December Qtr 2015, ISSUE No. 1

Standing A drive for health, wealth and growth. Changing Hela

Development Agiru’s journey paradox to First Gas District in 18 profile 24 32 Finance Agriculture 24 25

SOVEREIGN WEALTH FUND PASSED

Reflection Finance 32 16

Agriculture before oil & gas

O’Neill Hela’s ray of hope TABLE OF CONTENT FEATURE 20 Private equity fund on the way page 4

LNG highway approved page 5

Cover Story page 6-8

Agriculture before oil & gas page 9 AMBUA LODGE page 10 Governor Agiru’s FLOWERS Targeting enemies of development journey to First Gas Health service revived page 12

MSF calls for quality health care page 15

O’Neill is Hela’s ray of hope page 16

Hela development paradox page 18 Publisher: William Bando P.O. Box Tari, Hela Province Forging a new Hela page 22 Produced by: Private Public Media Ltd. P.O. Box 1761, Vision City, NCD. District Profile - Koroba Lake page [email protected] Kopiago 24-28 Editor: Frank Senge Kolma Matiabe’s Roost page 30 Graphics and layout: Franklin Kolma Our journey to First Gas page 32 For enquiries and/ or contributions, contact PPML on: P.O. Box 1761, Vision City, NCD. Drought & Frost strike Wage page 36 [email protected] on +(675) 7666 2937 page 38 Cover picture: The iconic Koroba Lake Oil search helps drought victims Kopiago District Administration office lit up at night. Pic by Hon. Philip Undialu Hela Hydro page 39 The FIRST WORD am tempted, in this first issue of Hela Dawn, to beat Imy chest and pat us all on the back. And there is much cause for celebration. 2015 marks 41 years since the late Andrew Wabiria moved for a separate Hela Province in the House of Assembly in 1974 and it is 40 years since Independence in 1975. Three years ago we realized Wabiria’s dream Hela Governor, Hon. Anderson Agiru, MP when Parliament passed the Hela and Jiwaka bills. Wabiria has sadly moved on but I know he celebrated total dedication to the task of building our province with us in the spirit. and our society up. In 1998, a year after I was first elected to office as Here I name four social behaviors that have become Governor of Southern Highlands, there were moves a menace to our communities, our new province and for a second access to the sea from Hela and Southern our country. They are Alcohol, Drugs, Gambling and Highlands to the Gulf of Papua. Today, it is a reality Guns/Tribal Fights. with only 34 kilometers remaining to complete. A For me, these time and money wasting and violent sea port in the Gulf is almost certain and next on the pastimes are the single most dangerous enemies of agenda. development and progress. They must be expunged In 2000 I fought bitterly when the National from our midst if we are ever to create anything out of Government proposed piping PNG gas to Queensland, the opportunities that near paralyze us. These behaviors . I wanted for Hela’s last mother pig, gas, to be are related and feed upon each other. killed onshore. That was realized in May 2008 with the Illiteracy and ignorance we can find cures for with signing of the PNG LNG Gas Agreement. time and education. Criminally deviant behavior we In July 2015 I stood beside Prime Minister Hon. can safely lock away in maximum security jails with Peter O’Neill to see the LNG tanker, the Spirit of Hela, good policing, a robust judiciary and a functioning sail away with the historic first shipment of LNG and Corrective Institutions Service. a week later was with the PM, Tari Pori MP James The social evils I speak off are growing on top of and Marape, and Koroba Lake Kopiago MP Philip Undialu despite education and time. They are the cancer upon when Hela sailed into the majestic Tokyo Bay to deliver our individual and corporate bodies that need urgent its cargo. It was truly a joyous moment. cauterizing or we will suffer a slow, withering, and As I key this, the first benefits of LNG is about to be painful death as a society and nation. brought on-shore. Finally, I wish to direct our attention away from the These achievements are truely remarkable and a glamor of the LNG project back to our land. good cause for celebration. Yet now is not the time to The wealth that we have on top of the land in the rest on our laurels. There is much more to be done. things we can grow are limitless, and sustainable. Every With opportunities always come challenges; with individual can engage in farming with little knowledge blessings come curses. There is always that flip side of or capital. My government is embarked on introducing the coin. As individuals and as a nation we are not very a series of agro-industrial centers which will show case good at guarding ourselves against the flipside of every our agricultural prowess and prove that the sustainable golden opportunity. billions, and therefore our future, is on our top soil. So we have a new province. How do we develop it? My government will concentrate on delivering What are the opportunities, what are the challenges markets, knowledge and opportunities to develop our and how do we tackle both? agriculture and combine that with supply of cheap How do we deter the negative impact of opening electricity and a strong road transport infrastructure up our society to the outside? How do we differentiate to help our people prosper. That is where we shall be between genuine investor and fly by night con-artist spending a lot of our revenue for gas because when the from the flood of inbound migration? How do we stem gas runs out, a strong and vibrant agricultural sector outbound migration of Hela talents, intelligentsia and will secure our future for posterity. money? I thank our brother and our Prime Minister, the Rt And what do we do with increased revenue from Hon. Peter Paire O’Neill for all his support and for his the LNG to grow the needs of today’s generation while first visit to Hela in September, 2015. With him in the keeping enough left over for future generations? cockpit, our Hela dreams and aspirations can travel in When you consider all these questions, you will comfort and luxury and land safe, sound and on time. agree with me that there is much more to be done by May the Great Spirit, Datagaliwabe bless Hela. every person, big or small, important or unimportant, man or woman in every conceivable field to give our Hon. ANDERSON PAWA AGIRU, MP

December Quarter 2015 3 Private equity fund on the way I intend to create the biggest private equity fund in PNG and the region. Anderson Agiru Governor of Hela

he Hela Provincial Government is set nothing to show for them afterwards. of others and plan for the future.” Tto create a private equity fund to park “I do not want that repeated with Governor Agiru said the plans are all its LNG revenue. revenue for the LNG project. advanced for the establishment of the Governor Anderson Agiru says the “For the provincial government I equity fund. equity fund would be similar to the intend to create the biggest private equity On current conservative estimates

Finance Sovereign Wealth Fund but would be fund in PNG and the region. At least PNG is likely to receive K90 billion privately operated. 50 per cent of revenue to the provincial over the 30 year life of the LNG project, Agiru said: “The experience so far with government we will saved for the future a third of which will go to provincial resource development in Papua New generation in this fund. There are many governments and land owners. Hela Guinea is that there are revenue flows examples like the the Norway fund and is likely to end up with a third of that to the national government, the the Albertanian Fund of Canada and there portion which amounts to approximately provincial government and are many other private equity funds K10 billion. the landowners but there is so we will learn from the mistakes There are two lots of revenues. One is direct to the landowners in royalty and equity money which is often very difficult to control. The second lot is the provincial government revenue which comes in the form of royalty as well as MOA or UBSA infrastructure projects and development levies funded directly by the national government through the development budget. The Hela government’s 2013-2014 development grants are still stuck in the alternate dispute resolution in court. Some landowners have contested the provincial government’s claim on the funds. He said revenues will be saved in the Hela equity fund will hold interest for the provincial government and the future generations in perpetuity. “After the gas is gone we must be able to provide the capital venture resources that will be able to fund the programs that we fund during the peak period of gas production so that is the whole idea,” Agiru said. “On our current economic modeling if we save 50 per cent of that we will realize what we are aiming for.”

December Quarter 2015 4 Finally, that LNG highway

The PM performing the groundbreaking ceremony of the LNG highway during his first visit to Hela in September 2015.

abinet in November 2015 maintaining the Halimbu Junction and plant and materials. Capproved a contract worth to Komo Road.” The Hela Roads Joint Venture K87,428,803.46 to be awarded Direct and indirect employment is a 50/50 joint venture between to Hela Roads Joint Venture to in relation to this project is Hides Gas Development Company upgrade and seal the “missing substantial and will benefit a lot of (HGDC) and Shamrock Civil link” road from Nogoli to Komo local contractors and individuals. Engineering. portion in Hela Province. As this is a Engineering Property payment and Announcing the decision Prime Procurement Construction relocation was to have been Minister Peter O’Neill said: “I am (EPC) contract, 50 per cent of completed between September happy to announce this contract the contract will be taken up by and December last year. as this 21 kilometer stretch of the local contracting industry Project is scheduled to highway is a very important high by way of direct employment commence in January after impact road that connects the including contactors, consultants, completion of design and would Hides Gas Conditioning Plant project management staff, local take 20 months to complete. of the PNG LNG project to the construction equipment and plant Governor Anderson Agiru Komo International Airport and and materials. thanked Prime Minister Peter the Highlands Highway. It is estimated the project will O’Neill for the Cabinet approvals “It is one of the roads that generate additional employment on high impact infrastructure the Hela people asked my of 200 personal directly and projects and urged for their Government to approve when I indirectly. immediate funding. visited recently and I am pleased Funding for the road will be Mr. Agiru said the approvals that Works & Implementation through Development Levy, for the upgrading and sealing of Minister Mr. Francis Awesa was Infrastructure Development Grant Nipa to Tari (Ambua) and Tari to quick off the mark to provide a of SHP/Hela provinces, and High Komo roads and the building for Cabinet submission complete with Impact Project funding under the a new provincial hospital in Tari legal and technical correctness PNG LNG Gas Agreement. were very important fulfillment certification as well as Central This section of the Highlands of overdue National Government Supply and Tenders Board Highway is considered as a High commitments. approval. Impact Project. The Governor said 2016 was “Hela Roads Joint Venture The project scope includes the only year when serious work has been selected from a clearing, grubbing, earth works can commence before the politics shortlist of contractors. It has a and seal pavement, concrete and tainted decisions of election year existing contract on the ground masonry structure road furniture in 2017.

