Tag Archives: Infrastructure

School Contractors Warned! – O’Neill

**** PM O’Neill: Contractors to be Held Accountable as More Schools and Classrooms Built Around Papua New Guinea ****

4th December 2017

 

With more schools and classrooms being built around the Nation, contractors will be held accountable for every Toea in public funds they are given for construction.

That is the clear message delivered by the Prime Minister, Hon. Peter O’Neill CMG MP, when opening a new classroom building in in Kimbe, West New Britain Province.

“Continuing to improve education is our government’s commitment to our future generations.

“Better education provides the greatest hope for our children, particularly in remote and rural areas.

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“In 2018 we have allocated 1.29 billion Kina for the Education Sector, which is nearly nine per cent of National Budget. This is an increase of 13 per cent from the 2017 Supplementary Budget.

“We have placed more than an additional one million students in school over the past five years, and now we are applying additional focus on improving the quality of education.

“Now we are building more schools and classrooms right around the country.”

The Prime Minister issued a stern warning to all companies involved in the construction of school projects, that public money will be fully accounted for and documented.

“Many times the Government has given contracts to certain contractors who fail to complete their jobs and run off with payments.

“This must stop and we are looking back at previous contracts to identify any irregularities for further investigation.

 

“It is vital for our children to have proper buildings to learn, and any time there is fraud this deprives our children of their right to education.

“We also have seen a number of builders that have delivered high-quality school buildings, and their commitment and accountability is helping us to advance the Nation.”

In opening the new classroom building at the Waisisi Primary School in the Talasea District, West New Britain Province, PM O’Neill congratulated all who had worked on the project.

“As I officially open this newly built classroom building, today, I thank the school board and the builders for doing an outstanding job.”

The Prime Minister further noted the growth that was occurring in the Talasea District and said the Government has met with the Boundaries Committee and have decided that Talasea District will soon become two districts, given it’s vast population and land boundaries.

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NO NEW TAXES – Tax Payers Delight

30th November 2017

 

The handing down of the National Budget 2018 drew a sigh of relief for averages citizens in the country. For the first time in many years, there was NO NEW TAXES in the budget.

 

The Government has however decided to ensure that the Internal Revenue Commission goes out and does what it is required to do, COLLECT TAXES!

 

The Tax Collection has been lacking in the Commission for many years piling the pressure on the Government to increase taxes in the past. This year, that has been changed and NO new Taxes or any increase in Taxes are included in the Budget.

 

The Government has also removed the “Training Levy” which was supposed to raise K75m in the 2018 budget

Government taken measures to manage wild spendings by SOE’s

November 30, 2017

By ISAAC NICHOLAS

The Government has taken steps to centralise the budgetary process by cracking down on some public and statutory bodies collecting public monies and spend these outside of the Budget.

Deputy Prime Minister and Minister for Treasury and Finance Charles Abel said the Government is serious about improving the fiscal health of the country and this bill is a demonstration of that serious intent.

“Public funds that are raised by public and statutory bodies as non-tax revenue rightly belong in the Consolidated Revenue Fund so that they may be appropriated for expenditure by Parliament to meet the objectives of the Government.”

Opposition Leader Patrick Pruaitch interjected claiming that the bill is part of the budget bills and in normal tradition this bill must be passed along with the budget.

“Why are we dealing with Budget Bills separately when the debate on the budget has been adjourned to next week Tuesday? Can we stop sneaking in stuff? We need to be able to understand the bills and it is part of the budget papers. It is attached to the budget bills.”

Prime Minister Peter O’Neill had to intervene to allow Mr Abel to introduce the bill, make his speech and defer the passing to Tuesday next week.

Minister Abel then proceeded saying that for too long, it has been the practice of some public and statutory bodies to retain, without authority, this non tax revenue to meet operational and other expenditures.

“These expenditures have taken place outside the budget process and this is unacceptable to government. Some, but not all, public and statutory do have legislation in place that purportedly allows them to retain this non-profit revenue, but those provisions have always offended against the best principles of public financial management and this Bill remedies those matters.

The Bill binds all public and statutory bodies. State owned Enterprises are excluded as they are not statutory bodies.

The Bill does not apply to the Bougainville or any public or statutory body created by the Bougainville Government.

The Government has decided to explicitly exempt Kumul Consolidated Holdings, Kumul Petroleum Company and the Kumul Minerals Company from this law as fiscal arrangements to them are currently being reviewed.

https://postcourier.com.pg/govt-cracks-budget-spending-soes/

Tax Revenue to reach K3.2 Billion in 2018

BY GORETHY KENNETH

The new revenue strategy, major tax head contributions to revenue are expected to increase above 2017 levels with personal income tax collections expected to reach K3.2 billion in 2018.

