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Introduction and Outline |
| A |
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Role and Status of this Agreement |
| B |
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Autonomy |
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1 |
Objectives of Autonomy |
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2 |
Boundaries |
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3 |
Bougainville Constitution |
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Developing the Bougainville Constitution |
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Constitutional Commission to Develop Proposals |
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Constituent Assembly to Debate & Adopt Bougainville Constitution |
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Establishing the Constituent Assembly. |
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Principles & Standards for Development & Contents of Constitution |
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Endorsement of Bougainville Constitution |
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Coming into Effect of Bougainville Constitution |
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Legal Status of Bougainville Constitution |
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Amendment of Bougainville Constitution |
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4 |
Structures of the Autonomous Bougainville
Government |
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Legislature |
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Executive |
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Judiciary |
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Other Government Institutions. |
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Considerations Concerning Decisions on Bougainville
Institutions |
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Accountability of Government Institutions |
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Interim and Transitional Arrangements |
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Constitutional Office-holders. |
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Appointments to Constitutional Office-holders & Heads of Services |
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Bougainville Salaries and Remuneration
Commission |
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5 |
Division of Powers and Functions |
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Two List System for Dividing Powers and
Functions |
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Basis for Drafting Lists in Constitutional Laws |
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National Government List of Powers and Functions |
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Bougainville List of Powers and Functions |
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Bougainville to Respect PNG’s International
Obligations |
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Subjects Not Now Known or Identified |
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Transfer or Delegation of Powers and Functions |
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6 |
Agreed
arrangements concerning exercise of national government powers
in relation to Bougainville |
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a |
Defence |
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Other Activities |
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Implementation |
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b |
Foreign Relations |
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Regional Organisations |
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International Agreements – Bougainville’s
Role |
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Future Treaties |
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Border Agreements |
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Sporting and Trade Missions |
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c |
Immigration - Visas and Work Permits |
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d |
Quarantine |
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e |
Fisheries |
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f |
Central Banking Responsibilities |
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g |
International Civil Aviation, International
Shipping, International Trade, and Posts |
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h |
Telecommunications |
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7 |
Transfer of Powers and Functions |
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a |
Process for Transfer |
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Initiating Transfers |
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Initial Powers and Functions |
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Notice of Additional Transfers |
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Implementation |
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National and Regional Institutions and Services |
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Delegation of Powers over Public Service, Police and
CIS |
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Agreed Plans for Implementation |
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b |
Associated Arrangements |
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National Government Assets and Land |
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Privatisation Issues |
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8 |
Human Rights |
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9 |
Financial Arrangements |
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a |
Basic Principles |
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b |
Taxation |
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c |
Grants System |
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d |
Recurrent Grants |
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e |
Restoration and Development Grant |
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f |
Conditional Grants |
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g |
Borrowings - Revenue Raisings |
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h |
Establishment Grant |
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i |
Foreign Aid |
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j |
Fiscal Accountability |
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k |
Follow Up Audits |
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10 |
Personnel |
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a |
Provisions applying generally to Public Service,
Police |
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Implementation as Packages |
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Application to Other Bodies |
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Constitutional Basis |
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Recruitment, Employment and Industrial Relations |
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Oath of Allegiance |
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National Public Service, Police and CIS |
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Co-operative Arrangements |
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b |
Public Service |
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Control .. |
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Bougainville Law. |
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Institutional Arrangements |
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Information and Monitoring |
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Appeal and Review of Public Service Matters |
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National Public Service Offices in Bougainville |
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Phased Implementation, Interim Arrangements & Transitional
Period |
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c |
Police |
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Control and Command. |
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Head of Bougainville Police |
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Functions of Bougainville Police |
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Role of RPNGC |
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Training, Rank Structure and Uniforms of Bougainville
Police |
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Co-operative Policing |
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Funding |
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Emergencies and Other Support |
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Transitional Arrangements for Bougainville Policing |
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d |
Correctional Institutional Service |
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Control |
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Head of Bougainville CIS. |
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Functions of Bougainville CIS |
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Training, Rank Structure and Uniforms of Bougainville
CIS. |
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Co-operation |
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Funding |
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Transitional Arrangements for Bougainville CIS |
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11 |
Intergovernmental Relations |
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Joint Supervisory Body |
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Settling Disputes |
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No Suspension or Withdrawal of Powers |
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Consultations |
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12 |
States of Emergency |
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13 |
Judiciary |
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Bougainville Courts |
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Jurisdiction of Bougainville Courts |
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Appeals |
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Interpreting National and Bougainville Constitutions |
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Appointment of Judges for Bougainville Courts |
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Operation of National Judicial System |
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Phased Implementation Plan |
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Costs of Establishing Bougainville Courts |
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14 |
Criminal law |
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15 |
Regular Review of Autonomy
Arrangements |
| C |
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Agreed
Principles on Referendum |
| D |
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Amendment of
Constitutional Arrangements |
| E |
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Weapons
Disposal |
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1 |
Endorsement of Weapons Disposal
Plan |
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Peace Process Consultative
Committee (PPCC) |
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PPCC
Resolution on Weapons Disposal |
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PPPC Sub-Committee |
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Implementation |
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Stage 1 |
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Stage 2 |
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Stage 3: final fate of the
weapons |
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Verification and other practical considerations |
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International Aspects |
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Reconciliation |
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2 |
Weapons Disposal - Mandates of
UNOMB and PMG |
| F |
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Other Matters |
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1 |
Amnesty and Pardon |
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2 |
Resolving Disputes during
Implementation |
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3 |
Reconciliation and Unified
Structures for Bourgainville |
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a |
Reconciliation |
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b |
Bougainville commitment to
Unified Structures |
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Statement of Commitment to
Unified Structures |
Introduction and Outline
This agreement is a joint creation by the Government of the Independent State of Papua
New Guinea and Leaders representing the people of Bougainville ("the Parties") to
resolve the Bougainville conflict and to secure a lasting peace by peaceful means.