December Quarter 2015 5 Cover Story Changing Hela

ELA province is “las Papua” The welcome sounds of heavy mega billion kina operation is the Hand “las hailans”. equipment and jackhammers and Komo International Airport and The title was previously held by the lighter banging of a thousand only because it needed the airport the Southern Highlands Province hammers carry through all hours for its own construction efforts. before Hela was made a province of the day. The Prime Minister, Peter O’Neill of its own three years ago. From the Wage regions to declared the airport, the biggest in Like the description suggests, Hulia Benaria basin of Komo PNG, open to commercial aviation it is at the end of the supply chain Magarima, through Tari town and on his inaugural visit to Hela on and at the end of the Highlands Pori, Tagali and Haiyapuga of Tari September 24. Highway and for nearly 40 years, it Pori District and Pureni, Koroba The National Government has been “las” in development and township, North & South Koroba has only just awoken from a 40- progress as well. and Kopiago of Koroba Lake year hibernation where resources Since it was declared a province Kopiago district roads, bridges, allocation to Hela is concerned in 2012, however, Hela has been health facilities and schools are but the important thing is that it is marching to a steady new beat of being built or getting upgraded. awake and with one eye now firmly change, driven by sheer political Businesses are slowly picking focused on Hela. will. up on the excitement with guest Aided by the National Like the dark of night being houses, trade stores, and other Government’s rural driven policies peeled back down the slopes of services. of district treasury roll-out, tuition Toma Peak by the golden rays of This change has not been fee free education subsidies, the sun each morning, the dark brought by the Liquefied free health care, and the local veil of underdevelopment is being Natural Gas project as popular level government, districts and pushed back throughout the new opinion might have it. The only provincial services improvement province. infrastructure of note left by this program funds, real, palpable,

December Quarter 2015 6 Construction of the new Hela Administration building. Police staff houses at Tari.

tangible and quantifiable change rising out of the huge Urupu recognizing the shortcomings of is springing outwards into the swamp courtesy of Hon. Marape. the districts, Governor Agiru is most rural communities. Kenmore Steel has a adamant that these setbacks and High Impact Infrastructure warehouse and factory building the debilitating mentality giving Projects (HIIP)and Infrastructure established where it is expected rise to them are a thing of the past. Development Grants (IDG) to manufacture fabricated Governor Agiru and members under the LNG project agreement steel materials needed by the Marape, Undialu and Potape are are added resources to drive construction industry. united in their resolve to drive Hela’s socio-economic agenda. The changes taking place development in the new province, Change is most obvious could be faster, some argue, and deciding that in the important in the provincial and district all agree that it is overdue by at matter of development of Hela, headquarters. least 30 years but, truth be told, national politics and parochial Komo Magarima and Koroba it is finally here and with a sweet interests must take a back seat. Lake Kopiago districts have new vengeance. Agiru, Marape and Undialu impressive district headquarter Hela has had producing oil toured Hela during Independence buildings, court houses, a reservoirs at Juha, Mananda and Day in 2014 to jointly announce district treasury building, district Gobe throughout the 1990s and projects, assuring at every stop hospitals and public servants 2000s and since June 2014 is host that development for Hela is houses complete with diesel to ’s first paramount. All the MPs are often generators to provide electricity. project. to be found supporting each other While Finance Minister and Hela Governor Anderson or attending each other’s projects Tari Pori MP has a Agiru calls his province the “geo- launching. large office complex in Tari town, economic cockpit of Papua New This neat cooperative he is planning to separate his Guinea”. arrangement was sorely put to district operations from the seat Despite that the non-existence the test in December 2015 when of provincial government in Tari of industries, commerce, trade, Member Potape purportedly by moving a few kilometers out of investment and basic services tell wrestled the seat of Governor town to Tipinipu where plans are a sad tale of neglect and abuse. away from Agiru. The National advanced for an impressive Tari Hela’s social, economic, Court has vested the powers back district Headquarters complete development and millennium in Agiru in the interim while the with court house, police station development goals indicators are substantive matter is due to come and district hospital. judged the lowest in the entire up in court in mid-February. In Tari the town roads country according to a provincial The public service machinery are being upgraded, widened profiling survey by the National is no less dedicated and and sealed, the three separate Research Institute. committed, albeit with its normal buildings to comprise the Finance Minister James shortcomings. Administrator Provincial Headquarters are Marape describes this sad state William Bando has been acting being constructed, and a Judicial of affairs as Hela’s development ever since the Province was staff village is under way . The paradox: a region contributing created, only to be confirmed Pai Police Barracks has been so much for the sustenance of a most recently. Yet he has held it all in operation for several years nation but which lacks so much together and provided leadership now and the Hawa Correctional more for its own upkeep. and guidance. Institutions Services has been With the dawn of a new Tari Hospital, which has just fenced and the facility upgraded province the development pace recently been elevated to Hela with K3 million obtained during has picked up and things are Provincial Hospital with its own the declaration of a Fighting Zone changing – for the better. board was held together by an over parts of Hela in late 2014. The change is evident at the Acting CEO in Dr Hamiya Hewali A poly-technical school is top, with the leadership. While and volunteers from the Medecins

December Quarter 2015 7 continued... Changing Hela 8 December Quarter 2015 December Quarter Development Koroba. a K9millionHydroproject in Improvement Programto fund m out of Provincial Services from KorobatoPureniand K5.5 K15 millionforaroadandbridge and K2millionoutofapossible total cost of which will be K12 m; for aroadfromPuguratoEgele, connect KorobatoLakeKopiago. highway is being constructed to Magarima toTari.Another through Hides4inKomo another accessroadfromKoroba School. to connectKorobaSecondary an access road through Pureni provincial government driving with MemberUndialuandthe Bridge overtheriverTagaliand opened upwiththeMarapeUnity members MarapeandUndialu. the provincialgovernmentand The workisjointlyfundedby through HomburubacktoTari. being sunkfromMariainKoroba Highway, asecondaccessroadis capital Tari. Komo andonwardtoprovincial LNG conditioningplantand LNG highwaybetweenNogoli Cabinet. Approvedalsoisthe for upgradingandsealingby Lake Kopiagohasbeenapproved between Mendi,Tari,Korobaand magazine. tale relatedinanotherpartofthis face of tremendous difficulties, a story ofstoicdeterminationinthe to provincialhospitalstatus is a Without Borders.Theelevation San FrontieresorDoctors The HPGhaspaidK2.5m Undialu alsoannounced Another accesshasbeen Apart fromthemainHighlands The Highlands Highway Finance MinisterJamesMarape is Komo is being constructed and Secondary. Anewhighschool at Tari SecondaryandMargarima They areKorobaSecondary, serve eachofthethreedistricts. upgraded tosecondaryschools filled. sector have been advertised and Over 380positionsinthehealth Level 5 Hela Provincial Hospital. being servedbytheTaribased Pori’s medicalneedscurrently each ofthethreedistrictwithTari and adentisthavebeenallocated as healthcenters.Twodoctors and forthepresentareserving &Waria) lack equipment and staff and Koroba,buttwo(Komo built atMargarima,Komo,Waria group. finalization bytheIsraeliElAl project documentation and power plantcurrentlyundergoing be producedbyamassivehydro in thepipelineforelectricityto is happening. town areainanticipationallthat lines arealreadycrisscrossingTari and Helapowerpoles border ofSouthernHighlands power gridhasalreadyreachthe highlands grid. Hela andevenbackdownthe to supplyelectricitythroughout use gasfromtheLNGproduction PNG PowerandOilSearchto the signingofanMOUbetween the PrimeMinisterwitnessed for TariandinSeptember2015 In 2007ageneratorwasprovided now arealityafteryearsofneglect. Three high schools have been District hospitalshavebeen In the long term, plans are Power linesfromthehighlands Electricity supplytoHelais well worththewait. satisfaction andclaimithas been will lookbackonthisperiod with been delayedbutitisherefinally. its valuable resources, might have Hela, throughitslaborforceand the contributionsmadeby conclude thattherewardforall distressing tale. received wiselyisawoefuland inability tosaveorusemonies commitments, thepeople’sown be blamedfornothonoringsome use. Whilethegovernmentcan of oil and gas extraction to wiser failure toputthewindfallbenefits claims forcompensationand of highpoweredguns,excessive the incessanttribalfights,openuse greater andspeedierdeliveryare Governor Agiruputsit. economic “cockpitofPNG”,as Grace of God, is the financial and special provincewhich,bythe by thepublicservicetogrowthis Undialu and Francis Potape and members JamesMarape,Philip Anderson Agiru,byopen dedication andeffortbyGovernor seen thepersonalcommitment, of thechangeongroundand the HighlandsHighway. because ofthebadcondition breakdowns in the supply chain such astheintermittent despite tremendoushardships effort rarelyseenelsewhereand being forcedbyacooperative School. swamp andaHelaTechnicalHigh by dredgingthehugeUrupu building apoly-technicalcollege Magarima SeconardySchool. (inset) Newteachershousesat Koroba &LakeKopiago. “missing link”roadbetween An excavatorworkingonthe In theend,childrenofHela All thatsaiditsufficesto The onlyhurdleinthewayof This writerhaswitnessedmuch All thesedevelopmentsare Report Card Agriculture

Agriculture, Livestock & before Fisheries oil & gas

UST a few weeks after the first El Al Group, Hela is embarking on who will be supplied seedlings JLNG cargo was shipped out of the development of an ambitious and in time their produce will be PNG on the Spirit of Hela tanker agro-industrial centers project bought, stored and distributed and while the country’s focus that should see one in each of the through a wider market network was still on the project and the 13 districts when the program is domestically and internationally. riches it will bring in, the entire fully rolled out. Governor Agiru said the Piwa Hela parliamentary leadership For a start, there is an agro- Agro-Industrial Center in Tari was impressing upon its people industrial center in each of the Pori is being developed at the to turn away from the glitter of three electorates - at Koroba cost of K20 million also. This will oil and gas to till the soil for long station for Koroba Lake Kopiago, be purpose built to raise dairy, term sustainable security and well at Piwa in Tari Pori and at the poultry and piggery and will house being. Hulia valley in Komo Magarima. its own abattoir. Governor Agiru said in the long The Koroba agro-industrial The Hulia agro-industrial run the riches to be found on the center, developed at the cost of center will cost K50 million and top soil was far richer, less capital K20 million, took its first batch include fish farming and cold intensive to develop, renewable of 11,000 chicken hatchings from storage as well as open field and sustainable than the instant New Zealand in 2014 and is now vegetable farming and coffee. riches derived from extracting oil producing 10,000 eggs per day. Small holder stock feed will also be and gas. Member Philip Undialu said: assembled there. Said Agiru: “LNG is done, “We have readymade markets Elsewhere in Agriculture, delivered, dusted. Now the only here in Hela. We just have to Governor Agiru has allocated K1 challenge that is left in LNG is to produce to supply to LNG project, million to Member Undialu for a develop a petrochemical industry ExxonMobil, Oil Search, Curtain cattle range in the Koroba district. that will provide secondary Bros, Ambua lodge and other Five hectares of land has been businesses throughout PNG and businesses in the province. We do acquired at Tumbutu in Koroba to add employment and so on but not need to bring up eggs from Lae and the district is in consultation what will put money in the pockets anymore.” with the Ramu Agri-Industries for of our people is agriculture. The Koroba center will produce 300 to 400 heads of breeder cattle “Agriculture and small to day old hatchings as well to sell to be transported into area. medium enterprises (SMEs) are the to the local population and buy The Member himself has most important challenges I want back eggs for sale to the wider allocated K200, 000 to provide a to tackle after LNG. Agriculture market. Ten hectares of land is car and housing for two permanent and SMEs do not make headlines, under cultivation to produce employees of the Coffee Industry I know, but neither do oxygen nor maize, tomato, capsicum, and Corporation to be based in water and they sustain our lives.” other vegetables. Training is held the province to help revive the With the assistance of the Israel at the center for local farmers dormant coffee industry.