It is expected that company tax will reach K1.9 billion; mining and petroleum tax K179 million, gaming machine tax K174.4 million; dividend withholding tax K137.4 million and interest withholding tax K84.2 million.

For the indirect taxes, GST is expected to reach K1.9 billion, excise cuty K782.3 million, import excise K395.1 million, export tax K330 million and import duties K296.1 million.

Non-tax revenues are expected to be substantially higher comprising fees and charges which are expected to reach K175.2 million. Dividends from state owned enterprises and mining and petroleum projects which are expected to reach K1.3 billion.

The dividends are expected from National Fisheries Authority K400 million, Kumul Petroleum Holding Limited K300 million, Ok Tedi K200 million, Bank of PNG K150 million, Kumul Consolidated Holdings K100 million, National Gaming Control Board K75 million and Motor Vehicle Insurance Limited K25 million.

In addition to this, the newly introduced 90:10 Statutory Transfer rule will generate an additional K565 million comprising one off receipts from the National Fisheries Authority of K400 million, National Gaming Control Board K75 million, Kumul Consolidated Holding K40 million, Mineral Resource Authority K30 million, National Maritime Safety Authority K10 million and the Conservation and Environment Protection Authority K10 million

Grants from donor agencies are expected to total K1024.6 million in 2018. Donor grants are subjected to movements in the exchange rates and policies of donors.

Revenue excluding grants as a percentage of GDP has declined over the years from around 20 per cent in 2012 to 13 per cent in 2017.

The 2018 Total Revenue and Grants Budget is projected at K12,730.7 million, an increase of K1751.5 million or 16.0 per cent, compared to the 2017 Supplementary Budget estimates. A number of the revenue increases are one off in nature and these will be utilised to fund adjustment costs such as clearing outstanding arrears and funding one-off expenditure categories such as APEC.


https://postcourier.com.pg/revenue-tax-expected-reach-k3-2-bil-2018/

We Borrow To Build – O’Neill

By MALUM NALU
22th May 2017

BORROWING is needed to boost economic growth, and the country has the ability to repay all the loans it takes out, Prime Minister Peter O’Neill says.

He told heads of Government departments during their meeting at the coastal village of Keapara in Rigo, Central, on Friday that the economy continued to grow.

“Because our GDP has grown, our ability to repay those loans has also grown. That is why we are able to borrow a little bit more money to build infrastructure,” he said.

“Borrowing is not a curse. It is our ability to manage that borrowing, making sure that we invest in the right sector.

“Infrastructure is nation-building.

“It is the right sector to invest.

“It builds the economy of the nation.

“That is why we must continue to invest in it.”

Borrow

He said the Asian Development Bank, International Monetary Fund and World Bank lent money to PNG at concessional rates such as two per cent because they had “confidence in our economy”.

“Every country each year had a limit on how much they can borrow from these institutions,” O’Neill said.

“PNG’s limit is always being upgraded every year.

“That’s because they do an independent assessment of our economy, and they have confidence in our economy.”

He said the debt-to-gross domestic product level had decreased from 70 per cent in 2000 to about 35 per cent currently.

Sir Ruben Taureka Higway Open

18th May 2015 – 12pm

The 14 km world-class four-lane highway from 6 mile junction to Bautama was officially opened today by Prime Minister and leader of PNC party Hon. Peter O’Neill who assured the people of Central Province about his government’s commitment in helping to build their city after the formation of government after August this year.

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Governor Powes Parkop who also attended the event with other dignitaries namely – Moresby South MP Hon. Justin Tkatchenko, Moresby North-East MP, Hon. Labi Amaiu, Moresby North West MP, Hon. Michael Malabag, BSP CEO Mr Robin Flemming, and Hebou owner Sir Thophilus Constantinou said since independence no other government like the PNC led government delivered in terms of road infrastructure for the country and made reference to the nation’s capital as the model city in the country.

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Mr Parkop said for many years previous governments had budget surpluses yet failed to develop the economic corridors of the country. He said the Sir Ruben Taureka Highway was a prime example of the current government’s commitment and vision shared by his office (NCDC), which was to make Port Moresby – ‘the pearl of the South Pacific.’

The 14 km road cost the national government K160.2m to build under the helm of Hebou Construction in Port Moresby,

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