Introduction
The PNG National Research Institute will be delivering several seminars under the “PNGNRI Council Chairman’s Seminar Series”.
The Institute derives its aspirations from the National Research Institute Act 1993 which empowers the Institute to:
- promote research into Papua New Guinea's society and economy; and
- undertake high-quality, theoretical, and applied research into social, political, and economic problems of PNG, with particular emphasis on formulating practical solutions to these problems based on contemporary social and economic theories. Further, the Institute is mandated to publish and distribute its research findings. On 11 June 2021, the Institute launched the PNGNRI Strategic Plan, 2021-2030. Under the 10-year Strategic Plan, the PNGNRI aspires:
“To be the leading research authority in Papua New Guinea and to be recognised among the leading public policy think tanks in the Asia Pacific Region”.
The PNGNRI shall endeavor:
“To provide quality research in economics, politics, education, environment, social issues, and culture which contributes to evidence-based public policies and decision-making processes that improve service delivery, leading to a better quality of life for all Papua New Guineans”.
During the 10-year strategic plan, the PNGNRI’s research will be broadened to include areas such as environment, anthropology, culture, music, and films. The Institute will have a face-to-face dialogue with all Government ministries and agencies. It is only through collaboration with key stakeholders that we can utilise research information to shape better policy outcomes and informed decision-making.
The Purpose of the Chairman’s Seminar Series
The PNGNRI Council believes that by forging strong collaborations we can build a strong, vibrant, and resilient nation. The PNGNRI is mandated to perform its role as the leading research authority in the social sciences, however, it does not exist in a vacuum. The Government established the PNGNRI to conduct research and to use the research information to solve the nation’s development challenges, issues, and problems. The research findings must be published and disseminated to as many people as possible so that when the recommendations are implemented, problems are solved, and positive developments begin to emerge. We must dismantle the silos and the differences that exist between the State Actors and Non-State Actors because of the different roles we perform. It is time that we work as partners to better serve our people.
The Chairman’s Seminar Series is about bringing together different voices and shared experiences. Among us there are academia, researchers, and research analysts; there are policy practitioners and implementers and there are decision-makers and implementers. The PNGNRI is urging all leaders of the respective government ministries and agencies, heads of government departments, heads of research organisations, researchers and policy analysts, and the universities to join the Institute, as we embark on a promising year of greater collaboration and networking.
The Seminar Series will discuss important and pressing topical issues that the nation is facing. Each month we will feature new seminar topics by relevant keynote speakers and feedback from relevant stakeholders. The road to development is long and often arduous. It will take everyone to work together for PNG’s common good.
Chairman's Seminars
Population, Statistics and Society
The Natural Resources and Economics
Education, Training and Accreditation for manpower needs
Energy: Update on reform to deliver the least cost and reliable electricity
Population, Movements, Energy, Food and Transnational Issues
Building 22 strong Sub-National Economics within PNG Economy
Concept Notes
Energy: Update on reform to deliver the least cost and reliable electricity
1. Background
To introduce needed reform in the energy sector, the National Government recently passed the National Energy Bill (2020) with immediate effect to set up a new National Energy Authority. The new entity will now take charge of all energy-related matters including implementation of the National Energy Policy (2017-2027), development of renewable resources, and electrification rollout. The move is seen to be part of the overarching government’s plan to deliver affordable, reliable electricity in the country.
At the end of APEC 2018, an Electrification Partnership (PEP) was reached by Australia, New Zealand, the United States, and Japan to support PNG realise its ambitious goal of reaching 70% electrification by 2030. The partnership has the potential to bring in needed capital, technology, and expertise to boost generation capacity. It may also support the rehabilitation of deteriorating transmission and distribution network and subsequently enhances electrification rates. The country, no doubt, has a rich endowment in hydro, geothermal, solar, wind, and biomass which will boost the sector with the right investment. In particular, harnessing these renewables holds great potential for sustainable and least-cost power generation.
Meanwhile, at the industry level, the role of the state utility, PNG Power Limited in driving reform agenda becomes more important. The country faced daunting challenges with poor access to electricity compounded by frequent supply disruptions, The World Bank recently through its Energy Utility Performance and Reliability Improvement Project, announced its support to improve the firm’s operational and financial performance.
