PM says long term goals in mind

PRIME Minister James Marape says Gulf Governor Chris Haiveta understands his publicly-stated view that Papua New Guinea’s long term financial security must not be sacrificed for short-term gains.
Marape made this known after Haiveta said the country needed a clear policy direction for the overall development of its resource projects.
“Unlike in the past where prime ministers and powerful parliamentarians have bulldozed through long-term project agreements, where the state gives too much away in terms of revenue concessions, I choose to defer and take considered advice,” Marape said.
Marape noted that departments and industry were best placed to provide advice to the government, but that more had to be done to ensure the nation benefitted as much as possible from critical resource projects.
“Instead of chasing the dreams of so-called billions of kina under hasty agreements that give our rights away, we should ensure that we safeguard our nation’s interests and the wealth of generations to come.”
Marape said he shared Haiveta’s genuine concern for the state to secure a project agreement for P’nyang, but indicated that the Gulf governor understood his publicly stated view that the long term financial security of PNG could not be sacrificed for short-lived gains.
“Governor Haiveta has been involved in our continued state negotiation work. He knows what we have put to ExxonMobil so far,” Marape said.
He indicated that the P’nyang discussions had not stopped Papua LNG from progressing, noting that the two projects were “fields apart”.
He suggested that if Papua LNG equity partners and beneficiaries wanted to find project synergies, then appropriate responses to the Government’s position on P’nyang had to be honoured by ExxonMobil.
“Gone are the days when agreements are concocted in the inner chambers of a few ‘high and mighty’ individuals. Our Government is committed to ensuring that negotiations are undertaken through the eyes, minds and hands of specialised officials who have the expertise to provide the best advice to Government.”
Marape noted that under the approach pursued by his government that the advice of experts, including those in the petroleum sector, the state solicitor, Kumul Petroleum Holdings, Mineral Resources Development Corporation and other relevant offices were playing a critical role as part of the state negotiating team.
“Since May 31, 2019, we have had many progressive meetings on P’nyang and all other resource projects including Wafi-Golpu, Porgera, Pasca, and we continue to remind Total of the need to progress discussions on Papua LNG. These delays, as painful as they are in the short term, are necessary,” Marape said.
“Simply put, under my watch our country will not continue to give revenue concessions away as we did with PNG LNG and Papua LNG.”
Marape said on a positive note, negotiations between the state negotiation team and Exxon and Oil Search was heading in the right direction, particularly through the agreed domestic market obligations.