PNG Considers Equity Compos For Tuna Resource Ownersff

Equity payments as practiced in the forestry, petroleum and mining industries may be extended to tuna fisheries within the next two years.

Fisheries Minister Ben Semri said other renewable and non-renewable resources in PNG had forms of payment but there was nothing for marine resources.

“It seems only fair that arrangements are made for the resource owners to benefit,” he said, adding that fisheries generated about K200 million in revenue each year, most of it from tuna fishing.

Mr. Semri was speaking at the official handover of a fish processing and cold storage facility in Lae.

The K10 million facility was funded by the Chinese government.

Mr. Semri said the Fisheries Department would have to work with the stakeholders to come up with a policy and the necessary legislation would follow.

He said if it proceeded well, the move could be implemented within the next two years.
National Planning and Monitoring Minister Paul Tiensten, who was also present, supported the move.

He said that the State received 22.5% equity in the petroleum sector, of which 2% was paid to landowners.

“In the mining sector, the State receives 30% with 5% to the landowners while in forestry, the operators paid 30-35% equity per cubic meter to the State,” he said.

Mr. Semri said the tuna fisheries could start off with a 20% equity for the State with a portion of it going to the resource owners.

He said the people had been custodians of the sea for many generations.

“It is only fair that the Government looks at ways to compensate for resources that these people have been looking after.”

He noted that New Zealand had the Maori Treaty and Fiji also had one such treaty.

Chinese ambassador Wei Rui Xing handed over the facility to Mr. Tiensten.