pacific (Australia, New Zealand and our Island neighbours) is widely regarded as the economically most dynamic and promising part of the world. The region has strong links with other vibrant Asian economies, including India and China.
Mr Assistant Speaker, PNG is well situated, both geographically and through our links with other countries to participate and seek national benefit in the Asia Pacific affairs.
This need not be at the expense of existing links with other Pacific Island countries or participation in the Pacific Islands Forum, the MSG and other regional organisations. The objective is to broaden, deepen and diversify PNG’s engagement in the Asia Pacific Region as a whole. The challenge and the opportunity are to develop diplomatic and other strategies which will enable us to do so.
We have good relations with the neighbouring countries. As I have already suggested, globalisation offers both challenges and opportunities. In a globalised world, neighbouring States have to display mutual respect and co-operate in meeting mutual responsibilities.
This applies in regard to preventing the spread of contagious diseases; illegal migration; the use of one country’s territory, air-space, or seas for hostile action against or illegal activities in another; and dealing with trans-national smuggling, money-laundering and other crimes.
Mr Assistant Speaker, national sovereignty faces fresh challenges and offers fresh opportunities for co-operation with other countries with shared national interests. It is, therefore, important that we develop a strategy which recognises and seeks to promote mutual respect and co-operation in meeting mutual responsibilities with neighbouring countries.
The strategy obviously applies to PNG’s immediate geographical neighbours –Australia, Indonesia, Solomon Islands and the Federated States of Micronesia. And recently, as you have heard there’s a co-operation going on in terms of signing up on the inter-continental shelf, secures the boundaries between these countries including PNG, and for the future economic possibilities in that area.
However, in a globalised world, where distances and previous boundaries are shrinking, it is important that we define our neighbourhood broadly enough to include other countries to which mutual interest in the principles of mutual respect and mutual responsibility also apply. This is why we need to regard broader, deeper and more diverse participation in Asia Pacific cooperation and mutual respect and mutual responsibility with neighbouring countries not only as complementary objectives, but as mutually reinforcing.
Together, they provide a sound basis for effective participation concerned with issues of concern to countries with shared interests in all parts of the world and for truly global co-operation in regard to global issues. PNG is increasingly becoming well-known as a participant even with our Grand Chief as a very renowned leader in the Asia Pacific Region.
These issues include ensuring sustainable use of the world’s natural resources; preventing the spread and possible use of nuclear, chemical and biological weapons; reducing other threats to human security from the spread of disease, trans-national crime, terrorism and other sources; and addressing the threat that climate change poses to the future of many communities in PNG and other Island and coastal States and ultimately, for human survival.
Mr Assistant Speaker, our immediate neighbourhood and the Asia Pacific will continue to be important for PNG. However, our involvement in the affairs of the region does not exhaust all of our national interests. It must not be allowed to limit our diplomatic activities. Our country already has strong and beneficial relations with the European Union and with other ACP countries under the Cotonou Agreement.

12/10
We also have strong and developing links with other countries and international organisations. We may, of course, need to develop more as opportunities and challenges requiring consultation, co-coordinated diplomacy, and other forms of co-operation arise.
One of the most important issues now is climate change. Mr Assistant Speaker, climate change presents challenges of truly global proportions, requiring truly global approach.
The threats posed by climate change and the opportunities for mutually beneficial global co-operation explains why this Government, and especially the Grand Chief, has taken the initiative in founding and promoting the Coalition of Rainforest Nations in the world under the United Nations auspices.
As the Right Honourable Grand Chief, the Prime Minister, has said, global warming is not a threat which lies in the future; it is a reality with which many of our people must struggle now.
It underlines the need to engage in diplomacy and not simply on the basis of geographical proximity, but in order to pursue vital shared national interests through co-operation with countries in similar situations regardless of where they are located. It also requires engagement with counties which have a particular responsibility for global warming.
As home to some of the forest which has been described as the lungs of the world, Papua New Guinea is well placed to participate in, and benefit from arrangements which facilitate trading carbon credits internationally. This is, in fact, an area where we are already playing a modest leadership role under the Grand Chief.
Human Security Mr Assistant Speaker. The threat to the very existence of many communities which arises from climatic change underlines why we need to broaden conventional discussions of national security so that they address, not only military threats, but threats to the welfare of our people as well.
By focusing on human security, Papua New Guinea’s foreign policy and diplomacy can effectively address such basic issues as the need to improve our people’s access to nutritious food, health and medical services and education; to ensure that development is sustainable; and to promote opportunities for Papua New Guineans to earn reasonable incomes and improve their quality of life.
Mr Speaker, Papua New Guinea’s rich natural resources offer exciting prospects, not only to those directly engaged in their development, but for local communities, in the country. They include the liquefied natural gas project, other promising gas discoveries, development of mining and other resources already identified on land and in the deep seabed, and other activities.
By broadening our focus on security from military Defence to the well-being and future prosperity of our people, PNG will be well placed to develop and implement a foreign policy in which enhanced co-operation, both with other developing countries and with development co-operation partners, support efforts to improve life expectancy as well as the quality of the lives of our people.
This will require the Department of Foreign Affairs, Trade and Immigration to be pro-active, and develop and maintain strong outward linkages with external actors, including governments, international organisations, and bodies like the Clinton and Gates Foundations. It will also require the Department to strengthen inward linkages with other departments, agencies and levels of government and ultimately, with the people that the government serves.
In this regard, the Department will need to attend carefully to the special arrangements through which our National Constitution provides for the Autonomous Bougainville Government to play a carefully defined role in aspects of the National Government’s management of Papua New Guinea’s relationships.
The Somare Government can be congratulated for the handling of the Bougainville issue within the Constitution and in a much matured way and has a high regard for this internationally.
Papua New Guinea has no interest, Mr Assistant Speaker, regarding foreign aid to remain indefinitely dependant on foreign aid for development. The dependency syndrome is a sickness that Papua New Guinea must grow out of. God has blessed this country enough for it to be able to be an aid donor and not aid recipient. Papua New Guineans are givers of aids and not takers.
We appreciate the contributions that Australia, the European Union, New Zealand Government, Japan, China and other foreign aid donors, including multilateral organisations, make to national development. But economic self-reliance remains an important policy objective. It is, of course, among the National Goals contained in our National Constitution. Export-oriented development or exports lead economic growth referred to in the MTDS and trade strategies are important keys to achieving self-reliance. The role of foreign aid donors with development support is critical in this regard.
The Prime Minister has repeatedly emphasised the need to work towards a self-sustaining economy. He will be making a statement later this year regarding foreign aid and the foreign aid policy review that we shall be undertaking.
Here again is an important foreign policy strategy, which will need to be reinforced by policies, and activities, which attract and facilitates foreign involvement in investment, trade and aid in support of developing and increasing self-reliance at home.
In this regard, we face both the promise and the challenge of ensuring optimal returns from the sustainable harvesting, in country processing, and export of our natural resources. This is where our comparative advantage can be shown.
The exciting projects currently under development or in prospect underline the vital importance of this aspect of Papua New Guinea’s foreign relations. The obvious advantages of working with other countries to secure the lowering and eventual removal of non-tariff barriers to trade, in PNG, are that we are leading as a developing country in this area. I think about 87 per cent of our tariffs have being reduced to close to zero per cent which is an immerse task that many developing countries under the WTO rule are having a hard time trying to achieve.
Many countries in the world depend on the import tax for the revenue but for PNG, I think we have been lucky that in the last 15 years, we have already started to review our tariff barriers and now we can claim that we are ahead.

