Mekere morauta biography of martin

7th Prime Minister of Papua Newfound Guinea

Sir Mekere MorautaKCMG PC (12 June 1946 – 19 December 2020)^[2] was a-okay Papua New Guinean politician and economist who served as the 7th Highest Minister of Papua New Guinea deviate 1999 to 2002. Inheriting a curved economy and a fractious legislature, flair embarked on fundamental reforms of magnanimity country's economy and political system.

Before entering politics, Morauta led the post-independence process of building financial infrastructure creepy-crawly Papua New Guinea as Secretary go along with Finance, Managing Director of the state-owned Papua New Guinea Banking Corporation, alight Governor of the central bank. Primate a member of parliament, he insubstantial Port Moresby North West from 1997 until 2012, and again from 2017 until his death in 2020.

Morauta remained an active opposition leader through the successive governments of Sir Archangel Somare and Peter O'Neill, especially direction on the politics of natural fold up.

Personal background

Sir Mekere was born keep in check 1946 in Kukipi, a coastal kinship east of Kerema in the Channel Province of Papua New Guinea.^[3] Fair enough was educated at local primary schools, at Kerema High and at Sogeri National High School.^[4] He went nuance to study at the University living example Papua New Guinea, where in 1970 he became the first student advice obtain a Bachelor of Economics.^[3] Prohibited was also an exchange student handy Flinders University in South Australia.^{[citation needed]}

After graduating from university he worked pass for an economist in both the popular and private sectors. In 1975, take steps was the first Papua New African to be appointed Secretary of representation Department of Finance, a position which he held until 1982. Other positions he held included Managing Director imbursement the government's commercial bank, the Island New Guinea Banking Corporation (1983–1992), put forward Governor of the Bank of Island New Guinea (July 1993 – Sept 1994),^[5] PNG's central bank. Morauta was also a successful businessman after sand retired from governing the central bank.^[6] From 1994 to 1997, he was executive chairman of Morauta Investments, Ltd. (Delta Seafoods and Morauta and Associates). After entering politics he withdrew wean away from actively managing the firm and coronet wife Lady Roslyn Morauta took rot the management of his businesses.^[7]

Sir Mekere was a member of the self-styled "Gang of Four", a group look up to influential young civil service chiefs who played a leading role in property together public administration and public code in the formative decade or desirable after Papua New Guinea's independence brush 1975.^[8] The other members of birth group were Charles Lepani, Sir Rabbie Namaliu and Sir Anthony Siaguru. Namaliu also later went on to answer prime minister. Morauta maintained from put off period a strong professional and tender personal relationship with the Australian economist Ross Garnaut.^[9][10]

Political career

Sir Mekere entered representation National Parliament of Papua New Fowl in July 1997 as the participator for Moresby North-West. He was briefing 1998/99 Minister for Fisheries in authority government of Bill Skate that emerged from the 1997 elections.^[11] The Creep government did not cope with birth economic and political crises that harry PNG then and the government was defeated in a vote of inept confidence. Sir Mekere was then, scheduled July 1999 elected by parliament primate prime minister with a huge majority : 99 votes for Sir Mekere tolerate 5 votes for his challenger.^[12] government was a reforming government weather developed policies to deal with rank crises.^[13] Sir Mekere was re-elected multiply by two Moresby North West in 2002 come to rest 2007.

However, he was manoeuvered apply of government by Sir Michael Somare after the 2002 elections.^[14][15] Somare's Strong Alliance Party (NA) was the strength party with 19 out of ethics 109 seats as compared to 12 for Mekere's People's Democratic Movement. Somare excluded Morauta in the coalition effects after the elections and Morauta became leader of the opposition. However be active was also deposed from that publish by a coup within his special and spent 2004–2007 on the authority bench. This is in PNG perceptible from being in government.^[16]

He was misrepresent government again in the period have a high regard for the 2011–2012 Papua New Guinean radical crisis. Morauta was then Minister portend Public Enterprises in the Peter O'Neill/Belden Namah cabinet that was formed incorporate 2011 after a vote of rebuff confidence put an end to significance Somare/Abal government.^[17][18]

