Australia and its former colony are on edgy terms - The Economist Aug 25, 2005
-----------------------------------

WHEN Sir Michael Somare, Papua New Guinea's prime minister, landed in Australia last March, officials at Brisbane airport asked him to take off his shoes for a security check. Understandably, the man widely regarded as PNG's founding father was affronted. He demanded an apology; Australia refused. The spat reflected old tensions between the two neighbours as PNG approaches the 30th anniversary of independence from Australia next month.

Two months after Sir Michael's shoe problems, Australia's biggest aid project for PNG since independence came badly unstuck. The A$1 billion ($760m) enhanced co-operation programme (ECP) had been hailed in Canberra as a solution to PNG's two biggest problems: lawlessness and corruption. It involved sending about 200 Australian police to Port Moresby, the capital, and regional towns where crime is rife, and installing 43 Australian officials inside PNG's bureaucracy.

From Canberra's viewpoint, the plan made economic sense. Australia has given PNG A$10 billion-worth of aid since independence. As PNG's biggest donor, Australia had become frustrated at the way it has been siphoned off through systematic corruption. To some in PNG, though, the plan smacked of a bid by Canberra to take back control of the country. The first 120 policemen in the Australian contingent had been there only four months when PNG's supreme court ruled in May that the Australians' deployment violated PNG's constitution, largely because of indemnities they had been given from legal prosecution. The policemen promptly left.

Alexander Downer, Australia's foreign minister, visited Port Moresby on August 24th to salvage something from the wreckage of the original scheme. About 30 Australian policemen will now be sent back to help train PNG police and to tackle corruption within the police force. Mr Downer called the remodelled ECP, without police on the beat, “second-best”.

A recent analysis by the Centre for Independent Studies, a Sydney think-tank, paints a bleak picture of the ECP's predicament. It reckons that 85% of the PNG population are among the world's poorest people. The rest, a rich, educated elite, live in barbed-wire compounds to protect themselves from raskols or gangs, when they are not travelling abroad.

Sir Michael says he would like to sever PNG's “umbilical cord” with Australia and look for friends elsewhere in the region. New friends up to now, such as Malaysia, have done well from logging PNG's forests and extracting its copper, gold and oil. Most of the poor country's 5.5m people are no better off for it.

a no win situation for 85% of the population.

You have the private contractors from Australian doing very well with all the contracts they are given, you have the politicans also doing very well from their hands in the till from both the aid money and taxes, the Malaysians are also doing very well, getting extremly rich from harvesting all the good timber and not having to any re-forrestation program in place and illegal logging.

And now the China wants to invest and develop a nickle mine for their fast growing economy.

As an Australian I totally agree with Sir Michael Somare’s comment to “sever the umbilical cord with Australia” and the sooner the better. I would much rather see my tax dollars spent a bit more wisely in my country.

A$10 billion is a lot of money by any country’s standards, and the Australian Government would probably have been better off handing out 1 million Kina to 20,000 PNG families and making instant millionaires of them, I’m sure they would have spent it better.

Throwing money at a problem won’t fix it. PNG is a young developing nation and it will take time, perhaps not in our lifetime but I’m sure eventually if PNG is left to develop and learn it will become a powerful and prosperous country in it’s own right, as long as you’re not exploited by Mr Somare’s so called ‘new friends’.

A pity I didn't see this twits response back in Nov. If he cared to look into the problem, much of it is because the money was spent on areas that we didn't really need halp in. AUSAID and Canberra decide where the money was spent not Waigani.

Perhaps 90% of that $10 Billion returned to Australia through the margins of Australian Contractors to which it was Canberras policy to ensure contracts were granted to.

Volumes of studies commissioned by Canberra stand collecting dust in the archives of Port Moresby either because they are irrelevant or they lack implementing capacity.

So friend, Australia benefited out of the the money you spent here not us. Unfortunately the issue of aid is discussed in a vacuum by Australians. One which starts with "and on the seventh day the sun shone out of my ****"

Take your blikers off pal.

Mate AusAID money is Australian Tax Payers money. If it boomerangs that is Australia's prerogative. Instead of worrying about someone elses money why don't you and your leaders start making money for the country instead of thinking about your own pockets and investing it abroad in brothels and realestate. You give me an example of a major hospital, school or roads network that you and your politicians have made from your own pocket. Take Lae roads, PNG government, the city council nor their stupid governor could even repair the roads from their own pocket, the biggest road projects were financed by AusAID. Now they have the gall to continue to complain about AusAID. The money may be boomeranging back to Australia but the service value remains in PNG.

You are right, AusAID ought to cut down on funding and lets see where you and your corrupt PNG government will take you. If you want to bring in chinese aid with its million strings good for you, why don't you discuss that with the Ramu Nickel land owners and national employees. After all the money is "wasted" in PNG. There are many other countries in the region and globe who will appreciate AusAID money with their hearts. There are also outstanding indigeneous Australian issues that need the money that is wasted in PNG.

Mi less pinis. When will we be matured? we say PNG is a young country is total bul****. 31 years is too old. Your comments.