13/10
Mr Speaker, foreign policy and diplomacy are obviously concerned with the pursuit of shared national interests of PNG is unusual and fortunate in that our National Constitution provides a clear guide to the interests Papua New Guineans share. These are set out in the National Goals and Directive principles. They point to the ways which our people expect the Government to promote development. In doing so they provide guidance in policymaking and diplomatic strategies and other activities on which implementation depends
Mr Speaker, I want to say that we are not a banana republic; we are affirming this in the Constitution from day one. Our current Prime minister was instrumental in part of this and we are happy to have him lead our Government at this time.
I think it is very important in that in the international world there are Governments that come and go. There are Governments that are taken over through military and dictatorship rule and their policies and strategies are not properly spelt out but I am glad to say that in our country, our Constitution spells this out in our National Goals and Directives principles. There shows the way in which our country must go so we are far from being a banana republic.
We are a country set in institutions, in legislations and the Constitution. In a democracy like ours where PNG’s people aspire to participate in sustainable development, it is clear that economic development supported by foreign investment in aid and trade is the key.
This means that promoting sustainable development including human security in a challenging global environment is an important priority for my Ministry.
Mr Speaker, we shall also be doing a trade and investment policy review. Proving Papua New Guinea’s trade capabilities and allying in both Government and domestic investment and improving the volume of exports of this country is at the heart of this enhanced basic approach to foreign policy making and implementation.
With the establishment of a trade and economic development board, the trade development board comprising business representatives, trade statistics will be reviewed with a view to achieving trade balance with our trading partners. Given our maturing relationship with our current portfolio of trading partners, my ministry is keen to take advantage of the opportunity to ensure a deeper uptake of PNG made products in this market. At the same time new frontier markets will be vigorously pursued through long and short term plans for overseas markets, improve collection and analysis of overseas market information, review of market entry methods, appropriate pricing for overseas markets, aggressive promotion in these markets and financing of overseas markets.
It is my intention to have a foreign policy, competitively positions this country on an aggressive trade path, because trade rather than aid has the greatest potential to liberate us as a people by delivering us closer to economic self reliance.
This goal is at the core of our shared national interest, as improving our export base will not only look at the potential of increasing the export of our commodities but also seek to involve the strategy of faster paced industrial development as part of our long term development strategy.
Financial incentives will be reviewed for the domestic manufacturers who are already exporting in foreign direct investment and promote value added exports and employs an increasing number of our people will be provided an incentive.
It is the Government’s intention to ensure that the trade investment policy should be able to adequately review domestic supply constraints that prevents the bulk of people in the rural areas from enjoying the benefit of trade, including roads, public utilities such domestic policies relating to basic higher education. All these have to be reviewed in order to orient ourselves to being able to increase our ability to trade. Experience from export oriented countries have shown that moving the bulk of the population from the area of skills education is the surest way to promoting trade and attracting export oriented light manufacturers.
My submission to this Parliament that we now must move in this direction in earnest with the greatest sense of urgency and of course bearing in mind the need to reduce our carbon footprint.
Also my intention to place a foreign policy that ensures that the aid donors adapt the overall policy stands for aid - for-trade into the aid portfolios for PNG.
Some donors such as European Union are already heading in this direction and they should be commended for their intentions. With this priority in mind that I started developing detailed proposal for a trade and economic board that I have previously said that the Government is not just a matter of leaders and public servants, needs and priorities are legitimate matters of public concerns. Expertise can be found in other parts of the community including the private sector.
Many issues before my department on the country’s missions posts overseas can be addressed, by consulting with businesses, this though I believe we need the trade or economic development board which includes business representatives, this is among the policies we will work in the Foreign Policy white paper.
An updated basic policy to foreign policy making and implementation has obvious implications for my department including the PNG mission and posts abroad. They including ensuring that we have qualified people employed in the diplomatic service.

14/10
They need the initial training and opportunities for upgrading knowledge and skills for the department. Generally, the Department has got to be upgraded in order for it to meet the globalistion and the issues that I have mentioned earlier on.
We need to consider the implications that the global media, access to information by internet, instant communications and work that diplomats do, and the support they need when they are abroad meeting the interest of PNG. Meeting the many different challenges and realising the opportunities which are key to Papua New Guinea’s future will require a pro-active diplomatic approach.
We need to consider what kind of national image we want to project. Sound management, including the economical use of time and other resources means that our diplomacy has to be focused.
Mr Assistant Speaker, I do not get much questions on the Floor of Parliament so you will excuse me if I will jump to complete the last page of my statement.
We must consider whether we have enough missions abroad. A major review must be done so that everything can be put into focus.
Mr Assistant Speaker, I am presenting this ministerial statement at a time when globalisation presents both opportunities and challenges. While the global financial crisis means that significant aspects of globalisation are themselves being increasingly challenged. It is therefore, timely for us to review where we are and see what we can build on relevant achievements since independence. In doing so, we need to address many diverse, often complex issues. This presents yet further opportunities and challenges.
Mr Assistant Speaker, I would like to commend my statement to you and I hope and wish that government departments, the private sector and everyone take part in the review of a foreign policy direction which is will be able to help us in the future.
I welcome such inputs that might come from all of you.

