The leaders of the Parliamentary Opposition yesterday unveiled their new alternative Government plan designed to restore the dignity and confidence of the people and the private sector in Port Moresby yesterday.
During a media conference in Port Moresby yesterday, they made a resolute and impactful announcement of their Strategic Policy Action Plan, detailing what the Alternate Government will deliver to Papua New Guinea as a truly effective government.
The Leaders told the media that plan was meticulously developed over the last 6 months, and after rigorous and careful reviews, they are firmly convinced that the plan presents the precise policy solutions needed to cure the economic illness that has gripped our country.
Opposition Leaders said, “plan is crafted to completely overhaul our policy, legislative, and institutional structures.”
They added, Strategic Policy Action Plan is the only viable path forward to set our nation on a new trajectory of development and no longer afford to repeat the same mistakes and expect different outcomes.
“We need to conduct a genuine and thorough evaluation of all our policies, laws, and institutions and make the tough decisions necessary to place our country on a new path of development is the commitment the Alternate Government is prepared to make,” Leaders said.
The Leaders in a statement jointly said: “We have undertaken a detailed review of all current policies, legislative, and institutional structures, as well as a comprehensive diagnostic analysis of the prevailing state of affairs, the Alternate Government has done exactly that.”
The plan we launch today is the result of this exhaustive review which outlines what our Alternate Government will implement as an effective government, The Alternative Leaders said.
Therefore, this is not a mere declaration but a solemn commitment, and we are fully prepared to see it through.
However, under our government, this will not be tolerated, we must stop deceiving ourselves as require a complete and uncompromising reset.
They added, a nation nearing our 50th anniversary, we have matured, and the time has come to stand strong and do what is right for our country.
KEY POLICIES:
Restoring Fiscal Discipline
The current Government has utterly failed in fiscal discipline. This is evident in the unmanageable budget deficits, reckless spending on projects with zero economic returns, inflated contracts, and the continued unlawful transfer of funds without regard for budgetary appropriation and lawful processes.
The Alternate Government will immediately restore fiscal discipline through the following decisive policy actions:
a) Cut spending to reduce the budget deficit.
b) Eradicate waste and prevent cost overruns.
c) Stop unlawful transfers and abuse of appropriations.
d) Review all contracts and office leases to curb inflated processes.
e) Halt projects that offer no economic returns or socio-economic justification; and
f) Eliminate functional duplications and overlaps in the public service.
Reducing the Alarming Public Debt Situation
The total public debt has ballooned to an estimated K100 billion from K29 billion in 2019.
This includes contingencies, arrears, SOE debts, and State Guarantees. The Marape Government has recklessly borrowed close to K71 billion through domestic and external sources in just 3.5 years, amounting to a staggering K20.3 billion per year!
This was done by deliberately amending the Fiscal Responsibility Act, raising the debt-toGDP limit from 35% to 60%. The Government deceived the people, claiming this amendment was necessary to repair the budget.
But let us be clear: the Government engaged in a massive borrowing spree, followed by a reckless spending spree, without any consideration for the devastating consequences on our economy and our people. Now, the debt-to-GDP stands at a staggering 58%.
The reality is that PNG now faces a grave debt crisis. If we do not urgently curb this out-ofcontrol borrowing, PNG is at serious risk of defaulting on its debt repayments, which would be an economic catastrophe for our country. We need only look at other countries for examples of the devastation this can cause.
We should be more than concerned—we should be alarmed.
In real terms, there has been no economic growth. The average real GDP growth over the last 4 years is a dismal 0.5%. No economic growth means no increase in tax revenues. So, how is this massive debt going to be repaid?
Common sense dictates that a K71 billion loan should have resulted in substantial growth, including job and income creation. Yet, this has not happened. There is no growth at all.
So, the pressing question is, where did James Marape and his Government squander these billions of kina? Where have they invested these funds?
Our people deserve to know how the K71 billion was spent. The Alternate Government is committed to uncovering the truth.