December Quarter 2015 9 Security Targeting enemies of development ELA Governor Anderson Agiru sees tribal fights and Hguns, gambling, alcohol and drugs abuse as the greatest enemies of his people and the biggest drag on development in the new province. It has been an enduring ambition of his to rid his people of all these wasteful habits previously in the Southern Highlands Province where he was three time governor, and now in Hela. He has repeatedly said that these habits are the biggest obstacles to development in the country. He banned alcohol for his entire term in the Southern Highlands and ensured lottery and poker machines were never introduced there. He is doing the same for Hela

December Quarter 2015 10 Security forces operations in Tari town.

where a liquor ban is in place and hard earned money is poured down tribal fights. If you want to destroy shortly he plans to place a ban on all the drain and no serious gambler is each other, do so but do not expect forms of legalized gambling. ever a winner. government to come to resolve your The son of a former mercenary “Tribal fights tear the heart and conflicts. warrior Agiru has a far harder time soul of a tribal community and leaves “With the resources we have we controlling the fighting instincts of his communities and individuals devoid can move forward and establish people. In November 2014, the Hela of the will to prosper living , as it were, ourselves as a model province,” he Provincial Assembly had to approve in constant fear of reprisals. said. “Only our attitudes stand in the the declaration of a Fighting Zone “These are social diseases that way of that and I will not come down and the callout of joint security forces are eating the heart and soul out of and resolve your tribal fights when operations to quell about 10 tribal communities everywhere in PNG. I have more positive issues on my conflicts raging in different parts of They are the biggest barrier to all plate.” the province with great loss of lives the good efforts of governments, He also urged his people and and damage to property. churches, non government security forces to work together to And drugs and alcohol are habits organizations and the private sector build a peaceful and harmonious that are hard to purge completely to bring about positive change in the society. from society and smugglers have country. Agiru has declared that his gone to the extent of corrupting ‘The sooner we cauterize these government would commit resources the security forces stationed in the cancers from our national, provincial to ensure that the current security province so that security forces and community bodies the faster forces manpower in the province members are accused of escorting the country will develop and the remain constant and actually the illicit cargoes through roadblocks peace and harmony about which we increases in the coming years. with the result that there have been talk about can arrive quicker on our He said he wanted the defence bloody clashes between defence and doorsteps. force contingent on call out duty constabulary personal in the province “In Hela I will not compromise to assist with protecting important and between the constabulary on my resolve to fight these social infrastructure developments in the themselves on a number of occasions. diseases. I will not go down to an area new province to remain in place. Yet these will not deter the man that is engaged in tribal fights. I will He also called for the security in the hot seat. As he mentions in the not participate in conflict resolutions forces and the local population to First Word, drugs, alcohol and tribal or rebuild destroyed government or iron out their differences. In the past conflicts are a “menace” to society community infrastructure. If that is there has been some serious incidents and must be “expunged from our how communities want to live, then involving a shooting and the burning midst”. that is their choice. I have far better of police housing in Tari and more “Drugs and alcohol induce people and more urgent things to allocate recently killing of soldiers. into a state of dysfunctional, irrational time and resources towards.” “Let us move forward to build a morons who care for nothing and “You know my policy already,” peaceful and harmonious society nobody except their continued he told a joint police and soldiersl that is conducive to socio-economic zombie-like state. Gambling is the parade in Tari during the Callout. “I development and progress,” Agiru single biggest conduit where good will not waste time and resources on said.

December Quarter 2015 11 Report Card Health services revived Health Services

Dr Hewali addressing the Prime Minister and his entourage during the PM’s first visit to Hela.

very medical doctor in any and the safety of their patients. International Hospital offer to EPNG setting faces daunting Since his engagement in study in Bangalore, India and challenges but Hela’s Provincial November 2011, Dr Hewali another offer to be Medical Health Advisor and Acting has had to put extra-ordinary Officer in Charge at the Taurama Hela Provincial Hospital Chief security measures in place. He Military Hospital. Executive Officer Dr Hamiya has constructed a K1 million steel He had agreed to take up Hewali faces a peculiar situation pike fencing around the hospital the Acting/CEO offer at Tari on top of that. to secure the premises and protect Hospital on a whim following His might be the only patients as well as workers. an animated session with other hospital, outside of a war zone Dr Hewali came to a hospital Hela professionals who said field hospital, were the daily and and a provincial health care “Helas must stand Hela”, the new weekly list of trauma patients system that was dilapidated and province. “They all returned to far outnumber ordinary medical on its last legs. In 2011, Hela ,” is all Dr Hewali illnesses. was the forgotten district of the can say about the others in the Dr Hewali and a courageous Southern Highlands. Conflicts discussion. group of Medicens Sans Frontiers with the Nipa who are strategically He has stuck to his gun and doctors work through a steady placed on the highway between the results, four years later, are stream of badly mutilated victims Hela and the Southern Highlands startling. From one vehicle he has of tribal conflicts - dead, dying or effectively brought Hela to its secured 15 which are distributed living. knees. Business houses shut their to all his district health services. Dr Hewali says the hospital doors and services withered to a They include seven new handles an astounding 15,000 standstill. Toyota Landcruisers which trauma cases a year ranging from There were no equipment, no were delivered in a small but bruises and cuts to decapitated adequate supply of medicines, one significant ceremony in March, bodies. vehicle, a very few functioning 2015. A vehicle each was received Warriors in pursuit of their staff and absenteeism was at an by Komo, Magarima, Pori, Tari, enemies do not respect church all time high. There was critical Koroba, the Hela Provincial or medical grounds or personnel shortage of housing and no Hospital and the Hela Health so it is a constant dilemma for corporate plan. administration. the medical officers charged with This was a tough call for a There is a corporate plan caring for the wounded in Tari young man who had had to which is aligned with the Health to be ever conscious of their own turn down a Port Moresby Department’s 2011 to 2020 plan,

December Quarter 2015 12 Health services revived

the Vision 2050, and the Strategic Development Plan 2030. Health Vital Statistics Recruitment and selections ended in March for 283 Hospitals: Tari General Hospital & 3 district hospitals positions in the health sector in Health Centers: 37 the province. All positions are Aid Posts: 140 funded. Two doctors and a dental Total Number of Doctors: 3 national, 4 xpats officer each have been sent to Komo, Magarima, Koroba and Total Number of Health Workers: 283 positions filled Tari. The Hela Hospital was Vehicles: 15 declared a Level 5 provincial Biggest killers: Trauma from tribal fights, pneumonia hospital in 2014. At the vehicle presentation in March, Dr Hewali made a bold Tari received only K600,000. Provincial Hospital Board was call for Government to rethink “We (Tari Hospital) are a 110 named and declared with Oil its allocation of funds under the bed provincial referral hospital Search Manading Director Peter 2015 Budget for health services in serving a population of 385,000. Botten as its chairman. Hela Province. There are no other hospitals to Dr Hewali has an unenviable He said Hela as a new province support our work while Gerehu job. The bulk of his population are ought to get the same amount or has Port Moresby General rural based and beyond the reach more than other provinces but Hospital and many private run of vehicular transport. Each year, experience has been the opposite hospitals. “We cannot be ignored since his engagement with Tari three years running. The Hela like this. We are not nobody. Hospital in 2011, he has had to General Hospital was allocated Our province now makes a huge make about K40,000 to K50,000 K100,000 in 2013, K300,000 in contribution to the national available to the third level airline 2014 and in 2015 was allocated budget through the LNG project.” MAF to evacuate the seriously ill K600,000 while most other His call has not fallen on deaf and fly in medicine and medical provincial hospitals around the ears. In the 2016 budget Hela teams to far flung areas like Mt country received K10 million. was allocated a whopping K14 Bosavi and Upper and Lower “It is not fair,” he said. “Gerehu m. Prime Minister Peter O’Neill Wage regions. (St John’s Health Center) and promised a new provincial Although things are finally Tari Hospital were both declared hospital was in the pipeline and a beginning to look up Dr Hewali is Level 5 Hospitals in 2014. Yet new provincial hospital board. sad to see the MSF team serve out Gerehu received K9 million while By December the Hela their term come March 2016. They have been a stabilizing factor when Hela was most in need of help and Dr Hewali feels their departure personally. Prime Minister Peter O’Neill has assured Dr Hewali and the MSF team that the 200 member local support team to MSF would be merged into the health work force. Dr Hewali is also calling on local MPs to support the health sector with their District Services Improvment Program funds. To date Korobe Lake Kopiago MP Philip Undialu has responded with K100,000 for health care in his district. To that Dr Hewali has added a further K100,000 from his budget for the Koroba A lone nurse attends to a large number of patients - a daily occurance. Kopiago district.

December Quarter 2015 13 Health named Hospital board Magistrate VincentEralia. oath ofofficebeforeSenior Peter Botten(rt)takeshis Hela HospitalBoardChairman 14 December Quarter 2015 December Quarter T ground inHela. ofevidence its operations on the 1930s but there was little tangible operating province inthe since the speakers that Search Oil had been people. from stakeholders, all including the board alone to seure such services. an task nor easy would it to his fall that achieving that would not be carehealth available anywhere but ensure that Hela received best the not return empty.” empty. Well, Itell you that will this away you it donot to return expect custom that you when give abillum arrival, he said: “I know you have a presentedbag) he had been on quality services. health Botten said board the would deliver board at Hela the Hospital grounds, budget. only evergot about K1million inthe budget. Previously, hospital the had first K14million 2016 time the inthe Hospital in2014and for allocated Hospital to alevel 5Hela Provincial announced upgrading the of Tari the December. inauguration of his board at Tari in Director Peter Botten pledged at the chairman and Search Oil Managing of Hela province, hospital board to people the services medical will scontinuewill to offer quality he Hela new Provincial Hospital He was reminded by various He urged cooperation and support He promised that he would Holding aloft aTari billum (string a publicDuring launch of the The National Government Tari have and skills the both course of operations their in trainedstaff by MSF over the resources, adding that national for operations and human receives appropriate funds to alevel 5facility and now hospital upgraded has been authorities. She said Tari of Health and provincial the MSF, National the Department Understanding made between with Memorandum the of according to Herb is inaccordance Tari project closure. This date, mark31st, will 2016which MSF’s in stages, and culminate on March Health Authority place take will Authority. Health Provincial in Tari Provincial Hospital to the hand over supported the services has reached alevel where MSF can yearsseven of operations, project the inSeptemberstarted 2008;and after Angelika Herb said inTari activities without Borders from Hela Province. Médecins sans Frontières/ Doctors board is timely with departure the of senior officials. and Hela provincial government Potape, senior departmenthealth Bando, Komo Magarima MPFrancis Province Administrator William DrKase,Health Health Secretary capital Tari. inattendance Also was gatheredwho Hela in the provincial launch, witnessed by thousands, inaugural after meeting, public the MSF’s handover to Provincial the MSF’S of head Mission inPNG, The establishment of new the Botten and his board held their Mr AmoxMaxLibe–Community rep Mr YawasKomiab–Community rep Ms DorisElapeAnton–Hospital staffrep Ms JanetKoriama–Women rep Mr RodneyIngersoll–Business rep Mr GeorgeTagobe–Localbusiness rep Dr GoaTau–DeptofHealthrep Rev. OleneYawai–DeputyChairman,Churchrep Peter Botten–Chairman,MDOilSearch Board membersinclude: Hela ProvincialHospital be governedbe by ahospital board. requires Provincial all Hospitals to Health. fromofficials Department the of Pascoe Kase and ateam of senior was witnessed by Health Secretary Hospital. the as Acting of Executive Chief Officer confirmation of DrHamiya Hewali requirements.infrastructure and employment to benefits ranging from recruitment staff range awide discussed of issues, Managing Director Peter Botten organisation,’’ Herb said. humanitarianmedical emergency organisationthe is, at its core, a right moment for MSF’s exit as marks present the as the period Provincial Hospital. of Tariintegral of part services the that areand now surgical services an providing Family Support Centre to continue necessary experience the The Public Hospitals Act 1994 The inauguration of board the Among its first decision was the The board, chaired by Search Oil momentum“This and progress Health

