Transparency International Warns of Lack of Due Diligence in Proposed Forestry Development

A planned forestry development in Western Province, Papua New Guinea, has raised concerns among Transparency International (TI) PNG about the lack of due diligence by the government. The large-scale scheme, estimated to cost 4.8 billion kina, involves building 600 kilometres of roads and taking a small amount of forestry along the routes. However, taxpayers will not pay a single kina for the project.

Background on the Project

The Australian principals behind the project have links to an earlier discredited scheme planned for the same area in Western Province. Despite this, Prime Minister James Marape endorsed the project, calling it an “integrated agro-forestry project”. RNZ Pacific asked TI PNG spokesperson Peter Aitsi for his group’s opinion on the agreement.

Concerns Raised by Transparency International

When we had a look at this particular venture, it raised some red flags with us, primarily around the viability of this project, but also the lack of transparency, in terms of how the governor of Western Province is involved, said Peter Aitsi. Our political leaders have given their support to this project without any real due diligence or proper consideration around the environmental impact, societal impact, and monetary value to PNG.

Governance Concerns

Unfortunately so, replied Don Wiseman. That again speaks to the broader concern that TI has about the deteriorating governance environment within our country, and the conduct and behaviour of some of our leaders is eroding the public trust in its government and then the public service and public systems.

Australian Company’s Involvement

We’ve got this Australian company, which did get called an Italian company, that’s behind this, and has links to a somewhat discredited company from sometime earlier that seemed to have a very similar idea, said Don Wiseman. What do you think should have happened from a governance point of view with this scheme? What should the government have done first?

Need for Proper Due Diligence

I think it’s a case here that our elected leaders, our political leaders, should have done proper due diligence on this group, and they would have been able to identify the risks associated with this project, replied Peter Aitsi. They should have also considered the environmental impact and the benefits for PNG citizens.

State Agencies Under Threat

There is no independence within these organisations, and as a result, we open ourselves up to these types of proposals that come through, without proper consideration, said Don Wiseman. This undermines the work of state agencies like the Electoral Commission, ICAC, and Ombudsman Commission, which are responsible for enforcing laws and ensuring accountability.

Re-educating the Public

Yes, the problem is changing that whole mindset, isn’t it? It’s going to take years and years and years to re-educate people about ethics and morals, said Don Wiseman. From a Transparency International’s point of view, our work is really to try and support and rebuild these government and state institutions that are there to serve the purposes of our communities.

Focusing on Civic Education

So that’s really where the focus is, replied Peter Aitsi. We’re trying to get an understanding of the role of citizens within our society through civic education. Our work in schools introduces young people to these concepts and helps them understand the importance of good governance.

Making Progress?

It’s frustrating and it’s hard, but when you go to the schools and see our primary school, secondary school, and university students engage with our message, it seems to suggest that they have a desire for change, and they have a belief in our country, said Peter Aitsi. That keeps us going.

Conclusion

The proposed forestry development in Western Province raises concerns about the lack of due diligence by the government and the potential risks associated with the project. Transparency International PNG is calling on the government to take a closer look at this proposal and ensure that it meets the necessary standards for environmental impact, societal benefits, and transparency.