It is intended to further the objectives of The Burnham Truce, the Lincoln and Ceasefire
Agreements and other agreements and understandings between the parties.
This Agreement will be implemented through consultation and co-operation, and will
form the basis for drafting constitutional amendments and other laws in order to give
legal effect to this Agreement.
The Bougainville Parties will work through the autonomous Bougainville Government
when it is formed.
The Agreement has three pillars. They are as follows.
1. Autonomy: The Agreement provides for arrangements for an autonomous Bougainville
Government operating under a home-grown Bougainville Constitution with a right to
assume increasing control over a wide range of powers, functions, personnel and
resources on the basis of guarantees contained in the National Constitution.
2. Referendum
The agreement provides for the right, guaranteed in the National Constitution, for a
referendum among Bougainvilleans on Bougainville’s future political
status.
The choices available in the referendum will include a separate independence for
Bougainville.
The referendum will be held no sooner than ten years, and in any case no later than
fifteen years, after the election of the autonomous Bougainville Government.
The actual date of the referendum will be set taking account of standards of good
governance and the implementation of the weapons disposal plan.
The outcome of the referendum will be subject to ratification (final decision making
authority) of the National Parliament.
3. Weapons Disposal Plan
The agreed weapons disposal plan will proceed in stages, area by area around
Bougainville, beginning as soon as is practicable. After the constitutional amendments implementing this Agreement have been passed
by the National Parliament and by the time they take legal effect, remaining Defence
Force and Police Mobile Unit personnel will have been withdrawn from Bougainville
and weapons will be held in secure containers.
The containers will have two separate locks with the key to one held by the
United
Nations Observer Mission on Bougainville (UNOMB) and the other by the relevant
ex-combatant Commander.
The UNOMB will verify that all parties are acting in accordance with the agreed
weapons disposal plan.
A decision on the final fate of the weapons should be taken within four and a half
months of the constitutional amendments coming into effect.
THE PARTIES AGREE AS FOLLOWS:
A. Role and Status of this Agreement
1. This Agreement is the basis for drafting the constitutional amendments and other
laws, which the National Government will move to provide for implementation.
2. The implementing Constitutional and other laws will state that they are intended
to give legal effect to this Agreement.
3. This Agreement:
(a) will be used as a guide for implementation and to assist the Courts
in interpreting the Constitutional and other laws, which give legal
effect to this agreement;
(b) is intended to be interpreted liberally, by reference to its intentions,
and without undue reference to technical rules of construction.
B. Autonomy
1. Objects of Autonomy
4. On the basis of shared acceptance of the sovereignty of Papua New
Guinea, the
agreed autonomy arrangements are intended to:
(a) facilitate the expression and development of Bougainville identity
and the relationship between Bougainville and the rest of Papua
New Guinea;
(b) empower Bougainvilleans to solve their own problems, manage
their own affairs and work to realize their aspirations within the
framework of the Papua New Guinea Constitution;
(c) promote the unity of Papua New Guinea;
(d) provide for a democratic and accountable system of government
for Bougainville that meets internationally accepted standards of
good governance, including protection of human rights;
(e) ensure respect for the international obligations of Papua New
Guinea, as well as the interests of Bougainville when Papua New
Guinea enters into new international obligations;
(f) enable the National Government and the autonomous Bougainville
Government to exercise their constitutional roles effectively and
co-operatively;
(g) provide sufficient personnel and financial resources for the
autonomous Bougainville Government to exercise its powers and
functions effectively;
(h) maintain a mutually acceptable balance of interests between the
interests of Bougainville and Papua New Guinea as a whole,
including equity between different parts of the country.
2. Boundaries
5. Bougainville’s jurisdiction will extend to sea-areas where the National
Government has power.
6. The Constitutional Laws implementing the agreed autonomy arrangements will
define Bougainville territory as extending to three nautical miles out to sea from
the coasts of islands within the boundaries specified in the Organic Law on
Provincial Boundaries.
7. The National Government and the autonomous Bougainville Government will
develop agreed arrangements for co-operation in the exercise of their respective
powers and functions at sea.
8. The National Government and the autonomous Bougainville Government will
agree to equitable arrangements (additional to those agreed for fishing) for
sharing revenues from activities in areas of sea and seabed beyond the guaranteed
three-mile limit and within the Exclusive Economic Zone and the continental
shelf associated with Bougainville territory.
9. The question of whether Bougainville’s maritime boundaries should be extended
beyond those agreed above will be determined through consultation between the
National Government and the autonomous Bougainville Government, bearing in
mind:
(a) the mutual benefits that Bougainville and Papua New Guinea as a
whole gain from Papua New Guinea’s archipelagic status; and
(b) the agreed autonomy arrangements.
3. BOUGAINVILLE CONSTITUTION
Bougainville Constitution
10. There will be a constitution for Bougainville (‘the Bougainville Constitution’).
11. The Bougainville Constitution will provide for the organisation and structures of
the government for Bougainville under the autonomy arrangements (‘the
autonomous Bougainville Government’) in a manner consistent with this
Agreement.