the experience and the skills necessary to continue providing MSF calls family support center and surgical services that are now an integral part of the services at the hospital. “This momentum and progress marks the present period as the right moment for MSF’s exit as for quality the organisation is, at its core, a medical humanitarian emergency organisation.” Dr Herb said however that there would continue to be a need for expatriate surgeons and health care expatriate trained laboratory operators and urged that there revolving team of dedicated abroad if necessary. be no hangups about engaging us Ainternational health care Dr Herb told a gathering at the to continue to provide premium professionals from Medecins Sans hospital to witness the swearing medical services. Frontieres have served the Hela in of the Hela Provincial Hospital She also urged that the 100 plus people since 2008. Board that it was critical to local staff recruited and trained Their time comes sadly to an maintain services at a premium by MSF be incorporated into the end in March 2016. By then the after her team departed next local health structure. last of the team will have been March. Health Secretary Pascoe Kase recalled to continue their work in She said: “After seven years assured that the staff would be another part of the globe. of operations, the project has incorporated in the structure, As would be expected the MSF reached a level where MSF can repeating a similar assurance volunteers have grown attached hand over the supported services from Prime Minister Peter to the local community they have in Hela Provincial Hospital to the O’Neill when he visited Hela in served so faithfully over the years Provincial Health Authority. Septemer, and their local health counterparts “Tari hospital has been 2015. who they have associated with upgraded to a level 5 since their engagement begin. facility and now receives Head of Mission Angelika appropriate funds for Herb appealed to the PNG operations and human Government to continue to have resources. National staff high level surgical and other trained by the MSF health care services headed over the course of by experienced and dedicated the MSF operations professionals, including from in Tari have both

MSF Mission Head, Dr Angelika Herb appeals for health standards to be maintained at a premium.

December Quarter 2015 15 Friday-Sunday, September 25-27, 2015 Port Moresby, Lae K1. Other Centres K1.50

O’Neill is Hela’s ray ofState hope Anu wamene, “ kewane uku. auditsHamene areme ore. - Governor Anderson Agiru”

he HelaPuma’s nation had waited a long time Tfor Prime Minister Peter O’Neill to visit. The trip had been twice postponed on rumours that there might be some disturbance by disgruntled landowners but when he did finally touch on September 23, 2015, at Tari Airport the province exploded in a dazzling display of colour, chant and dance. Not a whimper of dissatisfaction by anybody was on display. Only a week after the 40th anniversary of Independence and mindful of the sensitive issues at hand, the Prime Minister did not mince K4bwords upon arrival. tax “I amBy not HELEN a man TARAWAof many words,” he “The audit is being carried out to review the told the crowd at Andaija Oval after he records of PNG Customs and IRC and recon- was inductedTHE asGovernment a Hela chieftan has with begun the an independent cile against records of Puma Energy to verify ceremonialaudit headband to verify and Puma the trademark Energy’s K4 billion im- the amount claimed as owed to the State by Huli Wig.port tax liability on crude oil import. Puma Energy,” Paul said. “Only threePNG thingsCustoms I give Chiefyou today. Commissioner Ray “There is no understanding or compromise Roads, powerPaul andtold Tari The Hospital. National Believe yesterday me that the au- with the legal requirements and processes of dit which started this month was on the 10 per Customs. And Puma Energy, like any other cent Goods and Services Tax (import GST). business in the fuel and energy industry, is PrimeDecember Minister Quarter 2015Peter O'Neill after being inducted into Hela Society The review of the GST is coordinated by the bound to adhere to the existing Customs pro- Fit for with16 a chieftan head band and the famous Huli wig on his arrival on Wednesday in Tari. Story on Page 3. ― Picture Courtesy of Koroba-Lake Treasury Department and involves Customs cesses and requirements.” Kopiago MP Philip Undialu Services, the Internal Revenue Commission a chief and Puma Energy. n Turn to Page 3

FRIDAY, SEPTEMBER 25, 2015

CULTURE PEOPLE Sir Michael RELIGION Aussie’s Somare visits Calls for ashes Sio >P7 | | >P5 NEWS PAGE 2 NEWS PAGE 8 church return unity >P3 INSIDE OUR CHILDREN TELL THEIR STORIES| P14 ROAD ACCIDENTS MEN REPORT

Kaprangi addressing the crowd as Papindo Group directors Alfred Yau (in glasses) and Marcellina Tjandra look on. YOUR COST STATE ABUSE ON Wewak’s new Supermarketn Story Page 2 WEEKENDER K220M ANNUALLY HOTLINE Part of the Hela crowd that when I tell you that we will deliver road to theGulf province would be The Prime Minister visited greeted the these projects. If you do not get completed by 2017. Koroba town the next day before Prime Minister them when I come in 2017, you have During his visit the PM promised he travelled to the Komo Airport on his visit. a right to hold me accountable.” that the Hela Provincial Hospital which he opened on the day to Without moving from the Board would be appointed and by domestic flights and departed for podium he witnessed the signing December the board headed by Oil Port Moresby from the airport. between Oil Search and PNG Search Managing Director Peter The airport, built specifically to Power to use excess gas to supply Botten had been named and held its transport in LNG construction electricity throughout Hela, SHP first meeting. The Prime Minister materials, is easily the largest in the and back down the highlands also announced plans for a new country. grid to supplement Yonki Hydro hospital for Hela Governor Anderson Agiru, who powered electricity. He allayed fears that IDG grants was away for medical treatment in Before the year was up the and other monies had gone missing. China when the PM visited said in Government had approved Mendi “All of your money is safe. It is a speech read during the visit: “My to Lake Kopiago portion of the in the Central Bank. Nobodyw ill people and I have patiently waited Highlands Highway upgrade and touch it. When Judge(Ambang) for all the MOA, UBSA, LBBSA sealing, the LNG road link between Kandakasi identifies every and ministerial commitments to be Komo and Tari and between Nogoli landowner group, then money fulfilled. We have watched as our oil and Komo. will be distributed in Tari. There’s and gas continued to flow out with The Komo to Tari and Nongoli no need for anybody to go to Port none of the commitments coming to Komo roads are UBSA Moresby. in. This is a first and I must give commitments. The Komo to Tari The Prime Minister later toured credit where it is due. road link is vital because it connects Tari town including the poly- “In the forbidding overcast cloud Tari to the Komo International tech college the Finance Minister cover over Tari Gap, I see a ray of Airport and the Nongoli to Komo and Tari Pori MP James Marape hope sign through today that Hela’s road links the outside world to the is building through draining of development aspirations has found PNG LNG Conditioning Plant. a swamp and the Hulia District a willing and able partner. This ray Mr O’Neill told the people during Hospital and market built by Komo of hope has a name and it is called his visit that the last 34 kilometer of Magarima MP, Francis Potape. Peter Paire O’Neill.”

December Quarter 2015 17 Tari-Pori Hela’s development

paradox Finance Minister and Tari Pori MP James Marape speaks on how the future looks bright inspite of the the paradoxes that have dogged it every step of the way..

Tari was a sleepy lawless station in the back yards of Southern Highlands Province. Tari was prone to tribal fights and lawlessness. Road, bridges and buildings were not worked on since colonial days. Businesses closed shop after midday. There were only 3 flights by Air Niugini into Tari, one small junior high school in Tari and many dysfunctional and closed primary and elementary schools. It took hours to walk to Tari from outlaying areas like Itipu, Hangapo, Karida, Paijaka and Pori. There was no electricity, no telecommunication, no electricity, no bank (except an agency thankfully run by a private businessman in George Tagobe). “Today change has taken place large mugshot of Finance Minister although not enough for my complete AJames Marape smiles down on satisfaction. Amongst work done visitors, locals, school children and or is still progressing are new roads FRANK SENGE KOLMA dignitaries from its commanding and bridges. You now take one hour vantage point on the trunk of a clinky to travel to Pori and Tugu. Infact, as COURTESY OF PRIVATE PUBLIC MEDIA pine overlooking Andaiya Oval in far as I can remember PMVs never Tari, the Provincial Headquarters of did turn around trips into Tugu, Hela Province. in Pori LLG, Paijaka and Karida in The smile, you will note, never Tagali LLG, Piwa-Hangapo-Itipu quite touches the eyes. There, I and Hoyebia Kikita ring roads. They suspect, lies calculation, purpose and do so now. not a little determination if you know “In Tari town, whilst more work is the man. needed, the differences now are that “Much remains to be done,” seems we have a full serviced BSP banking to punctuate every achievement story services, restoration of electricity he relates about PNG and Hela. through a generator and soon power “When I first got elected in 2007, generated by excess gas from the

December Quarter 2015 18 Main highway near Tari been upgraded.