While being a dominant player responsible for the generation, distribution, and retailing of electricity service, the vertically integrated state utility has long been struggling to efficiently deliver the needed service. Recent reports indicate that the state-owned entity is embarking on rigorous reform initiatives to nurture and promote needed reforms in relevant components of its business operations. In the quest of achieving the least cost power generation and promotion of competition in a market segment where viable, the emergence of independent power producers (IPPs) is welcoming.
The PNG National Research Institute (PNG), a leading policy and development-oriented research institute in the country, recognizes the important role, electricity through different energy sources, plays as a catalyst for welfare improvement and economic prosperity.
Accordingly, the PNGNRI has developed a strong interest and research focus in the area. This falls within the Institute’s overall research theme on improving the performance of state-owned enterprises (SOEs) which are dominant providers of essential services such as electricity, water, and ports which are required for social and economic development. Recent research papers on electricity and SOEs demonstrate the Institute’s focus on this.
In this context, the need for dialogue on legislation, regulatory processes, policy, and operations with updated information and insightful discussion is the way forward based on past experiences and current developments in the energy sector. Industry insights and reform ideas are equally important to inform discussion and research endeavors aimed at finding possible solutions to inherent problems and emerging challenges in the energy sector. This concept note, therefore, put forward a proposition to facilitate a seminar for an update on recent past, current, and planned reforms with a view to delivering the least cost and reliable electricity in the country.
2. Objectives
In view of the legislation and reforms of the Government and the research focus of the PNGNRI, are we getting towards least cost electricity that is constant for industry and society's needs? Is there a need to encourage discussion and fruitful engagement among key stakeholders on an essential reform agenda for desirable outcomes in the energy sector?
The main objectives of the seminar are as follows;
- To bring together esteemed professionals, experts, practitioners, and leaders in energy to meet and discuss current developments, reform proposals, inherent challenges, and potential risks in the energy sector.
- To provide updates on recent reforms and partnerships targeted at delivering the least cost and reliable electricity, having regard to the important role played by development partners in providing the necessary support and technical assistance;
- To provide a platform for meaningful and constructive dialogue on energy development, having regard to relevant policies, regulations, and institutional arrangements.
3. Focus
Key areas for the seminar presentation and discussion to focus on are;
- Recent reforms and partnerships undertaken by the Government, notably the National Energy Bill, and PNG Electrification Partnership. In particular, the focus will be on how these have impacted the institutional and regulatory environment, and generally the market operations, and what needs to be done to accelerate the reform process.
- Industry players including PPL’s position and plans in response to emerging developments in the market and available technologies for sustainable energy provision including introduction and uptake of renewable and off-grid technologies.
- Reform proposal on unbundling of respective segments and the ongoing pursuit to achieve sustainable development of the energy sector including expansion of access as per the Government’s goal of 70% accessibility target by 2030.
- Role of effective economic regulation and in particular tariff setting based on cost-reflective structure and promotion of acceptable service standards, whilst promoting investment attractiveness for prospective private sector participations.
- The needs and expectations of commerce and industry and the general population
4. Key outcomes
- Better understanding and appreciation of what key stakeholders are undertaking and are planning to do as part of the reform process for sustainable development of the energy sector.
- Enhanced cooperation and partnership among key stakeholders to advance necessary reform agenda including the development of renewable resources, electrification roll-out, and upgrading of network infrastructure.
- Seminar paper capturing presentations, discussions, insights, and related proceedings.
- Is NEA able to deliver the least cost and affordable energy solutions or should we reform for a better outcome?
- Policy engagement to apply applicable theoretical concepts and regional experience, where the key findings will be used to inform and stimulate debates for public policy consideration.
5. Stakeholders
The following key stakeholders are invited to attend and participate in the seminar;
- State utility – PNG Power Limited (PPL)
- SOE trustee – Kumul Consolidated Holdings (KCH)
- Independent Power Producers (IPP) – PNG Forest Ltd, Dirio Power, Niu Power, PNG Bio Fuel, Hanjung Power, Shenchen Energy, etc.
