Prime Minister Hon. James Marape has firmly rejected criticisms from Opposition Leader Hon. James Nomane, defending the Government’s K1 billion Fuel Stabilisation Package as a lawful, necessary, and responsible intervention to shield Papua New Guineans from a global energy crisis.
Responding to statements made earlier today, Prime Minister Marape said the Government’s actions are grounded in existing legal and fiscal frameworks and are focused squarely on protecting ordinary citizens during an extraordinary international situation. “This is not panic. This is responsible leadership in a time of global crisis,” Prime Minister Marape said. “We are not waiting for hardship to hit our people before acting — we are acting early, decisively, and within the full scope of the Law.”
No Breach of Law — Government Acting Within Established Frameworks
Prime Minister Marape clarified that there is no requirement to recall Parliament at this stage, as the intervention is being executed through existing Government Policy instruments and approved Fiscal mechanisms.
“There is absolutely no breach of process. What we are doing is fully provided for within Government Policy settings and National Executive Council decisions,” he said. “We are utilising available instruments — including GST adjustments, fuel levies, and tax credit arrangements — to deliver immediate relief.”
He further explained that the initial K100 million allocation is drawn from provisions already contained within the 2026
National Budget and NEC-sanctioned funding arrangements. “We have not gone outside the Law. We are using what is already legally available to Government to respond quickly in the best interest of our people,” he added.
Targeted Support to Maintain Affordable Fuel Prices
The Prime Minister confirmed that the Government is working directly with the country’s three Fuel Importers — ExxonMobil, Puma Energy, and Ok Tedi Mining — to ensure continued supply while preventing price shocks at the pump. “We are supporting our Importers so they can buy Fuel at high international prices, but sell domestically at affordable rates,” he said. “The intention is simple — no extra burden must be passed on to our people.”
The intervention includes a combination of:
• Temporary removal or adjustment of GST and fuel levies
• Tax credit arrangements
• Direct fiscal support to importers to bridge the global price gap
“This is a Relief Package designed to protect households, transport operators, and businesses across the country.”
Strong Oversight and Accountability Assured
Prime Minister Marape assured the nation that strict regulatory oversight remains in place, with institutions such as the Bank of Papua New Guinea and the Independent Consumer and Competition Commission (ICCC) continuing to monitor compliance.
“We will ensure transparency and accountability at every level. Every toea of support must benefit the people — not be lost in the system,” he said.
Addressing concerns raised about governance in the Fuel sector, the Prime Minister emphasised that ongoing investigations and regulatory processes remain independent and unaffected by the current intervention.
“Issues raised in the past are being handled by the appropriate Authorities. This Government will not interfere with due process, but neither will we allow those issues to delay urgent relief for our citizens.”
Economic Buffer and Forward Planning in Place
Prime Minister Marape also pointed to rising Revenues from PNG LNG exports as a buffer that supports the Government’s ability to intervene without destabilising the National Budget.
“As global prices rise, our Resource Revenues — particularly from LNG — are also improving. This gives us the Fiscal space to act responsibly,” he said.
He indicated that, if necessary, a Supplementary Budget may be considered later, but stressed that immediate action could not wait.
“Leadership is about timing. We cannot delay relief while waiting for lengthy processes when our people need help now.”
Rejecting Political Distraction in Time of Crisis
The Prime Minister described the Opposition’s statements as politically motivated and disconnected from the realities facing citizens.
“In times like this, Leadership must rise above Politics. Our focus is not on scoring points — it is on protecting lives and livelihoods,” he said. “Papua New Guineans expect action, not delay.”
Government Remains Focused on Protecting the People
Reaffirming his Government’s commitment, Prime Minister Marape said the Fuel Stabilisation Package is part of a broader Strategy to ensure economic resilience and national stability during global uncertainty.
“We have done this before during COVID-19, and we will do it again. Government must step in when external shocks threaten our people,” he said. “Our duty is clear — to stand between global crisis and the everyday Papua New Guinean.”