LNG reserves, business close after Porgera Gold Mine to take up some of they will receive their just development dusk, Emtv, Digicel and FM receptions the power. entitlements as LNG hosts but cautions are clear, there are daily Air Niugini An MOU has been signed with PNG that such benefit streams must be and Airlines PNG flights, town roads Power and the LNG project to use any applied wisely and in priority areas. are being sealed, the first of new office excess gas to generate electricity for As he always says: “Good things buildings are being erected, and a new the province. comes to those who have the virtues national court is operational in Tari. Said Marape: “If I don’t deliver of patience and selflessness. And when “We have two fully operational this one key thing (electricity), I will the good things do arrive, it remains high schools which I’m pushing to be be forever in shame because I would long with those with the wisdom and converted to secondary schools. We assess that I have failed my people big foresight to invest wisely and save have more then 50 new houses build time. enough for the next generation.” for CIS (Correctional Institutions “The other election promise I made As with his smiling portrait belying Services) at Hawa and for police at Pai to my people in 2007 was to deliver his deeper held emotions, he is always Barracks. These are but a few of the upbeat, even in the face of enormous positive changes that have taken place “The province which challenges. in the last seven years. I am the first to “Hela, the dawn of your time is admit much remains to be done.” supplies almost all of now,” Marape told Hela Dawn. These are changes that he has the country’s newest and “We have an excellent national wrought out of his own interventions richest export, natural government who is working to liberate but the Minister is fully aware of the gas, remains pathetically the country for development including wider development paradox that under-developed.” Hela and SHP, we have experienced envelops his Hela. provincial leadership in Governor Marape would be happier if at least Agiru, you have experienced myself as three issues which are key on his list Hela Province and I thank God for cabinet minister. The combination is of priorities can be progressed early in impressing upon both Grand Chief Sir there for Hela to benefit from. the piece. and the Hon. Peter “I set my goals on those I mentioned Foremost is reliable electricity O’Neill, who both as Prime Ministers, above like electricity, highway sealing supply which Marape says will unlock ensured this promise was kept.” and hospital, everything else is a bonus Hela’s full potential. Because of his Secondly the Minister admits his for you. If I don’t deliver these big three, Cabinet post he is unable to discuss priority is to seal the road in Tari I would not complain if my people don’t projects in the offing but he intends town as well as Highlands Highway re-elect me in 2017, because I will asses to amend or change unfriendly from the LNG project site in Komo to myself as having failed to deliver them agreements which have locked Hela Tari Town, from Tari to Koroba and essential impetus for development”. out of benefiting from the harvesting Kopiago and in the other direction “In the meantime I ask my people to of its own resource. Already, the Hela from Tari to Mendi and Hagen. assist development with good law and Provincial Government is in advanced His final focus rests as a model order, stop tribal fights. discussions with an Israeli private inside his modern Tari Pori District “Hela can only get better from here. venture to harness the hydro power HQ office, the Tari Hospital. If he can Hela political leaders like Governor potential of the mighty Tagali River deliver on this project, he is certain Agiru and I have combined well so far. in Hela to produce power. Power he has secured a good future for his People must leave politics to election supplied will be in access of Hela’s people. period and learn to work together like needs and discussions are under Minister Marape assures Hela and we have done. way presently with PNG Power and SHP and his Pori Tari people that “I see Hela’s future with optimism.”

December Quarter 2015 19 The Kluxon blast Ambua Lodge flowers

Ambua Lodge is poetry for the soul. It gives rest and respite to the weary traveler, security and comfort to those harried and harassed, peace and tranquility to those who hunger for it, privacy for those who seek it, something new for the wandering adventurer and a good time for all. But weary traveler or serious adventurers, while here take time to note the silent beauty that surrounds this place and lends it its magic and majesty. The whole place sings with it. Even your phone’s camera can help take home some of the Good morning sir magic of this place as did Hela Dawn writer and photographer, Frank Senge Kolma’s LG Nexus. “As I was capturing each flower, an expression or name would suggest itself and I noted it down with a smile or a chuckle. Observers must have thought me crazy, smiling at plants. Anyway, those are the names used in this special pictorial of the Flowers at Ambua.”

Sun and Mooon

December Quarter 2015 20 Who is the fairest?

The Heart Gathering at Ambua

Do you not see?

Majastic

Trumpet

Wrong place to be

Dew drops

The stairs Miss radiant

Transition

Purple rain

December Quarter 2015 21 Forging a Provincial Administration newHela

Addressing health workers in March 2015 during presentation of 15 vehicles.

WILLIAM BANDO t is an honor to be first Provincial derail what we do but we will not waver in PROVINICAL ADMINISTRATOR IAdministrator of a new province. our determination to build and progress There are many challenges to do with our Hela Province. issues of development, of governance, of We have a good team in place. The COURTESY OF PRIVATE PUBLIC MEDIA our poor socio-economic indicators, and political leadership of the province, in our law and order problems to name a few our Governor Anderson Agiru, Finance but these are not insurmountable so long as Minister and Tari Pori MP, James Marape, we move together. Koroba Lake Kopiago MP, Philip Undialu There are many detractors who seek to and Komo Margarima MP, Francis Potape,

December Quarter 2015 22 new

is steadfast in its desire to build our and Margarima. The Koroba facility expensive bureaucracy. Hela province. is producing 10,000 eggs daily and Our pillar number 5 might be The Presidents of our 13 LLGs supplying companies and institutions. scoffed at in light of present capacity are cooperative and supportive. The This is policy working on the ground shortcomings but we shall progress churches are united behind us. The and is most encouraging. Seeing, after determinately and we are aided in civil service machinery is finally all, is believing. this by the recent passage into law severed from the Southern Highlands These and many more projects for the establishment of district and functional, albeit with its normal and programs demonstrate that the authorities. We will delegate as much problems. new province is progressing slowly power as possible and when capacity Law and order problems are being but steadily forward and in the right is established we will even relinquish managed. It gets better as more people direction. section 32 authority to the districts access goods and services and see the To their credit, unattached and LLGs to plan, procure and remit means to improve their own welfare. and un-appointed public servants for goods and services at that level for Education and health services are demonstrated their commitment faster implementation and reporting. filtering out to the districts and these to the province by consolidating To work our development pillars, are increasing momentum on the back their efforts to chart a way forward the Hela Provincial Government is of the National Government’s rural by producing an Integrated 5 Year establishing 14 sectors to comprise oriented tuition fee free subsidies and Development Plan 2013 - 2017. This the Provincial Government free basic health care policies. We have Plan represents a significant milestone Administration Structure. Among established three secondary schools for the Hela people and serves as an others these sectors include Law & servicing each of the three districts important roadmap for addressing Justice, LNG Review, Standards and and a new high school is just being vertical and horizontal planning, Compliance, Lands & Mines, Youth, built at Komo. Tari Hospital has been growth and development over the Women and Religion. declared a Level 5 Provincial Hospital lifetime of the plan and beyond. With this as our yardstick and district hospitals have been built Our Plan is aligned to the National and roadmap, we have a unique and established with full staffing at Vision 2050, the 30 year PNG opportunity and challenge before Margarima and Koroba. Plans for a Development Strategic Plan and the us to bilaterally and multilaterally new provincial hospital are complete Medium Term Development Plan. work with the National Government, and entering ground breaking stage. Taking the national vision and sister provincial governments, Roads, bridges and buildings plans as our guide, the Hela Provincial donor countries and agencies, non- infrastructure are going up in all Government hinges its plan for government organizations and the three districts. Major highway development on eight pillars. These corporate and individual citizens to upgrade and sealing will link Komo are: forge a new direction for Hela. We and Koroba to Tari and onward to 1. Strategic Planning; want to do this while side-stepping Margarima and further to Mendi and 2. Systems & Institutions; the pitfalls that have befallen other the rest of the highlands. 3. Human Development; administrations before us and taking PNG Power was standing power 4. Wealth Creation; advantage of opportunities that transmission lines through Hela town 5. Decentralization; present themselves. and its vicinity, a most welcome sight 6. Culture & Heritage; We are not naïve to think everything indeed. 7. Law & Order; and is going to be smooth sailing. There A crane hovers above where the 8. Lands & Urbanization. are a lot of challenges and many more future Hela provincial headquarters These pillars are cross cutting will avail themselves but onward we building will be, indicating to all that and complimentary. We have learnt shall forge and overcome them we construction is under way. from the mistakes of others and will will. Agro-industrial centers have been not allow any development sector to Rome was not built in a day and established at Koroba and Tari with develop in isolation and emerge as a neither will Hela, but build it we shall others under way in Hulia, Komo white elephant with an unwieldy and and soon.

December Quarter 2015 23 District Profile

oroba Lake Kopiago KKHL’s 100 oroba Lake Kopiago district There are no reliable statistics before. Bridges are connecting men campK at Kcovers the northern most end of provided on the resources remote communities. The Koroba Kuparo, Koroba. Hela Province and stretches over a potential of this region although township, the Koroba Secondary land area of 5,272 square kilometres its agricultural potential is very School and the Koroba District taking out half of Hela’s 10,600 much in evidence in the vast Tagari, Hospital, and the Koroba to square kilometers. Tumbudu, Lagaip and Strickland Kopiago Highway are undergoing It borders East Sepik, Enga, valleys. major upgrading. A brand new sub- Sandaun and Western provinces The district is literally the end district hospital has been completed which influences provide for no less of the Highlands Highway at Lake and is awaiting beds fitting. A new than nine dialects the district. Kopiago ambulance is on stand-by. The district has a population This places the district at the In Koroba town, the district of 69,500 with a density of just end of the supply chain so that the headquarters is undergoing a major 12.2 persons per square kilometre Koroba Kopiago customer must pay facelift. An impressive district office indicating population is scattered for all the mark-ups along the entire has just been completed and fitted sparsely across the electorate. supply chain. When the product out, awaiting opening in March It is easily the biggest district in arrives, often the price is placed 2016. In partnership with PNG Hela, both in terms of population well beyond affordability for the Power, a 650 KVA generator has size and land acreage. majority cash strapped population. been installed to provide electriity Nine languages are spoken in In reverse, any Koroba Kopiago to the town and the Koroba District the district compared to about two produce meant for the outside Hospital has been renovated. each in Komo Magarima and Tari market attracts all the added costs Five public servants housing are Pori districts. Generally, the district along the way to its final destination. being built and a State House has is split into Huli speaking people This rather gloomy picture a commanding view of the town who comprise Koroba and a part of is about to change. The wind of on the hill overlooking Koroba. Pori and Duna speaking people who change that is blowing through A Youth Friendly stadium and occupy the Lake Kopiago region. the country at gale force speed hotel complex awaits construction. Where the district to be split in the has reached Koroba Lake Kopiago Together with the rebuilt district future, and current Member Philip district and swept it up in its path. treasury building and the nearby El Undialu is an active promoter of Spurred on by the National Al Group supported Koroba Agro- this, it would be split along these Government’s various rural- industrial Centre, Koroba town is two language groupings. based policies to “reach-the-rural- bustling with activity. The district is divided into areas-at-all-costs”, the face of Member Undialu has punched South Koroba Rural LLG, the Lake development is finally showing a road through Pureni across the Kopiago Rural LLG, North Koroba creeping ever outwards from the Marape Unity bridge giving the Rural LLG and Awi Pori Rural LLG. center and has reached the “las district a second access to Tari South Koroba LLG is the most distrik” of the “Las Hailans” or “las Pori in addition to the main link populated with 20,700 people Papua” province, Hela. through the Highlands Highway. followed by Awi Pori (17,800), Roads are beginning to snake A third access road and bridge are North Koroba (16,400), and Lake their way into areas where there has nearing completion from Maria Kopiago (14,500). been no vehicular transportation to Homburu connecting the two

December Quarter 2015 24 Tari BSP Branch Manager Gabriel Ank (in green) and MP Undialu hand over trial BSP card processed at Koroba to locals.