12. Relations between the National Government and the autonomous Bougainville
Government will be regulated in accordance with the National Constitution and
will not be the subject of provision in the Bougainville Constitution except as
specifically provided elsewhere in this Agreement.
13. The Bougainville Constitution will provide for the names of Bougainville and the
autonomous Bougainville Government.
Developing the Bougainville Constitution
14. The Bougainville Interim Provincial Government in consultation with the
Bougainville People’s Congress will establish a Constitutional Commission and a
Constituent Assembly to make the Bougainville Constitution.
15. (a) The National Government will be kept informed and allowed adequate
opportunity to make its views known as proposals for the Bougainville
Constitution are developed.
(b) Before the Bougainville Constitution is adopted by the Constituent
Assembly, there will be consultation with the National Government about
the contents of the draft Constitution.
Constitutional Commission to Develop Proposals
16. A Constitutional Commission broadly representative of the people of
Bougainville will make proposals for a Bougainville Constitution.
17. The Constitutional Commission will consult widely with the people of
Bougainville to understand their views on a Constitution for Bougainville, and
will prepare a draft Bougainville Constitution for consideration by the Constituent
Assembly.
Constituent Assembly to Debate and Adopt Bougainville Constitution
18. The people of Bougainville, through a representative Constituent Assembly, will
consider the draft Bougainville Constitution.
19. The Constituent Assembly will debate and may amend the draft Bougainville
Constitution, and will adopt the Constitution in the manner set out in this clause.
Establishing the Constituent Assembly
20. The parties will co-operate in facilitating the establishment of the Constituent
Assembly.
Principles and Standards for Development and Contents of Constitution
21. Subject to other provisions of this Agreement, the arrangements used to establish
the Bougainville Constitution and the structures and procedures for the
autonomous Bougainville Government established under it will meet
internationally accepted standards of good governance.
Endorsement of Bougainville Constitution
22 (a) Following adoption of the Bougainville Constitution, the Constituent
Assembly shall transmit a copy of that Constitution to the National
Executive Council.
(b) Upon being satisfied that the requirements of the National Constitution for
the Bougainville Constitution have been met, the National Executive
Council shall advise the head of State to endorse that Constitution.
23. The National Government will gazette the Bougainville Constitution upon its
endorsement by the Governor-General.
24. The constitutional amendments will include an agreed procedure to ensure that
the Bougainville Constitution can be brought into effect without delay.
Coming into Effect of Bougainville Constitution
25. The Bougainville Constitution will come into effect on a date after its
endorsement by the Head of State, and in the manner provided for in that
Constitution.
Legal Status of Bougainville Constitution
26. The Bougainville Constitution will be supreme law as regards matters that fall
within Bougainville’s jurisdiction, and Bougainville laws and institutions will be
required to be consistent with the Bougainville Constitution. The Bougainville
Constitution will be enforceable:
(a) in the Supreme Court; and
(b) the Bougainville courts, to the extent provided for in the
Bougainville Constitution.
Amendment of Bougainville Constitution
27. The Bougainville Constitution may be amended only by the Bougainville
legislature following a procedure and requirements (inclusive of voting majority)
as may be prescribed by the Bougainville Constitution.
4. STRUCTURES OF THE AUTONOMOUS BOUGAINVILLE GOVERNMENT
Legislature
28. The Bougainville Constitution will provide that the institutions of the
autonomous Bougainville Government will include a legislature which shall be a
mainly elected body, but may also include members appointed or elected to
represent special interests, such as women, youth, churches.
Executive
29. The Bougainville Constitution will provide for the autonomous Bougainville
Government to include an accountable executive body.
30. There will be a head of the executive whose title, method of appointment, and
powers and functions will be specified in the Bougainville Constitution.
Judiciary
31. The Bougainville Constitution may provide for an impartial judiciary for
Bougainville, or may provide for Bougainville to operate either in full or in part
under courts established under the national Constitution.
Powers and Functions of Legislature, etc.
32. The powers, functions and procedures of the legislature, executive and judiciary
will be as specified by or under the arrangements in this Agreement and the
Bougainville Constitution.
Other Government Institutions
33. The Bougainville Constitution may establish other institutions that may be
required for the autonomous Bougainville Government to carry out its powers and
functions effectively, including institutions responsible for public administration
provided for elsewhere in this Agreement (such as bodies to administer separate
public service, police, teaching service and correctional institutional services
bodies) and local government bodies.
Considerations Concerning Decisions on Bougainville Institutions
34. Decisions made by both the Constituent Assembly and the legislature of the
autonomous Bougainville Government about establishing institutions proposed to
be part of the autonomous Bougainville Government shall be made only
after
considering the costs likely to be involved in such decisions and the
administrative capacity necessary to implement them. Such decisions include
those about:
(a) the number of seats in the Bougainville legislature from time to
time;
(b) the courts within the Bougainville judiciary;
(c) provision in the Bougainville Constitution for institutions other
than the legislature, the executive and the judiciary.
Accountability of Government Institutions
35. The Bougainville Constitution will make provision for the accountability of all
institutions created under it.
36. Provision in relation to accountability will include arrangements concerning a
public accounts committee of the legislature, audit of provincial accounts and
management of the revenue funds and accounts of the autonomous Bougainville
Government.