- Regulators – Independent Consumer & Competition Commission (ICCC)
- Government agencies – Department of Petroleum & Energy / National Energy Authority (NEA), Department of Treasury, Department of National Planning & Monitoring, Department of Personnel Management, Mineral Resource
Authority and Geological Survey of PNG, Department of Mining and Geohazards, - Development partners / multinational agencies– Australian High Commission (DFAT), NZ High Commission (MFAT), Chinese Embassy, Indonesian Embassy, Japanese Government (JICA), Asian Development Bank, World Bank / IFC, European Union, UNDP / UNICEF
- Others - NISIT, University of Technology, University of PNG, DHERST. INA
- Chamber of Commerce, Manufacturing Council, Farmers & Settlers
Association, RIC
Population, Movements, Energy, Food And Transnational Issues Affecting National Security
1. Background
The National Government endorsed the National Security Policy in 2013 with a view of addressing sovereignty and national security and defense. It has identified various threats from secessionist movements, illegal entry, internal migration and urban settlements, plant and animal pests and disease, and also human disease and epidemics.
The NSP emanates from Vision 2050 and cascades to implement Pillar 7 and the Policy is intended to ensure collaboration between different departments and agencies to take charge of all national security matters including implementation of the National Security Policy (2013).
Since the Policy was launched, many events and developments have occurred ranging from law and order issues, serious national threats from the National Elections, outbreaks of pests and diseases in plants and animals and humans such as the COVID-19 Pandemic and shortage of fuel, and escalating energy price.
Although the NSP highlights various threats from animal and plant diseases and pests, aggression, internal secessionist movements and riots lack of respect for law and order human diseases, and man-made and natural disasters, the Policy is more focussed on the law and order and justice department and agencies. More emphasis on the disciplinary forces and emergency services but less focus on energy and food security and biosecurity agencies and community and human services to deal with human migration and family issues.
In the energy space, the Electrification Partnership by Australia, the United States, New Zealand, and Japan supports PNG to reach 70% electrification by 2030. The country has a rich endowment in hydro, geothermal, solar, wind, and biomass which will boost the sector but, PNG faces a deteriorating electricity generation, transmission, and distribution network.
The outbreak of coronavirus in November 2019 across the globe from Asia threatened PNG through air, sea, and land travel. Different approaches were taken including the use of the Quarantine Act and Public Health Act and the invoking of the State of Emergency through the Constitution.
While the country is recovering from the Pandemic, we have the Ukrainian conflict that is also affecting food production and affecting the flow of oil and gas and food produced by sea, land, and air that is affecting PNG and others internationally.
PNG has been producing and exporting oil since 1991 and producing gas since 2014. However, PNG is not processing onshore and its people are paying overseas prices for petrol, diesel, kerosene, and gas posing risks to industries, commerce and trade, and general development.
PNG also witnessed a number of international-scale drug trafficking with planes landing and yachts involved and likely human smuggling in its territory.
Further, we have our PNGDF securing our maritime and land borders for threats of fisheries, forestry, and other resources being illegally taken out.
PNG has been under constant biosecurity and food security threats by the onslaught of various pests and diseases over the last 30 years and more so in the last 15 years after the Coffee Rust outbreak of 1986. PNG has dealt with Potato Leaf Blight, Cane Sugar Blight, Cattle Tick, Newcastle Disease (Poultry), Fruit Flies, Varroa Mite, and tropealapsis (bee disease that affects crop pollination).
We are dealing with Coffee Berry Borer Cocoa Pod Borer and the Bogia Syndrome in coconut and betel nut palms wilting and dying out. Yb5fNAQIA is battling African Swine Flu and warned on Foot to foot-to-mouth disease and Lumpy Back in livestock.
Despite Government interventions, the threat remains and resources to contain is insufficient. PNG must be prepared for any domestic man-made or natural disaster and emergencies that do not compound the situation any further and will cause a shortage or increase in the process.
The PNG National Research Institute (PNG), a leading policy and development-oriented research institute in the country, recognizes that national security goes beyond our law-and-order department and agencies and looks at foreign issues, biosecurity, and health pandemics and securing our energy and food security in the digital space whilst ensuring our national sovereignty remain intact.
