The proposal has been put forward by the Constitutional Law Reform Commission (CLRC) and awaiting government approval.
This follows the experience of the Ok Tedi Mine operations and the dumping of mine tailings which have polluted the Ok Tedi and Fly River systems.
International environmentalists say the damage will last for decades, if not centuries.
If passed by Government, the law will protect another of PNG major water systems, the Sepik River, from the proposed Frieda Mine project in West Sepik.
