F76/ 48
4AUSTRAL AO
PRIME MINISTER
FOR PRESS MARCH 4, 1976
JOINT COMMUNIQUE ISSUED ON THURSDAY 4 MARCH 1976 BY THE
PRIME MINISTERS OF PAPUA NEW GUINEA AND AUSTRALIA DURING
MR SOMARE'S VISIT TO CANBERRA
At the invitation of the Government of Australia, the Prime
Minister of Papua New Guinea, the Honourable Michael T. Somare,
accompanied by Mrs Somare, is paying an official visit to
Canberra on 4 and 5 March 1976.
Mr Somare was received by His Excellency, the Governor-General,
Sir John Kerr and by the Prime Minister, the Right Honourable
Malcolm Fraser. Mr Somare had extensive discussions with Mr Fraser,
with the Minister for Foreign Affairs, Mr Peacock, and with other
Australian Ministers.
The Australian Prime Minister extended a most warm welcome to
Mr Somare on his first visit to Australia as the Prime Minister
of an independent Papua New Guinea.
The Prime Ministers noted with great satisfaction that Papua
New Guinea had acceded to independence in 1975 smoothly and
without difficulties. They paid tribute to the many Papua New
Guineans and Australians who had contributed to this process, which
they believed had established a sound and co-operative basis for
the development of the post-independence relationship. They saw
the end of the colonial relationship as a passing step in history;
what was important to both countries in contrast with many other
former colonies and administrating powers was that they are each
other's closest neighbours, and would remain so.
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The Prime Ministers said that Australia and Papua New Guinea
had many abiding common interests. Their relationship was
therefore of great importance to both countries: the Prime
Ministers pledged that they would work for the closest development
of that relationship, a relationship which would clearly be based
on the sovereign, independent status of each country, and which
would reflect mutual appreciation of each country's independent
national interest. They agreed that they and their colleagues
would continue to consult regularly and as often as judged
necessary on any aspect of concern or interest.
The Prime Ministers said that they had reviewed major aspects
of relations between the two countries.
Aid The Prime Ministers agreed that a new aid relationship was
required properly to reflect Papua New Guinea's independent
status. They agreed that the objectives of the new relationship
would be to facilitate and promote economic and social development
for the people of Papua New Guinea, to facilitate the achievement
by the Papua New Guinea Government of its objective of increasing
self-reliance, and to enable Papua New Guinea to plan its development
on the basis of resources available to it including those to be
provided by Australia, but to put an end to arrangements under
which Australia had been involved in Papua New Guinea's budgetmaking.
Mr Fraser told Mr Somare that, in determining the allocation of
aid funds, Australia would continue to give the highest priority
to providing aid to Papua New Guinea on a substantial scale to
assist it towards its objective of self-reliance.
Mr Fraser informed Mr Somare that the Australian Government now
wished to enter into a new, long-term commitment on economic and
social aid to Papua New Guinea. Mr Fraser said that the Australian
Government had therefore decided that, subject to normal parliamentary
procedures on appropriation, Australia would provide a minimum of
$ 180 million in social and economic aid to Papua New Guinea for
each of the five years beginning on 1 July 1976 and would consider / 3
further annual supplements in the light of circumstances. it
had been further decided that the annual supplements above the
base figure would be $ 10 million in 1976-77 and $ 20 million in
1977-78, bringing aid on this basis in those two years to $ 190
million and $ 200 million.
In addition to the figures mentioned above Australia will provide
the following the Australian contribution to the Wabo
Hydro-e-lectric feasibility study, the Australian-independence
gift to Papua New Guinea, payments relating to war pensions
and cemeteries, payments under the Employment Security Scheme,
which the Australian Government was by legislation obliged
to make, for termination benefits to former expatriate employees
of the Government of Papua New Guinea; and expenditures by
the Australian Government on the completion of the current
aid projects for airport construction works at Port Moresby and
Nadzab, ( estimated at $ 3.8 million in 1976/ 77) and on the
Australia-Papua New Guinea Training and Education Scheme
( estimated at $ 1.2 million in 1976/ 77). ( Payments under this
Employment Security Scheme are tentively estimated at $ 37 million
for 1976/ 77 and $ 21 million for 1977/ 78J,
This means that Australian assistance to Papua New Guinea
in 1976-77 for economic and social purposes will exceed
$ 195 million. This represents an increase of at least $ 33 million
in Australian aid to Papua New Guinea compared with 1975-76.
Mr Somare warmly welcomed the new and generous long-term aid
commitment by the Australian Government which he said the Government
of Papua New Guinea found fully acceptable. He stressed, however,
that Papua New Guinea would not be in any way relaxing its
serious attempts to live within its means in the years ahead.
