The world experts on Special Economic Zones (SEZs) from Japan Development Institute (JDI) are now in Western Province where they will conclude their fieldwork of visiting the identified potential SEZ locations in the country to collect information to formulate the Masterplan for Papua New Guinea (PNG). The experts led by Minister for International Trade and Investment, Hon. Richard Maru and Member for North Fly and Vice Minister for Mining, Hon. James Donald arrived in Tabubil on Monday where they were received by the Acting Chief Executive Officer of OK Tedi Mining Limited (OTML), Mr. Mark Thompson. Mr. Thompson gave them a rundown of the operations of OTML.
While meeting with the management of OTML, Minister Maru said that there was a need for building certain industries in the province especially in agriculture, forestry, and fisheries sector since OTML would come to a close in 20 years’ time.
“The Provincial leaders also needs to look at how they could monetize their resources in the province to assist them to build their economy and sustain themselves after the closure of the mine,” said Minister Maru.
“Western Province has an internal revenue of K25 million, and they receive K300 million from the National Government every year. OTML employs about 5, 000 people and when it closed these people will lose their jobs and there will also be loss of GST income,” said Minister Maru.
Minister Maru challenged the management of OTML and the Provincial Government to critically think and plan ahead for the province beyond the closure of the mine.
“While OTML has the revenue inflows, Western Province must build the economy of Western Province. They have 20 years, and we would like to work with them to develop a new economic development plan which will be anchored by the proposed SEZ in Western Province,” said Minister Maru.
Minister Maru further expounded on how the SEZ concept can be used as a mechanism to create industries that can economically sustain Western Province after the closure of OTML. Minister Maru called on the leaders and stakeholders within the province to collaborate and work together to address the critical factors which needed to be addressed first and these included land mobilizations, seed capital, enabling infrastructure and cheap and reliable electricity supply.
“These factors need to be addressed collectively to ensure that a conducive environment is created to lure, foster, and encourage investors to come into Papua New Guinea,” said Minister Maru.
After Tabubil, Minister Maru and the delegation travelled to Kiunga where they were met by the Governor of Western Province, Hon. Taboi Awi Yoto and together they visited North Fly Agro Industries vanilla facility at Samagos. The delegation later met with the Provincial Government and Administration who made a presentation on the five-year development plan of Western Province before jointly visiting the PNG- Indonesian border in Kiunga to see the recently built Indonesian border post and commercial centre on the Indonesian side of the border.
“Papua New Guinea is yet to build the required bridges and road to connect up to the Indonesian border. I have requested the Western Provincial Government to immediately submit a proposal to the National Government on a plan to build the road, bridges and the border facilities, facilities for the Customs and Defence Force, including land for township and industrial park. This proposal needs to come to the National Government as a matter of priority because Indonesians have already spent millions in building their facilities and we need to do the same to allow trade between our two countries to start at the border,” said Minister Maru.
The delegation has now left Kiunga and will be visiting Balimo, Morehead, Bensbach and Daru before returning to Port Moresby on Friday.
