Legal Area

Table of Contents

  1. Preface
  2. Part II. – Institutional arrangements
  3. Part III. – Administration
  4. Part IV. – Measuring, reporting and verification
  5. Part V. – Mitigation
  6. Part VI. – Adaptation
  7. Part VIII. – Recognition of landholder rights

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Papua New Guinea

Climate Change (Management) Act 2015

Act 19 of 2015

  • Commenced on 20 November 2015
  • [This is the version of this document from 7 February 2022.]
  1. [Amended by Climate Change (Management) (Amendment) Act 2021 (Act 25 of 2021) on 7 February 2022]
Being an Act to provide for a regulatory framework to—(a)promote and manage climate compatible development through climate change mitigation and adaptation activities; and(b)implement any relevant obligations of the State under applicable rules of international law and international agreements related to climate change including the United Nations Framework Convention on Climate Change (UNFCCC) and the Paris Agreement; and[paragraph (b) amended by section 1(a) of Act 25 of 2021](c)establish Papua New Guinea's Designated National Authority or an equivalent entity for the purposes of the UNFCCC and the Paris Agreement and any such other or subsequent arrangements or agreements made under the UNFCCC and the Paris Agreement,[paragraph (c) amended by section 1(b) of Act 25 of 2021]and for related purposes,MADE by the National Parliament to come into operation in accordance with a notice in the National Gazette by the Head of State, acting with, and in accordance with, the advice of the Minister.

Part I. Preliminary

1. Constitutional requirements

1. Compliance with constitutional requirements, etc.

(1)This Act, to the extent that it regulates or restricts a right or freedom referred to in Subdivision III.3.C (qualified rights') of the Constitution, namely—
(a)the right to liberty of the person conferred by Section 42; and
(b)the right to freedom from arbitrary search and entry conferred by Section 44; and
(c)the right to peacefully assemble and associate and to form or belong to or not belong to associations conferred by Section 47; and
(d)the right to freedom of employment conferred by Section 48; and
(e)the right to privacy conferred by Section 49; and
(f)the right to freedom of information conferred by Section 51; and
(g)the right to protection from unjust deprivation of property conferred by Section 53,
of the Constitution is a law made pursuant to Section 38 of the Constitution, taking into account the National Goals and Directive Principles, in particular the fourth goal on the sustainable use of natural resources and environment, in order to protect the rights and freedoms of others, and to make provision for cases where the exercise of one such right may conflict with the exercise of another, is a law made for and in relation to public purposes, public interest and public welfare.
(2)This Act, to the extent that it causes or permits the compulsory taking of any property or of any interest in or right over property referred to in Section 53 of the Constitution, is a law to which the property is required for the public purpose of, or the reason of facilitating or regulating all matters relating to climate change and any acquisition of such property is for a public purpose and reasonably justified in a democratic society that has proper regard for the rights and dignity of mankind.
(3)This Act to the extent that it-provides for consultation between persons or bodies, is a law made to give effect to Section 255 of the Constitution to ensure that all consultations are meaningful and allow for a genuine interchange and consideration of views.

2. Application of provisions of organic law on provincial governments and local-level governments

(1)For the purpose of Section 41 (2) of the Organic Law on Provincial Governments and Local-level Governments, it is declared that this Act relates to a matter of national interest and importance.
(2)For the purpose of Section 98 of the Organic Law on Provincial Governments and Local-level Governments it is hereby declared that this Act establishes the Authority
(a)responsible for determining the benefits and levies (if any) which are payable pursuant to Subsection (2) of that Section in respect of release of greenhouse gases into the atmosphere or sequestration of greenhouse gases from the atmosphere; and
(b)as the body which will determine the rates, management, sharing arrangement and application of such benefits and levies (if any); and
(c)as the body responsible for establishing and administering the trust funds referred to in Subsection (3) of that Section (if any) and for the controlling and distribution of the benefits and levies established (if any).
(3)For the purpose of Section 99 of the Organic Law on Provincial Governments and Local-­level Governments it is hereby declared that this Act establishes the principles by which the National Government will share with applicable Provincial Governments and Local-level Governments the revenues of the National Government generated from economic regulatory regimes for the sequestration or release of greenhouse gases (if any).
(4)For the purpose of Section 116 of the Organic Law on Provincial Governments and Local­-level Governments it is hereby declared that this Act establishes the consultation process on the atmospheric greenhouse gases consequences of the development required amongst stakeholders.

2. Interpretation

3. Interpretation

In this Act, unless the contrary intention appears—"accredited climate finance entities" means State entities or private organisations, referred to in Section 14A, that are accredited to climate funds, including but not limited to the Trust Fund, that can be recipients and administrators of public or private contributions designated to be used for the implementation of measures for mitigation and adaptation to climate change with the approval of the Authority;"adaptation" means adjustment in natural or human systems in response to actual or expected climatic stimuli or their effects which moderates harm or exploits beneficial opportunities;"anthropogenic" means relating to, or resulting from, the influence of human beings on the natural environment;"Authorised Controller" means the natural person who has statutory and regulatory responsibility for the actions of an incorporated verifier;"Authority" means the Climate Change and Development Authority established under Section 8;"Baseline reference level" means Papua New Guinea's reference level for emissions in the baseline year established under Section 55;"baseline year" means the year, specified by the Head of State, acting on the advice, of the National Executive Council, to be the baseline year for the purposes of this Act;"best available science" means the best available, current information, including but not limited to ecosystem-based management, climate change targets, and international best practice as defined by the UNFCCC and the Paris Agreement;"biofuel" means any fuel, whether solid, liquid or gas, produced from biomass;"Board" means the National Climate Change Board established under Section 12;"carbon dioxide or CO2" means the gas having the molecular chemical compound composed of two oxygen atoms each covalently double bonded to a single carbon atom;"carbon rights" refer to the legal claims, verified through social and land mapping, on the benefit streams from carbon sinks as referred to in Section 92A;"carbon sink" means a natural or artificial reservoir or location that sequesters or stores a greater amount of carbon dioxide than it releases;"climate change" means a change of climate which is attributed directly or indirectly to human activity that alters the composition of the global atmosphere and which is in addition to natural variability over comparable time periods;"climate change adaptation plan" means the climate change adaptation plans referred to in Section 74;"climate change displacement" or "climate displacement" means the relocation and resettlement of people internally or across international borders due to the effects of climate change, including sudden and slow-onset climatic events and processes occurring either alone or in combination with other economic, social and political factors;"climate change related project agreement" means an agreement between the Authority, any persons or entity related to climate change related project or activity, the customary owners of the land and forest resources and the project proponent relating to an Agreement on or other Voluntary Carbon Offset Projects and any future climate change emission reduction mechanisms agreed to by the government that will facilitate for sustainable development and reduction of greenhouse gas emissions;"climate change related project or activity" means any project or activity that is undertaken in response to the effects of climate change, including but not limited to mitigation and adaptation projects or activities; to ensure climate resilience and carbon neutral pathway for climate compatible development;"climate emergency" means a situation or event in which an existential threat to humanity is present requiring urgent action in Papua New Guinea to reduce or halt climate change and avoid potentially irreversible global environmental damage resulting from it;"climate finance" means local, national or transnational financing-drawn from public, private and alternative sources of financing-that seeks to support mitigation and adaptation actions that will address climate change;"Climate Finance Steering Committee" is the Committee set up under Section 14A of this Act;"climate resilience" means the capability of communities, that built environment and ecosystems to respond to, withstand and recover from the adverse impacts of climate change;"CMA" means the Conference of the Parties serving as the meeting of the Parties to the Paris Agreement;"Conference of the Parties" or "COP" means the supreme decision-making body of the UNFCCC;"Constitution" means the Constitution of the Independent State of Papua New Guinea;"Designated National Authority" means the Authority who is recognised by the it UNFCCC and Paris Agreement to be the lead agency for dealing with climate change matters in Papua New Guinea;"ecosystem services" means provisioning services such as food and water; regulating services such as regulation of floods, drought, land degradation and disease; supporting services such as soil formation and nutrient cycling; and cultural services such as recreational, spiritual, religious and other non-material benefits;"emissions mitigation plan" means the emission mitigation plan referred to in Section 65;"emissions reduction standard" means a standard or scheme under which emissions reduction programmes, projects and activities can be registered and generate verified emissions reductions and for which emissions reduction units are issued;"emissions reduction unit" means a tradable certificate or permit that represents one tonne of carbon dioxide equivalent verified emissions reductions;"emissions trading" means the emissions trading system established and operated under Part VIA and referred to in Section 78A;"Environment Permit" or "EP" has the same meaning as defined under the Environment Act 2000;"Environmental Impact Assessment" or "EIA" has the same meaning as defined under the Environment Act 2000;"focal point" means an individual or entity appointed by the Managing Director to perform a function under various International Treaties, Agreements and Conventions that the State through the Authority, is party to;"foreshore" means the area between the mean high-water springs level of the sea and the lowest astronomical tide;"forest" means land spanning more than 0.5 hectares with trees higher than five metres and a canopy cover of more than 10 percent, or trees able to reach these thresholds in situ, to the exclusion of land that is predominantly under agricultural or urban land use;"free prior and informed consent or "FPIC" means a specific right that pertains to indigenous peoples and other land holders that allows them to give or withhold consent to a project or activity that may affect them or their property;"fuel standard" means the fuel standard referred to in Section 67;"Green Climate Fund" or "GCF" is a fund established within the framework of the UNFCCC as an operating entity of the financial mechanism to assist developing countries in adaptation and mitigation practices to counter climate change;"hydrofluorocarbons" or "HFCs" means any of several simple gaseous compounds that contain carbon, fluorine and hydrogen;"intangible property" means something that has no physical properties and is not itself intrinsically valuable, but that derives its value from what it represents or evidences and may include intellectual property, including traditional knowledge and expressions of culture;"international reporting practice" means accepted practice in relation to reporting for the purposes of the protocols to the UNFCCC, the Paris Agreement or such other agreements or arrangements at international level as the Head of State, acting on the advice, of the National Executive Council, may specify by Regulation;"Inter-governmental Panel on Climate Change" or "IPCC" means the United Nations body for assessing the science related to climate change;"internationally transferred mitigation outcome" or "ITMO" are certified emission reduction units from the new mechanism for the international emissions trading between parties to the Paris Agreement in accordance with Article 6 of the Paris Agreement and includes—(a)Papua New Guinea Mitigation Outcome Units transferred internationally in accordance with Section 78A; and(b)emissions reductions generated outside of Papua New Guinea and approved for international transfer to the Government or entities operating within Papua New Guinea in accordance with this Act and the Regulations;"just transition" means the framework that encompasses a range of social interventions needed to secure workers' rights and livelihoods when economies are shifting to sustainable production in order to combat climate change and protect biodiversity by restructuring such sectors as energy, manufacturing, agriculture and forestry;"Kyoto Protocol" means the protocol under the UNFCCC adopted at Kyoto, Japan, on 11 December 1997;"land" includes—(a)the surface and any ground beneath the surface of the land; and(b)water; and(c)the foreshore, being that area between the mean high water springs level of the sea and the mean low water springs level of the sea; and(d)the waters of Papua New Guinea area being the seabed underlying the territorial sea from the mean low water springs level of the sea to such depth as admits of exploration for or mining of minerals and any interest in land;"land holder" means—(a)persons having customary rights—(i)of ownership or user rights over land or sea; or(ii)of ownership or user rights over flora and fauna growing on land or sea; or(iii)in relation to the use of land or sea; or(b)a person who is in occupancy of Government land by virtue of an agreement with the State; or(c)a person who is the owner or lawful occupant of land other than customary land or Government land;"Managing Director" means the Managing Director appointed and holding office pursuant to Section 45;"methane" or "CH4" means a colourless, odourless, flammable and gaseous hydrocarbon that is a product of decomposition of organic matter and of the carbonisation of coal;"Minister" means the Minister designated by the Prime Minister under Section 148 of the Constitution to be the Minister responsible for all matters related to Climate Change;"mitigation" means efforts that seek to prevent or slow down the increase of atmospheric greenhouse gas concentrations by limiting current or future emissions and enhancing potential sinks for greenhouse gases;"national forest reference level" means a national forests emission reference level or forest reference level expressed as tonnes of CO2 equivalent per year for a reference period against which the emissions and removals from a results period are compared when implementing REDD+ activities;"National Level Disbursement" is equal to or exceeds US$50 million;"national target" means the total amount for national net emissions of greenhouse gas by sources and removals by sinks, including sub-national targets, for each of the regulated sectors which are set as a percentage that may be converted into tonnes of carbon dioxide equivalents for each sector for a period determined in accordance with the UNFCCC, the Paris Agreement and the IPCC guidelines;"nationally determined contribution" or "NDC" means efforts undertaken by Papua New Guinea to address climate change in accordance with Article 4 of the Paris Agreement;"nitrous oxide" or "N2O" means a colourless gas that is used as an anaesthetic in dentistry and as a fuel and that is an atmospheric pollutant and greenhouse gas produced by combustion;"Papua New Guinea emissions" can be referred to as the anthropogenic release of the targeted greenhouse gases (CO2, CH4, N2O, HFCs) into the atmosphere by human activities (mining, logging, fossil fuel refining, agricultural development, tourism development, combustion of fossil fuel products, industrial processes and use of products etc.) over a specified area and period of time, referred to in Section 54;"Papua New Guinea Mitigation Outcome Unit" means a certified emissions reduction unit issued in accordance with this Act and having a unique serial number;"Papua New Guinea removals" can be referred as any anthropogenic (human driven) method and technology (reforestation, afforestation, conservation, sustainable forest management, hydro-power, biofuel, solar initiatives, wind, geothermal wave, etc.) of removing carbon dioxide and the targeted GHGs from the atmosphere and sequestering it for a period of time in accordance with the guidelines referred to in Section 54;"Paris Agreement" means the Paris Agreement, ratified by Papua New Guinea on September 21, 2016 and which entered into force on November 4, 2016;"payments for environmental or ecosystem services" or "PES", means payments for the provision of services from ecosystems, including but not limited to carbon sequestration or storage with benefits provided to land holders in the form of compensation, incentive funds, grants, donor money and other funding derived from national and international sources."perfluorocarbons" or "PFCs" means any of various hydrocarbon derivatives in which all hydrogen atoms have been replaced with fluorine and that include blood substitutes used in emulsified form;"PGK" means Papua New Guinea Kina;"Public Service" means the service engaged under the Public Services (Management) Act 1995 and as amended from time to time;"REDD+" means policy approaches and positive incentives on issues relating to reducing emissions from deforestation and forest degradation in developing countries and the role of conservation, sustainable management of forests and enhancement of forest carbon stocks in developing countries as identified by the UNFCCC described by the Conference of Parties to the UNFCCC in Decision 1/CP.16 in its sixteenth session and Decision 1/CP.21 in its twenty-first session and as amended from time to time;"Registry" means the Papua New Guinea National Registry established under Section 78A;"regulated sector" means an economic sector specified in Section 53 as a regulated sector;"reservoir" means a component or components of the climate system where a greenhouse gas or a precursor of a greenhouse gas is stored, as defined in the UNFCCC;"results-based payments" means financial incentives for developing countries for implementing REDD+ actions and achieving results estimated through the UNFCCC approved rules and reported as emissions reduction in carbon dioxide equivalent;"sequestration" means any artificial or natural process, activity or mechanism which removes a greenhouse gas, an aerosol or a precursor of any greenhouse gas from the atmosphere;"sink" means any process, activity or mechanism, including carbon sinks, which removes a greenhouse gas, an aerosol or a precursor of any greenhouse gas from the atmosphere;"sulphur hexafluoride" or "SF6" means a colourless gas that is soluble in alcohol and a powerful greenhouse gas widely used in the electrical utility industry;"Sustainable Development Goals 13 Roadmap Platform Committee" or "SDG 13 Roadmap Platform Committee" has the meaning given to it under Section 11(1)(o);"tangible property" are physical articles (things) as distinguished from "incorporeal" assets such as rights, patents, copyrights and franchises that which may be felt or touched; it must necessarily be corporeal, but it may be real or personal;"target" means the sectoral net emission and removals by sources and by sinks of greenhouse gas, for each of the regulated sectors, within the limits of the national target, which are set as a percentage that may be converted into tonnes of carbon dioxide equivalent for a period determined in accordance with the UNFCCC, the Paris Agreement and the IPCC guidelines;"targeted greenhouse gases" or "GHGs" means carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), hydrofluorocarbons (HFCs), perfluorocarbons (PFCs), sulphur hexafluoride (SF6) or any other targeted greenhouse gas declared by the Head of State, acting on the advice, of the Minister under Section 5 as a targeted greenhouse gas for the purposes of this definition;"this Act" refers to the Climate Change (Management) Act 2015, its subsequent amendments and the Regulations made under it;"tonne of carbon dioxide equivalent" means one metric tonne of carbon dioxide or an amount of any other targeted greenhouse gas with an equivalent global warming potential (calculated consistently with international reporting practice);"Trust Fund" means the Climate Resilience and Green Growth Trust Fund established under Section 37;"UNFCCC" means the United Nations Framework Convention on Climate Change, ratified by Papua New Guinea on April 1994;"verification report" means a report, prepared by a verifier, which verifies that a quantity of emission reductions have been generated by an emissions reduction project, programme or activity that is registered under that emissions reduction standard in accordance with the guidelines under the UNFCCC, as referred to in Section 60;"verified carbon unit" or "VCU" is an emission reduction unit issued under the Verified Carbon Standard;"verifier" means a person or entity who is certified under an emissions reduction standard to verify that the quantity of emissions reduction is in accordance with the verified emissions reduction standard including the UNFCCC guidelines, the Paris Agreement, international reporting practice and the processes or procedures before issuing an emissions reduction unit as referred to in Section 60;"waters of Papua New Guinea" means internal waters, including river, stream, watercourse, reservoir, well, bore, tank, dam, canal, channel, lake, lagoon, swamp, open drain, surface and underground water and other waters over which Papua New Guinea exercises or claims jurisdiction or sovereign rights and includes the seabed and subsoil underlying those waters.[section 3 substituted by section 2 of Act 25 of 2021]

