Water Law is "Draconian' - LOs

The Environment Act 2000 has been described as “draconian” and “a greatest misgivingin our time”by at least one water resource owner group in the country.
The Londolovit community on Lihir island, New Ireland province whose water hole supplies the operations of the gold rich Lihir mine said these laws deny them the right to be paid for the use of their water.
Instead, these laws recognise their water as “property of the Independent State of Papua New Guinea” and as such payment for the use of their water is made to the “State”rather than them as rightful traditional owners of the water.
Even so under these laws, the State is paid ata minute rate of K0.01 per cubic metre for every water extraction.
In the case of Londolovit river where Lihir Gold Limited (LGL) is extracting water under Environmental Permit WE – L3 (143), only K380,160 is paid annually to State at a permitted rate of 4,400 cubic metre per hour or 38,544 cubic metre per year.
In the absence of a formal arrangement with State, Londolovit completely misses out on any payment for water use and query where these monies have been kept by the State since.
This island community was reacting to findings in an environmental audit report on Londolovitriver by an Australian consultant commissioned by CEPA (Conservation and Environment Protection Authority)between May-August this year.
Earlier this year, CEPA among other Government departments and agencies were in receipt of a claim for K113 million by Londolovit water resources owners for water extraction “over and above” permitted rates.
Last Thursday (Sep 24) a Government delegation led by CEPA was on the island and presented the report to all stakeholders including landowners and LGL officials.
Further to the four key recommendations, the CEPA sanctioned report called for a review of the 1998 Settlement Agreement between the then Lihir Management Company (LMC) and Londolovit to invoke the clause for review to include payment for the “use of water” additional to payment for “impact” on the Londolovit river environment.
Four key recommendations include:
• LGL to improve Environmental Management and Monitoring Program (EMMP) to better assess the ecological condition of the lower Londolovit river and impact on water extraction;
• Ensure compliance with Environment Permit conditions;
• Review the low flow criteria under the Environment Permit; and
• Review the Community claim for compensation.
LGL was given December 1, 2015 as deadline by CEPA to provide detail responses to the above recommendations while landowners were given two weeks to make additional suggestions to CEPA.