Accordingly, the PNG NRI has developed a strong interest and research focus in the area and the NRI Council has re-established the separate National Security and Strategic Studies Division. This falls within the Institute's overall research theme on developing policies, improving the implementation of government policies, and improving the performance of state departments and agencies to improve the livelihoods of our people.
In this context, the a need for updated information on the implementation of the National Security Policy and discussion of other pressing issues namely population growth, strain on public resources, an outbreak of animal and plant and human pests and diseases epidemics energy, and transnational crime and border threats. Industry insights and reform ideas are equally important to inform discussion and research endeavors aimed at finding possible solutions to inherent problems and emerging challenges.
This concept note, therefore, put forward a proposition to facilitate a seminar for an update on recent past and current activities and planned reforms with a view to addressing all security issues and including other departments and agencies to address other agencies not captured in the National Security Plan and other sectoral plans.
2. Objective
In light of the research focus of the PNG NRI, and the need to encourage discussion and fruitful engagement among key stakeholders on existing programs and identified threats and essential reform agenda for desirable outcomes, the seminar is proposed.
The main objectives of the seminar are as follows;
- To bring together esteemed professionals, experts, practitioners, and leaders in national security (law and order and enforcement), energy, and food and bio-security to meet and discuss current developments, reform proposals, inherent challenges, and potential risks that must be curbed.
- To provide updates on sovereignty and law and order issues, food and energy and biosecurity issues, and reforms and partnerships targeted to address these issues
- Identify other agencies and departments that would address national security threats emanating from internal migration, urban settlements that have their own issues, shortage of food and energy
- To identify relevant agencies internationally such as the UN Drug Agency, Food and Agriculture Organization (FAO), International Migration Organization, and development partners and the important role played in providing necessary support and technical assistance;
- To provide platform for meaningful and constructive dialogue on national security (law and order, cyber, food, energy, biosecurity, human epidemics ), with regard to relevant policies, regulation and institutional arrangements.
3. Focus
Key areas for the seminar presentation and discussion to focus on are;
- Vision 2050, PNG Strategic Development Goals and National Security Policy and other policies such as National Food Security Policy, National Energy Policy, Biosecurity Policy and others
- Recent reforms and partnerships under the government's policy of increasing agriculture production, downstream processing manufacturing, and exports
- Geopolitical issues in the region and Ukraine and other conflicts that have implications for food and energy issues
- Strengthening family and community standards in addressing internal migration and urban settlements that are developing their own culture and identity
- Establishment of storage and distribution depots for food and energy in man-made and natural disasters and epidemics
- Reform proposal on recruitment training and discipline of staff and officers in the various disciplinary and enforcement agencies (RPNGC, CIS, PNGDF, NIO, Customs, NAQIA, Fire and Emergency Services, etc.)
- The needs and expectations of commerce and industry and the general population
4. Key outcome
- Better understanding and appreciation of national security issues and challenges and appropriate strategies to address
- Understanding what key stakeholders of the NSP are undertaking and are planning to do as part of the policy implementation process
- Enhanced cooperation and partnership among key stakeholders to advance necessary program and reform agenda including the development of renewable resources, food production, processing, and storage infrastructure.
- Seminar paper capturing presentations, discussions, insights, and related proceedings.
- To refine scope and focus, the implementation of the NSP incorporating other key issues and agencies required to assist in delivering outcomes
- Key findings will be used to inform and stimulate debates for public policy consideration.
Decentralisation Of Powers And Functions For 22 Economies: Are We Building Strong Economies?
1. Background
The provincial Government system was created with elected Constituency Members and Premier and a small provincial secretariat with powers to make laws and collect taxes The provincial Secretariat worked with the Provincial Administration to coordinate the delivery of services.
Under the 1995 Reforms, all staff was transferred to each province except national functions such as PNGDF, CIS, RPNGC, IRC, Customs, and specialist agencies like statutory agencies and commodity boards.
The Organic Law on Provincial and Local Level Government provides specific revenue-raising such as taxation and also negotiate for benefits sharing agreements in resource projects for each affected provincial and local governments and the people. The Provincial Governments have a say in the development and licensing of forestry through the Provincial Forestry Management Committee but not involved in licensing of fisheries, mining, oil and gas and water.
