Polye disputes K20 billion asset value of State Assets

PORT MORESBY: The Opposition has disputed a K20 billion in businesses and asset valueof the state-owned entities as claimed by the chairman of the Kumul Consolidated Holdings Paul Nerau.

Opposition Leader, Don Pomb Polye has questioned how the state-owned entities well-known for operating in red, have suddenly soared up to be in the value of K20 billion under the leadership of former State Enterprise Minister Ben Micah.

Mr Polye’s comments stems from comments by chairman Nerau that under Minister Micah, the SOEs soared from just K3 billion to K20 billion in the last three years.

Mr Polye says there are obstacles to the growth of SOEsover the years and as a result most of them have not performing well.

“Constant power black-outs shows that PNG Power, one of the SOEs is not performing well and the same is true to other SOEs."

“The SOEs have been forced to declare half year profits and pay dividends to the government as government coffers were in red,” said Mr Polye."

He says if SOEs are declaring half year profits, how all SOEs could suddenly build their financial and asset base to reach the K20 billion mark.

The Opposition Leader queried how the value of SOEs will rise sharply in the last few years to be in the K20 billion mark when SOEs are struggling to survive.

He says both chairman Nerau and Mr Micah are misleading the people with the value of the SOEs which does not stand at K20 billion as claimed.

Polye said in the past government’s longest-serving minister did not announce such increase, adding how a minister, who served for only three years, announced such a ‘fantasy.’

“This is a fat lie or it is questionable. We can only believe if it was announced by an independent auditor,” he said.