of earthmoving and construction equipment, a 100-men camp and can now to be found in every part of the district where construction work is required. When Undialu stepped in as Member oroba Lake Kopiago following the 2012 elections, he found districts, a joint project by Members to focus on capacity building as his a district with no ability to carry on K Undialu, Finance Minister and Tari priority number one over the three from the previous administration. Pori MP James Marape and Governor years since the elections in 2012. There was no five year development Anderson Agiru. Mr Undialu decided that the best plan and no resources and assets. The Mr Undialu has plans for another way to drive development into the district treasury was burnt down along access over the mountains to the Hides remotest parts of the district, he had with files. Some K12 to K15 million Gas field to connect Koroba to Nogoli to have an entity that he could trust in road construction equipment went and the Komo highway. and which could answer directly to the missing and were never recovered. It has not been an easy task. Because District Development Authority. The Member spend two and a half of the district’s remoteness no reputable And so was born the Koroba years facing an election petition with contractor wanted to dmobilize to the Kopiago Holdings Ltd. From a small his predecessor, Mr. John Kekeno. district, of if they chose to, then they collection of earthmoving equipment Undialu won the case finally in 2014. did so at a considerable cost which of and staff, the company has grown “That was a tremendous waste of time,” course was passed on to the district rapidly to now be worth almost K30 he says. “I regret that quality time has Member Undialu learnt that fact the million. The manpower strength has been spent on the case when I should hard way when he spent almost K6 grown to include both expatriate have spent that time and resources million on contractors for nil work on and national skilled labour force to delivering to my people.” the ground. undertake medium to large scale The Member had to liaise with the This prompted Mr Undialu and projects. Hela Provincial Administration and the his District Development Authority KKH has one of the biggest fleet Department of Personnel Management for experienced and qualified public District vital profile servants to help build that capacity. “ I accept the fact that this is a new South Koroba Lake Kopiago North Koroba Awi-Pori Koroba/Lake province but there was leadership Rural LLG Rural LLG Rural LLG Rural LLG Kopiago District there and there should have been something to work on. DPM and Total Pop. 20,700 14,500 16,400 17,800 69,500 Hela Administration tried their best District Hospitals 1 but even that was not enough. Health Centers 5 3 4 2 14 “I had to spend about K6 million to build up capacity and operations Airposts 7 10 10 9 36 from ground zero. I had to spent my Secondary /High Schoools 1 1 2 own money to buy new vehicles, new Technical/Vocational schools 2 2 vehicles and build up the (district) Community/primary Schools 9 9 4 5 27 office again.” Mr Undialu sees the balance of his Roads (km) 60 213 57 330 term concentrating on his core issues Bridges 11 22 33 of capacity building, on transport Air fields/strips 3 1 2 6 infrastructure which is taking up Polices stations 1 1 1 3 the bulk of available resources and on supporting health and education Village courts 1 7 7 15 infrastructure.

December Quarter 2015 25 Changing face of Koroba Lake Kopiago District Profile

December Quarter 2015 26 Changing face of Koroba Lake Kopiago

December Quarter 2015 27 District Profile Attitude change is key

When I was honored by the people of Koroba Lake Kopiago in 2012 to represent them in Parliament, I was looking they form a cohesive forward to continuing the efforts of development flat form like never before to developing our district. launch PNG forward. Food for Thought What I little anticipated was that there This is the greatest achievement in our 40 years would be absolutely nothing to go forward as a nation. with. This is the bright side of development that I A substantial amount of assets went missing want my electorate and my people to be aware and the district office was set on fire. There was no of. Development will not happen overnight but five year development plan, no handover-takeover it is happening like never before. We are building formality. I would literally start from ground zero. roads and bridges linking our communities which Worse, I spent the next two years fighting an never had any road links before. We are building election petition in court. schools and health facilities and business and I do not mention this here not to attract agricultural opportunities. pity, or look for excuses or look to pass blame. We now have a second and third access road Development can only came about if it is through Maria and through Pureni into Tari continuous regardless of who is in power. If every Pori. We are working on building an access road new leader has to start everything all over again, through Nogoli to Komo Magarima and the repeating the cycle every time leadership changes, Kopiago Loop road will provide us a forth access we can achieve nothing. road into Tari Pori. The age of deliverance is here and we must Our district headquarters, our district hospital, grasp the opportunities facing us now because if staff housing, stadium and other developments we wait, we never will be able to move forward. are evidence of our seriousness right before your By Hon. Philip Undialu, MP We will miss the development bus that is now eyes. We will do more. on the roll throughout the nation. In agriculture, we have a producing agro- The nation is in excellent hands. For the first industrial center, the first in Hela and we will have time the provinces, the districts and even the LLGs our own cattle range. The Fugwa loop road is near are seeing real quantifiable goods and services completion and North and South Koroba and flow like never before. Lake Kopiago will be linked. This deliberate policy intervention by the I urge my people must change their mindsets National Government led by Prime Minister of old. Peter O’Neill through the Provincial Services My LLG councillors and presidents will not Improvement program, the District Services miss the development bus by political power play. Improvement program and the LLG Services My District Development Authority will not miss Improvement program are monumental shifts in the bus because it fails to draw down on available policy that will see development reach the rural funds or by failing to implement approved and areas of PNG. And it is working. funded projects. The policy takes its strategic and philosophical My pledge as Member for Koroba Lake guidance from the Constitution’s National Goals Kopiago is that I will stop at nothing to ensure and Directive Principles, the Eight Point Plan, the that all development funds and resources that are Vision 2050 and the Strategic Development Plan rightfully ours do make their way to the district. 2030. The five year medium term development I shall not have my people miss the development plans, the provincial and districts integrated plans bus just because I failed to act. and even the annual budgets today dovetail into the overarching guiding principles. Together Hon. Philip Undialu, MP

December Quarter 2015 28 Sovereign Wealth Fund law passed ...but Agiru warns of serious flaws

he PNG Parliament at its June 2015 program in that jurisdiction should consultation with the Board, issue Tsession passed the long awaited alert us all to the dangers inherent in to the Board a written investment Sovereign Wealth Fund law with an placing too much control of the SWF mandate in respect of the investments overwhelming majority. in the board and management and in of the Fund.” The law now provides for all of the granting the board and management Said Agiru: “It is rather curious that Government’s revenues from mineral carte blanche over how and where to the Minister must consult with the and hydrocarbon resources to be held invest those funds. board and not the other way around by the SWF. “The SWF bill before Parliament as would normally be expected and The explicit purpose for the use of places almost total control of the fund then issue back to the Board its own funds held in the SWF are threefold: in a six member non-elected board. recommendations as to what the • A part of the fund is to be held for “While it is important to safeguard Investment Mandate and Investment future generations; such funds from political interference, Strategies ought to be.” • Another part is to be invested in it is equally and perhaps more Another problem Governor Agiru key development infrastructure in important that the people’s wealth raised is with regards to the expressed the country; and must be protected by the laws of the desire in the law to have all investments • A third part is to be invested in country and be kept under close made in foreign assets and not within selected investments overseas. scrutiny of the people. Such authority the nation. A formula has been established as is vested in the constitution and the He said: “We must not put all our to how much to allocate to each of laws of the land and in our institutions investment in one basket and then these and on their use. such as the National Executive Council place it overseas beyond our control Hela Governor Anderson Agiru has and the Parliament. and the scrutiny and protection of our some misgivings on the law as passed. “The law as presented seems to laws.” Indeed, he wrote to Prime Minister place a large chunk of the SWF, the Agiru made the following Peter O’Neill expressing his concern investment portion, beyond the recommendations: before the passage of the bill. sanctity and protection of PNG laws 1. It must be explicit in this Agiru warned that the bill and the NEC and Parliament. law that the NEC and Parliament are contained “dangerous clauses” that “This must be corrected as a matter the ultimate authorities which must needed amending “as a matter of of urgency.” have the final sanction on all funds urgency”. Agiru said various parts of the law held under the SWF including those In the form it appeared there were such as at Section 4 (2) and Section earmarked for investment. serious dangers which needed to be 6 (3) place the control, custody and 2. Overriding guidelines for removed but which were not and this management of the fund in the Board. the Investment Mandate must be may be used to the detriment of the Section 7 (2) makes clear who has written into the law so that it is not country in future. ultimate authority when it states: manipulated at the whim of the The Hela Governor said: “The “The Minister and the National minister or the board. SWF is one of the most important Executive Council or its agents shall 3. The NEC and Parliament laws we are going to pass as the fund not give directions to the Board, the must be the final sanctioning bodies will control a fair size of the country’s fund manager, the custodian, the for investments in infrastructure in future revenues. We must be extremely Secretariat, or any third party engaged the country and a certain portion careful in where we park the fund, by the Board, in relation to the of the investment fund must be under whose control and where we operation of the Board, the investment earmarked for this. This will create choose to invest the fund to grow it. strategy and the management of the employment, grow the economy “The problems that the Prime Fund, except in accordance with this and give true meaning to the term Minister personally encountered Organic Law. “Sovereign Wealth”. with the PNGSDP in recent times Section 8 which provides for the The law was passed without the and the protracted case in Investment Mandate also provides Governor’s concerns being adequately to repatriate monies parked by the so that: “(3) The Minister shall, after addressed.

December Quarter 2015 29 Nenega Lodge - Matiabe’s roost

A grade school dropout who worked his way up from miner to lodge owner has found that wealth is not how much money one has, but how comfortable, satified and happy one is.

PRIVATE PUBLIC MEDIA LIMITED FRANK SENGE KOLMA The writer and Mr Matiabe outside Nenega Lodge.

f you find yourself in Tari and in need of accommodation, Profile Iask for Nenega Lodge. It is walking distance from the Airport and the Government administrative offices and any local should point it out to you. If they are unfamiliar with Nenega, they will most assuredly know Alex Matiabe, its owner. Nenega is where Matiabe has come to rest after half a lifetime of wandering in search of fame and fortune. It is uncertain whether he has found both fame and fortune but here finally, with his native Pajuro in his direct line of sight a few kilometers distant, the exciting activities of a new province in the making gathering pace and the contended buzz of his business and family members all around him, Matiabe is finally settled. He loves pork and vegetables and both literally grow in his backyard. Rich? For man like Matiabe, words such as rich and poor hold no place. For this man wealth is a measure of comfort, satisfaction and happiness. If he can note on life’s balance sheet a surplus of those attributes against all of life’s liabilities, he is happy and that can translate as rich. If all could hold such an attitude in life, the world would most certainly be a far happier place to live in. But surplus or deficit, a balance sheet must have a starting point somewhere and Matiabe’s started in the 1970s as a drop-dead grade 5 drop-out. Every mark on his balance sheet he has carefully marked with his own struggles, failures, and achievements. He is quick to note that fate contributed a not insubstantial share of good luck. Self made people come in all forms. Some are extremely aggressive, having learnt along the way the rules of the jungle that the weak are opt fair game for those who are stronger. Others are the other way around. They have learnt also on life’s uneven road that humility and honesty more than anything else win more friends and therefore business and contacts in the long run.

December Quarter 2015 30 “The climate and people are conducive,” Matiabe says. “I like eating pork.”