Further, provinces are required to raise own funds, provide extension, advisory and training services and to develop bottom-up planning and policies and to determine and deliver own economic programs to deal with mass of the people. However, it seems provincial and local level governments including the DDA are wholly funded or await grants from Waigani.
The provinces may have been made overly reliant on the distribution of GST taxes including development and functional grants. Provinces have powers to do business, collect own revenue, charge taxes and levies, borrow money, and do investments but these are curbed or not encouraged. Should PNG learn from the Australian Federal and State arrangements or adopt a hybrid to ensure provinces encourage and invest in certain business, industries and trade to develop own economies to contribute to GDP.
Certain function and program and policies undertaken at the national level by national departments and agencies has no connection and input from the provinces such as Agriculture, Livestock and Biosecurity, Health, Commerce and Industry. Health and Community and Family Services , Environment & Conservation, Arts, Culture and Tourism . Most policies and programs are managed from Waigani including monitoring and evaluation by the implementing departments and agencies.
The national functions such as Provincial Finance, Fire Service, Police and CIS have own programs and activities and seek funding from the provinces and districts for their operations.
The national government emphasis on decentralization and enabling service delivery but most public servants and funding are seemed to be centralized without allowing provinces to develop own competence and comparative advantage in certain industries to supply the domestic market. All provinces are encouraged to grow every commodity crop and engage in fishing and forestry and tourism attraction and none of the provinces have developed any comparative advantage in specific industries.
Provinces are handicapped when many events and development issues ranging from national elections, civil registry and national identification system, statistics and planning, law enforcement and containment of law and order issues and outbreak of animal, plants and human pests and disease, natural and man-made disasters are all managed from Waigani.
2. Objectives
Main objectives of the seminar are as follows:
- To bring together provincial governors and administrators to contribute their perception and challenges and opportunities in developing own economies;
- To bring professionals, experts, practitioners, and leaders in national, provincial, district and LLG administration to map out functional and program responsibilities and the inherent weaknesses and opportunities in current system;
- Invite national agencies responsible for planning and statistics, commerce and industry, economic agencies to plot out areas where each province should develop competencies, achieve economies of scale and develop comparative advantage to develop certain industries instead of creating similar opportunities for all provinces and no provinces achieving and economic base;
- To provide updates on legislative powers to do business, collect own revenue, charge taxes and levies, borrow money, and do investments;
- To provide platform for meaningful and constructive dialogue on service implementation by provincial governments whilst national agencies to supervise and monitor and evaluate the outcomes;
- Enable coordinating agencies such as DPM and Provincial Affairs etc. to develop specific programs to deploy public servants to all provinces and districts;
- Enable Governors to present experience and suggest way forward.
3. Stakeholders
Key stakeholders who would be invited to attend and participate in the seminar;
- Departments – Transport, Department of Petroleum & Energy/ National Energy Authority (NEA), Department of Treasury, Department of National Planning & Monitoring, Department of Personnel Management, Department of Mining and Geohazards, DHERST, PM & NEC, Defence, Provincial Affairs, Commerce & Industry, Lands and Physical Planning, Health, Labour & Employment, Community Development, Agriculture & Livestock, DCI.
- Enforcement and Law and Order Agencies – RPNGC, PNGDF,CIS, IRC, Customs, NAQIA, Immigration.
- Commodity Boards and Agencies – National Forest Service, National Fisheries Authority, , KIK, Cocoa Board, Rubber Board, Spice Board, FPDA, CIC, ICDC, NDES.
- Supporting Agencies – National Energy Authority, KCHL, Water PNG, Ports, PPL.
- Development partners / multinational agencies– Australian High Commission (DFAT), NZ High Commission (MFAT), Chinese Embassy, Indonesian Embassy, Japanese Government (JICA), Asian Development Bank, World Bank / IFC, European Union, UNDP / UNICEF.
- Others - NISIT, NRI, ANU, University of Technology, University of PNG, UoG, UNRE.
- Chamber of Commerce, Manufacturing Council, INA, Growers Association, PIA, Farmers & Settlers Association, RIC.