Basil: Govt to sell shares in state-owned firm to locals

NATIONAL Planning minister and Bulolo MP Sam Basil, clearing the air on the announcement of transfer of the state’s 20% equity in PNG Forest Product to Bulolo district, says there is no foul play involved.
His response follows concerns raised by Ahi leader Benson Nablu that the decision was not fair and was political in nature, as not all landowners whose resources being utilised by state owned enterprises were getting the same treatment.
Basil in an emailed response said the
government plan­ned to off-load government shares in state owned enterprises to host districts.
Asked about the possibility of other resources owners in other districts benefiting from state owned enterprises on their land, Basil said: “I have listened to the cries of Bulolo people to have some shares back into the district and I did use my powers as local MP to negotiate. I believe it really depends on the local MPs and his or her voters.”
He said the Bulolo joint district planning and budget priority committee would be in charge of the transferred shares. They will approve the Bulolo District Sustainable Fund Management which will consist of companies operating in Bulolo, Bulolo chamber of commerce, senior and reputable citizens representing each LLGs, churches and the Morobe provincial government.
“The BSFM or any other names that will be adopted will manage funds and project in the District with strict fiscal guidelines, and the Wau Bulolo Urban LLG will also have some direct benefits for utility services,” Basil said.
He could not specify the monetary value of the twenty percent equity, as that has yet to be checked out from Independent Public Business Corporation’s financial records of net profits and dividend payout for the year ending 2012 to establish the true value including asset value.
 
Nablu had argued that it was a political decision as State Enterprise minister Sir Mekere Morauta colluded with Deputy Prime Minister Belden Namah and Basil to approve the transfer, as they are all from the same political party, PNG Party.