3. Application of the Act

4. Act binds the State

This Act binds the State.

5. Limitation on power to include new greenhouse gases

(1)The Head of State, acting on the advice of the Minister may, by notice in the National Gazette, add any new gas to the definition of targeted greenhouse gas in Section 3 from time to time.
(2)The power under Subsection (1) may only be exercised if it appears to the Head of State that an agreement or arrangement at the international level recognises that particular gas, that is to be added, is a gas that contributes to climate change.
(3)A regulation may provide for the procedure to give effect to this section.

5A. Declaration of climate emergency

(1)The Head of State, acting on advice, shall make a declaration of the existence of a climate emergency for the purposes of this Act.
(2)Declarations made under this section, shall be published in the National Gazette and notified to the public.
(3)The Minister shall present a report to Parliament at the next meeting of the Parliament following a Declaration.
(4)A Regulation shall prescribe the implementation of this section.
(5)For the avoidance of doubt, this Act is not an Emergency Law for the purpose of Part X of the Constitution.
[section 5A inserted by section 3 of Act 25 of 2021]

6. Territorial application

(1)This Act applies to all things done in, on, above or below—
(a)any land or sea boundaries of Papua New Guinea as defined by Section 2 of the Constitution and the Maritime Zones Act 2015; and
(b)over any waters of Papua New Guinea to which Papua New Guinea exercises or claims jurisdiction or sovereign rights and includes the seabed and subsoil underlying those waters as defined under the Maritime Zones Act 2015.
(2)This Act applies to any person or entity who conducts business in a regulated sector within Papua New Guinea's territory, as defined under Subsection (1).
[section 6 substituted by section 4 of Act 25 of 2021]

7. International transportation

(1)Subject to Subsection (2), emissions of greenhouse gases from international aviation or international shipping do not count as emissions from sources in Papua New Guinea for the purposes of this Act.
(2)A Regulation may prescribe emissions from international aviation and international shipping as sources of climate change to the extent that they do not interfere with any requirements under—
(a)the Protection of the Sea (Shipping Levy) Act 2004; and
(b)the National Maritime Safety Authority Act 2003; and
(c)the Merchant Shipping Authority Act 2003; and
(d)Civil Aviation Act 2000; and
(e)any other law enacted,
for the purposes of regulating these industries.
(3)The Head of State, acting on advice of the National Executive Council, may make Regulations, (including imposition of climate change levies or environmental levies where applicable), to authorise participation in schemes to regulate emissions from international aviation or international shipping.
[section 7 substituted by section 5 of Act 25 of 2021]

Part II. Institutional arrangements

1. Establishment of the Climate Change and Development Authority

8. Establishment

(1)The Climate Change and Development Authority is hereby established.
(2)The Authority
(a)is a corporation with perpetual succession; and
(b)shall have a Seal; and
(c)may acquire, hold and dispose of property and any other assets; and
(d)may sue or be sued in its corporate name.

9. Custody and use of the seal

(1)The Seal of the Authority shall be kept in such custody as the Board directs and shall not be used except by resolution of the Board or in such other manner as is authorised by this Act.
(2)All Courts, Judges and persons acting judicially shall take judicial notice of the Seal of the Authority affixed to a document and shall presume that it was duly affixed.

10. Purpose

The purpose of the Authority is to—
(a)promote and manage the climate compatible development through climate change mitigation and adaptation activities; and
(b)implement any relevant obligations of the State—
(i)under the UNFCCC and the Paris Agreement; and
(ii)under any other relevant applicable rules of international law regarding climate change; and
(iii)to give effect to national commitments of Papua New Guinea, on a voluntary basis or otherwise; and
(c)be Papua New Guinea's Designated National Authority or equivalent entity or complementary or superseding entity and any relevant entity under the UNFCCC and the Paris Agreement; and
(d)administer compensation or incentive funds, grants, donor money and other funding derived from national and international climate finance sources under the direction of the Board to assist in the development of climate compatible economic endeavours and climate adaptation and mitigation programs in Papua New Guinea.
[section 10 substituted by section 6 of Act 25 of 2021]

11. Functions and powers of the Authority

(1)In the discharge of its purpose, the Authority has the following functions:
(a)to develop, periodically update, publish and make available to the Conference of the Parties or CMA, in accordance with the UNFCCC and the Paris Agreement, the national inventory of anthropogenic emissions by sources and removals by sinks of all targeted greenhouse gases in accordance with international reporting practice; and
(b)to prepare, communicate and maintain a nationally determined contribution or "NDC” that Papua New Guinea intends to achieve, in accordance with the Paris Agreement, and to formulate, implement, publish and regularly update national measures to mitigate climate change by addressing anthropogenic emissions by sources and removals by sinks of all targeted greenhouse gases and measures to facilitate adequate adaptation to climate change; and
(c)to provide and cooperate in the development, application and diffusion, including transfer of technologies, practices and processes that control, reduce or prevent anthropogenic emissions of targeted greenhouse gases in all relevant regulated sectors; and
(d)to manage and ensure the promulgation of information regarding mitigation, adaptation and implementation requirements down to the community level and to provide points of contact for communities and sub-national governments; and
(e)to require and facilitate sustainable management and cooperation in the conservation and enhancement, as appropriate, of sinks and reservoirs of all targeted greenhouse gases, including in biomass, forests and oceans; and
(fto cooperate with relevant bodies or persons in preparing and implementing plans and activities for adaptation to the impacts of climate change; and
(g)to establish appropriate administrative offices, agents or consultants in Papua New Guinea and overseas or climate change attaches; and
(h)to facilitate and cooperate in scientific, technological, technical, socio-economic and other research, systematic observation and development of data archives related to the climate system as a precautionary measure to reduce the uncertainties regarding the causes, effects, magnitude and timing of climate change; and
(i)to provide for and cooperate in the full, open and prompt exchange of relevant scientific, technological, technical, socio-economic and legal information related to the climate system and climate change; and
(j)to promote, facilitate and cooperate in education, training and public awareness related to climate change and encourage wide participation from individuals, groups, public and private bodies, donors and other relevant institutions; and
(k)to establish, coordinate and manage any emissions trading schemes, or other mechanisms for GHG mitigation, for the purpose of limiting greenhouse gas emissions or encouraging activities that reduce such emissions or remove greenhouse gas from the atmosphere; and
(l)to establish and manage Papua New Guinea's SDG 13 Roadmap Platform Coordination Committee to ensure implementation of the Sustainable Development Goals related to Climate Change and the NDC; and
(m)to strengthen climate observation and support research towards proved understanding, modelling and prediction of the climate system and climate impacts; and
(n)to carry out climate risk assessments that require environment permits pursuant to the Environment Act 2000 and its associated Regulations, and study human and ecological systems to identify options to adapt to minimise the effects of climate change; and
(o)to coordinate planning efforts on climate change adaptation initiatives to address loss and damage associated with climate change; and
(p)to monitor, evaluate and revise adaptation projects, policies and programs, including their effectiveness, efficiency and overall utility; and
(q)to monitor and review climate change related activities annually to strengthen coordination, accountability, drive innovation, enforce compliance and ensure implementation; and
(r)to promote and enforce the rights of the land holders by requiring equitable participation in the climate change related programs that affect their customary land including the coastal sea area; and
(s)to promote, coordinate and deliver climate change projects or activities in communities; and
(t)to promote, coordinate and deliver capacity building activities related to climate change within the regulated sectors; and
(u)to promote and assist cross-sectoral collaboration, including crosssectoral collaboration for enforcement of requirements under this Act through the creation of regulations as well as through direct consultations; and
(v)to submit and update periodically an adaptation communication, which may include Papua New Guinea's priorities, implementation and support needs, plans and actions, as appropriate; and
(w)to ensure the provision of a national inventory report of anthropogenic emissions by sources and removals by sinks of greenhouse gases; information necessary to track progress made in implementing and achieving Papua New Guinea's NDC; and information on financial, technology transfer and capacity-building support needed and received under the UNFCCC and the Paris Agreement; and
(x)to promote environmental integrity, transparency, accuracy, completeness, comparability and consistency, and ensure the avoidance of double counting, in accounting for Papua New Guinea's NDC; and
(y)to participate and promote Papua New Guinea's climate actions and commitments in global stock takes under the Paris Agreement; and
(z)to promote a just transition to low-carbon and climate-resilient development in the country; and
(aa)to coordinate, monitor, manage and address climate emergency, climate displacement and improve climate resilience in the country; and
(ab)publish statements, reports and guidelines relating to the performance of any of its functions; and
(ac)and to perform any other or further functions or roles imposed on the Authority by this Act or any other law.
(2)The Authority, in performance of the functions, shall consult and collaborate where necessary with other departments, instrumentalities and agencies of the State and other agencies as the Authority determines from time to time for the implementation of laws and the making and implementation of policies in accordance with law on behalf of the State.
(3)The Authority has the power to do all things necessary or convenient to be done for or in connection with or otherwise incidental to the performance of its functions and to enable it to achieve its objectives.
[section 11 substituted by section 7 of Act 25 of 2021]

2. Establishment of the National Climate Change Board

12. Establishment of the Board

There is hereby established a Board of Directors to be known as the National Climate Change Board.