Mr ASSISTANT SPEAKER – Observers in the public gallery, please put off your mobile phones.

Motion by (Mr Paul Tiensten) agreed to –
That the Parliament take note of the paper.

Debate adjourned.





PERSONAL EXPLANATION

Mr WILLIAM DUMA (Hagen-Minister for Petroleum and Energy) – I ask leave of Chair to make a personal explanation.

Mr ASSISTANT SPEAKER – Do you claim to have been misinterpreted?

Mr WILLIAM DUMA – Yes sir!

Mr ASSISTANT SPEAKER – Go ahead, leave is granted.

Mr WILLIAM DUMA – I wish to draw your attention to the front page of one of our daily newspapers, The National in which I am stated to have told my people of Hagen Open that the people of Papua New Guinea will somewhere along the line be on the dole.
Mr Assistant Speaker, firstly let me categorically state to this Parliament that this statement is misleading and false. The front page also infers that I made the statement to my people in English. I do not speak to my people in English. Like all of you, I speak to them in my own native tongue particularly, the Melpa language.
Mr Assistant Speaker, secondly it is not the policy of the party that I represent of which one of the founding persons is present in Parliament, nor is it also not the policy of this Government, which I serve as a Minister to encourage and plan to make our people leave on the dole. I have no power and authority to make any statement like that on behalf of my party or the Government.
Mr Assistant Speaker, when I appeared before my people, I did say that this Government has got two very large LNG projects, which if properly managed, and when the gas is finally exported, will result in billions of kina coming into our Government revenue. Also if properly managed, can enable our people to have better infrastructure facilities such as schools, roads, bridges and better health services. I did not at any stage tell my people that they could expect to receive dole.
Mr Assistant Speaker, I wish to categorically deny that I ever made such a statement and I wish to note in this Parliament that the author of that article is a former employee of Post Courier who happens to support one of my political opponents.
I will be seeking leave from the paper to publish a statement with their paper.

15/10
MOTION BY LEAVE

Mr PAUL TIENSTEN (Pomio – Minister for National Planning and Monitoring) – I ask leave of the Parliament to move a motion without notice.

Leave granted.


SUSPENSION OF STANDING ORDERS –
REARRANGEMENT OF BUSINESS

Motion (by Mr Paul Tiensten) agreed to –
That so much of the Standing orders be suspended as would prevent Dame Carol Kidu to present a Bill.


LUKAUTIM PIKININI BILL 2009

First Reading

Bill Presented by Dame Carol Kidu and read a first time.



Second Reading

Dame CAROL KIDU (Moresby-South – Minister for Community Development and Social Welfare) – I move –
That the Bill be now read a second time.

Mr Assistant Speaker, Members of Parliament you would probably be wandering what is happening here.
In fact, the Lukautim Pikinini Bill 2007, was passed in the last session in the last term of Parliament.
Mr Assistant Speaker, at that time we did not had a budget to implement this Bill and so we did not look at it very thoroughly because we were waiting for budget that had miss the budget for 2008 cycle. I am very grateful with the Minister for Treasury and Finance for allocating funds for Lukautim Pikinini Bill 2007.
Unfortunately, some problems have occurred between the Bill passed and the Certified. The Certified Bill was the wrong one certified on the Floor of this Parliament. Any Act of Parliament such as this one does take a lot of preparation and needs a lot of draft. I would assume that the Act that was passed here was the correct version. But a wrong draft was sent up to the Clerks office for Certification. Actually, two Sections were omitted and that is Section 103 and 109.
So what is happening here today is that we are repealing the 2007 version by putting in the correct version of the Lukautim Pikinini Bill 2009. This was the replacement of the Child Welfare Act 1961.
Mr Assistant Speaker, the problem was discovered about a month ago. I want to express my sincere thanks to the Offices of the Clerk of Parliament, Legislative Council and NEC for fast tacking and rectifying the problem that occurred.

Motion (by Mr Arthur Somare) agreed to –
That the question be now put.

Motion – That the Bill be now read a second time – agreed to.

Bill read a second time.

16/10
Third Reading

Leave granted to move the third reading forthwith.

Dame CAROL KIDU (Moresby-South– Minister for Community Development) – I move –
That the Bill be now read a third time.

Motion – That the question be now put – agreed to.

Motion – That the Bill be now read a third time – put.

The Bill requiring two-thirds absolute majority as required by the Constitution, the Assistant Speaker ordered that the Bells be rung.

The Parliament (voted the Assistant Speaker, Mr Thomson Harokaqvek) in the Chair –

17/10
AYES - 81

NOES - 0

Motion so agreed to.

Bill read a third time.

Sitting suspended from 12.40 p.m. to 2 p.m..
18/10
SALARIES AND REMUNERATION COMMISSION –
THIRTY FIFTH REPORT – PAPER AND STATEMENT –
REPORT ADOPTED.

Mr PETER O’NEILL (Ialibu-Pangia – Minister for Public Service) – I seek leave of Parliament to present a Report.

Leave granted.

Mr Speaker, I rise to present the Thirty Fifth Report of the Salaries and Remuneration Commission on behalf of yourself as the Chairman of the Commission.
Mr Speaker, the Report is quite brief and deals with only two matters which are of some concern to honourable Members of Parliament and some our leaders in this country.
Mr Speaker, the first matter that the report deals with relates to the accommodation allowance by where there has been many complains and needed to be reviewed.
Mr Speaker, this is in light of large sums of rental fees charged by many real estate companies particularly in this city. As a result, many honourable Members of this Parliament are staying with wantoks, some are, in fact, staying in settlements whenever they come to Port Moresby to discharge their duties as honourable Members of this Parliament.
Mr Speaker, the Commission through its contracts has established that the recent increases on charges of rental accommodation imposed by real estate agents are around about 42 per cent.
Mr Speaker, the Commission does not always increase accommodation allowance when there is an increase in rental charges throughout the city. However, in this instance, because of the difficulties faced by many Members of this honourable Parliament, the Commission has decided to recommend an increase at the same level imposed by the real estate agents.
Mr Speaker, the increase of about 42 per cent for accommodation allowance for Members of Parliament is already equivalent to those enjoyed by other leaders in the judiciary and other leaders in statutory offices within the Public Service machinery.
Mr Speaker, the second matter of the report is in relation to vehicle allowance. As we know, in recent times the prices of vehicles have gone up to the roof because of the demands that many others in the industry have placed on that particular allowance.
As a result, Mr Speaker, the Commission is also aware of the fact that the last time the vehicle allowance was set equivalent to the price of a Mazda 929, which this vehicle is no longer sold in Papua New Guinea. As a result, vehicle allowance for all the Members need to be increased to cater for the increase comparable to the industry.
In that aspect, Mr Speaker, the Commission has decided to recommend an increase of 50 per cent in the vehicle allowance for all Members of Parliament.
Mr Speaker, on the other benefits that the Members of Parliament will enjoy, the Commission has engaged am independent consultant who will review and make an independent review of all the other benefits that the Members are enjoying now. Based on that consultant’s report, we will then deliberate on the matter.
Mr Speaker, the Commission felt that these two particular issues, the vehicle allowance and also the accommodation needed an urgent attention of the Commission.
Therefore, Mr Speaker, I recommend that this report to Parliament be adopted by the Parliament.

