The Government will support the landowners in East New Britain Province recover K38 million based on the findings and recommendations from the investigation into the East New Britain Resource Group (ENBRG).
Minister for International Trade and Investment Richard Maru said the Government will now be instructing a law firm to act on behalf of the Government to support the landowners in East New Britain (ENB) province to recover the underpayments estimated to be approximately K38,730,637 (K38million) from the first oil palm plantings in 2009 to October 2024.
The final report of the investigation including the findings and the recommendations was approved by the National Executive Council (NEC) last week.
Minister Maru said the two immediate actions the Government would take, following the completion of the investigation, are:
1. Support Landowners in ENB Province recover the K38 Million; and
2. ENBRG must immediately apply the same national price formula used by Hargy and New Britian Palm Oil- effective immediately.
“As soon as the Department of Justice and Attorney General briefs out a law firm, I will travel with the lawyers to Kokopo to meet with the company and the landowners and the ENB Provincial Government to begin the process of immediate negotiations on how to recover the estimated K38 million suffered by the landowners due to underpayments by the company.
The Government would like to do an out-of-court settlement on all the issues related to this crisis including pricing, land deals and others. If that fails, then legal actions would be last resort.
We will also ensure to help the oil palm growers and their families in ENB Province see 500-600% increase in the oil palm prices, similar to farmers in West New Britain Province,” said Minister Maru.
He added that at the same time, they will work with the Ministry of Oil Palm to put together a foundational legislation to govern the operations of the oil palm industry and its management into the future.
The investigation was approved by the NEC in its Decision No: 192/2024, following a petition that was presented to Minister Maru by the local oil palm growers and landowners of Gazelle Peninsula and Wider Bay Area of ENB Province calling for an investigation into the exploitation of an unfair trade practices by the East New Britain Palm Oil Limited (ENBPOL) for illegal price fixing of K10 per metric ton for Fresh Fruits Bunch payments from November 2014 to 2022, and K15 per metric ton from 2023-2024.
The Investigation Team led by an oil palm expert, Mr. David Mather and Deputy Chairman, Mr. Tony Waisi was carried out over 8 weeks from November 19 to December 17, 2024, and from January 16 to February 12, 2025.
The Investigation Team found out that ENBPOL was part of the ENBRG which comprises of ENBPOL and Tzen Niugini Limited and Tzen Plantations Limited, and so the Investigation Team extended the investigation to cover the ENBRG and not just ENBPOL.
“This is not just another investigation that will be gathering dust in Waigani like most other expensive investigations. I will ensure that we take actions based on the recommendations and we will start with these two immediate actions so the exploitation of our farmers and our people must never happen again,” he said.
Mr. Maru said after 50 years of Independence, we must mature and put an end to the foreign exploitation of our people in our own country and in our own land.
“This should be a stern warning to all palm oil investors and generally all investors throughout PNG that you must not do land grabbing, shady deals, and you must pay our people the right prices. Exploiting our people and their land will not be tolerated whatsoever by the Marape-Rosso Government. We are taking firm action to make sure that this does not happen again.
“We fully understand that the people of ENB Province want further investigation into Sigite-Mukas Oil Palm Project in West Pomio. As far as I am concerned, the Investigation Team are happy to investigate, that is if the investigation will be funded by the ENB Provincial Government,” he said.