PNG LNG Agreement Sets Stage For Fairer Benefits, Says Maladina

Papua New Guinea’s Petroleum Minister Jimmy Maladina has welcomed the signing of the Papua LNG Development Forum Tier 1 Agreement, saying the project’s success must be measured by improvements to people’s lives rather than gas exports and revenue alone.

The agreement marks a step towards establishing a framework for sharing the benefits of the Papua LNG Project among the National Government, provincial administrations, landowners and project partners. Maladina said communities must see real improvements in their living conditions, with opportunities for employment, business participation and better services.

 PNG LNG Agreement Sets Stage For Fairer Benefits, Says Maladina

Speaking at the signing ceremony, Maladina said landowners had legitimate expectations that the project would bring lasting development to their communities and create better prospects for their children.

He stressed that landowner organisations must operate transparently and remain accountable to the people they represent to ensure benefits reach entire communities and are protected for future generations.

“The true measure of Papua LNG will not simply be the amount of gas exported or revenue generated. Our people will judge this project by the difference it makes in their livelihoods,” he said.

Maladina said the benefit-sharing arrangements covered royalties, development levies, equity participation, infrastructure, business opportunities, employment and training.

He said revenue generated through royalties and development levies should contribute to practical improvements, including better schools, health facilities, roads, clean water supplies and other essential services.

The minister also called for greater investment in developing the skills of Papua New Guineans, particularly in areas where local workers lacked the qualifications or experience required by the industry.

He said training programmes, apprenticeships, technical education and workplace development would help more citizens secure employment and take on skilled positions as the project progressed.

Local businesses should also have opportunities to compete for procurement contracts and other commercial work, provided they met the required technical, commercial and safety standards.

Maladina encouraged partnerships that would enable Papua New Guinean workers and companies to gain knowledge, technology and management experience from project partners.

“Our objective must be that Papua LNG leaves behind not only revenue and infrastructure, but also stronger workers, professionals, entrepreneurs, and nationally competitive businesses,” he said.

He acknowledged the contributions of provincial governments, landowner representatives, project partners, the National Petroleum Authority, State agencies, forum facilitators, technical teams and advisers in reaching the agreement.