Interim and Transitional Arrangements
37. Until the autonomous Bougainville Government is established through elections,
the Bougainville Interim Provincial Government will continue to operate in
accordance with the Organic Law on Provincial Governments and Local-level
Governments and also in accordance with arrangements already agreed between
the Bougainville parties.
38. When the Organic Law on Provincial Governments and Local-level Governments
ceases to apply in Bougainville and the autonomous Bougainville Government is
established, the Bougainville Interim Provincial Government and the Bougainville
People’s Congress will cease to exist.
Constitutional Office-holders
39. Bougainville will have the power to create independent Constitutional Officeholders
to carry out powers and functions within Bougainville’s constitutional
responsibilities.
40. National Constitutional Office-holders will continue to carry out their
responsibilities in areas of national jurisdiction in Bougainville.
41. National Government and Bougainville Constitutional Office-holders may enter
into cooperative or agency arrangements to avoid gaps and duplication and to
encourage common standards.
42. The autonomous Bougainville Government will bear the cost of creating and
maintaining Constitutional Office-holders in Bougainville.
Appointments to Constitutional Office-holders and Heads of Services
43. The bodies established by or under the Bougainville Constitution to make
appointments of Bougainville judges, other constitutional office-holders, and
heads of the Bougainville Police and any body equivalent to the Correctional
Institutional Services shall include two nominees of the National Government.
Bougainville Salaries and Remuneration Commission
44. (a) The autonomous Bougainville Government may establish its own
independent Salaries and Remuneration Commission under the
Bougainville Constitution to recommend the salaries and other conditions
of elected leaders, Constitutional officeholders and statutory heads
(including heads of the Bougainville Police and any body equivalent to the
Correctional Institutional Services) appointed under that Constitution; the
autonomous Bougainville Government will meet any additional costs.
(b) The recommendations made by the Bougainville Salaries and
Remuneration Commission will take full account of advice from the
National Salaries and Remuneration Commission concerning the
maintenance of relativities of pay and conditions with those for similar
offices in other parts of Papua New Guinea and at the National level.
(c) The Bougainville legislature will have the power to accept or reject (but
not to amend) recommendations from the Bougainville Salaries and
Remuneration Commission.
45. (a) The National Salaries and Remuneration Commission will continue to
recommend the salaries and other conditions of elected leaders,
Constitutional officeholders and statutory heads appointed under the
Bougainville Constitution until and unless the autonomous Bougainville
Government establishes its own Salaries and Remuneration Commission.
(b) The autonomous Bougainville Government will be represented on the
National Commission when it deals with positions under the Bougainville
Constitution.
5.
DIVISION OF POWERS AND FUNCTIONS
Two List
System for Dividing Powers and Functions
Basis for Drafting Lists in Constitutional Laws
46. Powers and functions will be divided between the National Government and the
autonomous Bougainville Government by allocation to two comprehensive lists.
47. Those lists will be as exhaustive as possible of known and identifiable powers
and functions of government.
48. The parties may be required to further consult and agree on issues that arise
during the drafting of the constitutional amendments relating to how particular
powers are to be described and where particular aspects of powers and functions
belong.
49. The Constitutional Laws implementing this Agreement will provide an agreed
mechanism to deal with possible overlap or conflict between the two lists.
National Government List of Powers and Functions
50. Consistent with national sovereignty, the National Government will exercise
powers and functions on the National Government list in relation to Papua New
Guinea as a whole, including Bougainville.
51. The agreed National Government list is as follows:
• Defence;
• Foreign relations;
• Immigration;
• Highly migratory and straddling fish stocks;
• Central Banking;
• Currency;
• International civil aviation;
• International shipping
• International trade;
• Posts;
• Telecommunications;
• Powers required for direct implementation of the National
Constitution, as amended in implementation of this Agreement (for
example, citizenship, national elections);
• All other powers for which the National Government is responsible
under other provisions of this Agreement.
Bougainville List of Powers and Functions
52. The list of powers and functions of the autonomous Bougainville Government
will:
(a) include all known or identifiable powers not on the National
Government list, beginning with the powers that have been
available to provincial governments under the National
Constitution;
(b) be developed during the drafting of the Constitutional Laws
implementing this Agreement.
53. The Bougainville list will include the power to decide on foreign investment
applications for Bougainville, and the autonomous Bougainville Government may
establish its own administrative mechanism in relation to foreign investment
matters for Bougainville.
Bougainville to Respect National Government’s International Obligations
54. The powers and functions of the autonomous Bougainville Government will be
subject to Papua New Guinea’s international obligations and human rights:
(a) existing international obligations of the National Government will
remain in place;
(b) the National Government will consult the autonomous
Bougainville Government before new obligations are entered into.
55. For the sake of clarity, the parties agree that the international obligations which
apply to Bougainville include treaties and other written international agreements
to which the National Government is or becomes a party.
56. The National Government and the autonomous Bougainville Government will
resolve any differences over Papua New Guinea’s obligations arising from
generally accepted rules of international law through the agreed dispute resolution
procedures.
Subjects Not Now Known or Identified
57. Consistent with the agreed process for the transfer of powers, any subject not
listed on either list will remain initially with the National Government, provided
that:
(a) where either of the Governments wishes to legislate on a subject
which is not clearly on either list, it will consult the other with a
view to reaching agreement on which government should be
responsible for the subject;
(b) if either Government passes a law on an unlisted subject, then the
other may, if it disagrees, contest it through the agreed dispute
settlement procedures;
(c) any dispute over which of the Governments is responsible for a
power or function will be resolved by applying the principles
governing the division of powers in this Agreement.
