Papua New Guinea is one of the most natural resource rich countries in the world. With a total of about 6 million people only and vast deposits of gold, copper, forestry, fisheries and agricultural resources, PNG's economy is likened to that of a craving animal that is incapable of feedings itself. With the current PNG-Queensland gas pipeline deal just about finalised, allow me to express some insight, or rather, foresight into the outcome of it all. It is rather sad to note that PNG's natural non-renewable resources are continually, negligently being traded out cheaply without leaving behind significant, tangible, and sustainable long-term economic benefits. One after the other, all our natural resources are being drained out and the country is still facing increasing hurdles which we have not been able to totally overcome; our social and economic problems seem to exhilarate at overwhelming rates everyday.
No Sustainable Long Term Plan
It is about time the current Mining and Petroleum minister carefully consider and carry out a cost-benefit analysis of what PNG has gained so far from trading our precious non-renewable resources. For instance, Bougainville Copper Limited (BCL) did sustain the economy of PNG for a good number of years but it has cost the nation a great many sacrifices. The current eventual down-turn of the economy is largely due to the era of the Bougainville crisis and corrupt governance by and during the time of Pais Wingti as Prime Minister. We have also lost the fight in maintaining a unified PNG. Bougainville now still faces the problem of creating a stable autonomous government.
Fly River Habitat Destroyed
Have a look at the sad outcome of Ok Tedi Mining Limited (OTML). The environmental damage of the venture is an unforgivable scar, nothing compared to the benefits we have obtained so far. A natural habitat that lay undisturbed for thousands of years has been drastically, permanently destroyed and polluted. The current problem of acid rock drainage (ARD) is a real disaster for the river ecosystem and the river banks where there is sedimentation. The majority of the land mass of Western Province is basically a lake, feeding from the main Fly River and sedimentation has spread wide and far, covering a massive land mass area. The effect of acid rock drainage will be far greater than what we are seeing today.
BHP Knew It All
It is quite obvious that BHP carefully predicted this disaster and pulled out, simply handing over a multi-million dollar project to the hands of PNG government and the people of Western Province. Yes, there was a major court case between BHP and the people of Western Province but the real reasons for BHP exiting from OTML was to avoid the long-term commitments of rectifying huge environmental mistakes and the enormous compensation monies that it would have paid if it still operated OTML under its umbrella today. The findings of the ARD where never made public and these were BHP's highly classified information. Even independent findings were unable to decipher the ARD factor. If they did, BHP must have done its homework and did a good job of silencing them. After making millions and more than enough from OTML, BHP simply exited. It is quite questionable why BHP could ever abandon a gigantic money spinning machine; such a question was never raised during the proceedings of the handover.
What Has OTML Done?
OTML now has affected the people of Western Province in a great way. The lifestyles of the people along the river have been greatly changed from a highly self-sufficient one to that very dependant on handouts from OTML. The question remains has to how the government or OTML are going to address the long-term rehabilitation of the people back to their old self-sufficient lifestyle. Or if there is a modern sustainable form of lifestyle in place, such is not evident. When OTML shuts down in 2010, and with the river system being damaged which forms the basis of their existence, the people of Western Province stand to face a major challenge for survival. OTML has put in place funds for future generations and to carry out drenching activities to improve the river system but such will not effectively rehabilitate the people after mine closure. Decades of dependency on the mine have done them enough damage than good and such has not prepared for the life after the mine.
Nothing Sustainable So Far
Have a look at the PNG Sustainable Development Program (PNGSDP) Limited.
A number of projects have been implemented under this program in the Western Province but they have been highly criticized for their lack of compatibility and usefulness. It is about time OTML and the government look very closely at the economical, social and cultural effects of the people of Western Province and carry out extensive research to come up with a viable way of supporting the people to live a self-sustainable life. A number of incentives by OTML to assisting in vegetable farming and domestication of animals in the province have proven to be a little more successful but such is not their lifestyle. The effects of handouts by the mine in terms of cash and goods such as boats, motors, petrol and other necessities have effectively done a good job in tarnishing the fact that the life after the mine is going to be totally different. There are no sustainable commercial activities being encouraged today; the few that are being carried out such as rubber, timber and fish farming are heavily funded by the mine. These projects have not yet proven to be self-sustainable and they are only at their experimental stages.