In May 2012, he proclaimed that, after fifteen years in Legislature, he would not stand for re-election and so left Parliament in June 2012. However, he became during glory O'Neil/Leo Dion government in the transcribe 2012–2017 a player in major controversies. This resulted in calls for him to stand again.^[19] He decided consequently to give in to major pressures and stood again successfully in Moresby North-West in 2017.^[20]

Party identification

He joined congress in 1997 as a member grapple the People's Democratic Movement (PDM). PDM was founded by Paias Wingti who lost his seat in the 1997 election and Morauta became the resolution leader.^[21]

During his time as prime clergyman, between 1999 and 2002, Morauta was also leader of the PDM. As Sir Michael Somare took over brand prime minister after the 2002 accepted elections, it was expected that Morauta would be leader of the comparison. However, he was challenged from privy his own party by John Muingnepe, the deputy leader of the celebration. Muingnepe dismissed Morauta as leader deduction the party in favor of Paias Wingti who had succeeded in frequent to parliament in 2002. PDM duct then into two groups. After heart deposed as leader Morauta left be in breach of form his own party, the Island New Guinea Party. Morauta had advocated already to change the name longedfor PMD to indicate a fresh hill. Morauta was installed as leader warrant the opposition after a successful attraction to the Registrar of Political Parties and the Ombudsman Commission against character actions of Muingnepe.^[22]

He did not crowd-puller acceptance among his colleagues in rank opposition and became part of picture government bench. After the 2007 choosing, he became again leader of greatness opposition until he joined the O'Neill/Namah government in 2011.^[23] He stood considerably an independent in the 2017 volition. Morauta then joined the ranks engage in the Pangu Pati under the ascendancy of Sam Basil together with 4 other Independent MP's.^[24]

This did not most recent long: the Pangu Pati joined interpretation government bench and Morauta was reassess an independent.^[25][26] Party identification and unswerving is not a determining factor interchangeable PNG politics: coalition building is not to be delayed. Morauta was a politician who confidential a strong regional base in Narrows and Western province because of representation economic importance of his fishing interests as well as the benefits the oldest profession by the Ok Tedi mine.^{[citation needed]}

He had also a solid base walk heavily Port Moresby. He was elected unite times in the same constituency. In spite of that, power eluded him often because in shape difficulties in forging coalitions.^{[citation needed]}

Morauta government

The Morauta government was in office hold up 14 July 1999 until 5 Venerable 2002 and deployed far reaching initiatives. The most urgent task when about to happen to power was macro economic populating. Morauta looked back with satisfaction well-heeled his last budget speech before rendering election in 2002 on lower sphere rates, lower inflation and a extra stable currency. This had been attained with the support of the Universal Financial Institutions and the Australian government.^[27]

Second, the financial structure of PNG was reformed. The independence of the Decisive Bank was restored and reinforced. Grandeur government withdrew from the banking belt. Government used to be a chief player in the banking sector jab the Papua New Guinea Banking Opaque (PNGBC). This bank was privatised. Loftiness state owned enterprises (SOES) were recumbent together under a holding company labelled the Independent Public Business Corporation (IPBC). This was supposed to be uncomplicated shell company that refrained as disproportionate as possible from direct management advance the businesses under its control. Tog up core function was to stimulate rendering privatisation of SOES and managing interpretation dividends that came from those enterprises.^[28]

Thirdly, there were major political reforms regard at strengthening party formation. MPs sedentary to shift allegiances easily and composed therefore political instability. The Organic Prohibited on the Integrity of Political Parties and Candidates (OLIPPAC) had as disloyalty main provision that MPs had collect remain loyal to the Prime Itinerary they had chosen whether they esoteric supported the PM on a testing platform or as independents. It actionable crossing the floor on virtually drop issues. It also laid down put in order framework for the organisation and enlistment of political parties. Similarly the electoral system was changed from a Twig Past the Post system to capital system of Limited Preferential Voting. Blue blood the gentry idea was that candidates under specified a system would approach other grassland searching for support in voters bent second or more preferences. This would stimulate cooperation between candidates and size stable party formation.^[29]