This is why we will take drastic policy actions from our first day in office, including:
a) Reducing our debt-to-GDP ratio to 35% by 2029 by amending the Fiscal Responsibility
Act.
b) Halting the reckless printing of money (quantitative easing).
c) Banning all further borrowings by SOEs.
d) Ceasing off-budget borrowings.
e) Ending State guarantees to SOEs and contractors.
f) Lowering the Kina Facility Rate (KFR); and
g) Slashing government spending and the national deficit.
Addressing the Foreign Currency Shortage
The foreign currency shortage is severely crippling our country. As a small, import dependent economy, we rely heavily on imports for business, fuel, construction materials, pharmaceuticals, school supplies, household goods, and food. This shortage is fueling inflation, and the cost of nearly everything has surged by 30% to 100%.
The foreign currency shortage is a direct result of the Marape Government’s failure to attract Foreign Direct Investment, the needless and prolonged closure of the Porgera Gold Mine, the non-drawdown of foreign aid, the continued decline in exports due to the lack of effective policy interventions, indecisiveness regarding the Papua LNG, Wafi-Golpu Gold Mine, and Pasca Gas projects, and a lack of control over the influx of non-essential, unregulated, and cheap imports.
The Alternate Government has recognized this critical problem and will immediately implement the following policy measures:
a) Mobilize foreign earnings from our key exporters and State-Owned Enterprises (SOEs).
b) Permit foreign currency accounts to be operated by key exporters and SOEs.
c) Restructure import content to prioritize essentials over non-essentials.
d) Overhaul and reform foreign exchange regulation.
e) Review and strengthen the current foreign exchange regime and policy.
f) Develop a robust Foreign Exchange Risk Management Strategy.
g) Ensure the delivery of critical economic projects, including Papua LNG, Wafi-Golpu
Gold, P’nyang LNG, and Pasca Oil, within 12 months; and
h) Attract Foreign Direct Investment (FDI) through targeted tax incentives and the reduction of unnecessary regulation and red tape.
Reducing the Cost of Living – Providing Relief to Our People
The simple truth is that the current inflation rate and the resulting cost-of-living pressures can be directly linked to the Marape Government’s reckless borrowing. This includes borrowing from the domestic capital market through the issuance of Government inscribed bonds, the issuance of Treasury Bills, and the ongoing foreign currency shortages. Consequently, prices of goods have skyrocketed by an unprecedented 30% to 100%. Our people are struggling to survive and put food on the table every single day.
Many businesses, including some of our foundational enterprises, have either scaled down or closed because they can no longer withstand the foreign exchange shortages, the decline in the value of the kina against our major trading partners, and the crippling high-interest rates (high cost of borrowing and loan service).
This is the direct result of failed economic policies, gross mismanagement of the economy, a lack of leadership, and the poor policy direction of the Marape Government.
The Alternate Government will swiftly implement short- to medium-term policies aimed at easing the suffering of our people and businesses. These policies include:
a) Reducing domestic borrowings.
b) Ending the reckless printing of money (quantitative easing).
c) Reducing GST, corporate, and personal taxes.
d) Re-establishing the Consumer Protection Commission (price controller).
e) Reducing interest rates (KFR).
f) Re-introducing the free education policy from primary to secondary school.
g) Providing debt relief for students; and
h) Ensuring free basic medicine at all hospitals.
Stimulating Economic Growth, Job, and Income Creation
The Alternate Government understands that without economic growth, there will be no jobs, no income for SMEs, no foreign currencies, no tax revenues, high costs of doing business, and a continued decline in the quality of life.
That is exactly what we are witnessing today.
The Alternate Government’s immediate priority is to implement policies that will ignite economic growth by creating a conducive environment for private sector expansion. Key policy measures include:
a) Introducing fiscal incentives for FDI in the renewable sector and downstream processing industries.
b) Eliminating unnecessary red tape and regulations.
c) Realigning the development budget to fund key strategic and economic enablers.
d) Redirecting foreign aid to fund nation-building infrastructure.
e) Reviewing the “Reserved Business list”.
f) Establishing growth centers or smart cities under the SEZ Act.
g) Adopting a comprehensive National Content Policy.
h) Establishing market and transport facilities for SMEs and rural growers, including purchasing barges for maritime provinces.
i) Reviewing the reserved list of occupations for indigenous citizens.
j) Investing in labor-intensive transport infrastructure.
k) Establishing an Affordable Housing Development Program;
l) Reducing regulatory barriers to employment and skills training;
m) Re-establishing the Price Stabilization Fund;
n) Establishing a National Youth Scheme; and
o) Creating a National Land Asset Inventory by Law to secure customary and undocumented land through survey and title registration.
