PNG PM responds to hefty fines owed to Indonesia

James Marape

The Office of the Papua New Guinea Prime Minister has been tasked to seek clarificatioover a hefty penalty notice of K105 million (US$5 million) from the Indonesian government.

Responding to the fine over six illegal shipments of fuel oil products that were seized in Singapore, Prime Minister James Marape said his department has been tasked to look into the issue.

“I am getting my office to have a look at this one and we will tidy up what is happening at the Conservation Department,” Marape said.

“The department is seeking further clarification and correct advice on how to respond to this.”

Last week the Ministry of Environment and Forestry of Indonesia flagged the PNG government that it would be issuing a penalty of US$5 million (K105 million) for each of the six shipments that had been seized in Singapore and Indonesia.

Indonesia’s Chief Compliance Officer Basel Protocol Department Siti Muhammad from the Ministry of Environment and Forestry in a letter, said Indonesia has been tolerant for far too long with PNG and will be issuing these penalties to the PNG government next week.

These shipments were with materials of fuel oil delivered as vessel slops, refined oil and fuel oil illegally shipped and labelled as fuel oil or refined oil to avoid the costly permit process from two large gold mines and a State utility company.