N. Guinea Pine

No Permits To Cut

A Legacy of The Ward Regime

AS an example of the strange New Guinea Administration, we quote the treatment of New Guinea Goldfields, Ltd., in relation to the development of the valuable timber resources of New Guinea.

Bulolo Gold Dredging. Ltd., and NGG, Ltd., placed in the Bulolo Valley gold-re covery establishments worth millions. It was pure coincidence that there are in and around the Bulolo Valley, stands of Hoop and Klinki pine, of almost incalculable value. Each Co., seeing its gold-bearing ground steadily shrin&ing, has sought permission to cut timber, so as to add timber production to its activities.

The Administration granted timber leases to BGD, Ltd., on some profit sharing basis of which the terms have not been disclosed; but, so far, it has given no concessions to NGG, Ltd.

Both companies, in 1950, began produc ing timber in large quantities—BGD from areas made available by the Administra tion, and NGG from a lease which it purchased from Mr. G. A. Anderson in 1946.

The extraordinary thing is that, al though the P-NG Administration has purchased and is purchasing a large pro portion of the pine and cedar timber which NGG is producing, the Administra tion quite stubbornly has refused to make any more timber areas available to NGG.

BGD, on the other hand, has been pro vided with all the country it needs.

This Bulolo Valley timber industry is valuable, not only as a Territories money maker—it also helps materially in solving the goldfields transport problem. Before the war, all goldfields supplies went in by air—the cost of which put a huge burden on the gold industry. During the war, the Army built the Lae-Bulolo road, and trucks have run over it regularly ever since, carrying supplies to the gold fields operators.

At first, the trucks returned empty.

Now,- they bring out timber—lumber, pre fabricated houses, furniture, and so on— as back-loading. Because of this, cargo from the coast to the goldfields (94 miles) goes in at Id. per lb. Both gold com panies maintain fleets of trucks. Both naturally want back-loading.

The discrimination in favour of BGD probably is a source of embarrassment now to the non-Socialist Government in Canberra. The arrangement (to work the Morobe pine on a joint Federal Govern ment-BGD basis) was made by the Socialist Minister Ward, during Labour’s term of office, in order to prevent the exploitation of the Morobe timber re sources by private enterprise—a thought that he (with reason, presumably!) re garded with horror. Since then, various interests have sought permits to cut NG pine; but none has been entertained— probably because of the terms of the contract with BGD, and because there are so many applicants. . It is probable that that is what NGG _up against. How can Canberra give NGG a permit, while withholding same from other competent applicants? . .

Another legacy from the Ward regime! , to 9, r i* er improve existing roads and to build new ones, Fiji has hundreds of thousands of pounds worth of heavy ™tomg equipment ordered from the United Kingdom and the United States, borne of it is already arriving in the Colony and is being allotted to various districts as it arrives.