7th February 2023
Source: The National
LICENCE holders of special economic zone (SEZ) projects can have their licenses revoked or suspended if they do not deliver on their key performance indicators (KPIs), an official says.
Special economic zone authority board chairman Varigini Badira said licence holders would be given 12 months to deliver on their KPIs.
“The board will write to the developers and seek reasons why there is a delay in the implementation of KPIs and targets,” Badira told The National.
“If the reasons are non-genuine, then the licence can be revoked or suspended pending remedial actions.” Badira said SEZs were only granted and established by the SEZ authority board through a stringent appraisal process. “Core to granting an application to any developer is land security with a healthy financial portfolio,” he said. “Land must be owned and secured by the developer intending to establish a special economic zone. “Any licensed SEZ developer is given 12 months KPIs to implement the conditions of the licence and to immediately engage in job creation.
“Failing that the board will review the status of the licence.
Impression of completed development at Paga Hill Estate Tourism SEZ, Port Moresby, Papua New Guinea
“Thus far, only Paga Hill Tourism special economic zone has generated jobs and continues to develop its SEZ precincts.
“Foreign investors are encouraged to link up with local businesses that are already developing land or have land security and are intending to go into downstream processing.
“SEZ supports the International Trade and Investment Minister Richard Maru’s call that landowner clans that belong to registered ILGs (incorporated land groups) must be consulted thoroughly by the developers intending to establish SEZs before the developers approach the board with its application.”
Maru reiterated that SEZs would become economic drivers for PNG.