Motion – That the Report be adopted – agreed to.


ADJOURNMENT

Motion (by Mr Peter O’Neill) agreed to –
That the Parliament do now adjourn.

The Parliament adjourned at 2:40 p.m.

ELEVENTH DAY

_________________________

Thursday 19 March 2009

DRAFT HANSARD
_________________________


Subject: Page No.

INVESTIGATION INTO THE PARLIAMENTARY SERVICE –
STATEMENT BY Mr SPEAKER.. 1

MOTION BY LEAVE.. 2

SUSPENSION OF STANDING ORDERS –
REARRANGEMENT OF BUSINESS. 2

LAND REGISTRTION (CUSTOMARY LAND) (AMMENDMENT) BILL 2009. 3

LAND GROUPS INCORPORATION (AMENDMENT) BILL 2009. 15

PNG SPORTS FOUNDATION’S STRATEGIC PLAN, 2008-2011 –
PAPUA NEW GUINEA’S BIT TO HOST 2015 SOUTH PACIFIC GAMES –
MOTIO ADOPTED. 18

ADJOURNMENT.. 22

ELEVENTH DAY

Thursday 19 March 2009

The Speaker, (Mr Jeffrey Nape) took the Chair at 10. a.m., and invited the Member for Tari/Pori, Honourable James Marabe to say Prayers:

‘Gracious God almighty, ruler of the universe, as you sit in your throne room you look down into this planet earth and you see a country called Papua New Guinea and in Papua New Guinea, you see a Parliament that congregates this morning to discuss issues that governs this nation.
We thank you God, for the abundant blessings that you provide to this nation and to the people of this nation in which this Parliament represents.
Father God, we thank you for the Prime Minister and the Deputy Prime Minister, the Speaker of Parliament, the Opposition Leader and his Members, the Government Ministers and all the Leaders to bring together our talents and abilities for the cause of this nation.
God we seek your wisdom and guidance as we stand to pledge our commitment to you and commitment to our nation and as we sit to discuss, may the inspiration of the Holy Spirit inspire each and every one of us so that the best can come out from our discussions so that this nation, after conclusion of today’s business, can say that the Leaders have served us well.
Thank you Jesus for dying on the cross of Calvary and setting an important example for fellowship and service to mankind and in your service to mankind when you lived in this planet earth, you made us to preside on important issues in life, preside on important practices in life and one of them was to pray. Amen.


INVESTIGATION INTO THE PARLIAMENTARY SERVICE –
STATEMENT BY Mr SPEAKER

Mr SPEAKER - Honourable Members, I wish to inform Parliament that the state of Parliament Building that has been deteriorating over the last 24 years due to under funding in Parliament’s yearly budget over the years. And Members of Parliament and public perception of mismanagement of Parliament of funds have prompted me to call for the Auditor General and the Auditors of Department of Finance to investigate Parliament and report to Parliament.
While investigations are carried out, I will be taking my recreational leave, to allow non-interference of the investigation process.
I also wish to inform you, Honourable Members of Parliament, that for transparency purposes I will be providing details of my assets, including my residence in Morata. A detailed report will be published in your daily Paper and also details of how I obtained funds.
During my absence, the Deputy Speaker will be Acting Speaker and I wish to call on the Clerk of Parliament to allow the Deputy Clerk to assume the role of Acting Clerk to allow auditors freedom to look into the financial management of Parliament and report to Parliament.

MOTION BY LEAVE

Mr PAUL TIENSTEN (Pomio – Minister for National Planning and District Development) – I ask leave of Parliament to move a motion without notice.

Leave granted.


SUSPENSION OF STANDING ORDERS –
REARRANGEMENT OF BUSINESS

Motion (by Mr Paul Tiensten) agreed to –
That so much of the Standing Orders be suspended as would prevent Notice Number’s 86, 87 and 88 of Government Business being called on fourth-with.




LAND REGISTRATION (CUSTOMARY LAND)
(AMMENDMENT) BILL 2009

First Reading

Bill presented by Dr Puka Temu and read a first time.

Second Reading

Dr PUKA TEMU – (Abau – Minister for Lands and Physical Planning and Mining) – I move –
That the Bill be now read a second time.