13. Functions and powers of the Board

(1)The primary function of the Board is to provide general control and guidance over the exercise of the functions and powers of the Authority.
(2)Without limiting the generality of Subsection (1), the functions of the Board are to—
(a)determine the policies of the Authority; and
(b)oversee the performance of the Managing Director and implementation and delivery of policy directives of the Government under this Act; and
(c)ensure the proper national regulation by way of Regulations made under this Act for all matters reasonably requiring regulation including the establishment, coordination and management of any trading schemes under the UNFCCC and the Paris Agreement; and[paragraph (c) amended by section 8(a)(i) of Act 25 of 2021]
(d)administer the implementation of adaptation programs for the purposes of ensuring Papua New Guinea adapts to the effect of climate change and builds resilience to the adverse impacts of climate change; and
(e)oversee the receipt of donor funding (such as results-based payments from) REDD+ activities and other national or international climate finance sources, such as the Green Climate Fund and other related-climate compatible development programs and activities; and[paragraph (e) substituted by section 8(b)(ii) of Act 25 of 2021]
(f)determine eligibility criteria in accordance with standard procedures for the implementation of REDD+ activities based on national circumstances and international best practices; and[paragraph (f) amended by section 8(a)(iii) of Act 25 of 2021]
(g)monitor the performance and reporting of participants in REDD+ activities and other national or international climate compatible development programs; and[paragraph (g) amended by section 8(a)(iv) of Act 25 of 2021]
(h)provide endorsement and ratification of proponents and projects applying to participate in the CDM, REDD and REDD+ and other national or international climate compatible development programs and activities.
(i)provide the endorsement of co-financing project proposal requests for financing that exceeds the National Level Disbursement limit for Green Climate Fund program and activities and ensure that these proposals are consistent with national laws and policies; and[paragraph (i) added by section 8(a)(v) of Act 25 of 2021]
(j)to establish and manage Papua New Guinea's SDG 13 Roadmap Platform Coordination Committee that will ensure implementation of the SDG related to climate change including the NDC, and their alignment with national development objectives on an annual basis.[paragraph (j) added by section 8(a)(v) of Act 25 of 2021]
(3)The Board shall undertake such other functions and exercise such powers as may be conferred on it by this Act or any other law.
(4)The Board is a sitting Board and shall perform its functions and powers accordingly to the exclusion of any other persons except powers and functions otherwise delegated under section 15.[subsection (4) amended by section 8(b) of Act 25 of 2021]
(5)The Board may furnish to the Minister a report on the previous meeting or any matter the Board considers appropriate and such report may be published as part of the public record as requested by the Minister from time to time.[subsection (5) substituted by section 8(c) of Act 25 of 2021]
(6)The Board may communicate to the Minister any matter the Board considers appropriate.

13A. Corporate plan

(1)The Authority shall prepare a corporate plan at least once every three years and shall submit the plan to the Minister through the Board.
(2)A plan prepared under Subsection (1) shall cover a period of at least three years.
(3)The Board shall keep the Minister informed about—
(a)significant changes to the plan; and
(b)matters that arise that might significantly affect the achievement of the objectives of the plan.
(4)A plan prepared under this section shall include details of the following matters:
(a)assumptions about the Authority's operational environment; and
(b)the Authority's strategies; and
(c)performance indicators for the Authority; and
(d)review of performance against previous corporate plans; and
(e)analysis and mitigate risk factors likely to affect climate change activities; and
(f)human resource strategies and community engagement strategies.
(5)A plan prepared under this section shall also cover any other matters required by the Minister, which may include further details about the matters specified in Subsection (4).
[section 13A inserted by section 9 of Act 25 of 2021]

14. Committees

(1)The Board may from time to time—
(a)appoint a Committee as the Board determines appropriate; and
(b)determine the powers and functions of the Committee, in accordance with prescribed Regulations or as the Board determines.[paragraph (b) substituted by section 10 of Act 25 of 2021]
(2)In establishing a Committee under Subsection (1), the Board may—
(a)appoint such persons, including members of the Board, as it considers necessary; and
(b)discharge, alter or reconstitute a Committee; or
(c)discharge a member of a Committee and appoint another member in that member’s place.

14A. Climate Finance Steering Committee

(1)The Board shall establish a Climate Finance Steering Committee with participants from relevant Government agencies and stakeholders to oversee coordination of climate finance at the national level and ensuring that relevant accredited climate finance entities are identified to facilitate the development of project proposals that are consistent with national laws and policies.
(2)The Committee shall be established within six months of the coming into operation of this Act.
(3)A Regulation shall make further provisions for and in relation to—
(a)the appointment of the Climate Finance Steering Committee; and
(b)the composition of the Climate Finance Steering Committee; and
(c)the functions of the Climate Finance Steering Committee; and
(d)such other matters as may be appropriate.
[section 14A inserted by section 11 of Act 25 of 2021]

15. Delegation

(1)The Board may, by resolution in writing, delegate all or any of its powers or functions to the Managing Director or any Committee, other than—
(a)this power of delegation; and
(b)the functions given to it in Section 13.
(2)A delegation under Subsection (1) is revocable by resolution of the Board in writing, at any time.[subsection (2) substituted by section 12 of Act 25 of 2021]
(3)A delegation under Subsection (1) is revocable by resolution of the Board in writing, at any time.
(4)A delegation does not prevent the Board from performing or exercising the delegated functions and powers.
(5)A delegation to a Committee shall continue in force even if the membership of the Board or the Committee changes.
(6)Subject to this Act and to any directions given by the Board, a Committee may design its own procedure.
(7)Each decision of or exercise of discretion by, a Committee shall be reported to the Board along with the reasons for such decision or exercise of discretion.

3. Arrangements of the Board

16. Membership of the Board

(1)For the avoidance of doubt, the Regulatory Statutory Authorities (Appointment to Certain Offices) Act 2004 does not apply to the appointment of Board Members under this Division.
(2)The Board shall comprise of 11 members being—
(a)four members appointed in accordance with Section 19 where—
(i)one member representing members of the National Council of Women of Papua New Guinea in accordance with the National Council of Women Incorporation Act 1979; and
(ii)one member representing the private sector appointed amongst the members of the Papua New Guinea Chamber of Mining and Petroleum or its successor entity; and
(iii)one member representing the National Council of Churches; and
(iv)one member to be appointed by the Minister.
(b)seven ex-officio members comprised of—
(i)Managing Director of the Authority; and
(ii)Secretary for the Department of Treasury; and
(iii)Secretary for the Department of Finance; and
(iv)Managing Director for Papua New Guinea Forest Authority; and
(v)Secretary for the Department of Justice and Attorney-General; and
(vi)Managing Director for Conservation and Environment Protection Authority; and
(vii)Secretary for the Department of National Planning and Monitoring.
[subsection (2) substituted by section 13 of Act 25 of 2021]
(3)An ex-officio member may only be alternated by his deputy.

17. Appointment Committee

(1)An Appointment Committee—
(a)is hereby established; and
(b)its functions are—
(i)to recommend to the National Executive Council, the appointment and removal of non ex-officio members of the Board, the Chairman and Deputy Chairman of the Board and the Managing Director; and
(ii)to recommend to the National Executive Council for the endorsement of the ex-officio members of the Board.
(2)The Appointment Committee shall hold office on such terms and conditions as are determined by the Minister in accordance with the Boards (Fees and Allowances) Act 1955 and shall consist of the—
(a)Secretary for Department of Personnel Management or his alternate, as the Chairman; and[paragraph (a) amended by section 14(a)(i) of Act 25 of 2021]
(b)Manager Director for Conversation and Environment Protection Authority or his alternate, as the Deputy Chairman;[paragraph (b) substituted by section 14(a)(ii) of Act 25 of 2021]
(c)Secretary for Department of Petroleum and Energy or his alternate; and[paragraph (c) amended by section 14(a)(iii) of Act 25 of 2021]
(d)Secretary for Department of Agriculture and Livestock or his alternate; and
(e)State Solicitor of Papua New Guinea or his alternate; and
(f)secretary for the Department of Provincial and Local-level Government Affairs or his alternate;[paragraph (f) substituted by section 14(a)(iv) of Act 25 of 2021]
(g)President or Chairman of Papua New Guinea Chamber of Commerce or his alternate.[paragraph (g) substituted by section 14(a)(iv) of Act 25 of 2021]
(3)An alternate member under Subsection 2(a), (b), (c), (d), (e) or (f) chall hold a senior management role at the Deputy Head level in the department or agency concerned and shall be appointed with a written consent of the head of department or agency concerned.[subsection (3) substituted by section 14(b) of Act 25 of 2021]
(4)The quorum for any meeting shall consist of four members and the Chairman, or in his absence the Deputy Chairman, has a deliberative vote and if there is an equal number of votes on any matter, also a casting vote.[subsection (4) added by section 14(c) of Act 25 of 2021]
(5)The meeting shall only be convened and chaired by the Secretary for the Department of Personnel Management, or in his absence, the Managing Director of the Conservation and Environment Protection Authority.[subsection (5) added by section 14(c) of Act 25 of 2021]
(6)The Appointment Committee may, through the Minister, recommend to the National Executive Council for the reappointment of the ex officio Board members and the Managing Director of the non ex officio Board members and the Managing Director meet their respective terms and conditions of appointment.[subsection (6) added by section 14(c) of Act 25 of 2021]

18. Screening Committee

(1)There is established the Screening Committee.
(2)The Screening Committee’s function is to screen applications for the appointment of—
(a)non ex-officio Board members; and
(b)the Managing Director, and for related purposes.
(3)The Screening Committee shall be comprised of five members who have qualifications in human resources and occupy positions at First Assistant Secretary level or equivalent from the following agencies:
(a)Department of Labour and Industrial Relations; and
(b)Department of Community Development, Youth and Religion; and
(c)Department of Personnel Management; and
(d)Road Traffic Authority; and
(e)the Authority,
where at least one member is a female, and all shall be selected by respective agency heads.[subsection (3) substituted by section 15 of Act 25 of 2021]
(4)The Screening Committee shall, within three weeks from the date of close of applications, submit to the Appointment Committee, screened applicants in the order of merit for—
(a)the appointment of a non ex-officio Board member; or
(b)the Managing Director.

19. Appointment of Board members

(1)Each Board member, other than the ex-officio member, shall be appointed by the Head of State, acting with and in accordance with, the advice of the National Executive Council.
(2)Before the National Executive Council advises the Head of State to appoint a person as a member of the Board, all the members of the National Executive Council shall be satisfied that the person—
(a)is qualified for appointment to the Board in accordance with Section 21; and
(b)is not disqualified from appointment to the Board under Section 22; and
(c)has been nominated, from amongst a list of candidates, by the Appointment Committee.
(3)A non ex-officio Board member—
(a)may be appointed for a term of up to three years and is eligible for reappointment; and
(b)shall hold office on such terms and conditions as are determined by the Minister in accordance with the Boards (Fees and Allowances) Act 1955; and
(c)may serve no more than two terms, whether consecutively or otherwise.
(4)Notwithstanding Subsection (3)(a), the terms of the first members of the Board shall vary between three to six years.
(5)A Regulation shall make further provisions for—
(a)the process of appointment of Board members; and
(b)the process for determination of terms and conditions, including the remuneration for Board members,
and such other matters as may be appropriate.