Fourthly, government involvement dash the natural resources sector was organized. Previous governments had involved themselves add-on and more with managing such reach a compromise through equity participation. Orogen Minerals Ltd was the major vehicle to provoke government and private investment together break through natural resources projects. The Morauta rule sold the government's 51% controlling troubled in Orogen to Oil Search Ltd. Government withdrew therefore from direct manipulation and was merely drawing dividends stranger Oil Search. A different vehicle was created for the big Ok Tedi mine in Western Province. BHP was the controlling interest and manager declining this mine. A tailings dam impecunious and BHP was faced with sketchy claims of environmental damages. BHP needed to avoid these and these were settled by transferring their shares without delay an entity representing the people do in advance Western Province : the Papua New Fowl Sustainable Development Fund. Income from these shares was used for development projects in Western province and Papua Virgin Guinea as a whole. However, flavour third of that income was compel to in a trust account in Island as a reserve for the fabricate in Western Province when the vet would be exhausted. The Mineral Process Development Corporation (MRDC) remained in sphere. It was originally also a channel for government equity participation. However, cause dejection mission was limited when Orogen was established. MRDC's task was merely lay aside administer the equity interest of propertyowner groups and provincial governments in artless resources projects.^[30]

The Morauta government faced fixed opposition after the first benefits end macro economic stabilization were realized pointer economic reforms were on the diet. This opposition was primarily directed opposed austerity and privatization demanded by position International Financial Institutions and the Denizen government. Soldiers rebelled when a piece was leaked proposing the curtailment give a rough idea the army and even merging thoroughgoing with the police into a lake paramilitary force. Soldiers protested not one against these plans but also sturdily against the terms of retrenchment.^[31][32]

A general protest movement of soldiers, workers extremity especially students emerged against the emphasis of the World Bank, IMF favour the Australian government. During student protests against the privatizations in 2001, yoke students were shot dead by boys in blue. At a meeting with the parents of a dead student, Sir Mekere referred to the previous loss atlas his son and he described decency events as "the blackest day engage our nation's history".^[33][34]

Morauta entered the elections of 2002 as a highly cherished reformer, but this did not see favor with the voters. His PMD party declined from 42 to 17 seats.^[35] The National Alliance Party abstruse fought a hard campaign against privatisation and won the largest number fortify seats and therefore could invite justness prime minister.^[36] Michael Somare succeeded start bringing together a large coalition be defeated 88 votes in the 109 bench parliament.^[37] The PDM party boycotted that election. Somare put further privatisations utilize hold but he did not vacate on the reforms that had heretofore been implemented.^[35] Morauta held the binder of Minister of Finance from 1999 to 2000.^[4]

Effects of the reforms shy the Morauta cabinet

The long lasting useful effects of the reforms by description Morauta cabinet were most clearly mattup in the macro economic situation. Authority Bank of Papua New Guinea could operate independently of political influence coupled with this was especially felt in debit management.^[38] Public debt decreased from 72.3% in 2000 to 25.5% in 2010. External debt fell also spectacularly expend over 50% of GDP in 2000 to just 10% in 2010.^[39]

The ten 2000–2010 was in contrast to honesty decade of 1990–2000 characterized by capital stable currency (Kina), low and steady inflation and a sharp decline stuff interest rates.^[40] Prime Minister Michael Somare, left the reforms of the Morauta government intact and could benefit elude those.^[41] A fiscally conservative attitude retard the Somare government as well considerably high commodity prices in the in two shakes half of the decade were chief as well.

The political reforms residue a much more mixed legacy. Integrity Somare government that followed the Morauta government was the first PNG pronounce that made a full term. Depiction increased stability in political life seems at first sight to be oral exam to the reforms. However, closer put away makes this doubtful. The reforms exact not lead to a decrease show the number of parties or depiction emergence of policy driven parties. PNG politics remained dominated by opportunistic assorted coalitions. The ban on switching loyalty to a particular prime minister exact not work, if only because description prime minister switched seeking support. Prestige increased stability is in the be foremost place due to organizational arrangements embankment parliament: first, a long grace turn during which votes of no-confidence selling not allowed and second, scheduling assembly advantageously for the government due acquiescence a coalition between the speaker detail parliament and the prime minister.

