Aust to PNG: Aid review in order

THE Australian government is committed to reviewing effectiveness of its aid to Papua New Guinea to get “value for money” following its complaints that a lot of the money was wasted on consultants.
A post-budget statement released by Australian foreign minister Stephen Smith on Tuesday night gave details of its aid commitments to Indonesia, Africa and the Caribbean nations.
However, it made no mention of aid support to PNG except in reference to its continuing commitment in helping reducing deforestation and carbon emission.
Smith said Australia was committed to conduct a review of advisers’ effectiveness with partner-governments.
While PNG is a partner and the PNG aid component was expected to be over K400 million, Smith did not make any indication of it.
PNG used to be the largest overseas aid recipient until recently when Indonesia had become the focus of Australia as its strategic development partner while PNG hummed the tune of aid reduction and self-dependency.
In the 2010-11 budget handed down by the  federal government on Tuesday night, Smith said Australia aid commitment to Indonesia over the next four years will be A$323 million (K804 million).
In direct response to PNG Foreign Minister Sam Abal’s recent outburst that much of Australian aid to PNG was “wasted” on consultants and advisers instead of the needy areas of health and education, Australia was committed to providing “most effective” and “value for money” advisors.
“In 2010-11, AusAID will undertake a review jointly with partner governments on the use of technical advisers in the aid programme.
“The review will seek to ensure each adviser is the most effective, value-for-money response to meeting agreed need and priorities,” Smith said.
Reacting to Abal’s criticism against the boomerang aid last month, Australia’s parliamentary secretary for International Development Assistance Bob McMullan said Australian consultants and advisers brought to PNG crucial skills that were often not available locally.
“Australia and PNG jointly decide on the areas of focus of the Australian aid program.
“The PNG government frequently requests Australia to provide technical experts to advise PNG government departments, and approves these appointments. 
“These advisers bring crucial skills that often do not exist locally,” spokesman for McMullan told The National via email from Canberra.