20. Chairman of the Board

(1)The Chairman and the Deputy Chairman of the Board shall be selected from amongst the members of the Board and appointed by the Head of State, acting with, and in accordance with, the advice of the National Executive Council.
(2)In addition to being qualified to be a Board member, the Chairman of the Board shall—
(a)be a citizen of Papua New Guinea; and
(b)be of good moral standing and reputation; and
(c)have experience and expertise in—
(i)corporate governance and administration in order to guide a distinctive performance among relevant national and international entities; or
(ii)climate change issues.
(3)The Chairman may resign and upon his resignation—
(a)he is deemed to have vacated the Office of the Chairman; and
(b)an Acting Chairman shall be appointed by the Head of State, acting with and in accordance with the advice of the National Executive Council, from among the remaining members of the Board.
(4)In the absence of the Chairman, only the Deputy Chairman shall perform the functions of the Chairman.
(5)The Chairman is a leader for the purposes of Part III, Division 2 (Leadership Code) of the Constitution and Organic Law on the Duties and Responsibilities of Leadership.

21. Qualifications for appointment

(1)Subject to Section 22, a person is eligible for appointment as a non ex-officio Board member if he has the following qualifications, but not limited to—
(a)substantial experience or expertise in any field related to climate change; and
(b)professional credibility or standing in a scientific field; and
(c)corporate governance; and
(d)investing in climate financing; and
(e)high integrity, independence of mind and good reputation.
[subsection (1) previously unnumbered, numbered by section 16(a) of Act 25 of 2021]
(2)These appointments shall be merit based.[subsection (2) added by section 16(b) of Act 25 of 2021]

22. Disqualification for appointment

A person is not qualified to be, or to remain as, a non ex-officio Board member if he—
(a)is or becomes a Member or candidate for election as a Member of the National Parliament, a Provincial or Local-level Government; or
(b)is a member of a Local-level Government Special Purposes Authority; or
(c)an office-holder, or candidate for election as an office-holder in a registered political party; or
(d)is an undischarged bankrupt or is insolvent; or
(e)has been, or is, a director or shareholder controller of an incorporated company in Papua New Guinea or overseas and which has been, or is being, wound up or liquidated compulsorily during his tenure as director, or shareholder controller if he can be found liable under laws governing the industry; or
(f)has been, or is being, removed or suspended, by order of company regulatory authority in Papua New Guinea or in a foreign country, as a director, officer or shareholder controller of corporation licensed to operate in Papua New Guinea or in a foreign country, unless such removal or suspension is solely the result of his political affiliation and in no way relates to his performance, conduct or competency as a director, officer or shareholder controller of a licensed corporation; or
(g)is of unsound mind within the meaning of the Public Health Act 1973 and any law relating to the protection of the person and property of persons of unsound mind; or
(h)is under sentence of death or imprisonment or has previously been sentenced to death or a term of imprisonment; or
(i)has been found guilty of any criminal offence whether under the laws of Papua New Guinea or a foreign law; or
(j)has been found guilty of misconduct in office under the Leadership Code and Organic Law on the Duties and Responsibilities of Leadership-, or
(k)has or would be prohibited from being a director or member of, or take part in the management of a company under any law of Papua New Guinea.

23. Resignation

(1)A non ex-officio Board member may resign by giving one month’s notice, in writing, to the Chairman of the Board, with copies to the Minister and the Chairman of the Appointment Committee.
(2)The notice period referred to in Subsection (1) commences on the day that the Chairman of the Board receives the notice.
(3)A resignation takes effect at the end of the notice period.
(4)The Board member may withdraw his notice of resignation at any time before the resignation takes effect.

24. Removal

(1)Subject to Subsection (3), the Head of State, acting with, and in accordance with, the advice of the National Executive Council, may remove a Board member in any one or more of the grounds given in this Section.
(2)Subject to Subsection (3), a non ex-officio Board member shall be removed if—
(a)in the case of the Chairman, he fails to attend two successive Board meetings without leave of absence granted by the Minister; or
(b)in the case of any other Board member, he fails to attend three successive Board meetings, without leave of absence granted by the Chairman; or
(c)he becomes disqualified in accordance with Section 22; or
(d)he fails to comply with Sections 29 and 30; or
(e)he fails to comply with any other duty or responsibility conferred on him by this Act.
(3)In accordance with Subsection (2), and before advising the Head of State under Subsection (1), the National Executive Council shall determine whether or not a Board member is qualified to remain a member.

25. Vacancy

(1)The position of a non ex-officio Board member becomes vacant if—
(a)he dies; or
(b)he becomes disqualified in accordance with Section 22; or
(c)his term expires; or
(d)he resigns; or
(e)he is removed in accordance with Section 24.
(2)A vacancy in the office of a member of the Board shall he filled within a reasonable time.

26. Calling of meetings

(1)The Board shall meet as often as the business of the Authority requires, and at such times and places as the Board determines, or as the Chairman, or in his absence, the Deputy Chairman directs, but in any event shall meet at least once in every three months.[subsection (1) amended by section 17 of Act 25 of 2021]
(2)Where the Board receives a request to do so by the Minister or by not less than two members, the Chairman, or in his absence the Deputy Chairman, shall convene a meeting of the Board within 14 days to deliberate on the matter.
(3)For the purposes of Subsection (1), the Chairman or the Deputy Chairman shall give to every member at least 14 days written notice of the meeting.
(4)The Minister may, from time to time, request the Board to meet and consider and advise him on matters he may put to the Board.

26A. Secretariat

The Authority shall establish a secretariat comprising of staff from the Authority to support the functions of the Board on such matters as the Board considers necessary.[section 26A inserted by section 18 of Act 25 of 2021]

26B. Secretary of the Board

(1)There shall be a Secretary to the Board who shall be appointed in accordance with this Act.
(2)The Board shall appoint a senior employee of the Authority to be the Secretary of the Board.
(3)The Secretary is responsible for convening meetings of the Board and for recording minutes of those meetings.
[section 26B inserted by section 18 of Act 25 of 2021]

27. Meetings of the Board

(1)The quorum for the first meeting of the first Board may consist of all members of the Board, thereafter, it shall be the Chairman or Deputy Chairman and five other Board members.[subsection (1) amended by section 19(a) of Act 25 of 2021]
(2)At a meeting of the Board
(a)all matters shall be decided by a majority of the votes of the members present at the quorum and any member in attendance as determined by the Board from time to time under Subsection (6); and
(b)the Chairman, or in his absence, the Deputy Chairman, has a deliberative vote and if there is an equal number of votes on any matter, also a casting vote.[paragraph (b) amended by section 19(b) of Act 25 of 2021]
(3)Notwithstanding Subsection (2), if the Chairman, or the Deputy Chairman
(a)is unable to attend a meeting; or
(b)has a conflict of interest in respect of a transaction of a matter, and the quorum requirements of Subsection (2) are nevertheless satisfied, the Board members present shall elect a Board member, other than the ex-officio member, to preside over that meeting in whole or in relation to deliberations on the matter of transaction in which the Chairman, or the Deputy Chairman has a conflict of interest.
[subsection (3) amended by section 19(c) of Act 25 of 2021]
(4)All Board meetings shall beheld in Papua New Guinea except when a special circumstance arises requiring the Board to meet outside of Papua New Guinea.[subsection (4) amended by section 19(d) of Act 25 of 2021]
(5)If any Board member has a conflict of interest in respect of a matter and the quorum requirements of Subsection (1) are nevertheless satisfied, the Board members present other than the concerned Board member, shall deliberate on the matter in which the Board member has a conflict of interest.
(6)Where appropriate the Board may determine the mode of attendance of a member not in attendance, either through electronic means or whichever mode the Board determines necessary.

27A. Public Register

(1)There is established a Public Register to be kept and maintained by the Board.
(2)The Public Register shall—
(a)be in the prescribed form; and
(b)contain such particulars as are required by this section or as are prescribed.
(3)The Public Register shall contain—
(a)summaries of decisions of the Board containing brief facts and the resolutions thereto but shall not contain summaries of matters which are of a commercial-in-confidence nature or sub-judice or information which ought not to be in the public domain; and
(b)maps relating to climate change projects; and
(c)climate change project agreements.
[section 27A inserted by section 20 of Act 25 of 2021]

28. Effect of Board resolution

Subject to the inherent judicial powers of the National Court and the Supreme Court pursuant to Section 155 of the Constitution, a resolution of the Board is final and shall not be appealed.

4. Duties and responsibilities of Board members

29. Duties and responsibilities of Board members

(1)A Board member shall not act, or agree to the Board acting, in a manner that contravenes this Act.
(2)A Board member, when exercising his powers and duties under this Act
(a)shall act in good faith and in the best interest of the Authority; and
(b)shall exercise the standard of care, diligence and skill that would be reasonably expected of a member of such a Board in the circumstances.
(3)A Board member—
(a)shall maintain full confidentiality in relation to the business and affairs of the Board; and
(b)in particular, shall not divulge or use for his own benefit or for the benefit of any other person, any information relating to the Authority or the Board or his function as a Board member,
except in accordance with this Act or as otherwise required by law.
(4)A Board member, when exercising powers or performing duties as a member of the Board, may rely on reports, statements and financial data and other information prepared or supplied and on professional or expert advice given, by any of the following persons:
(a)an employee of the Authority whom the Board member believes on reasonable grounds to be reliable and competent in relation to the matters concerned; or
(b)a professional adviser or expert in relation to matters which the Board member believes on reasonable grounds to be within the person’s professional or expert competence.
(5)A Board member who contravenes any one or more of Subsections (1), (2), (3) or (4) shall be liable and dealt with under Section 24.

30. Conflict of interest

(1)For the purpose of this section, a Board member has a material interest in a matter or transaction to which the Board is interested in or is a party where, and only where, the Board member—
(a)is a party to, or will or may derive a material financial benefit from, the transaction; or
(b)has a material financial interest in another party to the transaction; or
(c)is a director, officer or trustee of another entity, or person who will or may derive a material benefit from the transaction, not being an entity that is wholly owned by the Authority; or
(d)is the parent, child or spouse of another party to, or person who will or may derive material benefit from the transaction; or
(e)is otherwise directly or indirectly materially interested in the transaction.
(2)A Board member who has a material interest in a matter or transaction that the Board is interested in, or to which the Board is a party to, shall give notice, in writing, of that interest to the Board as soon as practicable after the Board member becomes aware of his interest in the matter or transaction.
(3)The notice under Subsection (2) shall—
(a)provide details of—
(i)the nature and extent of the interest, including monetary value of that interest (where that value can be quantified); and
(ii)the relation of the interest to the affairs of the board; and
(iii)be given in writing to the Board before the next Board meeting as soon as he becomes aware of the interest.
(4)After a disclosure under Subsection (2), the member—
(a)shall not be present during any deliberation or decision of the Board with respect to the matter or transaction; and
(b)shall not take part in any deliberation or decision of the Board with respect to the matter or transaction; and
(c)shall not discuss the matter with the Board or with another Board member other than in respect of the making of a disclosure under Subsection (2); and
(d)shall be disregarded for the purpose of constituting a quorum for any such deliberation of decision on that matter or transaction.
(5)A Board member who contravenes this section shall be liable and dealt with under Section 24.

31. Indemnity and insurance

(1)The Authority shall indemnify a Board member for any costs incurred by him in any proceeding—
(a)that relates to liability for any act or omission in his capacity as a Board member; and
(b)in which judgment is given in his favour, or in which he is acquitted, or which is discontinued.
(2)The Authority shall indemnify a Board member in respect of—
(a)liability to any person for any act or omission done in his capacity as a Board member; or
(b)costs incurred by that Board member in defending or settling any claim or proceeding relating to any such liability,
not being criminal liability or liability in respect of a breach of the duty specified in Section 29.
(3)The Board shall effect insurance for a Board member in respect of—
(a)liability, not being criminal liability for any act or omission in his capacity as a member of the Board; or
(b)costs incurred by that Board member in defending or settling any claim or proceeding relating to any such liability.

32. Fees and expenses of Board members

(1)The Authority shall pay Board members such fees as the Minister, after considering any recommendation by the Board in accordance with the Boards (Fees and Allowances) Act 1955, determines.
(2)The Authority shall pay Board members reasonable travelling and other expenses incurred in carrying out their duties.

33. Oath and affirmation of office

(1)Before performing the duties of his office, a member of a Board shall take an oath or make an affirmation in the form in the Schedule.
(2)The oath, affirmation or declaration shall be taken or made before the Appointment Committee or a person appointed by the Appointment Committee for the purpose.

34. Annual reports

(1)The Board shall, by 31 March in each year, furnish to the Minister an annual report on the progress, performance and finances of the Authority in relation to its functions during the year ended 31 December previously.
(1A)The annual report shall contain information necessary to track progress made in implementing and achieving Papua New Guinea’s NDC and report on any support received in accordance with relevant Articles of the UNFCCC and the Paris Agreement.[subsection (1A) inserted by section 21 of Act 25 of 2021]
(2)As soon as practicable, after he has received the report referred to in Subsection (1), the Minister shall forward—
(a)a copy of the report to National Executive Council; and
(b)a copy of the report to the Speaker for presentation to the Parliament; and
(c)a copy of the report to each Provincial Government, where applicable.
(3)Upon the Minister’s endorsement of the report produced under Subsection (1), the report shall be deemed a public document.