02/11
Mr Speaker and my fellow Papua New Guineans, as we all know, in this great country of ours, land, in particular customary land is central and essential to our lives. Therefore, the issue of reforms in customary land tenure whilst critically essential, it is indeed a very sensitive and emotional one.
My fellow Papua New Guineans, we all know and understand what land is to us. Customary land in particular, is the very basis upon which our people sustain their livelihood.
However, due to the changes introduced by modernity and the cash economy in particular, some of the use we make of the customary land we own have changed. In other words, customary land use is changing and in some sections of our country, they are changing very fast. We no longer use slush and burn shifting cultivation but we are now increasingly using our customary land to grow coffee, cocoa, coconut or rubber plantations to enable us to meaningfully engage in the cash economy. Because such land use is largely longer term use and exclusive in nature, there are now tensions and signs of strains on customary land tenure. We are now witnessing relatives, cousins or even brothers killing each other over disputes over the use of customary land.
As a nation, we must find a way to address these problems before they get out of hand. The National Government has a responsibility to ensure that it makes the necessary intervention to ensure that the social and economic changes that are spontaneously occurring do not bring disunity and other social problems but rather peace and prosperity to all.
It is concerns like these that have led to the establishment of the National Land Development Task Force (NLDT) in 2006 by the former Somare Government following the successful National Land Summit in August 2005.
The National Land Development Task Force has completed its work and made a total of 54 Recommendations in its report which has been published as National Research Institute Monograph 39 in February 2007, which all the 109 Members of Parliaments have been given a copy each in 2007 during the Induction period of the new Parliament.
The reference giving rise to this Report comprising the proposed legislative amendments to review and strengthen the legal framework for incorporated land groups (ILG) and then provide for the voluntary registration of customary land via ILGs as a corporate vehicle for customary landowners was issued by former Minister for Justice, Honourable Bire Kimisopa on 4 July 2007, to inquire into and report and recommend on a systematic development and reform of laws relating to the implementation of a two staged system of voluntary customary land registration involving:-
(1) The incorporation of ILGs incorporating appropriate accountability mechanisms for efficient and effective governance and management structures and systems;
(2) A voluntary system of customary land registration; and
(3) To whatever extent necessary to give effect to these reforms, amend, modify or abolish any other related and associated land.
Mr Speaker, many previous attempts to bring some reforms to customary land tenure laws goes back as far as 1952 under the Native Land Ordinance and the Land Registration (Communally Owned Land) Ordinance which proposed to set up a Register of Communally Owned Land for the registration of customary land after the investigation of titles were conducted by a Commissioner of the Land Titles Commission. Implementation of this attempt failed.
And then in 1973, a Commission of Inquiry into Land Matters (CILM) after a careful and thorough nationwide consultation, recommended for inter alias, the registration of customary land but in group title utilising the ILGs as a corporate vehicle. To implement the recommendations of the CILM, a draft Customary Land Registration Bill was drafted in 1978 but was never enacted.
Then in 1987, attempts were then made in East Sepik Province with the introduction of provincial legislation to register customary land through what is now known as the Fingleton’s Model of Customary Land Registration. Whilst the necessary legislation were passed to effect group title registration, the administrative measures to set up this system was not promulgated so the attempt failed again.
The attempt that was made at the provincial level by the Fingleton Model was attempted at a national scale through the Henao Lawyers attempts through the World Bank funded land mobilization program via the Department of lands. This attempt ran from 1995 to 2001 and it was so fiercely resisted with strong, sometimes militant resistance. Hence, this attempt also failed.
Despite extensive search for appropriate models of land reform to realize customary land use and development and even though as many as over 30 years have elapsed following independence, there has been no workable reforms. Land Reform in particular customary land reform, has therefore been referred to by many researchers, commentators and policy makers as a failed policy initiative.
Mr Speaker, these bills mark one of the first small steps towards reforms in customary land tenure in our country. Primarily as a measure to empower customary landowners in the whole of PNG to access their customary land for economic development in a fair, equitable and convenient manner under a legal system that is designed and structured to ensure that at all times, the customary landowners do not part with ownership of their land but continue to have control of their land through their collective corporate vehicle, the ILG.
Mr Speaker, there is a two stage approach to these reforms.
(1) The incorporation of ILGs and
(2) The voluntary registration of portion only of customary land through their ILG which they wish to put to economic development activity with secured title.
The amendments to the Incorporated Landowner Group (ILG) Registration and the Land Group Incorporation Act are intended to:-
(1) Formalize and tighten up on the process of incorporation by involving the District Administrator in the incorporation process to inject greater transparency and accountability into the process;
(2) To link a citizen warm bodied person through a formal statutory instrument to the person named on the list of membership by requiring the submission of a formal birth certificate obtained under the Civil Registration Act for all persons on the list of membership of the proposed ILG;
(3) Just as a Papua New Guinean belongs to only one clan, tribe or such other land owning social unit, multiple membership to ILGs will be prohibited;
(4) To link actual customary land to the proposed ILG, an application for incorporation will be required to have attached to it. A full and complete sketch map (GPA) technology assisted) of all the land which the members of the ILG own. If there are disputes over the boundary with neighbouring clans, et cetera, then such disputes will be required to be clearly marked out and signed by the elders or representatives of the disputing parties on the body of the sketch map to mark the extent of the disputed boundaries.

03/11
This is designed to avoid the need to go through protracted court battles over disputed boundaries and stifle the process of incorporation of the ILG. Where the elders or the representatives of the disputed clans refuse to sign on the sketch map to acknowledge the existence of dispute, either the district administrator or his delegate or a village court official or a local ward member would be allowed to sign.
Greater transparency and accountability will be injected into the management of ILG’s by holding the ILG Committee responsible and accountable, through the imposition of a strong Code of Conduct, with strong fiduciary obligations, and the imposition of criminal sanctions where there is failure on the part of the management committee to discharge various duties and obligations imposed under the proposed amendments.
Mr Speaker, the amendments to the Land Registration Act are intended to provide a system of registration of those portions of customary land which the customary landowners, through the ILG, decide to register to put to economic development activities.
This will be achieved by the introduction of a Part 3A to the Land Registration Act titled ‘Registration of Customary Land’. The main features of the amendments are as follows:
That a Director of Customary Land will be appointed to oversee and manage the administrative process and facilitate the process of customary registration where the director will be responsible for receiving and verifying the applications for customary land registration to ensure compliance with all the requirements under the Act.
The application for registration will be in a form of a draft Registration Plan. After the verification process, the Director of Customary Land will then be required to forward a copy of the Registration Plan to the Regional Surveyor and a notice to the public informing and inviting them to inspect the draft Registration Plan and make appropriation submissions should they wish to.
After the expiration of 90 days and only where necessary and appropriate, the Regional Surveyor shall be required to prepare an Adjusted Registration Plans, taking full account of any adjustments arising from the public submissions and the verification process conducted by the Director of Customary Land and submit such plans to the Director.
Mr Speaker, the Director of Customary Land is required to prepare a final Registration Plan as soon as practicable and return it to the ILG concerned. The ILG concerned will then be required to submit to the Registrar of Titles the necessary documentation inclusive of the final registration plan and the concerned ILG Certificate of Incorporation of the Certificate of Title.
Mr Speaker, you will note that the involvement of the state agencies in registration of customary land under this new legislation is very minimal. In fact only restricted verification is required in ensuring compliance. The decision to register customary land and preparation of initial draft registration plan to submit to the director in the first instance is a matter for customary landowners themselves through their ILG.
This is done to ensure that the problems of long and protracted debate currently experienced in the land tenure conversion process under the Land Tenure Conversion Act administered by the Land Titles Commission are not repeated.
Mr Speaker, you will appreciate that currently there are well over fifty thousand applications pending for Land Tenure Conversion before the Lands Titles Commission and it has become nearly impossible for the Lands Titles Commission to process these applications by going through the provinces and districts of the country to conduct the necessary investigations and to advise the Registrar of Titles to the issue the certificates.
The experience that we now have from this unfortunate situation has prompted the government to give the responsibility to prepare the draft registration plan and submit that plan to the Director of Customary Land to the customary landowners themselves so that the customary landowners, through their ILG are in full control of the process of registration.
If there are disputes over boundaries of the land at the land registration stage, as stated immediately above, then, the application for registration will not be progressed until the land dispute over the land boundaries is settled before an appropriate and competent court.
Mr Speaker, I now commend this Bill to Parliament.