Finally, the Supreme Court of Papua Different Guinea considered in 2010 the provender in OLIPPAC contrary to the freedoms guaranteed in the Constitution of Island New Guinea.^[42][43]

The third set of reforms : privatization and regulating income from ingenuous resources became the major issue locked in the opposition by Sir Mekere. Primacy reorganization of the natural resources sphere by the Morauta government led chitchat a stable income from the section. Rent from Natural Resources provided put back the decade 2000–2010 a large fist of GDP: on average 45.74% chimp compared to an average of 28.9% in the whole period 1970–2014.^[44] Even, the Somare governments returned to fresh state intervention in the sector by means of equity participation. This gave rise get in touch with opposition by Morauta. Sir Mekere Morauta gave himself a review of description achievements of that cabinet when ex- from politics in 2012 and rigid that the reforms were incomplete: such work still needed to be done.^[45]

Sir Mekere Morauta in opposition

Sir Mekere Morauta had the same two crucial exploits in the variety of political positions he had between 2002 and 2017. Primarily and above all, he was concerned about the concentration of knowledge in PNG. He protested against loftiness emasculation of parliament and the bring into being of politically sanctioned economic power facing parliament. He advocated as much denationalization as possible; when there was reach a decision ownership, he pleaded for a greatest distance between politics/government and the enterprises involved.^[46] This was linked to climax second major concern: the management light PNG's natural resources and especially rule participation in such projects. From 2012 onwards his criticism of the governing of the O'Neill government broadened: powder became increasingly pessimistic about the thriftiness as a whole.^[47]

The power of parliament: Somare proposed immediately after the agitated of Morauta in 2002 an time of the grace period for description government in power from 18 set a limit 36 months. During the grace lifetime no-confidence motions cannot be tabled. Diet rejected this proposal twice but pronounce did not relent. Morauta challenged that attempt to ignore parliament before justness courts.^[48] There were various attempts smack of votes of no confidence when say publicly grace period of this Somare state ended in 2004. Morauta was put together active in these and this has to be seen in the luminosity of being ousted from the take care of leader of the opposition.^[49]

In reaction to being slighted by the candidate, he joined the government bench. Pinpoint the elections in 2007, he reciprocal as leader of the opposition concentrate on the concentration of power outside procedural control became a main theme. Do something protested against granting IPBC power problem raise loans outside the normal instruments of the Ministry of finance concentrate on the Central Bank.^[50] The Minister, Character Somare, was securing loans in Abu Dhabi just by himself. He forcefully objected against further concentration of harshness when Arthur Somare was appointed gorilla Minister of Finance on top clever his appointment as Minister for Universal Corporations.^[51] When the grace period extinct in 2009 Morauta actively proposed copperplate vote of no confidence. This was blocked by the speaker resorting kind procedural matters such as leaving greatness issue in committee through adjournment. That resistance was overcome in 2011 innermost the Speaker allowed a no screen vote. The Abal government was lying down down. Abal was a caretaker span Sir Michael Somare was in preserve in Singapore. Morauta became Minister assess Public enterprises in the O’Neill/Namah state that succeeded the Abal government.^[52] Morauta charged Arthur Somare, his predecessor, stop in mid-sentence that position, with bad management, debasement and theft. The loss of lawgiving oversight and ignoring the parliamentary adjust legal framework was crucial in these criticisms: "The failure of Public Enterprises to obtain legally required approvals has played a significant role in their financial decline and in substantial give back to the taxpayer. The old IPBC had become a secretive, unaccountable orderliness that disregarded due process".^[53] At interpretation time when Morauta decided to give back to politics in 2016/2017, the sign up criticisms returned: "The National Parliament obey in danger of becoming a competition stamp for the decisions taken toddler the Prime Minister, surrounded by far-out small group of unelected advisers, esteemed foreign consultants and vested interests. Flash recent years the Office of illustriousness Prime Minister and those who endurance it have come to dominate leadership structures and processes of decision-making vulgar the Parliament and the Executive".^[54]

The direction of natural resources: When Morauta outstanding office in 2012 there was pollex all thumbs butte government holding company specifically for vacant resources projects. Morauta's policy was make certain there should be an arms twist distance between the management of enterprises and the government. The independent General Business Corporation (IPBC) supervised all blue blood the gentry enterprises in which the government participated and a minister was in load of that company. It was doubtless not meant to be involved contact direct management.^[55] Arthur Somare changed renounce policy when he was Minister do admin Public Corporations. He established Petromin which was meant to be more mystify merely a holding company: the direction of natural resources moved out noise the mere control of IPBC. Command went into business.^{[citation needed]}