Part III. Administration

1. Financial management

35. Application of the Public Finances (Management) Act 1995 and the National Procurement Act 2018

The Public Finances (Management) Act 1995 and the National Procurement Act 2018 apply to and in relation to the Authority.[section 35 substituted by section 22 of Act 25 of 2021]

36. Auditing procedures

(1)The accounts of the Authority shall be audited in accordance with Part III of the Audit Act 1989.
(2)The Board shall cause to be kept proper books and other records of account in respect of receipts and expenditures of the Authority in accordance with acceptable principles of accounting consistent with the Public Finances (Management) Act 1995 and the Audit Act 1989.
(3)The Trust Account and its component parts shall be subject to regular and open audit and reporting in accordance with the Public Finances (Management) Act 1995 and the Audit Act 1989.
(4)The Board shall, in each calendar year, engage an independent reputable external auditor to audit the accounts of the Authority.

37. The Establishment of the Climate Resilience and Green Growth Trust Fund

(1)The Climate Resilience and Green Growth Trust Fund is hereby established and vests in the Authority.
(2)The Trust Fund established under Subsection (1) shall be administered by the Authority in accordance with the Public Finances (Management) Act 1995 and this Act.
(3)The Trust Fund established under Subsection (1) shall consist of the following trust accounts, namely:
(a)Climate Change Main Operating Trust Account; and
(b)Climate Change Small Grants Facility Trust Account; and
(c)Climate Change Mitigation Trust Account; and
(d)Climate Change Adaptation Trust Account; and
(e)Community Relocation Trust Account; and
(f)other related trust accounts established under law for the purpose of climate change shall be governed by the respective trust instruments.
(4)The purpose of the Trust Fund is to—
(a)hold funding mobilised and administered from a variety of internal and external sources from resilient development initiatives related to climate disaster preparedness, response and recovery and low carbon development projects and programs in Papua New Guinea; and
(b)finance resilient development initiatives related to natural disaster preparedness, response and recovery and low carbon development projects and programs in Papua New Guinea; and
(c)hold moneys to provide for grant and loan funding to finance—
(i)any natural disaster early warning systems or emergency preparedness, response and recovery and climate resilient programs and projects and related activities; and
(ii)community-based grant projects that have a climate change adaptation or climate change mitigation (including REDD+) focus; and
(iii)any climate change adaptation or climate change mitigation (including REDD+) project that supports women, children, vulnerable and displaced persons or persons with disability; and
(iv)public, private, academic and civil society climate change adaptation or climate change mitigation initiatives (including internationally funded projects) that support priority climate change adaptation and mitigation (including REDD+) initiatives, projects and programs.
(5)The income from climate finance sources may be invested, disbursed as grants or loans or used to cover the Trust Fund’s administrative expenses and operating costs under this Act.
[section 37 substituted by section 23 of Act 25 of 2021]

38. Funding levy arrangement

(1)Subject to the approval of the National Executive Council, the Authority shall, in consultation with the departments responsible for treasury and customs matters and any relevant entities, impose or redistribute import levies on fertilizers, fuel, coal and other goods which may contribute to the emission of greenhouse gases, as may be agreed or determined by the Authority and the departments responsible for treasury and customs matters and any relevant entity from time to time.
(2)Subject to the approval of the National Executive Council, the Authority shall, in consultation with the department responsible for treasury matters and any relevant entities, impose appropriate climate levies on factories, roadstead or installations at sea or land-based operations close to sea, movement or transport of hazardous wastes into and out of Papua New Guinea or related activities which may contribute to the emission of greenhouse gases.
(3)Subject to the approval of the National Executive Council, the Authority shall, in consultation with the departments responsible for treasury and forestry matters, and any relevant entities, impose deforestation levies on logging companies in Papua New Guinea.
(4)All levies collected under this section shall be paid to the credit of the Trust Fund.
(5)A Regulation shall provide for a list of the industries and sectors for which this Section shall apply, and prescribe the requirements and procedures required to be complied with.
(6)Prior to the enforcement of the Regulation under Subsection (5), the Authority shall, for the purposes of this section, notify the relevant industries, sectors, persons or entities of the application of this section.
[section 38 substituted by section 24 of Act 25 of 2021]

38A. Fees and charges

(1)The Minister responsible for Finance matters shall, in consultation with the Minister, determine or review the activities and services for which fees and charges shall apply, and the amount of those fees and charges, in accordance with the Public Finances (Management) Act 1995.
(2)Unless expressly stated, all fees and charges collected under this section shall be paid to the credit of the Trust Fund.
[section 38A inserted by section 25 of Act 25 of 2021]

39. Payement into the Trust Fund

(1)Payments into the Trust Fund shall consist of—
(a)monies or assets that may accrue to or vest in the Trust Fund by way of grants, subsidies, bequests, donations, gifts and subscriptions from the National Government or from a Provincial Government or from any other person; and
(b)climate finance and other related finance; and
(c)budgetary appropriations from the National Government, Provincial Government or Local-level Governments; and
(d)any fees, charges, levies, taxes and fines that are specifically prescribed to the Trust Fund by law or executive orders including those provided for under Sections 38 and 38A; and
(e)revenues from investments; and
(f)proceeds from the sale, lease or transfer of tangible and intangible property; and
(g)all monies appropriated by law for the purposes of the Trust Fund and for carrying out or giving effect to this Act; and
(h)all monies or assets as may accrue to or vest in the Trust Fund, whether in the course of the exercise by the Authority of its functions or powers or otherwise; and
(i)all monies received as a loan, grant or assistance from authorised institutions, as that is defined under Section 3 of the Banks and Financial Institutions Act 2000, international agencies or organisation or foreign governments for the purposes of the Authority; and
(j)all fines payable under this Act; and
(k)equalisation or compensation payments to be made to Papua New Guinea by any government, supranational body, authority or person on account of national curtailment of targeted greenhouse gas emissions or its sequestration of targeted greenhouse gas emissions; and
(l)funds drawn from or on account of REDD+, such as results-based payments, for administration of particular activities approved under those schemes; and
(m)funds drawn from or on account of any targeted greenhouse gas reduction or mitigation or adaptation program howsoever arising where the government of Papua New Guinea has a responsibility for administration of a particular program in accordance with its terms; and
(n)accretions on such funds; and
(o)all funds received from donors or persons or entities nationally or internationally, except from the Government of Papua New Guinea, by any person or entity for the purposes of climate change related activities shall be declared by the Authority and 7 percent of the total monies received at any one time shall be paid to the Trust Fund under the following percentages:
(i)2 percent to the Climate Change Adaptation Trust Account; and
(ii)2 percent to the Climate Change Mitigation Trust Account; and
(iii)2 percent to the Climate Change Small Grants Facility Trust Account; and
(iv)1 percent to the Climate Change Main Operating Trust Account, as climate administration fees; and
(p)any other sources of revenue deemed appropriate to the Authority.
(2)A person or an entity that contravenes Subsection (1)(o), is guilty of an offence.Penalty: A fine not exceeding K1,000,000.00 for a body corporate, or a fine of K250,000.00 or imprisonment for a term of not less than seven years or both for a natural person.
(3)The Trust Fund shall hold monies to provide grant and loan funding to finance any climate change related activities or programs in Papua New Guinea including, but not limited to—
(a)community-based small grant programs that have a climate change adaptation or mitigation, including REDD+ focus; and
(b)any climate change adaptation or climate change mitigation programs (including REDD+) that supports women, children, vulnerable and displaced persons or persons with disability; and
(c)public, private, academic and civil society climate change adaptation or mitigation initiatives including internationally funded programs through the Green Climate Fund and other funding sources, that support climate change adaptation, mitigation and REDD+ programmes; and
(d)the establishment and operation of climate change attache posts in diplomatic missions overseas including participation in the international climate change negotiations under the UNFCCC and Paris Agreement.
[section 39 substituted by section 26 of Act 25 of 2021]

40. Payments from the Trust Fund

(1)Unless expressly stated, payments from the Trust Fund shall only be approved by the Authority through the Board for—
(a)purposes of the Trust Fund under Section 37(4); and
(b)grant or loan funding under Section 39(2); and
(c)the administrative expenses associated with the execution of the duties and responsibilities of the Authority and the management of the Trust Fund as approved by the Board; and
(d)the contracting of services for the routine, periodic and emergency actions of the Authority in the performance of its duties; and
(e)the human and technological resources required by the Authority for enforcing particular regulations regarding the national reference level and targets any other payments necessary to give effect to this Act; and
(f)the activities listed under Section 11 of this Act.
(2)All decisions regarding payments from the Trust Fund shall have regard to any existing donor funding agreements in the process of administration of monies and disbursement of funding.
(3)If the annual income from the Trust Fund together with any surplus income brought forward from a previous year is insufficient to meet the actual or estimated expenditure and commitments from the Trust Fund, the Treasurer, with the approval of Parliament, may make advances to the Authority and such advances shall be made on such terms and conditions, whether as to repayment or otherwise, as the Treasurer may determine.
[section 40 substituted by section 27 of Act 25 of 2021]

41. Bank accounts

(1)The Authority shall open and maintain one or more bank accounts as it considers necessary within the country with such reputable banks or licensed financial institutions as the Board thinks fit and shall at all times maintain at least one such account, in accordance with the Public Finances (Management) Act 1995.[subsection (1) amended by section 28(a) of Act 25 of 2021]
(2)Subject to arrangements with the sources of the funds if and where necessary, monies in the bank account may be lodged in term deposits with any reputable commercial bank or licensed financial institutions.
(3)[subsection (3) repealed by section 28(b) of Act 25 of 2021]

42. Investment and borrowing by the Authority

(1)The Authority may invest any monies standing to the credit of the Trust Fund
(a)in any securities of, or guaranteed by the State; or
(b)on deposit with an approved bank or a licensed financial institution approved by the Bank of Papua New Guinea; or
(c)in any manner authorised by the Public Finances (Management) Act 1995 and any other law.
(d)in any other manner approved by the Board.
(2)Any balance of monies in the Trust Fund at the end of each year shall remain to the credit of the Trust Fund and shall be used only in accordance with this Act.
(3)Subject to Part VI of the Public Finances (Management) Act 1995, the Authority may obtain loans from a reputable financial institution or regional or multilateral organisation or any person as the Board determines for the purpose of this Act.
(4)Subject to Subsection (2), any balance of monies in the operating accounts of the Authority at the end of each year shall be placed to the credit of the Trust Accounts and be used only for the purposes of this Act.
[section 42 substituted by section 29 of Act 25 of 2021]

42A. Incentives for the promotion of climate change initiatives

(1)The minister responsible for treasury matters, in accordance with the Income Tax Act 1959, grant to persons who—
(a)encourage and put in measures for the mitigation of climate change including reduction of greenhouse emissions and use of renewable energy; and
(b)put in place measures to adapt and improve Papua New Guinea’s resilience to climate change; and
(c)are involved in the conduct of accredited training in programmes that are aimed at mitigating and adapting to climate change.
(2)The minister responsible for treasury matters shall, if granting incentives to persons in accordance with Subsection (1), in regulations, set out the nature of the incentives, the conditions for the grant or withdrawal of such incentives and such other matter as may be necessary for the exercise of the power conferred under Subsection (1).
(3)In granting incentives under Subsection (1), the minister responsible for treasury matters shall take into account international standards and best practice.
[section 42A inserted by section 31 of Act 25 of 2021]

42B. Accredited climate finance organisations

(1)State entities or private organisations accredited to climate funds, including but not limited to the Green Climate Fund, can be recipients and administrators of public or private contributions designated to be used for the implementation of measures for mitigation and adaption to climate change with the approval of the Authority.
(2)Administrators of the State entities or private organisations in Subsection (1) must monitor, evaluate, publish and communicate to the Minister and the minister responsible for treasury the results of their actions to address climate change and demonstrate the effectiveness and efficiency of their expenditure.
(3)The minister responsible for treasury matters shall, with the support of the Authority, establish guidelines for the use of climate finance, to be applied by the State entities or private organisations in Subsection (1), in order to ensure strategic and complementary use of the funds that will be allocated for climate finance.
[section 42B inserted by section 31 of Act 25 of 2021]

43. ***

[section 43 repealed by section 30 of Act 25 of 2021]

2. Service of the Authority

44. The Office of Managing Director

(1)For the avoidance of doubt, the Regulatory Statutory Authorities (Appointment to Certain Offices) Act 2004 does not apply to the appointment of the Managing Director under this Division.
(2)The office of Managing Director is hereby established.
(3)A person is eligible to be appointed as Managing Director in accordance with Section 45, provided the person has met the requirements of the merit-based appointment process under Section 45, and in addition, the person has—
(a)relevant experience in climate change regulatory matters; and
(b)a graduate degree and other relevant qualifications; and
(c)good character, high integrity, independence of mind, good reputation; and
(d)demonstrated administrative and organisation expertise and leadership; and
(e)good health; and[paragraph (e) amended by section 32(a) of Act 25 of 2021]
(f)no history of prior criminal convictions or breaches to the Leadership Code.[paragraph (f) added by section 32(b) of Act 25 of 2021]
(4)The Managing Director
(a)is the chief executive officer of the Authority; and
(b)shall be appointed by, or suspended or removed from office in accordance with this Division and the Act; and
(c)holds office for a term of four years in accordance with a contract of employment approved by the Board and prepared in accordance with the Salaries and Conditions Monitoring Committee Act 1998, on such terms and conditions including salary and allowances as the Board thinks fit; and
(d)is eligible for reappointment; and
(e)is a leader for the purposes of Part III Division 2 (Leadership Code) of the Constitution and Organic Law on the Duties and Responsibilities of Leadership.