Mr BART PHILEMON (Lae) – I move –
That the Parliament take note of paper.


Mr Speaker, I commend the Minister for his efforts in this area. It is one of the most important issues that this Parliament needs to address and, as he has stated, this issue has not just come to light, but it has been attempted over many years, ever since 1952.
The last effort for this resulted in the death of a university student in Waigani in a violent demonstration against the idea of registration of customary land. But the approach the Minister has taken now is one of voluntarily registration and he has indicated that there are 50, 000 applications on hand now to start this process going.
Mr Speaker, three per cent of our land, as we know, has been alienated so there is 90 per cent of the land representing a total land mass of over four hundred thousand square kilometres of land mass in alienated. We cannot just live and do business on three per cent of the land. We need to bring in progressively over our time the 90 per cent land, if we want to establish economic well being for Papua New Guinea.
Land is always a sensitive issue and land is either patri-lineal or matrilineal. The important aspect of this particular Bill is; before we can do anything at all, we need to dig back to those who have applied voluntarily to have their land group incorporated as a land group, and then eventually register whatever piece of land they offer to be registered.
The task of doing it properly is to be able to incorporate those groups but the bases of incorporation is the tedious task to make sure that whether, it is patrilineal or matrilineal system that every member of that land group is properly accounted into the system before land group is been incorporated.

04/11
Those of us from urban centers have held the pain of our land being used without proper traditional approval for the land to be used.
For instance, Lae has squatter settlers settling on customary land all around and we do not have any more crown land for development. We are now depending on Ahi land for development.
We have started this process under Ahi Land Mobilization over ten years ago and the Minister for Community Development was invited to launch the Ahi Land Mobilisation in Lae and since then we have had many difficulties. Though the entire Ahi land from Butibam to Unitech and right up to Nadzab has been approved by the National Physical Planning Board for greater Lae expansion, that program cannot move until such time when all the clan genealogy have been established.
It’s a mammoth task for us in Ahi. We are ready to do business with the Government. The Ahis were prominent during the National Land Task Force Seminar in Lae. They had presented to the Minister and the delegation from the National Government that we are ready but resources and support from the Government was lacking until this bill is now being produced by the Deputy Prime Minister.
Indeed we are moving on the right track, we are kidding ourselves of development in the country if we do not recognise the fact that there are so many land disputes and the only way to settle land disputes is through the Incorporated Land Groups (ILG). Patrilineal and matrilineal system has to be used to identify exactly who owns what piece of land before we can move on.

Dame CAROL KIDU (Moresby –South-Minister for Community Development) – Thank you for the opportunity to make a statement here regarding this very important issue. This is one issue about in gendering our emerging land laws. It is a great concern for me and should also concern you all too because some land are patrilineal and others are matrilineal. We have brought on a western model of patrilineal land ownership and now it has become common particularly in patrilineal areas for women to be marginalized from land especially the widows.
I want us to be very aware of the fact that in this country although men are the custodians, not the owners of the land, women were never denied the right to land usage. It is an important issue in our emerging land law.
What is happening now is that women, especially widows are being marginalized from land and it is resulting in poverty. For example, traditionally in many societies and I can only speak well for one; a widow will often then marry her husband’s brother. That was a custom.
I became a widow then I would marry my husband’s brother so my rights to land usage were perpetuated through that new marriage or in my case, I did not marry my husband’s brother because it is not my custom to do that. But my rights to land have been perpetuated to my sons but you will find out now that what’s happening here in Papua New Guinea is that women are still marginalized because we are forgetting that traditionally we did not marginalize women’s right to land.
Through the matrilineal and patrilineal system we have to be aware that not only in Papua New Guinea, but globally we have to be conscious of gender in our emerging land laws, otherwise we increase the marginalization of our women and their poverty because they are being denied access to land. That was never done traditionally and that is the point that I want to make here.

Mr LUTHER WENGE (Morobe) – Thank you Mr Speaker, I want to commend the Deputy Prime Minister and Minister for Lands for bringing in this bill. It is the result of the land law committee that he is leading. The seminar on Land Mobilisation was held in Lae but unfortunately due to work commitments, I was not available then but all stakeholders and important decision makers on land were there to state what we are discussing today, the issue on registering land in the country.