Transfer or Delegation of Powers and Functions
58. Either Government may, by agreement, transfer or delegate powers and functions,
including financial powers and functions, to the other.
6. AGREED ARRANGEMENTS CONCERNING EXERCISE OF NATIONAL
GOVERNMENT POWERS IN RELATION TO BOUGAINVILLE
59. Powers and functions on the National Government list shall be exercised in
relation to Bougainville in accordance with the arrangements set out in this
Agreement.
(a) DEFENCE
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60. The National Government will exercise this responsibility in Bougainville in
accordance with this agreement and arrangements made under it.
61. The Papua New Guinea Defence Force (PNGDF) remains a national organization
which recruits throughout Papua New Guinea
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Maritime and Border Surveillance, Search and Rescue, Assistance in Natural
Disasters, etc.
62. (a) The PNGDF will continue to assist in meeting Papua New Guinea’s
international obligations as well as carrying out maritime and border
surveillance and enforcement.
(b) The National Government will be able to send PNGDF personnel to
Bougainville for purposes of search and rescue and assistance in natural
disasters and other humanitarian emergencies in response to requests from
the autonomous Bougainville Government, or by giving prior notice to
agreed points of contact in Bougainville.
63. (a) The parties will co-operate in assisting the PNGDF to carry out the above
activities.
(b) In the interests of transparency and mutual confidence-building, the
National Government and the autonomous Bougainville Government will
make arrangements for officials of the autonomous Bougainville
Government to participate actively in the Bougainville-based aspects
(including maritime aspects) of the above activities.
Other Activities
64. After the withdrawal of the PNGDF from Bougainville in accordance with the
agreed weapons disposal plan, other PNGDF activities in Bougainville will be on
a co-operative basis following consultation between the autonomous Bougainville
Government and the National Government.d
65. (a) The parties will conclude an agreed arrangement that, in respect of
land based
activities and facilities in Bougainville, they accept that -
(i) the PNGDF requires immediate access to wharves,
airfields, refueling, stores and associated facilities;
(ii) the National Government has no immediate plans for the
PNGDF to have facilities, a base or a permanent presence
in Bougainville after phased withdrawal in implementation
of the agreed plan for weapons disposal;
(iii) the National Government will consult the autonomous
Bougainville Government before finalising any plans to
develop any of the above for the PNGDF in Bougainville;
and
(iv) PNGDF personnel in Bougainville after phased withdrawal
in implementation of the agreed weapons disposal plan
will be unarmed.
(b) While the agreed arrangement will not be embodied in the National
Constitution or an Act of the National Parliament, any disputes over it
may be subject to the agreed disputes resolution procedures.
66. The parties will meet at an early, mutually convenient time to consider developing
an agreed plan for civic action by the PNGDF to assist in restoration and
development in Bougainville.
67. The need for any additional PNGDF facilities in Bougainville will be addressed in
the agreed five-yearly reviews.
Implementation
68 (a) The National Government and the autonomous Bougainville Government
will establish agreed procedures to give effect to the above.
(b) Consultations and resolution of any disputes over defence will be in
accordance with these provisions and the agreed dispute resolution
procedures.
(b) FOREIGN RELATIONS
69. The two Governments will establish mechanisms for consultation in agreed areas
of foreign affairs.
Regional Organisations
70. The National Executive Council may allow Bougainville to send a representative
or observer to regional meetings and organisations.
71. The autonomous Bougainville Government may nominate a representative to be
included in National Government delegations to regional meetings and
organisations of clear special interest to Bougainville.
72. The autonomous Bougainville Government will meet any additional costs arising
from its participation.
International Agreements – Bougainville’s Role
73. The autonomous Bougainville Government may request the National
Government’s assistance or concurrence through an agreed mechanism for the
autonomous Bougainville Government to participate or engage directly in the
negotiation of international agreements of particular relevance to Bougainville.
74. The autonomous Bougainville Government will respect the National
Government’s authority regarding international agreements.
Future Treaties
75. An international agreement negotiated or signed with a purpose of altering the
agreed autonomy arrangements will take effect only with the agreement of both
the National Government and the autonomous Bougainville Government.
76. If a disagreement arises between the National Government and the autonomous
Bougainville Government as to whether an international agreement has been
negotiated or signed with such a purpose, the matter will be resolved through the
agreed dispute resolution procedures.
Border Agreements
77. The autonomous Bougainville Government will have a representative in National
Government Delegations engaged in the negotiation of new border agreements
with Solomon Islands.
78. Future border agreements (other than those concerning defence or national
security aspects) which affect the jurisdiction of the autonomous Bougainville
Government will take effect only by agreement between the National Government
and the autonomous Bougainville Government.
Sporting and Trade Missions
79. The two Governments will consult over appropriate forms of cooperation for
Bougainville to participate or engage in international cultural exchanges; trade,
investment and tourism promotion; and sport.
(c) Immigration - Visas and Work Permits
80. The autonomous Bougainville Government may recommend names to the
National Government for inclusion on or removal from the Visa Warning List
81. Applications for Work Permits and Employment Visas for Bougainville will be
referred by the relevant National Government agency to the autonomous
Bougainville Government for recommendation.
82. The autonomous Bougainville Government may submit lists of occupations and
industries for which Work Permits and Employment Visas should not be issued
for Bougainville.
83. The autonomous Bougainville Government will establish appropriate machinery
for implementation, including the sharing of information.