45. Appointment of Managing Director

(1)The Managing Director shall be appointed by the National Executive Council in accordance with a prescribed merit-based appointment process which shall include, but not limited to the following:
(a)the advertisement of a vacancy in the office of the Managing Director in the prescribed format together with minimum person specification for applicants to the position; and
(b)the assessment of each applicant’s curriculum vitae, submitted in a prescribed format, and their competency to perform the prescribed duties as measured against the minimum person specification for the position; and
(c)a ranked ordered assessment of all applicants for the advertised position in terms of their relative competency to perform the prescribed duties; and
(d)the merit-based assessment described in this section shall be the primary consideration of the Appointment Committee, who will forward to the National Executive Council a list of applicants in merit-order; and
(e)all other considerations not related to the processes described in this section shall have no bearing in the recommendation of the Appointment Committee to the National Executive Council.
(2)The Appointment Committee shall prepare a list using the merit-based process, of not less than three suitable candidates in the order of preference from the original applicants to the position and shall submit this list with the original documentation to the National Executive Council for consideration and appointment.
(3)On the receipt of the list under Subsection (2), the National Executive Council shall deliberate and select one successful candidate from the three shortlisted candidates within one month of the receipt of the list from the Appointment Committee.
(4)The National Executive Council, after selecting the successful candidate under Subsection (3), shall then advise the Head of State to make the appointment of the selected candidate to the position of Managing Director.

46. Functions of the Managing Director

(1)The Managing Director is to manage and direct the administrative affairs of the Authority and is responsible to the Board for ensuring that the Authority performs its functions and exercises its powers in accordance with this Act.
(2)Notwithstanding anything in this Act, the Managing Director has the sole right and responsibility to supervise and direct the staff of the Authority in the exercise of all powers, functions and discretions in respect of the administration and enforcement of this Act.
(3)The Managing Director may, in writing, delegate to any person, any or all of his powers, duties, functions and authorities, except, this power of delegation.
(4)Any delegation under Subsection (3) is revocable, in writing, at will, and no such delegation affects the exercise of a power or the performance of a function by the Managing Director.

47. Vacancy in the Office of the Managing Director

(1)The National Executive Council may remove or suspend a Managing Director if the National Executive Council is satisfied that the—
(a)person’s services are no longer required; or
(b)person is of unsound mind; or
(c)person’s actions or inactions bring disrepute to the Authority or Papua New Guinea; or
(d)person resigns; or
(e)person is convicted of an indictable offence either in Papua New Guinea or overseas; or
(f)person is dismissed from office by a leadership tribunal; or
(g)person is declared bankrupt or insolvent; or
(h)person commits a serious disciplinary offence under this Act or any other law; or
(i)person is disqualified by any other law.
(2)Where the office of the Managing Director is vacant, or is likely to become vacant due to the completion of the term of the Managing Director, the Appointment Committee shall—
(a)by notice in the National Gazette and in at least one daily newspaper circulating generally in Papua New Guinea, declare the office vacant; and
(b)advertise the vacancy and invite applications for appointment to the office.
(3)The Appointment Committee and the National Executive Council shall follow the merit-based appointment process specified under Section 45.

48. Acting Managing Director

(1)In the event of incapacity through illness or the suspension from office of the Managing Director or removal, the Head of State, acting on the advice of the Rational Executive Council, may appoint a person, who is to be known, and is referred to in this section as the Acting Managing Director, to perform the functions of the Managing Director.
(2)An Acting Managing Director shall not hold the office of the Managing Director for a term in excess of 12 months.
(3)The Acting Managing Director may hold office and sit as a Board member on terms and conditions as may be determined by the Board in consultation with the National Executive Council.
(4)The Head of State, acting on the advice of the National Executive Council may, on reasonable grounds, suspend the Acting Managing Director from office or may terminate the appointment as Acting Managing Director on being satisfied that the Acting Managing Director is unable to resume or not performing his duties and functions to the expectation of the Appointment Committee.

49. Appointment of officers

(1)The Managing Director may appoint such officers as are necessary for the purposes of this Act or for the purposes of any other activities as may be conferred on the Authority under this Act or any other law.
(2)The officers of the Authority constitute the service of the Authority.

50. Regulations for the service of the Authority

Without limiting the generality of the power to make regulations, regulations may make provision in relation to the service of the Authority, and in particular may, subject to the Salaries and Conditions Monitoring Committee Act 1988, prescribe the terms and conditions of employment of officers of the Authority.

51. Temporary and casual employees and consultants

(1)The Managing Director may appoint such temporary and casual employees as are necessary for the purposes of this Act.
(2)Employees appointed under Subsection (1) shall be employed on such terms and conditions as the Authority determines in accordance with the Salaries and Conditions Monitoring Committee Act 1998.
(3)The Managing Director may appoint and remove persons with suitable qualifications as advisers or consultants from time to time on such terms and conditions as determined by the Managing Director to assist in achieving the objectives of the Authority in accordance with this Act.
(4)Notice of appointment and terms of the engagement of advisers or consultants under Subsection (3) shall be given to the Board by the Managing Director as soon as practicable.

52. Appointment of overseas climate change attache, etc.

The Managing Director, in consultation with the Department responsible for Foreign Affairs matters, may appoint a climate change attache or an agent to a particular overseas post on such terms and conditions as the Managing Director determines.

Part IV. Measuring, reporting and verification

[Part IV amended by replacing word "national" with "baseline" by section 33(b) of Act 25 of 2021]

1. The Baseline Reference Level and Targets

[heading substituted by section 33 of Act 25 of 2021]

53. Regulated sectors

(1)Subject to Subsection (2)
(a)the Minister may, by notice in the National Gazette from time to time, establish economic activities into sectors in the baseline economy for the purposes of this Act; and
(b)the Minister shall establish these economic activities after consultation with relevant sectors and may base decisions on the best available science; and[paragraph (b) substituted by section 34(a) of Act 25 of 2021]
(c)a regulation may, from time to time, prescribe which sectors of the national economy are regulated sectors.[paragraph (c) added by section 34(a) of Act 25 of 2021]
(2)Until the Minister makes a determination pursuant to Subsection (1) and a regulation further prescribes the application of this Part, the following sectors of the baseline economy are regulated sectors for the purposes of this Act:
(a)agriculture and livestock; and
(b)electricity generation; and
(c)transportation of persons and goods by road, sea and air; and
(d)building materials for manufacturing, construction and infrastructure development; and
(e)forestry including land use and land use change and forestry; and
(f)petroleum, energy and natural gas production, refining and distribution; and
(g)minerals exploration, extraction, production and refining; and
(h)fishing and maritime resources include fishing shore based facilities or factories; and
(i)waste management, industrial processing and disposal; and
(j)any other sector which may be determined by the Minister and published in the National Gazette.
(3)Regulated sectors shall comply with the targets set and actively achieve them.[subsection (3) added by section 34(b) of Act 25 of 2021]
(4)Targets may be set as a percentage of the national target that may be converted into annual tonnes of CO2 equivalents for each sector.[subsection (4) added by section 34(b) of Act 25 of 2021]
(5)The tonnes of CO2 equivalents may be allocated to each sector as targets in line with the NDC and the Authority
(a)may require a specific project to produce an El A under the Environment Act 2000 in which the amount of CO2 equivalents that are estimated to be emitted are disclosed; and
(b)may assess the estimated project specific emissions and deduct from the total amount of allowable emissions for the regulated sector in question; and
(c)may issue approval for a specific project in each regulated sector to commence or operate to meet its target.
[subsection (5) added by section 34(b) of Act 25 of 2021]
(6)A Regulation shall provide the requirements and guidelines on the issuance of licenses or permits.[subsection (6) added by section 34(b) of Act 25 of 2021]
(7)A person or body corporate who contravenes this section is guilty of an offence.Penalty: A fine not exceeding K20,000.00 or imprisonment for a term not exceeding nine months or both, for a natural person or a fine not exceeding K500,000.00 for a body corporate.[subsection (7) added by section 34(b) of Act 25 of 2021]

54. Measurement

(1)For the purposes of this Act, targeted greenhouse gas emissions, reductions of such emissions and removals of targeted greenhouse gases from the atmosphere shall be measured or calculated in tonnes of carbon dioxide equivalent.
(2)The amount of Papua New Guinea emissions and Papua New Guinea removals of a greenhouse gas for a period shall be determined in accordance with international reporting practice under the UNFCCC, the Paris Agreement and the IPCC Guidelines.[subsection (2) substituted by section 35(a) of Act 25 of 2021]
(3)The net Papua New Guinea emissions for a period, in relation to a targeted greenhouse gas, means the amount of Papua New Guinea emissions of that gas for the period reduced by the amount for the period of Papua New Guinea removals of that gas.
(4)Measurement of the baseline reference level, the targets, emissions, removals and net Papua New Guinea emissions shall include sub-measurements to differentiate each regulated sector of the baseline economy as stated in Section 53, and the balance of all other sectors from the baseline measurements.
(5)All regulated sectors under this Part shall have baseline emission of carbon dioxide and targeted greenhouse gases.
(6)A Regulation may prescribe the standard format for requirements and methodologies for measurement and mandatory requirements for consultations in accordance with international reporting practice adopted and amended from time to time.[subsection (6) substituted by section 35(b) of Act 25 of 2021]
(7)All emissions shall be verified by an appropriately qualified, independent third party in accordance with Section 60.[subsection (7) added by section 35(b) of Act 25 of 2021]

55. The baseline reference level

(1)Subject to Subsection (2), the baseline reference level is the aggregate amount of—
(a)net Papua New Guinea emissions of carbon dioxide for the baseline year; and
(b)net Papua New Guinea emissions of each of the other targeted greenhouse gases for the baseline year,
each determined in accordance with Sections 56 and 57 and increased each calendar year following the baseline year by the percent of growth in gross domestic product as determined by the Bank of Papua New Guinea or Department of Treasury or National Statistics Office.
(2)The baseline reference level and any revisions or adjustments may be made in consultation with or by agreement among all relevant entities or bodies and be carried out in accordance with international practice or guidance under the UNFCCC, the Paris Agreement and IPCC Guidelines.[subsection (2) amended by section 36 of Act 25 of 2021]

56. Requirement for targets

(1)After this Act comes into operation and on this anniversary and every five years after that, having fully and properly consulted with—
(a)the Minister responsible for Treasury matters; and
(b)the Minister responsible for Commerce and Trade matters; and
(c)the Minister responsible for Forestry matters; and
(d)the Minister responsible for Mining matters; and
(e)the Minister responsible for Petroleum and Energy matters; and
(f)the Minister responsible for Transport and Civil Aviation matters; and
(g)the Governor of the Bank of Papua New Guinea; and
(h)the Minister for Agriculture matters; and
(i)the relevant statutory entities; and
(j)the relevant private entities and industries; and
(k)the Board Members through public notices and advertisement of the consultation of the public; and
(l)such other persons or entities entitled to be consulted by law or as determined by the Board, as determined through sectoral mapping and best practice,[paragraph (l) substituted by section 37(a) of Act 25 of 2021]
the Board shall, having regard to Papua New Guinea’s NDC, recommend to the Minister the baseline reference level and targets for baseline net carbon dioxide emission and baseline net emissions of targeted greenhouse gases for each year, including sub-targets for each of the regulated sectors.[subsection (1) amended by section 37(a) of Act 25 of 2021]
(2)Through the prescribed mechanisms the sectors shall work together through the departments and ministers to allocate sectoral emissions targets that shall be within the limit of the national target and be completed in accordance with international reporting practice and guidance under the UNFCCC.[subsection (2) substituted by section 37(b) of Act 25 of 2021]
(3)The Head of State, acting on the advice, of the Minister, shall determine, and at set time intervals, in accordance with the UNFCCC and the Paris Agreement and any such other or subsequent arrangements or agreements made under the UNFCCC and the Paris Agreement, make a revision of the national targets for reducing emissions of carbon dioxide and targeted greenhouse gases.[subsection (3) substituted by section 37(b) of Act 25 of 2021]
(4)A determination by the Head of State, pursuant to this section shall be published in the National Gazette.[subsection (4) added by section 37(b) of Act 25 of 2021]

