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MPs give evidence at SABL Commission of Inquiry

By Martyn Namorong

The Commission of Inquiry into Special Purpose Agriculture and Business Leases (SABL) concluded its hearings yesterday at around 7PM after Hon. Tony Aimo (pictured) gave witness regarding the Nugwaia-Bongos Integrated Agriculture Project. The Project which is in Mr. Aimo’s electorate also incorporates his customary land.

Mr. Aimo gave evidence in the form of a sworn affidavit. Mr. Aimo said the project had followed due process and was sanction by two National Executive Council Decisions. Mr. Aimo then presented the Commission with various documents pertaining to the projects.

The Nungwaia Bongos Integrated Agriculture projects covers 110 000 hectares of land involving 230 Integrated land groups plus a few “Supplementary ILGs as referred to by Mr. Aimo. The area was initially a Forest Management Area before being converted to a SABL. The SABL was gazette on the 4th of April 2011, and a 99 year Lease granted to the Landowner company of which Mr. Aimo is Director. The Landowner Company then granted a 99 year sub-lease to the exploiter SPZ Enterprise Limited, a Malaysian Oil Palm investor.

The Commerce Department had made all arrangements for the investor to enter the project. The then Commerce Minister and Member for Maprik, Gabriel Kapris (pictured) also gave evidence as to the role of the department.

Counsel Assisting the Commission Mr. Ketan asked Mr. Kapris why Commerce had taken a special interest in the project. Mr. Kapris said that this was not unique and that Commerce and Industry was involved in other projects around the country.

Mr. Ketan also expressed concern about clause 10 of the sublease Agreement between the Landowner Company, Nungwaia- Bongos Rainforest Alliance and the exploiter SPZ Enterprise Limited. Clause 10 states that all Oil Palm shall be the property of the investor and that should the landowner company kick out the developer for any reason; it shall pay for the loss of projected profit over the 99 year lease. Clause 10 also makes the Landowner company Authorize the investor to take out an injunctive order to claim for any such losses. It also states that at the end of the 99 year sublease, the investor does not have to remove anything it brought into the area.

Mr. Ketan also expressed concern that the Lease Agreement prepared by the State Solicitors Office does not specifically mention agriculture. He also questioned the rationale for including villages on ridges when Oil Palm could be grown in the lowland grassy plains.

Commissioner Mirou also highlighted that the lease agreement did not create reservation for hunting, gardening and sacred sites, not did it expresses specific user/access rights for the customary landowners.

Inspection of the site, carried out on earlier on Sunday, showed very little progress. Commissioner Nicholas Mirou’s vehicle got bogged down in the mud. The investor claims to have spent USD 4 million on the road but it looks rather pathetic. The COI team had to split and the agriculturalist was sent to the nursery site while the rest returned to Wewak.

The hearing continues today with evidence to be heard from SPZ Enterprise Limited.