(d) QUARANTINE
84. The autonomous Bougainville Government may act as agent for the National
Government in providing quarantine services
(e) FISHERIES
85. The National Government will provide for the autonomous Bougainville
Government to be represented on:
(a) delegations negotiating access and other fisheries agreements
regarding Bougainville waters and waters beyond the guaranteed
three nautical mile limit and within the Exclusive Economic Zone
and the continental shelf associated with Bougainville territory;
and
(b) bodies responsible for determining total allowable catches, licence
numbers and reservation of licenses for domestic fishers in such
waters.
86. An agreed formula (based on derivation less costs) will provide for National
Government fishing revenues from fishing in those waters to be distributed to the
autonomous Bougainville Government.
87. The autonomous Bougainville Government will decide on the allocation of an
agreed quota of domestic fishing licenses for highly migratory and straddling fish
stocks.
88. The autonomous Bougainville Government will be responsible for the sustainable
management of other fisheries in Bougainville’s waters.
(f) CENTRAL BANKING RESPONSIBILITIES
89. The National Government will makes its best efforts to assist the autonomous
Bougainville Government assume powers to supervise non-banking financial
institutions.
90. The National Government will make its best efforts to assist in the establishment
of a commercial bank in Bougainville.
91. As part of the agreed review process, the National Government and the
autonomous Bougainville Government will consult on what other central banking
responsibilities it might be appropriate for Bougainville to assume after fiscal
self-reliance. The National Government will then make its best efforts to assist
Bougainville assume those powers agreed upon.
(g) INTERNATIONAL CIVIL AVIATION, INTERNATIONAL SHIPPING,
INTERNATIONAL TRADE, AND POSTS
92. The National Government will delegate control
of aspects of international civil
aviation, international shipping, international trade, and posts to the autonomous
Bougainville Government, including:
(a) management of non-aviation aspects of airport terminals in
Bougainville;
(b) management of postal services;
(c) issuing of Bougainville stamps, provided they display the words
“Papua New Guinea”; and
(d) other aspects as may be agreed from time to time.
(h) TELECOMMUNICATIONS
93. The parties agree on the need to facilitate the development of a
telecommunications system capable of reaching people throughout Bougainville,
and will co-operate to bring about the development of such a system, including
such private sector participation as may be appropriate and agreed.
94. The regulatory and legislative regime, including licensing, administered by
PANGTEL will apply to the development of telecommunications in Bougainville,
unless the National Government and the autonomous Bougainville Government
otherwise agree.
95. Within the PANGTEL legislative and regulatory regime, the autonomous
Bougainville Government may itself or by agreement with a third-party
telecommunications carrier provide telecommunications services in Bougainville.
96. The National Government and the autonomous Bougainville Government will
consult with a view to ensuring that Bougainville’s interests are taken into
account –
(a) in respect of privatization or changes to the legislative and
regulatory regime for telecommunications; and
(b) if the autonomous Bougainville Government wishes to increase the
powers and functions available to it in relation to
telecommunications in Bougainville,
bearing in mind available technology, the economic interests of other parts of
Papua New Guinea, and relevant aspects of national security.
97. In the event that the autonomous Bougainville Government sees a need to change
existing laws and policy or wishes to assume additional powers and functions in
respect of telecommunications, the autonomous Bougainville Government or the
National Government may refer the matter to the joint supervisory
body.
98. The joint supervisory body may, by agreement, appoint a panel of experts to
prepare a report, bearing in mind the mutual benefits Bougainville and the rest of
Papua New Guinea seek to pursue through their joint creation of the agreed
autonomy arrangement as a whole.
99. The membership of the panel will be mutually agreed; the costs will be shared;
the report, which will be submitted by an agreed date, may be tabled in the
National Parliament and the Bougainville legislature.
100. (a) Any proposal for a telecommunications carrier in Bougainville to develop
its own international links will be subject to the national legislative and
regulatory regime.
(b) Any differences between the autonomous Bougainville Government and
the National Government over such a proposal or a relevant provision of
the legislative and regulatory regime will be resolved through
consultation, the expert panel and, if differences persist, through the
agreed dispute resolution procedure.
7. TRANSFER OF POWERS AND FUNCTIONS
(a) PROCESS FOR TRANSFER
Initiating Transfers
101. Powers and functions will be transferred from the National Government to the
autonomous Bougainville Government, which will initiate the process, taking full
account of needs and capacity, by notifying and consulting the National
Government in advance.
Initial Powers and Functions
102. The autonomous Bougainville Government will be established with at least the
same powers and functions as the Bougainville Interim Provincial Government.
103. The Bougainville Interim Provincial Government will give the National
Government reasonable advance notice of any powers or functions to be
transferred or institutions to be established by or under the Bougainville
Constitution in the first twelve months after the establishment of the autonomous
Bougainville Government.
Notice of Additional Transfers
104. The autonomous Bougainville Government will give the National Government at
least twelve months notice of its intention to seek the transfer of any additional
power or function.
Implementation
105. (a) Closely linked powers and functions will be transferred together.
(b) Any differences over such links or transfers will be resolved through the
agreed dispute resolution procedure.
106. National laws will continue to apply in Bougainville until replaced by
Bougainville laws.
107. If the capacity or economic circumstances affecting the resources necessary for a
transfer of a power or function are such as to prevent effective exercise of that
power or function, then the National Government and the autonomous
Bougainville Government will consult with a view to preparing an agreed plan for
overcoming any difficulties.