57. Criteria for determining and revising the targets

Before the Board, through the Minister, advises the Head of State on targets and revisions to targets pursuant to Section 56, it shall have regard to the following matters:
(a)the best available science; and[paragraph (a) substituted by section 38 of Act 25 of 2021]
(b)the gross domestic product of Papua New Guinea, including levels of planned or projected changes in national gross domestic product over time; and[paragraph (b) substituted by section 38 of Act 25 of 2021]
(c)economic growth generally in Papua New Guinea, including levels of planned or projected changes in gross domestic product over time; and[paragraph (c) substituted by section 38 of Act 25 of 2021]
(d)the socio-economic and environmental development matters of Papua New Guinea; and[paragraph (d) added by section 38 of Act 25 of 2021]
(e)emission, mitigation and adaptation plans under Part V and Part VI, and further or other matters prescribed by Regulation; and[paragraph (e) added by section 38 of Act 25 of 2021]
(f)need to ensure targets be made progressively more ambitious through subsequent reporting cycles and conditional upon support as provided for under the Paris Agreement; and[paragraph (f) added by section 38 of Act 25 of 2021]
(g)when there is uncertainty, matters in Paragraph (a) may be given equal or greater weight to the other matters for consideration; and[paragraph (g) added by section 38 of Act 25 of 2021]
(h)Papua New Guinea’s current NDC and other frameworks for sustainable development; and[paragraph (h) added by section 38 of Act 25 of 2021]
(i)available climate finance to achieve a balance between mitigation and adaptation.[paragraph (i) added by section 38 of Act 25 of 2021]

2. Measuring and National Reporting

58. Obligation to maintain records and measuring

(1)Each person or entity that carries on an activity in a regulated sector shall keep records of—
(a)the emission in the country of greenhouse gases into the atmosphere; and
(b)the removal of greenhouse gases to a sink in the country, and such further or other matters prescribed by regulation.
(2)Each person or entity that carries on an activity in a regulated sector shall—
(a)submit such records for verification by a registered verifier; and
(b)submit those verified records annually to the Authority.
(3)A person or entity to which this section applies shall collect or obtain and store climate change related data at no cost to the Authority.
(4)A person or entity who contravenes this section is guilty of an offence.Penalty: A fine not exceeding K10,000.00 or imprisonment for a term not exceeding six months or both for a natural person or a fine not exceeding K500,000.00 for a body corporate.
(5)A regulation may prescribe the standard format for record keeping requirements, reporting and methodologies for reporting.

59. National reporting

(1)The Managing Director shall cause to be prepared and delivered to the Board for its review any revisions to Papua New Guinea’s NDC and the national reports prescribed under Subsection (5).[subsection (1) substituted by section 39(a) of Act 25 of 2021]
(2)Subject to Subsection (3), the Board shall—
(a)start its review within one month of receiving the report and shall complete the review within three months of receiving the report; and
(b)once satisfied with the content, authorise the Minister to sign the baseline reports and forward them to the UNFCCC Secretariat in the discharge of its baseline obligations under the UNFCCC.
(3)If the Board is not satisfied with a report, the Board may direct the Managing Director to review the report and resubmit the revised version for further deliberation by the Board in accordance with Subsection (2).
(4)All reports prepared and delivered by the Board pursuant to this section shall also be delivered to the Parliament and tabled by the Minister at the next sitting of Parliament.
(5)Papua New Guinea’s—
(a)national inventory report; and
(b)information required to track progress made towards Papua New Guinea’s NDC; and
(c)information related to climate change impacts and adaptation; and
(d)information on financial, technology transfer and capacity-building support needed and received; and
(e)any other reporting provided for under the UNFCCC and the Paris Agreement,
shall be prepared in accordance with international reporting practice under the UNFCCC, the Paris Agreement and relevant IPCC Guidelines.[subsection (5) substituted by section 39(b) of Act 25 of 2021]
(6)A report produced under this section and after it has been presented in accordance with Subsection (2) or (3), whichever comes first, shall be deemed to be a public document.

3. Verification

60. National and international verifiers to be registered

(1)Any verifier under this Division shall comply with the rules prescribed under the UNFCCC and the Paris Agreement, international reporting practice and the processes or procedures prescribed under this Act and any other relevant law.
(2)A person or an entity who performs verification report shall be registered with the Authority as a registered verifier subject to Section 61.
(3)A person registered as a verifier should be an independent third party.
(4)For purposes of projects registered to voluntary carbon markets and other emerging carbon markets not guided by the UNFCCC and the Paris Agreement, Subsections (2), (3) and (4) apply.
(5)The roles and functions of a verifier shall be prescribed in a Regulation.
[section 60 substituted by section 40 of Act 25 of 2021]

61. Requirements for registration

(1)A person or an entity may apply to the Managing Director for registration as a registered verifier if the person or entity—
(a)is a resident in Papua New Guinea or elsewhere; and
(b)meets the verifier accreditation criteria, requirements and technical capacity under the UNFCCC and the Paris Agreement; and
(c)has—
(i)provided sufficient evidence that the person or the entity has taken out professional indemnity insurance, in the amount prescribed by the Board, with an independent reputable insurance company; and
(ii)complied with the provisions of the Workers’ Compensation Act 1978;and
(iii)registered as a tax payer and is issued with a current certificate of compliance by the Internal Revenue Commission as required by the Income Tax Act 1959; and
(iv)registered a business name or company under the Business Names Act 2014 or Companies Act 1997; and
(iv)paid an application or registration fee approved by the Board from time to time; and
(d)possesses qualifications appropriate to conduct verification in the relevant sector.
[subsection (1) substituted by section 41 of Act 25 of 2021]
(2)On receipt of an application, the Managing Director shall consider the application and prior to the next meeting of the Board, make a recommendation to the Board whether or not the applicant should be registered as a verifier for the purpose of this Act.
(3)On receipt of the recommendation of the Managing Director, the Board shall decide on the application for registration as a verifier and the Managing Director shall inform the applicant of the outcome of the application, including in the case of a refusal to grant of registration, the reasons for such refusal.
(4)A person who is registered as a verifier under this section shall be issued a verifier certificate which shall expire on 31 December of each calendar year.
(5)The Board may revoke or suspend or reinstate a verifier certificate issued under Subsection (4) as the Board determines necessary.
(6)A Regulation may, without limitation, prescribe further or other qualifications or requirements for registration as a registered verifier and fees payable for registration as a verifier.
(7)A code <5f conduct for verifiers and a schedule of costs or fees may provide for the minimum standards of conduct for verifiers and fees they may impose on their customers or clients.

62. Uncertified verification, etc., prohibited

(1)No person shall verify or purport to verify or publish any oral or written statement that appear to comprise a verification or rejection of, any baseline record of—
(a)emissions of carbon dioxide and other greenhouse gases into the atmosphere; or
(b)removals of carbon dioxide and other greenhouse gases from the atmosphere to a sink in Papua New Guinea,
unless that person is authorised under this Act.
(2)No person, except the Authority, shall issue a certificate of compliance and authenticity related to climate change matters under this Act or any other law.
(3)A person who contravenes Subsection (1) or (2) commits an offence.Penalty: A fine not exceeding K50,000.00 or imprisonment for a term not exceeding five years or both for a natural person or a fine not exceeding K500,000.00 for a body corporate.

Part V. Mitigation

1. Application of this Part

63. Application of this Part

This Part applies to persons, groups, organisations or bodies that carry on activities in a regulated sector.

64. Sectors required to mitigate

Each person, organisation, group or any such body which carries on an activity in a regulated sector is required, on and from the coming into operation of this Act, to implement a carbon dioxide emission and targeted greenhouse gas emission mitigation action in accordance with this Part.

2. Immediate emission mitigation steps

65. Emissions mitigation plans

(1)As at the coming into operation of this Act and for each year, each person, organisation, group or any other such body carrying on an activity in a regulated sector shall, taking into account Papua New Guinea’s NDC and the Paris Agreement’s global temperature goal, prepare a mitigation plan to—
(a)reduce its production of carbon dioxide and other targeted greenhouse gases; and
(b)increase the capture of carbon dioxide or other targeted greenhouse gases in a sink and identify ways the person, organisation, group or any other such body might participate in climate change related activities.
(2)The Authority shall make Regulations for the following activities that contribute to GHG emissions:
(a)Transportation; and
(b)Agriculture; and
(c)Forestry; and
(d)Energy generation; and
(e)Land use; and
(f)Waste disposal; and
(g)Industrial processes and product use; and
(h)Manufacturing processes; and
(i)any other related activities.
(3)A person or an entity which contravenes Subsection (1) is guilty of an offence.Penalty: A fine not exceeding K10,000.00 or imprisonment for a term not exceeding two months or both, for a natural person or a fine not exceeding K500,000.00 for a body corporate.
[section 65 substituted by section 42 of Act 25 of 2021]

66. Enforced mitigation

(1)The Head of State, acting on the advice, of the Minister shall, within 12 months, make Regulations of the type and effect specified in Sections 64 and 65.
(2)If mitigation measures and requirements based on a mandatory emissions mitigation plan are not adhered to, the Authority, in consultation with the Conservation and Environment Protection Authority, may withhold, suspend or cancel the granting of an Environment Permit as prescribed by the Environment Act 2000 subject to compliance.Penalty: A fine not exceeding K10,000.00 or imprisonment for a term not exceeding two months or both, for a natural person or a fine not exceeding K500,000.00 for a body corporate
[section 66 substituted by section 42 of Act 25 of 2021]

67. Fuel standards

(1)A Regulation to be known as the Fuel Standards Regulation shall be adopted within 12 months of the date of coming into operation of this Act to—
(a)prescribe the standard of refining and maximum permissible content of sulphur and other targeted greenhouse gas pollutants in all fuel for use in land, sea and air transport and power generation; and
(b)contain provisions requiring refiners and distributors of fuel to take measures to control and eliminate contamination of fuel with water, sediments and other substances which would impede the clean combustion of fuel; and
(c)contain provisions on the use and standards of biofuel; and
(d)provide for other technical matters necessary or convenient to give effect to mitigation of emission of carbon dioxide and other targeted greenhouse gases from use of petroleum fuels.
(2)A person who or an entity that contravenes this section is guilty of an offence.Penalty: A fine not exceeding K10,000.00 or imprisonment for a term not exceeding two years or both, for a natural person or a fine not exceeding K500,000.00 for a body corporate.
[section 67 substituted by section 42 of Act 25 of 2021]

68. Climate building standards

(1)A Regulation to be known as the Climate Building Standards Regulation shall prescribe minimum environmental standards and performance levels to apply in the construction of all new buildings and in refurbishments which require regulatory approval under Section 11 of the Building Act 1971.
(2)Without limitation, the Climate Building Standards Regulation may address the design and performance requirements for—
(a)insulation to be used in roof and external walls; and
(b)glazing systems; and
(c)cooling, heating and ventilation systems; and
(d)internal lighting and external security lighting; and
(e)energy efficiency technology; and
(f)certification of building designs as compliant with the Climate Building Standards Regulation,
and all other technical matters necessary or convenient to give effect to mitigation of emission of carbon dioxide and other targeted greenhouse gases from buildings.
(3)The Climate Building Standards Regulation will be complementary with the existing Building Regulations and override the Building Regulations, only to the extent of any inconsistency between the two Regulations.
(4)Where it is necessary or convenient for the purposes of any Act that a building or parts of a building or designs for a building be certified as being compliant with the Climate Building Standards Regulation, such certification may only be provided by a member of the Papua New Guinea Institute of Engineers or any other person authorised in accordance with the Climate Building Standards Regulation.
(5)A person who or an entity that contravenes this section is guilty of an offence.Penalty: A fine not exceeding K10,000.00 or imprisonment for a term not exceeding two years or both, for a natural person or a fine not exceeding K500,000.00 for a body corporate.
[section 68 substituted by section 42 of Act 25 of 2021]

68A. Climate resilient infrastructure

(1)In addition to Sections 66 and 69, all Ministers and other persons making decisions relating to proposals for new infrastructure must—
(a)direct that a climate risk and resilience assessment be conducted on the proposal with reference to any integrated risk scenarios developed in accordance with this Act and other relevant risk scenarios; and
(b)consider the climate risk and resilience assessment prepared in accordance with Paragraph (a) when deciding whether or not to approve the proposal; and
(c)make a decision to approve or not approve the proposal that promotes and is consistent with the climate risk and resilience assessment prepared in accordance with Paragraph (a).
(2)For the avoidance of doubt, proposals for new infrastructure include proposals for infrastructure that must be replaced due to the impacts of natural disasters and the adverse impacts of climate change.
(3)A Regulation to be known as the Climate Resilient Infrastructure Standards Regulation shall prescribe minimum environmental standards and performance levels to apply to all infrastructure.
[section 68A inserted by section 42 of Act 25 of 2021]

69. Other development standards

(1)A person or entity, before undertaking any or more of the following developments activities:
(a)civil works; or
(b)mining, both land based and seabed mining operations; or
(c)oil and gas, both land based and seabed extraction operations; or
(d)agriculture and livestock; or
(e)manufacturing; or
(f)forestry; or
(g)fisheries, both at sea and shore based fishing operations; or
(h)any related activities, shall comply with the minimum climate mitigation and compatibility standards and performance levels.
(2)Within one calendar year of the date of coming into operation of this Act, a Regulation may be developed to prescribe climate mitigation and compatibility standards and performance levels applicable under Subsection (1).
(3)A person who or an entity that contravenes this section is guilty of an offence.Penalty: A fine not exceeding K10,000.00 or imprisonment for a term not exceeding two years or both, for a natural person or a fine not less than K500,000.00 for a body corporate.
[section 69 substituted by section 42 of Act 25 of 2021]
[Division 2 substituted by section 42 of Act 25 of 2021]

3. Future mitigation steps

70. Mitigation planning committee

[heading substituted by section 43(a) of Act 25 of 2021]
(1)The Board shall establish a mitigation planning committee or any such existing working committee with participants from each regulated sector to plan the development of future regulatory arrangements to mitigate emissions of carbon dioxide and targeted greenhouse gases into the atmosphere and to promote the establishment, maintenance and use of greenhouse gas sinks.[subsection (1) amended by section 43(b) of Act 25 of 2021]
(2)Each planning committee established under Subsection (1) shall, within 12 months of its appointment and after sufficient public consultation report to the Board -
(a)a set of regulatory principles with intent to pursue, in accordance with the National Goals and Directive Principles, mitigation generally and to manage sector emissions performance within the targets; and
(b)the costs, to the participants in the regulated sector of implementing mitigation in accordance with the regulatory principles; and
(c)proposed means by which the participants will be compensated or the costs being borne within the national economy.