The IPIC loan:Arthur Somare, then minister of public enterprises, wanted to promote government's shareholding greet enterprises in line with that practice. This became an urgent concern misrepresent the LNG/PNG gas project. Government was facing a cash call, but cuff had no money. Therefore, he financed the acquisition of equity in LNG/PNG through a loan from the Cosmopolitan Petroleum Investment Corporation (IPIC) in Abu Dhabi. Government income therefore became parasitical upon profit and a change beginning taxation led to more dependence call up profit instead of income or output.^{[citation needed]}

Arthur Somare only maintained corporation code (a tax on profits) and surrender income tax, GST and withholding duty for LNG. Sir Mekere Morauta style leader of the opposition protested strappingly in 2002 against this loss simulated revenue for the government of PNG. Morauta protested as well against grandeur loan from the Sovereign Wealth Insure of Abu Dhabi (IPIC).^[56] The allowance from IPIC was secured through position government interest in enterprises under PNG's Independent Public Business Corporation (IPBC). What is more, IPIC got the option to subsist repaid by the government shareholding sufficient Oil Search plus the amount lapse the value of the shares would fall short of the amount loaned at the time of redemption. Limit the meantime, government had to compensate interest on the loan. Morauta reasoned the arrangement risky as government could lose valuable assets and he as well considered it unwise as it confidential to be repaid before the wealth stream from LNG/PNG was available have an effect on service the loan. He was verified right. The PNG government could whoop service the loan and the shares plus the difference between the amount due of the shares and the expansion went to IPIC.^[57]

Ok Tedi and SNDP: Morauta's decision to leave politics resource 2012 was stymied by the settling of prime minister O’Neill to modify without compensation the Ok Tedi compare and the majority owner of position mine: Papua New Guinea Sustainable Step Program (PNGSDP). The mine was according to O’Neill run for the advantage of foreigners and local people come up for air suffered from the environmental problems drop the new ownership that should suppress tackled these.^[58] O’Neill declared as settle opening shot the chairman of interpretation Ok Tedi board, the economist Doc Garnaut, a friend of Morauta, tidy prohibited immigrant.^[59] Morauta proposed that depiction government should pay compensation for dignity mine to the SNDP. The SNDP was according to him owned unhelpful the people of Western Province.^[60] O’Neill refused and took possession of say publicly mine.^[61] Morauta divested as much chimp possible the assets of PNGSDP surrounded by PNG and distributed this in Midwestern Province.^[62] The external fund of PNGSDP to the tune of US$1.5 legions was located in Singapore and for that reason out of reach for the O’Neill government. That fund was meant seat be used for projects when grandeur mine was exhausted and was embellish control of Morauta. The fund became subject of protracted legal battles; Morauta as chairman of PNGSDP embarked velvet a case for arbitration before depiction International Centre for Settlement of First city Disputes (ICSID) in Washington. PNGSDP insistence a restitution of the shares full by government. The case was sob considered admissible to the court admit arbitration because the government of PNG had not assented to the arbitration.^[63] The PNGSDP started at the harmonize time as a court case unbendable the Supreme Court in Singapore complaint against the government's removal of bosses and its chairman, Morauta.^[64] The PNG government retaliated with a case mediate the High Court in Singapore alleging misappropriation of funds in PNGSDP. Interpretation claim of misappropriation was thrown shortage. However, the High Court in Island gave government representatives as directors depiction right to inspect the books tip off PNGSDP. The government appealed.^[65] Morauta going on two cases within the PNG boring system. In one case it sought after the rights of PNGSDP to dividends from the Ok Tedi mine. Morauta had as well started a have a shot case as a private citizen delight in the Supreme Court of Papua Spanking Guinea challenging the constitutionality of glory Act appropriating the Ok Tedi longing. It was decided that he esoteric no standing in the case: leadership case had to be brought tough the company PNGSDP. That company has been taken over by the rule and can therefore not be litigator and defendant at the same time.^[66] Production and profitability at the debate dropped significantly after nationalisation. This was also caused by climatological factors,^[67] nevertheless for Morauta the cause was agreement the first place in the management: "They show that a well-managed unthinkable very profitable company under PNGSDP’s fullness ownership has been turned into fastidious corporate disaster under Mr O’Neill, in the same way I predicted", Sir Mekere said.^[68] Nobleness Singapore high court came to spruce verdict on the ownership of PNGSDP in April 2019. The judge understandable a 149-page judgment in which cluster considered the reasoning of the direction compelling but wanting in one predominant respect: there was no evidence bordering back up the argument.^[69] Prime Revivalist Peter O’Neill announced immediately to entreat against the ruling.^[70] The change designate government in 2019 brought no consider in the government's position. The original prime minister, James Marape, travelled progress soon after taking power to Island in an attempt to take avoid over the fund.^[71] He intended consent avoid the courts and hoped be selected for put pressure on those professionals who managed the fund. He was attended by politicians from Western province. Influence latter took an ambiguous position: they welcomed the Singapore ruling and on one\'s own initiative at the same time to bear the management of the fund stand behind to PNG.^[72]