108. If differences arise in reaching agreement, implementing a plan, or as to whether
the capacity or circumstances should delay the transfer, then either Government
may seek to resolve the issues in dispute through the agreed dispute resolution
procedures.
109. In addition to other agreed dispute resolution procedures, such procedures may
include an agreement to appoint a panel of independent experts to make
recommendations on issues concerning capacity or economic circumstances or the
content or implementation of a plan.
110. The panel of experts may make recommendations on whether failure to reach
agreement on capacity or economic circumstances or to implement a plan is on
reasonable grounds.
111. The report of the panel of experts may then be taken into account in the dispute
settlement process.
National and Regional Institutions and Services
112. (a) In any case of an institution or service which is organised on a regional or
National basis and either the National Government or the autonomous
Bougainville government believes that the personnel, assets or funding
associated with the institution or service cannot be readily divided on a
basis which is viable regionally, nationally and in Bougainville, then the
National Government and the autonomous Bougainville Government will
agree to:
(i) a plan for achieving a mutually acceptable division; and/or
(ii) an arrangement which ensures the existing organization
continues, together with guaranteed access for the
autonomous Bougainville Government and
Bougainvilleans.
(b) An arrangement to share access to or use of an institution or service
organised on a regional or National basis may make provision for
cost sharing.
(c) The above is not intended to prevent the autonomous Bougainville
Government from establishing and supporting similar institutions or
services of its own.
113. If differences arise over whether personnel, assets or funding of an institution or
service can be readily divided or in agreeing or implementing a plan or agreement
for shared access or use, they will be resolved through the agreed dispute
resolution procedure.
Delegation of Powers over Public Service, Police and CIS
114. (a) Agreed arrangements for the delegation of powers over the Public Service,
Police and CIS in Bougainville will be implemented by the National
Government immediately on request from the Bougainville Interim
Provincial Government (in consultation with the Bougainville People’s
Congress) or, when it is established, the autonomous Bougainville
Government.
(b) The autonomous Bougainville Government may exercise its powers to
establish a Bougainville Public Service, Police and CIS when agreed plans
have been implemented.
Agreed Plans for Implementation
115. The National Government and the autonomous Bougainville Government will
jointly prepare agreed plans for co-operating in implementing the transfer of
powers and functions for which the autonomous Bougainville Government will
become responsible.
116. (a) The agreed plans will be made up of criteria, indicators and targets of
capacity and resources available to or required by the autonomous
Bougainville Government that should be taken into account in making
proper preparations for the transfer of particular powers and functions.
(b) Agreed plans in relation to the transfer of powers and functions over
Police may provide for transfer to be gradual.
(b) ASSOCIATED ARRANGEMENTS
National Government Assets and Land
117. National Government assets and land will be transferred to the autonomous
Bougainville Government at the same time as the powers and functions with
which they are associated.
118. The National Government will have the right to retain such assets and land as
may be required for its continuing responsibilities in relation to the same powers
and functions.
119 The future of other National Government assets and land will be subject to future
negotiation.
Privatisation Issues
120. The National Government will use its best endeavours to ensure that any future
privatisation takes account of the agreed autonomy arrangements.
121. The National Government will use its best endeavours to ensure that any future
privatisation takes account of the need to rebuild the infrastructure of
Bougainville following the crisis, and may take steps to ensure that community
service obligations relating to Bougainville, including restoration and
development, are recognised by purchasers of privatised assets in Bougainville.
122. The National Government will use its best endeavours to ensure that potential
purchasers are made aware of the capacity of the autonomous Bougainville
Government to develop laws and policies that might impact on the operation of
proposed privatised enterprises, and of the sensitive nature of unresolved issues
regarding the economic and property rights of Bougainvilleans and their ability to
participate in economic activity in Bougainville.
8. Human Rights
123. The autonomous Bougainville Government will have the power to provide
additional guarantees of human rights in Bougainville, which do not abrogate the
human rights provisions in the National Constitution.
124. The autonomous Bougainville Government will have the power to establish
mechanisms for enforcement of human rights that do not abrogate the human
rights provisions in the National Constitution.
125. The autonomous Bougainville Government will have the power to qualify human
rights incidental to the exercise of its powers and functions under Section 38 of
the National Constitution, except in relation to ‘defence’.
126. Proceedings for the enforcement of human rights by residents of Bougainville
may be commenced in Bougainville courts or institutions or the National Court.
127. The Supreme Court will remain the final court of appeal on human rights matters.
128. The National Government and the autonomous Bougainville Government will
establish a joint commission to examine and report on the issues that would be
involved in giving the autonomous Bougainville Government power to make laws
permitting courts or Councils of Elders to require clan-groups to which persons
convicted of criminal offences belong to meet customary, non-custodial
obligations.
129. The terms of reference for the commission will direct it to have full regard for:
(a) the aspirations of Bougainvilleans for the integration of custom
and introduced law;
(b) the national human rights regime;
(c) the justice system in Bougainville and Papua New Guinea as a
whole; and
(d) the international human rights system and other relevant aspects of
international law.
130. The joint commission will be established at the initiative of either Government;
its membership will be mutually agreed; the costs of the commission will be
shared.
131. The commission’s report, which will be submitted by an agreed date, will be
tabled for consideration in the National Parliament and the Bougainville
legislature.
132. The National Government and the autonomous Bougainville Government will
inform one another of the outcome of the debates in their respective legislatures,
and co-operate in giving effect to mutually acceptable, practical follow-up action,
as may be appropriate, through consultation, the joint supervisory body or the
agreed five-yearly reviews.