Revitalizing Agriculture – A Cornerstone for National Prosperity
Agriculture is one of the most crucial sectors for our country and presents one of our greatest opportunities for growth. The Alternate Government recognizes that revitalizing agriculture is essential for national development. Our approach will focus on:
a) Significant investment in agricultural infrastructure and technology to enhance productivity.
b) Comprehensive training programs to equip farmers with modern farming techniques.
c) Job creation through the development of agricultural cooperatives and enterprises.
d) Improving road networks and transportation systems to ensure better access to markets.
e) Expanding export opportunities for agricultural products through targeted policies and international trade agreements; and
f) Promoting sustainable farming practices to ensure long-term viability and environmental protection.
7. Enhancing Health Care – More Doctors, Nurses, and Global Standards
The health of our nation is paramount, and the Alternate Government is committed to elevating our healthcare system to global standards. We will focus on:
a) Recruiting and training more doctors and nurses to meet the growing demands of our population.
b) Expanding education placements for medical professionals, ensuring they receive worldclass training.
c) Upgrading healthcare facilities with state-of-the-art equipment and infrastructure.
d) Improving working conditions for healthcare workers to retain talent within the country.
e) Implementing long-term strategies to ensure continuous professional development and skill enhancement for medical staff; and
f) Collaborating with international health organizations to bring best practices and innovative solutions to our healthcare system.
Strengthening Law, Order, and Respect for Law
Our current Law and Order crisis, coupled with a blatant lack of respect for the law, is emerging as a severe threat to the economic security, freedom, and sovereignty of our country. Our country is no longer a safe place for families, particularly for our mothers and sisters. These problems have also deterred critical foreign and local investments, contributing to our economic decline and the escalating cost of living.
The Alternate Government is fully aware of this issue and will take immediate action to restore respect for the law and curb the spiraling law and order crisis. This will include:
a) Guaranteed funding for Law Enforcement Agencies;
b) A One Strike Policy with severe penalties, including dismissal;
c) A Rotational Policy (4 years);
d) Community Policing, Neighborhood, and Foot Patrols;
e) The Establishment of an Independent Disciplinary and Promotion Board for all Law Enforcement Agencies, including the Judiciary and Ombudsman Commission; f) Direct recruitment from schools, colleges, and universities;
g) Mandatory tertiary qualifications for Prosecutors, Criminal Investigators, and Social Workers;
h) 12 Months of compulsory training, including physical fitness assessments;
i) Mandatory surrender of all illegal firearms;
j) Heavier penalties for serious crime;
k) Enactment of a Domestic Terrorism Act to curb tribal fights, illicit drug trafficking, and the illegal gun trade;
l) The formulation of a Compensation Act to ban all forms of compensation;
m) The introduction of compulsory Bible Studies from primary to secondary school;
n) The compulsory study of the National Constitution in the school system;
o) Compulsory National Identification Card for every man, woman, and child;
p) Strengthened Migration Laws;
q) The Modernization of Police Stations to bring our law enforcement infrastructure up to global standards;
r) The recruitment and training of additional police officers to ensure sufficient coverage and effective law enforcement across the country; and
s) The introduction of a National Youth Cadet Scheme.