Financial Reserves
The Prime Ministers discussed the earlier Australian Government
offer whereby the Reserve Bank of Australia would provide
a $ 30 million standby to the Bank of Papua New Guinea to assist
Papua New Guinea to cope if necessary with possible fluctuations
in international trade and capital movements. Mr Fraser
agreed that the standby arrangement would be increased to $ 60 million
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Torres Strait
The Prime Ministers agreed it was important that an equitable
and permanent settlement of all outstanding issues relating
to Torres Strait be achieved as soon as possible. To this end,
negotiations would be undertaken at an early date. Mr Fraser
informed Mr Somare that the Commonwealth Government was
prepared to negotiate some adjustment of present arrangements
in Torres Strait. It was agreed that one object of the negotiations
would be to draw a seabed delimitation line between Australia
and Papua New Guinea.. The Prime Ministers agreed that the
settlement should include the establishment in the Strait of
a zone designed to protect the environment and to preserve the
traditional way of life and livelihood of the local inhabitants.
Mr Fraser explained to Mr Somare that certain aspects of the
matter raised constitutional issues in which the co-operation
of the Government of Queensland was required. Accordingly, the
Commonwealth Government would commence Ministerial discussions
with Queensland befor. e the end of April and thereafter would
meet with the Government o f Papua New Guinea.
Both Prime Ministers agreed that a settlement of the issue had
been too long delayed. They looked to an early and equitable
solution. Telephone Services
The Prime Ministers noted that the two Governments had had under
review for some time the telephone services between the two
countries. Mr Somare welcomed Mr Fraser's advice that Australia
would introduce, within a month or so, a new facility whereby
all Australian telephone subscribers would be able, as subscribers
in Papua New Guinea already are, to dial Papua New Guinea
direct on an ISD ( International Subscriber Dialling) system
with a special dialling code. The Prime Ministers agreed that
this would not only facilitate communication between the many
people resident in each country with relatives, friends or
other interests in the other, but would also offset the
foreign exchange flow to Australia which had resulted
from the present system.
Other Bilateral Matters
The Prime Ministers noted that, naturally, in view of the short
period since independence, a number of other matters of
bilateral importance required resolution. They noted that
negotiations were proceeding on long-term arrangements
in the defence, trade and civil aviation areas, as well
as on a number of other matters of mutual interest and co-operation.
They agreed that they would ask their colleagues responsible
for these various matters of intergovernmental co-operation
to proceed steadily towards completion of appropriate agreements
or understandings. Announcements would be made as appropriate.
Bougainville Mr Somare gave Mr Fraser an account of recent developments
in Bougainville and of the negotiations proceeding with
Bouganvillean representatives. Mr Somare explained that
the Coalition Government under-his'leadership is committed
to maintaining a united and stable Papua New Guinea. To this
end he was working towards a structure of government that would
satisfy the aspirations of the Bougainvilleans within the
framework of a united Papua New Guinea.
Mr Fraser informed Mr Somare that the Australian Government
appreciated that the question of Bougainville was clearly
an internal matter for the Government of Papua New Guinea
and accordingly one in which, in the post-independence situation
Australia was no longer directly involved. He nevertheless
wishes to state clearly and publicly, with Mr Somare ' s agreement,
that the Australian Government maintained unequivocally the
position, made clear by the unanimous support of the Australian
Parliament for Papua New Guinea's accession to independence last
year, and also by the support of the United Nations Special
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Committee of Twenty-Four, the Trusteeship Council and the
General Assembly, that a united Papua New Guinea was in the
interest of all concerned. The Australian Government would
therefore give the fullest support to the current efforts
of the Government of Papua New Guinea directed towards
a negotiated and peaceful settlement of the issues involved,
enabling Bougainville to remain within a united Papua New Guinea.
International Affairs
The Prime Ministers stated that both their Governments
would puruse independent foreign policies based on their
perception of their own national interests. Both Governments
would attach great importance to consultation and to
co-operation with their neighbours in the affairs of the region.
As was well known, both countries gave their firm support
to the principles of the United Nations charter.
The Australian Primer Minister assured Mr Somare
that in those countries where Papua New Guinea had not established
its own representation, Australian diplomatic and consular
missions would, to the extent desired by the Government
of Papua New Guinea and within the limits of their resources,
act for the Government of Papua New Guinea in the prosecution
of its diplomatic and consular interests. Mr Somare warmly
welcomed this assurance.
Invitation to Mr Fraser to Visit Papua New Guinea
Mr Somare extended a most cordial invitation to Mr Fraser
to visit Papua New Guinea. Mr Fraser accepted the invitation
with pleasure. It was agreed that a date for the visit would
be fixed by consultation between the two Governments.
Mr Somare thanked Mr Fraser for the warmth of the welcome
extended to him, to his wife, and to members of his-party,
and for the arrangemnents which had been so generously made
for their stay in Australia. 000000000