One senses that his soft spoken and was returned to office the place would humble exterior hides a far harder change again.” inner core earned from many years as When the big highlands supermarket an underground and open drill blast chain Brombley and Manton put out miner in PNG’s Porgera and Tolukuma all its properties in Tari for tender, gold mines. Matiabe bid for them all and as luck His life’s journey is torturous, guided would have it, he won the properties in places by blind luck and in places by for a paltry K75,000. good judgment. But he has made a far Things did improve following the better go of it than others and therefore 2007 national elections and Anderson is a good candidate to relate a little of Agiru did return as Governor for how he has turned things around from Southern Highlands Province. With that drop dead grade five drop out in a Hela countryman as head of the the 1970s to now being a promising province, with promise of a new entrepreneur. province in the wind and property Matiabe attended Walidega ECPNG in Tari, Matiabe was now uniquely community school in 1972 at age 10 positioned to move forward. A fair many apply a mixture of but dropped out of formal education He met with Governor Agiru in aggression and humility as the situation in 1977 and drifted off like many other Port Moresby and asked for and warrants to achieve their ends. hopefuls to the big city, Port Moresby, received support to put roofing But all self made people display in search of a job. His first job was as iron over the frame of a warehouse one common trait. They have a hands- a shop assistant in a Chinese shop. that he had won at tender. Matiabe on approach to whatever it is they It was as a shop assistant that he met rented out the warehouse to Curtain have turned into a success story –be it and married Eileen in 1989. The next Brothers. He next started a building business, leisure or pleasure. year he went to Porgera where he was and construction company which he Alex Matiabe falls into the third engaged as an underground miner. named AM Holdings. With his fellow category and yes, he is a hands-on man. While engaged there he built a house at Hela man in the driving seat, AM At Tari’s top town, Matiabe has the Paiam mining township which he Holdings was given its first contract to turned a once run down place into then rented out to a Chinese man. build 10 police houses in Koroba and a modern, if modest lodge, and is Seven years later he was engaged he completed that. working his family and himself all at Tolukuma gold mine in Central Further small contracts followed hours of the day to ensure their dream Province as an underground and open and he slowly moved from strength is realised and sustained. drill and blast miner. to strength while consolidating his It is a beautiful location with In 2005 he resigned his job as a miner position and properties in Hela to a commanding view of his native and returned to his house at Porgera prepare for the new province. Pajuro in the back where the Benaria where he went into partnership with His last contract before he moved Correctional Institutions Services is the Chinese man renting his home in to his own Nenega Lodge was the situated and the contested Mt Kare a HiLo lottery game which was gaining building of a large hardware for Atlas gold fields farther back in the distance. much popularity at the time. Steel in Tari. The steel manufacturer The lodge is only two minutes to the It was while he was in Porgera that has been invited to set up in Tari to airport and what can now pass for a difficult period descended upon supply material to the hydrocarbon Tari’s town center which commands Hela with numerous road blocks on rich province. the BSP bank, the court house, the town the highlands highway which resulted His son Alex Jr obtained a diploma market, the site for the new provincial in the closure of many businesses in attending Lae Technical school and administrative headquarters and the Tari. Tari turned into a ghost town. has helped his father in some of the impressive Tari Pori district center What was the misfortune of others construction design and concepts. In built by Finance Minister and local would turn out to be a rare golden turn his father has assisted in placing Tari Pori Member, James Marape. opportunity for others but few people him at Unitech to obtain his full Matiabe has named the lodge saw it as clearly as did Matiabe at the credentials as an architect. Nenega, which in Huli means “wantok” time. Eileen and Alex have three boys or a place of conversation. “It was a matter of time before including Jr and three girls. It is not a name that suits the man things would improve again,” Matiable With over K500,000 already invested himself. He is more a worker than a says now with a glint in his eye. in Nenega and with other properties in talker and does not have much time for “Nothing stays closed forever. I knew Hela, Alex Matiabe has set his sights small talk. that if Governor (Anderson Agiru) and future firmly in his own province.

December Quarter 2015 31 Our journey to First Gas Agiru’s Reflection

Prime Minster Peter O’Neill (center) with Lady Veronica Somare flanked by prime movers of the LNG project: (from lft) Arthur Somare, LNG boss Peter Graham, Grand Chief Sir Michael Somare , Treasurer Patrick Pruaitch and Hela Governor Anderson Agiru.

By ANDERSON PAWA AGIRU, MP When commercial quantities of both were established, the first plans for development of the t has been a long journey. resources began in the boardrooms of the companies IFor some the journey finally ended with first gas in which had discovered them, unbeknown to any us July 2014. That was a glorious interval but for me the today. journey has not yet ended. Oil was and still is in great demand, it being the The occasion of first gas, gave us pause to each number one energy driver of the world and first reflect upon and share our personal stories. shipment of the precious pitch black liquid from the Exploration for oil and gas began early last wells of Kutubu began in 1989. Soon Moran, Gobe century, long before I was born and even before and Mananda contributed their share of what the Jack Hides “discovered”the Hulia valley and world has come to know as Kutubu Sweet Crude. described that first contact in his book “The Papuan Our first gas sailed away in a ship apltly named Wonderland”. the Spirit of Hela in July 2015. World demand for Gas was discovered alongside oil in many parts clean energy has finally placed gas ahead of oil in of our land, mostly scattered along what geologists an era of global environment concerns. Gas is the have named the Toro Sandstone. energy of the future and God has blessed this nation

December Quarter 2015 32 Our journey my fair share. I too have my story. Sometime in 2002 the idea was first broached by the National Government to pipe PNG’s gas to Queensland, Australia. The idea was to pump to First Gas the gas straight out of the ground and pipe both condensate (oil) and gas to Queensland and that was the end of it. What the end user did with our resources was none with plenty of the No less significant is the fact of our concern once it left our stuff. More commercial that this deal was put together shores. Papua New Guinea was discoveries are being made. between 2008 and 2009, the once again sending one more and The moment when I stood years of the global credit crunch, perhaps its last primary resource beside Prime Minister Peter making finance so tight for major in its raw form to generate jobs O’Neill, former Prime Minister global players that the chances of and create industries in distant Grand Chief Sir Michael Somare, putting a multi-billion kina deal lands and return to PNG in value PNG LNG CEO Peter Graham together in Papua New Guinea added form at some enormous and other dignitaries to cut the was near impossible. cost to the original owner of the ceremonial cake symbolizing The feat was pulled off with resource. first gas is etched indelibly in my a government and politicians I was incensed at this. mind. and civil servants who had never The Hela refer to gas as the last That cake cutting was the before handled a project of this sow or mother pig. To slaughter popping of the champagne cork, size and indeed had never had the mother pig means the end of the victory lap, the penultimate experience in the hydrocarbon the pig line. It is a decision that a moment every team owner, industry. Both government Hela family is loathe to take. If for captain, coach, player and fan and developers had to face off a whatever reason it must be killed look forward to. people who are as fierce as any on it must be done the distribution The journey to that moment the planet; who can be obstinate of the pork must be carefully is far less glamorous, far without explanation and strike worked out to ensure the family more riddled with trials and without invitation. As first gas receives a gift in exchange that tribulations, sweat, negotiations, was shipped out on a ship that can continue the wealth line. Gas hundreds of thousands of man bore their collective name I can is our gigira laitebo, our fire in hours, billions of kina, half a proudly attest that not a single the ground, our last mother pig. dozen credit agencies, 21 banks LNG worker was hurt willfully by Hela legend has it that this fire and a technical feat unparalleled the Hela. in the ground would light up the in the history of this country that That all these have been pulled world and Hela. So pig or fire, it is will go down in the annals of LNG off is a coup of a magnitude that something of great value intrinsic projects anywhere. beggars description. to our society. The PNG LNG project is the Every corporate partner and Piping gas to Queensland largest single project Exxon Mobil every individual involved in this was giving away our last sow has ever undertaken worldwide. gigantic enterprise, from welder to be slaughtered in a foreign It has required putting together a to company chairman, from land land where we had no control. financing arrangement involving owner to the Prime Minister have The prophecy in the legend seven credit agencies from their own story to tell. could not be fulfilled. The gigira countries as diverse as Australia, As the host governor of the laitebo would light up distant China, Italy, Japan and the United project, first as Governor of the lands, not Hela. There would be States and 21 banks from across Southern Highlands Province no gift in return to continue the the globe. and now the new Hela Province, pig line. The future of the Hela The cost was put at US$15 I have watched this project from nation was being compromised billion at the start and ended up concept to completion and feel by the National Government costing nearly US$5 billion more. assured that I have contributed in a manner that bordered on

December Quarter 2015 33 project: I must help progress the project with all possible speed and I must take care to maximize benefits to my people. I call it the The journey balance of sanity. After the gas agreement was signed both the government and the joint venture partners moved quickly to set in place to First Gas the legislative framework, the financing mechanism, the

Agiru’s Reflection technical and logistic aspects and insanity. sky and the ground shook as they the benefits stream. Of course, I said NO!! publicly, stamped their appreciation. On the government side a vehemently and incessantly. The Sir Michael did return new set of players came into number of times I clashed with and he did grant Hela’s two the picture. The national gas my brother Sir Moi Avei who wishes. Without that political committee was formed with was then Petroleum and Energy decision, I believe the road to notables such as Sir Puka Temu, Minister is legend. He ridiculed commercialization of our gas Arthur Somare, Paul Tiensten, me publicly and lectured me on resource might have been rocky William Duma, Patrick Pruaitch the economic sense of it all. and perhaps never achieved. and . A support team of Today I gainsay he has no The Gas Agreement was signed technocrats led by Chief Secretary regrets for the way it has turned well after midnight on May 22, Sir Mansupe Zurenuoc and Diari out. 2008, not the least because I did Vele provided invaluable advise My tussle with Sir Moi, of not know what it contained. and support. Never has there course, did not lead directly to I dragged my feet to the very been an LNG project in PNG the LNG project. That would be end, wanting the project I had nor one of the size proposed yet vain glory as no single party can struggled to see come into fruition not a man was daunted and none claim responsibility for PNG’s on the one hand but concerned doubted. They worked odd hours first LNG project. If anything nonetheless about what was in it and clocked stellar performances. on the political front that credit for my people. That paradox has No small amount of credit is due must go to the father of the been a constant for me in this this team. nation, Grand Chief Sir Michael Thomas Somare, without whose nod this project would have been forfeit. But I like to think that my insistence and that of my people did, in a little way, give the LNG project proponents breathing space and valuable political backing to confidently make their case to the national government. Here enter former Prime Minister Grand Chief Sir Michael Somare and his special deal with the Hela Nation. On March 27, 2007, the Grand Chief, Arthur Somare and Bart Philemon visited the Hela in Tari> They already had in their possession Hela’s demands which translated: No Hela Province, No Gas; No LNG project, No Gas. And there in front of 30,000 plus members of the Hela Nation Sir Michael pledged that if he returned as the Prime Minister he would grant Hela both demands. The Hela rose and sat as one when it heard that. There had been a light drizzle that morning but nobody was paying heed to the mud. The Hela cry rant the

December Quarter 2015 34 There are many milestones in logistical and technological feat would take a volume to fully this project and many records set of designing and constructing detail and over coming issues and broken it would take a book the plant and laying out the of Hela Dawn, I shall be sharing to cover them all. I was there in pipeline on land and across the more experiences with regards New York when the financial Gulf of Papua to just outside to the LNG project and how this agreement was signed, a critical Port Moresby. As I mentioned has primed us as a people and moment in the project life. earlier each aspect of the project government to move forward. I was asked by the Central, Gulf and Western provincial governments to represent them and their people at the Umbrella Benefits Sharing Agreement negotiations . This was a mamoth task and credit must go to every person involved on all sides. If something went wrong at this juncture, we might never have got the project off the ground. No less arduous was the License Based Benefits Sharing Agreements which ministerws William Duma and Arthur Somare and a few of us burnt many mid night candles to accomplish. All of these events involved so much time and energy and resurces and many of them were happening at the same time in board rooms around the earth and at different locations in PNG, including the massive

The gigantic structures of the LNG processing plant outside Port Moresby with Spirit of Hela tanker in the back. (inset) Spirit of Hela berthed at Papa Lealea LNG site for the loading of first gas for export.

