Papua New Guinea Mining Minister Muguwa Dilu has called on the resource sector to expedite discussions regarding the proposed 10 percent royalty increase for landowners. The Minister emphasized the government's commitment to listening to industry stakeholders and acting on their input, similar to their approach with the National Gold Corporation Bill of 2022.
"Just like we (the Government) are listening to and taking action on PNG Core’s views on the National Gold Corporation Bill of 2022, we want the chamber to come back with a response from the industry on the proposed amendments to the Mining Act of 1977, especially the increase in landowner royalties from two percent to 10 percent," Dilu stated.
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| Papua New Guinea Mining Minister Muguwa Dilu |
Minister Dilu highlighted the critical role of gold as Papua New Guinea's top revenue earner and noted that the country has not fully benefited from this resource since gaining independence. "We need to make sure we benefit fully from our own resources," he stressed. "We are amending the Mining Act to fit the global trend of today’s industry so that our people can get the most out of the resources being extracted from their lands."
The Minister also mentioned the recent agreement on a Special Mining Lease license for New Porgera Limited (NPL), which is now yielding benefits for local communities, the district, province, and the country as a whole. "For every new mining company that will come into our country and invest, we must ensure that landowners, the State, and the provincial government get their fair share," he asserted.
Additionally, Dilu pointed out the need to update the Mining (Safety) Act of 1977, calling it outdated. He introduced the objectives of the new Mine and Works (Safety and Health) Bill, aimed at enhancing safety and health standards in the mining industry. The key objectives include:
- PROTECT persons at a mine from safety and health risks while conducting their approved safety and health work instruction, roles, and responsibilities.
- PROTECT persons whose safety and health are affected by a mine or works operation.
- GUIDE owners, employers, employees, and duty holders in identifying workplace hazards and risks, managing risk exposure, and reducing risks to reasonably practicable standards.
- CREATE a safe work environment and a healthy workforce at the mine.
- PROMOTE and facilitate cooperation and consultation between key stakeholders in preventing accidents at a mine or related works.
Minister Dilu's call for swift action on the proposed royalty increase and the modernization of mining safety regulations underscores the government's commitment to ensuring that the benefits of mining are more equitably distributed and that safety standards are aligned with contemporary global practices.
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