Queries on Ramu nickel project

 By ELLEN TIAMU

QUESTIONS were raised at a recent mining conference why the government did not have equity in the Ramu nickel project in Madang.   

Vice-Minister for Mining Wera Mori raised the issue at a regional mining conference in Lae last Friday, saying the country and its people should benefit more from mining, oil, gas and petroleum projects in PNG.

He said at the opening of the conference there were many unanswered questions why this had not happened.

“Today, many Papua New Guineans are asking why the government has no equity in the Ramu Nickel project with a mine life of more than 30 years.

“What has happened to the State’s 30% interest (and) were any considerations paid for the State for it to relinquish its rights?”

Mori asked: “If there were any payments made, how much was paid and who received these payments.”

He said it was such an issue that made people continued to distrust the State.

Madang Governor Jim Kas, in his speech, described the Ramu NiCo project as “a clear example of the inadequacy of our own rules to protect the rights of our people who freely gave up their land hoping to balance their losses with the benefits derived from the project”.

He said the concessions enjoyed by developers were a major disadvantage to local landowners who could not even get a service contract.

“Tax concessions provided to the developer are never passed on to the local contractors … this, among many terms negotiated with developers, does not balance the scoreboard,” he said.

Kas, a local landowner in the Usino-Bundi district in Madang, blamed the government for always putting a strong arm on the people to agree to a lesser deal.