133. The above procedures may also be used to follow-up on doubts about whether the
autonomous Bougainville Government has power under the existing human rights
provisions to make laws regulating or restricting the qualified rights other than
laws made in accordance with Section 38 of the National Constitution.
9. Financial Arrangements
(a) Basic Principles
134. The autonomous Bougainville Government will have sufficient revenue-raising
powers available to it to become financially self-reliant.
135. Bougainville will continue to make a fair contribution to National Government
costs – before fiscal self-reliance, through the National Government retaining
control over company tax, Value Added Tax and customs duties in Bougainville;
and after self-reliance, through a revenue-sharing formula.
136. Except as otherwise provided the additional costs involved in establishing and
maintaining the agreed autonomy arrangements will be shared between the
autonomous Bougainville Government and the National Government.
(b) Taxation
137. The National Government will support the autonomous Bougainville Government
in moving towards the goal of fiscal self-reliance, defined as the year in which the
revenue from company tax, 70 per cent of Value Added Tax and customs duties is
equal to the value of the recurrent grant on a sustainable basis.
138. (a) Revenue from company tax, customs duties and 70 per cent of Value
Added Tax collected in Bougainville will go to a trust account for
Bougainville and be credited against the recurrent grant at least until
Bougainville achieves financial self-reliance.
(b) "Company tax" is understood for this purpose as tax on profits of
companies whose principal place of business or main business activity is
in Bougainville.
139. (a) When the autonomous Bougainville Government achieves fiscal selfreliance,
revenues from these sources (in excess of the costs of recurrent
activities calculated in accordance with the recurrent grant formula) will
be shared between the National Government and the autonomous
Bougainville Government so as contribute to both National and
Bougainville development.
(b) The 5-yearly reviews of financial arrangements should be used to consider
the issues involved in revenue sharing.
140. The National Government will continue to impose and collect personal income
tax in accordance with the provisions below until such time as restoration is
achieved.
141. (a) Revenue from personal income tax collected from Bougainville will be
paid directly to a trust account for the autonomous Bougainville
Government and distributed to the autonomous Bougainville Government
on its request to be used to support development in Bougainville.
(b) The autonomous Bougainville Government will have the power to adjust
the rate of personal income tax to apply in Bougainville by no more than
five per cent.
142. The autonomous Bougainville Government will assume the powers and functions
to impose, set rates of, and collect personal income tax when restoration is
achieved.
143. Revenues from all other existing National Government taxes (including 30 per
cent of Value Added Tax) collected in Bougainville will be paid direct to the
autonomous Bougainville Government
144. The National Government will retain the power to set rates for company tax,
Value Added Tax and customs. But after fiscal self reliance the autonomous
Bougainville Government will have power to set rates and collect company tax;
provided that the effective rates of company tax will not vary from the National
Government’s rate by more than five percentage points.
145. The autonomous Bougainville Government will have power to set rates or
establish its own tax regime for all other existing National Government taxes (e.g.
export tax, excise) and all taxes that have been available to provincial
governments under the National Constitution.
146. The Internal Revenue Commission will initially collect all taxes for the
autonomous Bougainville Government but the autonomous Bougainville
Government will have the power to establish its own tax office to collect
Bougainville taxes as well as, by agreement, company tax, Value Added Tax, and
customs duties.
147. The autonomous Bougainville Government will be eligible for tax incentives
available in the Income (Company) Tax Act.
148. Both the National Government and the autonomous Bougainville Government
will have the right to audit taxes paid into the above trust accounts or collected on
behalf of the other.
(c) Grants System
149. Until the autonomous Bougainville Government becomes fiscally self-reliant, the
National Government will provide grants to the autonomous Bougainville
Government, including the following kinds of grants:
(a) recurrent unconditional grants;
(b) restoration and development grants;
(c) specific purpose conditional grants, including the recurrent grant
for policing; and
(d) the one-off Establishment Grant.
150. As the autonomous Bougainville Government’s revenue increases, grants will
decrease according to an agreed set of factors.
(d) Recurrent grants
151. The autonomous Bougainville Government will receive an annual unconditional
grant to cover the recurrent costs of functions for which it is responsible including
funding of newly transferred powers and functions, based on their costs.
152. The funding of maintenance and operational costs of former development projects
will be subject to consultation when funding is sought for new projects.
153. These consultations will be based on mutual recognition of constraints on the
National Government, the particular situation in Bougainville during the early
phases of restoration, and cost sharing
154. The grant will be adjusted annually in the same manner as annual grants for a
provincial government activity under the Organic Law on Provincial Governments and Local-level Governments - that is, by the percentage increase or
decrease in the cost of living or by the percentage increase or decrease in the
payments to the Consolidated Revenue Fund in the year two years before the year
of grant.
155. The calculation and timely payment of the grant will be guaranteed by law (debt
servicing and salary obligations must be paid first).
156. The grant will be cut only if seriously adverse economic conditions arise,
requiring "across the board" cuts to the National Budget and by no more than the
average of these cuts.
157. In years when overall public expenditures increase, the National Government will
do its best to increase the recurrent grant to balance any cuts in previous years.
158. The autonomous Bougainville Government will have full control over use of this
grant.
159. The autonomous Bougainville Government will prepare plans and consult the
National Government in cases where it wants to reallocate funds in ways which
affect the continued employment of public se
