Power transfer
ABG president Joseph Kabui said last night that his government is very happy with the outcome of the one-day joint supervisory board (JSB) meeting in Alotau, Milne Bay province.
Mr Kabui said both the National Government and ABG signed an understanding on the transfer of mining, oil and gas functions to the ABG last night at the Masurina Lodge.
Mr Kabui said it has been three years since the Bougainville Peace Agreement was signed, however, progress has been slow.
He said the issue of ownership of the resources was the most contentious at the Alotau meeting where the Government had sidelined the issue until Bougainville holds a referendum.
The ABG side has been pushing for ownership of resources since the last meeting.
Mr Kabui said the signing now means that the ownership issue will be kept alive in constant discussions and not deferred.
“The MOU will bind the National Government and ABG to cooperate and implement the Bougainville agreement,” Mr Kabui said.
In relation to the National Government’s concern on the weapons disposal programme, Mr Kabui said an action plan is in place which was proposed by the ABG.
“The signing of the MOU is a significant way forward.
“Often the ABG has argued on the slowness of the implementation process of the Bougainville agreement,” Mr Kabui said.
The JSB, however, said it will continue to develop a mutually acceptable agreement based on the careful identification and assessment of all relevant implications in the ownership of minerals, oil and gas and distribution of benefits derived from these resources.
The two parties - the National Government led by Deputy Prime Minister Dr Puka Temu and ABG led by Mr Kabui - also agreed that ABG will follow the Government’s proposal in appointing a chief administrator for Bougainville.
“The officials will meet to resolve the question of what authority has the power to make the appointment and must meet next month,” the resolution read.
The parties have further resolved that it is not appropriate to change the distribution of GST from the National Government to ABG from 30 per cent to 60 per cent without considering broader financial arrangements.
It resolved that all references to value added tax in relevant legislation and the Bougainville Peace Agreement are to be read as goods and services tax (GST).
In relation to Government grants to the ABG, the requirements of the Organic Law on peace building in Bougainville, which reflect the terms of the Bougainville Peace Agreement, have been fully implemented by the National Government.
Furthermore, the JSB had agreed that officials will continue to develop a joint media and awareness strategy with the aim of ensuring the coordination and consistency of communication in relation to the work of the JSB and the agreed arrangements for the drawdown of functions and powers.
The two parties have also resolved that officials will meet to identify ways in which the two governments will cooperate to support the Bougainville weapons disposal action plan.
The next JSB meeting will be held in June in Manus.
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