Removing Impediments (Red Tape)
The Alternate Government recognizes that bureaucratic red tape and stringent regulations are major obstacles for both foreign businesses and local SMEs. This red tape and these cumbersome regulations will be removed and streamlined to create a user-friendly environment conducive to private sector growth. The policy actions the Alternate Government will undertake include:
a) Establishing a One-Stop-Shop for Visa, Work Permit, and Business registration.
b) Creating a single payment system and portal.
c) Enacting the Foreign Investment Review Board Act.
d) Introducing e-government or digital government for the entire public service system.
e) Reviewing all regulatory processes.
f) Streamlining procurement processes, ensuring greater accountability and transparency.
g) Streamlining the Physical Planning Approval process.
h) Overhauling the Building Board Approval processes.
i) Liberalizing Banking Services to relax AML and CFT guidelines.
j) Establishing a Land Unit Trust for underdeveloped Lands (UDLs); and
k) Streamlining the IPA registration processes.
Removing Inefficiencies in the State-Owned Enterprises (SOEs)
The Alternate Government understands that the inefficiency of our SOEs, coupled with their dismal financial performances, continues to hinder private sector growth and the delivery of basic services to our people. Additionally, SOEs have placed a tremendous financial strain on the National Budget, with continual demands for “bailouts.”
This cannot be allowed to continue. Many SOEs are technically insolvent and a drain on our nation. The Alternate Government will implement strong, affirmative policies aimed at improving SOE financial performance and accountability, reducing the cost of doing business. These policy measures include:
a) The partial privatization of SOEs such as PNG Power, Water PNG, Telikom, Air Niugini, and the National Development Bank (51/49 shareholding) within a 2-year timeframe.
b) Strengthening Accountability and Governance structures for KPHL, KMHL, MVIL,
MRDC, Ok Tedi Mine, and others.
c) Abolishing KCHL and replacing it with a Trustee.
d) Outsourcing the Management of key assets such as Seaports and Airports; and
e) Establishing a State Dividend Policy and Act of Parliament.
Strengthening Accountability and Efficiency in the Public Service
The Public Service is a critical institution of the Government, tasked with implementing Government policies, managing the national budget, and delivering essential services to the people. It is also responsible for facilitating private sector growth and maintaining law and order.
In recent years, the Public Service has expanded rapidly without clear policy direction. As a result, public sector productivity has plummeted, becoming a major obstacle to growth and service delivery. This has been further exacerbated by the politicization and interference in the appointment of political cronies to key public service positions.
The Alternate Government recognizes the urgent need to improve public service efficiency. This includes reducing its size by eliminating duplication and overlaps and outsourcing certain government functions and services to the private sector under a Public-Private Sector Partnership policy. A series of innovative policy measures will be introduced to ensure efficiency, accountability, and professionalism in the public service.
These measures include:
a) Mandatory Annual Financial Performance Reports from all Section 32 Officers, Heads of
Statutory Agencies, and CEOs of SOEs.
b) Severe penalties for non-compliance, abuse, or mismanagement, including criminal prosecution, dismissal, and a lifetime ban from holding public office; c) A Single Integrated payment system.
d) Eliminating duplication, overlaps, and merging functions.
e) Streamlining procurement processes and enforcing the PFMA and National Procurement
Act.
f) Utilizing e-government or digital technology.
g) Outsourcing certain functions, such as payroll, financial audits, HR, and office leases, to competent private sector firms.
h) Enforcing Employment Contracts with clearly defined KPIs and provisions for automatic dismissal for non-performance.
i) Implementing a Compulsory Public Service Probationary period of 2 years.
j) Establishing Independent recruitment and appointment processes for Heads of Departments and Statutory Agencies.
k) Reviewing the salaries of key frontline workers, inclusive of risk allowances.
l) Designating PILAG as a special institution for upskilling and training new entries; and
m) Relocating the Prime Minister’s Office back to Manasupe House.
Strengthening and Empowering Provincial and Local Level Government (PLLG) and Accountability
The Alternate Government fully acknowledges the critical role and responsibilities of the
PLLG as envisaged under the Organic Law on Provincial and Local Level Government. The Alternate Government also recognizes that PLLGs have been grossly under-resourced and have not been empowered to manage their own affairs since their establishment. It is time that PLLGs are empowered to effectively manage their own affairs through the decentralization of functions and the provision of necessary financial resources.