05/11
Economically our country must move forward and we must encourage our people to grow coffee, cocoa, vanilla and many other cash crops, and the government must provide the resources.
Mr Speaker, Morobe Province has areas suitable for farming but the problem is that there are no roads or airstrips to access these places because the terrain is very rugged and mountainous.
Yonki is one such place and the valleys of Western Highlands, Eastern Highlands and even Southern Highlands. These provinces have suitable farming land for cash crops. Other suitable areas for cash crop farming are also located in East New Britain and West New Britain. These two provinces have the potential to grow oil palm, cocoa and copra. Even the Central province and Oro province can grow cash crops. But all these suitable farming land are traditionally owned by the people of those areas. The government only owns three per cent of the total land in the country while the rest is owned by traditional landowners.
Therefore, I would like to thank the Minister for Lands for his work in telling the people in the rural areas to have their customary land registered as individuals or as groups. For group registration they can register their land under their tribes or clans. This will clarify landownership so that land can be leased out for development. This is because the people of Morobe province would like to lease land in other provinces and grow cash crops.
If the government can help the rural people in the provinces register their customary land then their land can be leased. For example, the land in Yonki can be leased to the people at Markham, Wain or Kabwum. A similar thing can be said for the Madang province. The Ramu valley has abundant land and we should help the people there to register their land. Once registered their land can be leased to people from the Highlands region like Enga, Southern Highlands or Chimbu so that they can grow cash crops.
Mr Speaker, there are a lot of Papua New Guineans who want to work especially when people say that Papua New Guineans just sit under the coconut tress and dream. That is not true. Many would like to work but need land to do so.
Just yesterday, the Member for Menyamya asked the government to allocate some land to him but the government only owns three per cent of all the land in Papua New Guinea. The majority is customary land.
Therefore, the Minister for Lands has gained my full support and the support of the Morobe people by introducing this Bill. Because this Bill will give the opportunity for the people of Morobe province to farm land in other provinces like East New Britain and West New Britain.
All these can eventuate if we help our people in the rural areas register their customary land and make land available for development. When more land is available then more development will take place. Not only in terms of agriculture but for other development such as education, health, and church-run organistaions and for infrastructure.
At the moment, unregistered customary land cannot be used as security by the commercial banks. The Prime Minister also has established the National Development Bank which is government funded so that citizens of this country can have the opportunity to start their own businesses.

06/11
I want to support and add on to what the Member for Lae, Honourable Bart Philemon has said on resources.
Mr Assistant Speaker, if we are serious about the economy of this country then we have to be serious in allocating funds.
The economic base back at the village level is not sufficient for our people. You can’t expect them to take out K50 to K100 notes all the time from their pockets. Their pockets are always filled with betel nuts and smoke, we have not yet reached the level of economic boom.
Therefore, the Government must allocate funds to each district for district administrators to carry out the work because they know the administrative system in each district very well than us.
Mr Assistant Speaker, I call on the Government to allocate more funds to this Bill in 2010 National Budget, so that it will help our people to register their land.
We, the people of Morobe are ready to register our land and we have established a land mobilisation. The people of Aihi have established it and it is the first of its kind in this country.

Mr Patrick Pruaitch interjecting.

Mr LUTHER WENGE – We have established this land mobilisation for the Aihi people to make available their land for registration. But people of Butibam don’t have enough money. If you want development on the land in Lae then allocate funds.

(Members laughter)

Mr LUTHER WENGE – We must not waste our time here and debate it for the sake of it. We have to allocate funds so that developments can take place. Mr Deputy Prime Minister, I believe you will do it. You are man of confidence and wisdom and will make it happen.
With that I don’t know about other parties but we ‘People First Party’ put people first in supporting this Bill. Thank you.


Motion (by Mr Patrick Pruaitch) agreed to –
That the question be now put.

Motion – That the Bill be now read a second time – agreed to.

Bill read a second time.

Third Reading

Leave granted to move the third reading forthwith.

Dr PUKA TEMU (Abau – Minister for Lands and Mining) – I move –
That the Bill be now read a third time.

Motion – That the question be now put – agreed to.

Motion – That the Bill be now read a third time – put.

The Bill, requiring an absolute majority of 55 Members as required by the Constitution, the Speaker ordered that the bells be rung.

The Parliament voted the Speaker (Mr Jeffery Nape) in the Chair -

07/11
AYES – 90

NOES – 0

Motion so agreed to.

The Bill, passed with the concurrence of an absolute majority of 55 Members as required by the Constitution.


LAND GROUPS INCORPORATION (AMENDMENT) BILL 2009

First Reading

Bill presented by Dr Puka Temu and read a first time.

Second Reading

Leave granted for the second reading to be moved forthwith.

Dr PUKA TEMU (Abau- Deputy Prime Minister and Minister for Lands and Mining) – I move –
That the Bill be now read a second time.

Mr Speaker, I have spoken on both amendments in my original statement but with regards to some of the debates that have been going on, I wish to clarify one or two matters.
Firstly, with regard to the ILG Amendment, the intention of this Bill is to ensure that the ILGs are recognised as an economic unit. The amendments are basically going to bring about greater transparency and accountability in the management of the ILG process.

08/11
Right now, Mr Speaker, anyone on the street can hold ILG because that process itself is not transparent and there is no accountability. There are very bad governance structures in place and at the same time any holder of current ILG certificate really is not an economic unit.
This amendment brings the ILG process into the good governance structure. It is the ILGs at their own decision they will decide what area of their land will be registered. That’s where the next phase of registration comes in.
If you look at both amendments, there are consequences to each other and that is to ensure that when the owners of the lands out there in any part of the country may have made the decision that the land in consultation, for example, with the Agriculture Department and is good for oil palm, they will then voluntarily register that land.
Mr Speaker, today the big issue is whether what type of tenure is secured. At the moment, all investors will say that the lease must be a State lease because it is very secure. In terms of tenure security, everybody applies for the State lease.
Right now, our customary leaseholder, under law now is that lease is secured as a State lease. That’s the biggest change we have because over many years, customary land has been extra legal and therefore, it hasn’t been participating in the property market all these years. Through the process we have consulted the commercial banks and they have been part of this process and therefore the amendment has come.
Mr Speaker, through the leadership of the Prime Minister, we have already appropriated both last and this year a total of K32 million for this Land Reform Program. I can assure the Parliament that the implementation will move because I have also restructured the Department, which we have created certain divisions headed by a Deputy Secretary to look after customary land in the country.
The Chief Magistrate under his leadership has created a separate division dedicated for land dispute problems in the country. This amendment now will bring customary land into playing their economic development.

Motion (by Mr Patrick Pruaitch) agreed to –
That the question be now put.

Motion – That the Bill be now read a second time – agreed to.

Bill read a second time.

Third Reading

Leave granted to move the third reading forthwith.

Dr PUKA TEMU (Abau-Deputy Prime Minister – Minister for Lands and Mining) – I move –
That the Bill be now read a third time

Motion – That the question be now put – agreed to

Motion – That the Bill be now read a third time – put

The Bill, requiring two-thirds absolute majority as required by the Constitution, the Speaker ordered that the bells be rung.

09/11
The Parliament voted (the Speaker, Mr Jeffery Nape in the chair) –

AYES – 90

NOES – 0

Motion so agreed to.