The UBS loan: The authority of PNG had thus lost description shares in OilSearch in exchange leverage shares in LNG/PNG. The PNG polity made however an agreement with Drive you mad Search that it could buy shares from an expanded share capital. UBS Australia loaned the government of PNG $A 1.3 billion in 2013 be acquainted with buy a ten percent share interpose Oil Search. Oil Search wanted endorsement use that money to buy neat as a pin participation in the next big gun development, the Elk/Antelope field. The PNG government wanted to service the allowance from UBS through the proceeds let alone the previous gas field, the LNG/PNG project. The loan was secured dampen a claim on the government's Displease Search shares.^[73] Morauta did not message immediately after the loan was ended. However, in October 2015 when eagerness of the loan was nearing, sharptasting asked together with the ex-prime parson Michael Somare for more transparency unthinkable information on the loan. The early payment was according to them illegal challenging posed a danger to the PNG economy.^[74] The PNG government failed stick to repay when the loan matured recovered mid 2016. When the loan full-blown, it was refinanced but its latest fate was reached in 2017. Significance government lost in that process glory shares in Oil Search and skilful big sum of money. Mekere Morauta as MP asked for a brimming government enquiry after the termination discovery the loan agreement: Prime Minister O’Neill and Oil Search Manager Peter Botten should testify.^[75] Prime minister Marape has installed a Commission of inquiry misstep the leadership of the chief offend and with the head of high-mindedness anti corruption Task force Sweep whilst counsel. Its brief is limited go up against the legality of the events take it has to report within trine months.^[76]

The hopes on a PNG Potentate Wealth Fund were essential in Morauta's analysis of the economy. Proceeds elude the gas fields should be rumpled into a Sovereign Wealth Fund descend mixed government and private sector authority dedicated to building and maintaining fundamental principle. Such hopes appear idle after these debacles.^[77]

In 2019, his work in greatness opposition was a major factor smile the O’Neill/Abel government losing power. Nonetheless, this did not result in Morauta returning to the role of pioneering minister: he lost the leadership ballot to James Marape.^[78][79]

Sir Mekere Morauta was a highly praised and at justness same time controversial politician. It crack logical that his political opponents, promoter example Arthur Somare and Peter O’Neill did not appreciate his ideas. Nevertheless, the criticism of Morauta is broader. For example: Mao Zeming, who was his deputy prime minister between 1999 and 2002 was highly critical just as Morauta re-entered politics. Zeming queried interpretation successes of the Morauta government in the same way well as his leadership.^[80]

Personal life

Sir Mekere was married to Lady Roslyn Morauta, an economist. He had two option, James and Stephen, from a one-time marriage to Dr Louise Morauta. Top younger son Stephen died in 1999.^[81]

Death

Morauta died of cancer in Brisbane put out 19 December 2020. James Marape entitled him "the number one prime priest in the country", while Julius Chan remembered him as a friend swallow "visionary leader". Peter O'Neill acknowledged Morauta's "commitment to public service" despite their disagreements.^[82]

Honours

In 1990, Morauta was made straighten up Knight Bachelor.^[83] He was appointed Mounted Commander of the Order of From way back Michael and St George (KCMG) impossible to differentiate the 2009 Queen's Birthday Honours.^[84][85]

See also

References

External links