The Alternate Government will immediately undertake a number of policy actions, including:
a) Annual block budgets for PLLG (inclusive of national functions and PIP);
b) Restoring NCDC’s Financial Powers;
c) Allowing Provincial Executive Councils to appoint Provincial Administrators;
d) Transferring treasury and finance functions to PLLGs;
e) Appointing DDA CEOs and Finance Officers by DDA Boards;
f) Abolishing Special Purposes Authorities (SPA), with their functions transferred to LLGs;
g) Removing Presidents from DDA Boards;
h) Abolishing Provincial Hospital Authorities and transferring powers to Provincial
Administrations;
i) Transferring PTB to PLLG and DDA;
j) Transferring responsibility for Provincial Radio Stations, Lands, Physical Planning,
Housing, Village Courts, and Land Mediation to PLLGs;
k) Delegating appointment and termination decision-making to PLLGs; and
l) Redefining the roles and responsibilities of various levels of government.
Reforming Electoral and Political Systems
The Alternate Government recognizes that our political and electoral systems are in dire need of major reform, given the continued challenges and weaknesses. The people’s demand for a new electoral voting system can no longer be ignored, and it is incumbent upon the Government to install a new voting system before the 2027 National Election.
The Alternate Government will introduce a series of bold policy measures aimed at reforming the electoral and political systems to restore confidence in our nation’s governance. These measures include:
a) Implementing a Biometric Voting System;
b) Appointing three Electoral Commissioners, inclusive of the Chief Electoral Commissioner;
c) Registering all eligible voters (common roll) 12 months before the General Election;
d) Limiting the discretionary powers of the Commissioners;
e) Criminalising any tampering and abuse by Electoral Officers;
f) Introducing a Mandatory Vote of No Confidence after 2.5 years;
g) Allowing the Speaker to appoint Parliamentary Committees;
h) Mandating the resignation of Members who leave Political Parties after the General
Election;
i) Ensuring that the Chairmen of Permanent Parliamentary Committees are remunerated the same as Vice Ministers;
j) Allocating an additional 5 staff, including two technical advisors, to the Office of Open
Members;
k) Determining the political future of Bougainville in line with Constitutional requirements within 12 months; and
l) Creating an Upper House (Senate) to enhance parliamentary checks and balances.
Institutional and Structural Reforms
The Alternate Government recognizes the deep structural weaknesses in many of our state institutions. These weaknesses have directly contributed to the sharp decline in service delivery, efficiency, and productivity. These institutions have become obstacles to economic growth and development. Furthermore, our people and the private sector have lost confidence in these State institutions.
The Alternate Government will undertake comprehensive policy and legislative actions to strengthen these state institutions. Key actions include:
a) Restoring the Independence of the Central Bank.
b) Restructuring the National Insurance Commission and enhancing accountability and governance structures.
c) Reviewing the ICCC to improve accountability.
d) Redefining the role of the National Energy Authority.
e) Restructuring the PNG Stock Exchange.
f) Restructuring Motor Vehicle Insurance Limited (MVIL).
g) Strengthening the accountability and governance of the National Development Bank.
h) Realigning the National Securities Commission.
i) Redefining and strengthening the role of the Ombudsman Commission.
j) Restructuring the National Institute of Standards and Information Technology, including setting standards for all sectors; and
k) Establishing National Marketing Agencies to promote international market access for SMEs.
The policy measures we have outlined are part of our Major Policy Action Plan. The full details of the Plan will be announced when we assume Office.
The new Government will, from Day One, take decisive action to implement the Policy Action Plan. We are confident of the success of this Policy Plan because we are fully committed, knowing that our country is suffering and urgently needs liberation from the gross mismanagement of the economy by Prime Minister James Marape and his Government.
We simply cannot afford to ignore the far-reaching socio-economic consequences we face today. We must rescue our country now and rebuild it for the sake of our people and our future generations.
We assure you, our people, that we are ready to govern.
We will not waste a moment because time is not on our side.
Already, the country is crumbling. Our investors and partners have lost trust in us. Our people and the international community no longer have confidence in the Government.
We want to reassure our people that we have not abandoned you. We stand with you. We know what needs to be done, and we are prepared to implement our Policy Action Plan from Day One in Office.