MRDC and Gas Resources PNGLNG Pipeline Limited aim to rebuild the health and education facilities in Benaria, Komo-Magarima after the royalty and dividend payment for Segments 2 and 3 are completed.
During the payment announcement in Benaria, last Saturday, MRDC’s Managing Director Augustine Mano says once the payment, totally K3.76 million is paid tomorrow to the 174 beneficiary clans, for Segment 2 and 3 the PNGLNG Pipeline license No.4 (PL4). The next task is to look at investing in community infrastructure projects in the area.
The combined dividend and equity payments are from the 40 per cent of total royalty and equity benefits.
After the 40 per cent cash payments are made from total income/revenue to GR PNGLNGP the remaining 60 per cent is divided, whereby 30 per cent is allocated to Community Investment Trust Fund (CIFF) and another 30 per cent is in another Future Generations Trust for investment purposes, a requirement of the Oil and Gas Act.
“Getting the 40 per cent cash component is good but we all know money doesn’t last long. Access to basic services such as health and education is important for the Benaria communities because schools and health centres will benefit the communities in the long run.
“This is what we plan to do- we will use the 30 per cent funding allocated under the CITF to rebuild the health centre and classroom for the schools,” said Mr Mano.
The tribal fight two warring clans destroyed the Benaria health centre and school.
In March 2020, peace was restored through the efforts of the 27 clans leaders and the Hela Provicial Peace and Goodwill Order Committee, led by the Hela Governor Philip Undialu.
Mr Mano urged the Benaria communities to continue ensure peace is maintained in the area as only through peace can basic services and benefits reach the communities.”
Meantime, MRDC will pay the 174 benefitting clans of Segment 2 and 3 (Benaria and Homo Paua regions of Hela Province) tomorrow.
This will conclude the first round of payments, which MRDC began 18 months ago to the PL4 areas.
The remaining balance from these payments will be distributed once the audit for subsequent years are completed.
The payment took a while to complete given MRDC had to facilitate the entire clan account openings for each beneficiary clan in the eight segment area- almost 1000 accounts before payments were made.
There are eight segment areas covering five provinces, which the 700 kilometer PNGLNG pipeline runs through.