Bill read a third time.







PNG SPORTS FOUNDATION’S STRATEGIC PLAN, 2008-2011 –
PAPUA NEW GUINEA’S BIT TO HOST 2015 SOUTH PACIFIC
GAMES – MOTIO ADOPTED.

Sir MICHAEL SOMARE (East Sepik – Prime Minister) – Mr Speaker, this is a motion which has been on the Notice Paper for a week now for Parliament to move a substantive motion in relation to the conducting of sports. We would like to invite the 2015 South Pacific Games but it must have the backing of Parliament. For this reason, I have outlined a very lengthy motion and unless the Parliament wants me to read it, I will but otherwise, I would like to ask Parliament to accept, take note and agree with the motion so that we can empower the Minister for Community Development to go and bid for us to host the 2015 South Pacific Games in Papua New Guinea.
I move –
That the Parliament takes note of following:

(a) Pursuant to the National Executive Council’s adoption and introduction of the Papua New Guinea National Sports Policy, a Memorandum of Understanding (MOU) The Way Forward, was adopted and executed by the Papua New Guinea Sports Federation and Olympic Committee Incorporated (PNGSFOC), the Papua New Guinea Sports Foundation (PNGSF), the National Sports Trust Limited and the Minister for Community Development and Sport, the Honourable Dame Carol Kidu in July 2007.

(b) The MOU and the PNG Sports Foundation’s Strategic Plan 2008-2011 proposed that Papua New Guinea makes a Bid to host the 2015 Pacific Games.

(c) The PNG Sports Foundation Act 2006 and the MOU recognize the autonomy and independence of the PNGSFOC in respect of its dealings with international sporting events, including the Olympic Games, Para-Olympic Games, Commonwealth Games and Pacific Games.

(d) The PNGSFOC during the Annual General Assembly of the 2007 Samoa Pacific Games gave notice of its intention to bid for the 2015 Pacific Games. The PNGSFOC again during the 2008 annual General Assembly of the Pacific Games Council in Cook Islands reiterated PNG’s Intention to bid to host the 2015 Pacific Games.

(e) PNG will be bidding against American Samoa, Solomon Islands and Tonga who have previously hosted the Mini South Pacific Games (MSPG).

(f) The Bidding process is governed by the Pacific Games Charter, Bid Documents must include the written approval and support of the Government and Opposition in respect of the bid and Government guarantees in respect of estimated costs of hosting the Games. The PNG Bid Committee believes that this support is best demonstrated by a Parliament Resolution, the text of which will be included in the Bid Document.

(g) That in January 2007, PNGSFOC became a signatory to the World Anti-Doping Code and has since established a Sport Anti-Doping Organisation (SADO) which, in conjunction with PNGSFOC, has created an Anti-Doping Policy and has started its activities on education on drugs in sport.

(h) That to be eligible for assistance from the UNESCO Fund For Elimination of Doping in Sport, each National Government needs to ratify the UNESCO Convention against Doping in Sport.

(i) That the National Executive Council has approved, but Parliament has not yet formally Ratified, the UNESCO Convention Against Doping in Sport, and that Ratification now will help strengthen PNG’s bid to host the 2015 Pacific Games.

(j) That hosting the Games will bring tremendous benefits to PNG, including:

(i) The positive impact on the local economy, both during preparations for the Games and during the Games themselves.

(ii) The positive impact on sport development in PNG during the build up to the Games, motivating investment in sport development programs promoting participation in sport, healthy lifestyles, and of course elite athlete programs for improvements in sport performances and PNG’s ranking on the Games medal tally.

(iii) National Unity and National Pride, as the nation works together to prepare for the Games, and comes together to support and celebrate the performance of Team PNG.

(iv) A lasting legacy after the games, of improved sports facilities, increased participation in sports, a Games Village legacy for University of Papua New Guinea and renewed friendships and relations and a major boost to PNG’s reputation and image in the Pacific and internationally.

THE PARLIAMENT THEREFORE RESOLVES:-

(1) That this Parliament appoints the Minister for Community Development and Sport to lead the PNG Bid Committee in its preparation and presentation of the Bid, including selected delegation visits to lobby Pacific Games Council member countries, and a final ten person delegation (including a five (5) person Bid Presentation Team) to present PNG’s Bid at the annual General Assembly of the 2009 Pacific Games Council in the Cook Islands in September 2009, at which the Pacific Games Council will decide the next Host Pacific Games Association of the Pacific Games in 2015.

(2) That this Parliament –

(a) in a bipartisan majority vote supports the PNG Bid for 2015 Pacific Games;

(b) guarantees the required financial contribution from Government, estimated to be approximately K220 million towards hosting the Games; and

(c) resolves that the Community Benefit Fund of the National Gaming Control Board be applied in support of the Government’s financial contribution towards sports facility infrastructure.

(3) That this Parliament RATIFIES the UNESCO Convention Against Doping in Sport, and –

(a) Calls on the National Executive Council to support the Minister for Foreign Affairs and Minister for Community Development and Sport in executing any further regulations, orders or documents which may be required to give effect to such Ratification.

(b) calls on the National Executive Council to support the SADO to obtain support from the UNESCO0 General Fund for its efforts to provide education and awareness and to effect processes for testing and elimination of drugs in sport.

(4) That this Parliament, in the event that the PNGSFOC-PNG Games Associations successfully wins the BID to host the 2015 Pacific Games in PNG –

(a) calls on the National Executive Council to prepare legislation for the establishment of an incorporation as a limited company to be known as the “PNG 2015 Pacific Games Limited” solely for the purpose of the administration and operations of the 2015 Pacific Games, as required by the Pacific Games Charter Protocol 2(2.2) and for such legislation to require that the company be dissolved after the presentation of the Final Report of the 2015 Pacific Games.

(b) further calls on the Prime Minister to create and establish a position in the National Executive Council of “Minister of 2015 Pacific Games” solely for the purpose of the administration and operations of the 2015 Pacific Games and subject to termination of such position after the presentation of the Final Report of the 2015 Pacific Games (Notice given – 17 March)



Motion adopted.

Sitting suspended from 11.50 a.m. to 2 p.m..



10/11
ADJOURNMENT

Motion (by Mr Don Polye) agreed to -
That the Parliament do now adjourn.

The Parliament adjourned at 2 .20 p.m..