December Quarter 2015 35 Report Card Drought & frost strike Emergency Services Wage

wo local level governments in the locality since the Wage region share THela Province were devastated by the same geographical location as well frost at the same time that frost hit as the same high altitudes as at Kandep parts of Enga in Kandep and Western and Tambul. Highlands in Tambul districts. That word did get out at all was The Lower Wage and Upper Wage through the dedicated efforts of a areas of Magarima in the Komo few civil servants in the affected Magarima District were hard hit by districts working voluntarily with the frost which wiped out food gardens Provincial Disaster Coordinator, Mr and left some 50,000 at starvation Tom Hingili Edabe. point long before the slower working Edabe got his first letter out to drought removed their water sources the National Disaster Office in Port and baked whatever was left of gardens Moresby in late August. The mighty Tagali River had and bush food sources. “Frost and prolonged drought has shrivelled to a meandering This should hardly surprise put certain parts of Hela in a far worse stream by October 2015. anybody with any knowledge of the situation than any previous disasters,”

December Quarter 2015 36 Lower Wage LLG with some 22,000 (karuka nut) of the forest; affected. The report named the • Low soil fertility made it other seriously affected areas as: impossible to grow food and Drought & A part of Hulia LLG (Komo/ lack of water made irrigated Magarima); farming impossible even on Levani Valley and parts of very small vegetable plot basis North Koroba LLG (Koroba Lake for family survival; and Kopiago); • Spread of diseases was Parts of South Koroba; and imminent or happening due to frost strike Parts of Tebi, Takali, Hayapuga poor sanitation, malnutrition, Edabe reported. By then Hela was and some Urban LLGs of Tari/Pori dirty water, dust inhalation in the third month of El Nino’s Electorate. and influenza compounded by paralysing grip. Deaths were reported in all these health facilities failing to stay In the letter to Andrew Ogio, parts but none could really be verified open. Wage Deputy Director of the National as having been caused directly by The situation was further Disaster Office at Hohola Edabe starvation or malnutrition or other compounded by the fact that the wrote: ailments linked to frost or drought. new province had only just created “All the water tanks have run dry It is certain though that Health the Disaster Office and appointed in Tari Town and we are running into and education institutions were Edabe in April of that year and the third week now. Public Servants seriously affected in terms of food there was nil budget for operations. are having daily trips to Tebi, Hulia and water shortages. Many were Edabe had a staff of one – himself. and Alua rivers with truckloads of reduced to half day operations The extent of damage is yet to tuffa tanks, 44 gallon drums and causing immediate hardship for be fully assessed but the first bales various sizes of containers to fetch those seeking medical treatment and of rice and food supply went out in water to meet their daily needs. They delayed and lifetime ramifications mid-November. By then there was know that water from these sources upon the education of young people. some relief for parched throats and are unhygienic but where can they go The main causes to suffering soil as the rains had started in parts at this stage? Health and education reported were that: of the province. institutions are facing severe • All water sources have dwindled A team from World Vision disaster? Public servants, business or actually dried up; visited the province at the behest communities and the public are • Food gardens/crops had dried up of AusAID to carry out physical facing the burning sun each day and or failed to bear any food; assessment on sources of water, the dust is causing its own problems.” • Bush fires had reduced wild accessibility and alternate sources By September the hardworking life and bush berries and other as well as a team from the British Edabe had put together a natural food such as pandanus High Commission. comprehensive report of affected areas, having personally visited all parts, complete with graphic photographic evidence demonstrating of the seriousness of the situation. Provincial Administrator William Bando immediately presented the report in person to Acting Inter- Government Relations Secretary and National Disaster Committee Chairman, Dickson Guina. Guina congratulated Bando on becoming the first Administrator to be concerned sufficiently to present a El Nino driven disaster report in person. While presenting the report, Mr Bando made a public appeal to people living along the banks of major rivers which were still flowing to stop preventing others from accessing water or selling the water. He also asked that all water obtained from these sources for consumption be boiled to prevent water borne diseases. Lone Provincial Disaster Coordinator, Tom Edabe flanked by World Vision’s Worst affected areas were Upper Joshua Tesfaye (lft) and Philip Kupo in Tari. Wage LLG of Komo Magarima with some 16,000 seriously affected and

December Quarter 2015 37 Oil Search helps Oil Search’s staff handing out relief supplies to the drought affected people of Hela. El Nino victims

il Search Limited in November 2015 kicked Oof a major drought relief initiative to provide much needed food, water and medicine to villagers near the company’s project areas. at present, we simply can’t stand by and watch Supplies were sourced and distributed within this terrible situation unfold in our own backyard the company’s project areas in the Gulf, Hela, and so we’re taking immediate action to help those in Southern Highlands provinces. need and are putting substantial resources into The relief effort started in the Kutubu villages the drought relief effort,” Mr Buskens said. of Kaipu and Sisibia on November 26 with the “To overcome the logistical challenges distribution of rice bags, tinned fish and noodles involved, we’ve already mobilized a dedicated to start with. team to work with our operations teams and The Oil Search drought initiative was to have with landowner companies in the project areas to covered 94 villages, 851 wards, 9,623 wards and source and help distribute provisions each week more than 27,000 people in the three provinces. from our bases in Nogoli, Moro, Gobe and Kopi. People who received aid thanked the company “We are also working with the PNG for the much needed supplies. Government’s National Disaster Committee and According to the PNG Government, up to 2.5 with third parties to ensure the coordination and million people in PNG were affected by the El sustained supply of water and provisions into the Nino induced prolonged drought with highlands affected areas. provinces among the worst affected. “Oil Search remains committed to PNG “PNG has been hit hard by the El Nino weather and we are very keen to do what we can to help system and as a result, crops have failed or been communities ride out what unfortunately looks ravaged by pests and many waterways that villages like being an extend period of low rainfall,” Mr rely heavily on for drinking water and cooking Buskens said. have stopped flowing,” said Leon Buskens, GM Villagers in Kaipu and Sisibia, which were PNG Stakeholder Engagement. among the first to receive assistance, thanked the “This is having devastating effects and comes company for coming to their aid. They said their after parts of the country were seriously affected traditional water sources had dried up and sago by frost earlier this year. and kaukau had also been affected placing the “With so many people experiencing hard times people at starvation point.

December Quarter 2015 38 Hela Power Plant to be constructed soon

Plans are on the way to begin

construction of the revolutionary

Hela Power Plant that will power all

of Hela with excess capacity once

fully operational. Hela Hydro

NG Pawa, embattled with harness the natural might of the The Hela Hydro will cost $A510 Pfinancial and capacity Tagali river at Hewaii Falls, will million or K1.2 billion. Governor problems coupled with ongoing be able to generate 320 megawats Agiru said the government has management and staff unrest, of power when fully operation. already got expression of interest has been told to leave power Said Governor Agiru: “ Our from potential financiesrs. generation responsibilities detailed design and detailed survey Under the proposal 30 per cent to others and concentrate on has been completed. That cost us will be funded through equity and distribution and collection of K9 m. Our partners El Al Group 70 per cent by debt financing. The

Future plans tariffs. and Hydro Tasmania have come equity component would come Hela Governor Anderson up with the design and costing. from private equity funds and the Agiru says persistent problems We can generate 320 megawatts debt component will come from over the years show beyond any of power. We will do it in stages, banks, he said. doubt that the SOE does not first 160 megawatts and then “ On our economic modeling have the capitalization to trade when the demand increases we those who fund the equity itself out of its current problems will continue to add turbines. We component on behalf of the Hela because the capital expenditure is have some off-taker agreements Provincial Government would simply too much . already. Positive discussions have earn 23 per cent net return or “The government will be been held, including with Porgera higher up. For the 70 per cent foolish to continue to throw good mine which needs to extend its debt providers they would get 17 money after bad trying to assist mine life. Porgera needs cheap per cent so the economic returns this monopolistic operation again source of energy. They are one of is just equivalent to the LNG. Any and again,” Agiru said. the groups we are already holding investment bank around the globe “It is time to turn to the talks with and of course PNG will be interested where there is a principle of private public Power. net rate return projection of this partnership (PPP) that Parliament “PNG Power should not be nature. At the moment banks has passed legislation on.” involved in power generation. fund projects which have 10 per Agiru is not merely taking They should be involved in cent internal rate of return.” part in an emotive debate. He is distribution and collecting tariffs It is expected Finance James confident that he can assist the because the capital expenditure Minister Marape and Governor PNG Pawa with excess power outlay is huge and the PNG Pawa Agiru and a team will be doing a through its Ramu grid when does not have the capitalization road show in New York, London, Hela’s own Hydro power plant is to do all of that. It should leave Tel Aviv, Singapore and Port constructed and switched on. power generation to the private Moresby to promote the project Hela’s hydro power plant, to sector.” to financiers.

December Quarter 2015 39 delivering like never before to Koroba Lake Kopiago

oroba Kopiago District is on to, they do so at a considerable cost. Krecord as one of the least developed districts in PNG. It is This has prompted Hon. Philip located at the tail end of the Highlands Undialu and his District Development Highway and is lacking behind the Authority Board to focus on capacity rest of the country. The demand is building over the last 2 years. The high for rehabilitation of ailing public Koroba Kopiago Holdings Ltd is the infrastructure such as roads and startling and delightful result. Worth bridges, health, and education as well between K20 – K30 million, KKHL is as new infrastructure right across the the spear head of the development district. Because of its remoteness, drive in Koroba Lake Kopiago. no reputable contractor wants to do work in the district or if they chose

The company operates a 100 - men main camp at Kuparo and 5 project site camps at: 1. Pureni 2. Kulu/Hides 3. Koroba Station 4. Fugwa 5. Kelabo

KKH operates quarries at: 1. Hage 2. Imamu 3. Tola 4. Kagoma 5. Lapanda Pawa 6. Kulu

Plant & Equipment include: 12 Excavators 3 Graders 3 Rollers 11 Dump Trucks 15 Light Vehicles 1 Sealing Truck 5 Dozers