71. Making regulations regarding mitigation

(1)Within one calendar years of coming into operation of this Act and again each five years after that, having regard to Papua New Guinea’s NDC, in particular its mitigation contribution to—
(a)the regulatory principles, the costs of implementing mitigation and the means of compensation proposed and set out in the regulated sector planning committee report; and
(b)the national reference level (including as adjusted) and the targets set in accordance with this Act, and having further consulted with each of the parties described in Section 70,
the Minister shall publish a proposed mitigation regulation for each regulated sector.[subsection (1) amended by section 44(a) of Act 25 of 2021]
(2)The Minister shall allow an opportunity for public consultation on a proposed mitigation regulation published under Subsection (1).
(3)The Head of State, acting on the advice of the Minister shall make a regulation to provide for—
(a)mitigation actions; and
(b)compensation or economic allocation of the cost of such mitigation actions; and
(c)applicable fees, enforcement and penalty mechanisms,
and any other matter or thing necessary or reasonably required to be done to achieve mitigation in the regulated sector.[subsection (3) amended by section 44(b) of Act 25 of 2021]

Part VI. Adaptation

1. Application of this Part

72. Application of this Part

This Part applies to persons, groups, organisations or any other such bodies that carry on activities in a regulated sector.

73. Sectors required to adapt

Each person, organisation, group or any other such body who carries on an activity in a regulated sector is required, on and from the coming into operation of this Act, to implement a climate change and climate compatible adaptation action in accordance with this Part.

2. Immediate adaptation steps

74. Climate change adaptation plans

(1)As at the coming into operation of this Act and for each year, each person, organisation, group or any other such persons or bodies carrying on an activity in a regulated sector shall prepare an adaptation plan using reasonable endeavors to—
(a)identify priority areas of climate change vulnerability and risk, and to adapt to climate induced natural events including—
(i)coastal flooding and sea level rise; or
(ii)inland flooding; or
(iii)landslides; or
(iv)vector-borne diseases; or
(v)changes in agricultural yields; or
(vi)changes in livestock production; or
(vii)food security; or
(viii)marine eco-system health; or
(ix)climate induced migration; or
(x)climate impacts on cities and towns; or
(xi)water and sanitation,
or any other related events; and[paragraph (a) amended by section 45(b) of Act 25 of 2021]
(b)identify ways to participate in—
(i)coastal early warning system; or
(ii)community-based mangrove planting; or
(iii)coastal engineering protection; or
(iv)agricultural intervention; or
(v)human settlement and migration; or
(vi)protection of marine protected areas or marine reserves, or any other related activities or programs.
[subsection (1) amended by section 45(a) of Act 25 of 2021]
(2)A person who or an entity that contravenes Subsection (1) is guilty of an offence.Penalty: A fine not exceeding K10,000.00 or imprisonment for a term not exceeding six months or both, for a natural person or a fine not exceeding K500,000.00 for a body corporate.

74A. National Planned Relocation Guidelines

(1)The Authority shall prepare successive National Planned Relocation Guidelines.
(2)The Authority shall operationalise the National Planned Relocation Guidelines developed under Subsection (1) through developing Standard Operating Procedures which enable pro-active processes for addressing the risk of climate and disaster driven displacement.
(3)The Authority shall review and amend the National Planned Relocation Guidelines and the Standard Operating Procedures when necessary but at a minimum, every 5 years.
(4)A Regulation shall prescribe National Planned Relocation Guidelines under Subsection (1).
[section 74A inserted by section 46 of Act 25 of 2021]

74B. Relocation of at-risk communities

(1)The Authority, in consultation and coordination with relevant state entities and bodies, may relocate and support at-risk communities in accordance with the following objectives:
(a)to allow for the orderly, respectful and dignified relocation of affected communities; and
(b)to provide for a minimum standard of protection and assistance to people at risk of, or affected by, disasters and climatic change; and
(c)for permanent relocations, provide a coordination mechanism to enable all affected stakeholders to participate in decisions affecting communities; and
(d)facilitate the use of clear, inclusive and comprehensive procedures for assessing and responding to climate risk and relocation; and
(e)to relocate at-risk communities only when other adaptation measures as set out in the NAP have been exhausted; and
(f)to relocate at-risk communities only with the full free and prior informed consent of the communities; and
(g)to ensure that relocation sites—
(i)are on land that is capable of supporting the at-risk community and any existing or host communities; and
(ii)have adequate housing, infrastructure, social infrastructure and other social and financial support systems, employment opportunities and can meet the development needs of both the existing or host community and the at-risk community that is to be relocated to that site; and
(h)if an at-risk community is relocated to land that supports existing communities, the rights and concerns of those existing or host communities are taken into account and respected; and
(i)where possible and desirable, infrastructure is relocated from the at-risk community to the relocation site; and
(j)relocation is to be non-discriminatory; and
(k)the adoption of approaches which are—
(i)human centered including prioritising community needs from the bottom up; and
(ii)livelihoods based; and
(iii)human rights based; and
(iv)pre-emptive; and
(l)requiring inclusive and gender responsive consultation and participatory processes.
(2)Prior to the Authority, in consultation and coordination with relevant state entities and bodies, making a decision on relocating at-risk communities, it may—
(a)consult with the affected persons or communities and communicate the rights of those persons or communities, the scientific and policy justification for the proposed relocation; and
(b)conduct a public hearing at the affected community whereby the affected persons or communities have the right to legal representation; and
(c)take the views of the affected persons or communities, and the public hearing, into account.
(3)If the Authority, in consultation and coordination with relevant state entities and bodies, decide that the relocation of an at-risk community is necessary, the Authority with relevant state entities and bodies may take all reasonable steps to ensure the relocation takes place in accordance with the principles in Subsection (1).
(4)The Authority with relevant state entities and bodies may consider whether it is necessary to develop further legal frameworks, policies and strategies to manage climate and disaster-induced displacement with the purpose of protecting human rights and reducing long term risks.
(5)A trust account shall be established under Section 37 for the Planned Relocation of Communities in Papua New Guinea that are adversely affected by climate change.
[section 74B inserted by section 46 of Act 25 of 2021]

74C. Regional displacement in the Pacific

(1)The Minister may, in consultation with the minister responsible for foreign affairs and immigration, and any relevant entities, facilitate the necessary approval process for the acceptance of persons from small island developing states in the Pacific who have been permanently displaced, or are at risk of being permanently displaced, as a result of the adverse impacts of climate change, including sudden and slow-onset climatic events and processes.
(2)The relevant laws in force shall apply notwithstanding Subsection (1).
[section 74C inserted by section 46 of Act 25 of 2021]

75. Enforced adaptation

(1)The Head of State, acting on the advice of the Minister, shall within 12 months make Regulations of the type and effect specified in Sections 73 and 74.
(2)If a holder of a licence or permit issued under the Environment Act 2000 contravenes adaptation measures and requirements based on a mandatory climate change adaptation plan, the holder of the licence or permit is guilty of an offence.Penalty: A fine not exceeding K10,000.00 or imprisonment for a term not exceeding two months or both, for a natural person or a fine not exceeding K500,000.00 for a body corporate.[section 75 substituted by section 47 of Act 25 of 2021]

3. Future adaptation steps

76. Adaptation planning committee

[heading substituted by section 48(a) of Act 25 of 2021]
(1)The Board shall establish an adaptation planning committee or any such existing working committee with participants from each regulated sector to plan the development of future regulatory arrangements to adapt to climate induced events and to promote the establishment, maintenance and use of eco-system friendly measures.[subsection (1) substituted by section 48(b) of Act 25 of 2021]
(2)Each planning committee appointed under Subsection (1) shall, within 12 months of its appointment, and after sufficient public consultation, report to the Board—
(a)a set of regulatory principles to be pursued in accordance with the National Goals and Directive Principles, adaptation generally and to manage climate compatible and adaptive measures or activities; and
(b)the cost to the participants in the regulated sector of implementing adaptation programs in accordance with the regulatory principles; and
(c)the proposed means by which the participants will be compensated or the costs being borne within the national economy; and
(d)any other report the Board determines from time to time.

77. Development and adaptation standards

(1)In addition to Section 74 and further to any requirement under any other law, a person or entity, before undertaking any or more of the following developments:
(a)building and civil works; or
(b)mining, both land based and seabed mining, operations; or
(c)oil and gas, both land based and seabed extraction operations; or
(d)agriculture and livestock; or
(e)manufacturing; or
(f)forestry; or
(g)fisheries, both at sea and shore based fishing operations; or
(h)energy; or
(i)transport; or
(j)any related activities, shall comply with the minimum climate adaptation and compatibility standards and performance levels.
(2)A Regulation shall prescribe climate adaptation and compatibility standards and performance levels and applicable fees under Subsection (1).
(3)A person who or an entity that contravenes this section is guilty of an offence.Penalty: A fine not exceeding K10,000.00 or imprisonment for a term not exceeding two years or both, for a natural person or a fine not exceeding K500,000.00 for a body corporate.

78. Making regulations regarding adaptation

(1)Within one calendar years of the coming into operation of this Act and again, each five years after that, having had regard to—
(a)the regulatory principles, the costs of implementing adaptation and the means of compensation proposed and set out in the regulated sector planning committee report; and
(b)having further consulted with each of the parties described in Section 76, the Minister shall publish a proposed adaptation regulation for each regulated sector.
[subsection (1) amended by section 49(a) of Act 25 of 2021]
(2)The Minister shall allow an opportunity for public consultation on a proposed adaptation regulation published pursuant to Subsection (1).
(3)A Regulation shall provide for—
(a)adaptation actions; and
(b)compensation or economic allocation of the cost of such adaptation actions; and
(c)applicable fees, enforcement and penalty mechanisms and other matter or thing necessary or reasonably required to be done to achieve adaptation in the regulated sector.
[subsection (3) substituted by section 49(b) of Act 25 of 2021]

Part VIA – Establishment and operations of an emissions trading scheme

[Part VIA inserted by section 50 of Act 25 of 2021]

78A. Papua New Guinea National Registry

(1)This section establishes the Papua New Guinea National Registry.
(2)The Authority may keep and maintain the Registry by electronic and other means.
(3)The Authority may make the Registry publicly accessible online or by other means.
(4)The purposes of the Registry are as follows:
(a)to be a Registry for emissions reduction projects, programmes and activities; and
(b)to be a Registry for Papua New Guinea Mitigation Outcome Units; and
(c)to be a Registry for VCUs and other emission reduction units issued under an approved international emissions reduction standard in relation to an emissions reduction project, programme or activity in Papua New Guinea; and
(d)to be Papua New Guinea’s National Registry for any incoming ITMOs from another country or outgoing Papua New Guinea Mitigation Outcome Units to another country.
(5)An account kept in the name of a person is to be known as a Registry account of the person.
(6)Each Registry account is to be identified by a unique number, to be known as the account number of the Registry account.
(7)A Regulation shall prescribe for the operation of the Registry, including for—
(a)identification procedures that must be carried out by the Authority before the Authority opens a Registry account in the name of the person; and
(b)the voluntary closure of Registry account if requested by the person whose name the account is in; and
(c)the suspension of Registry accounts; and
(d)the unilateral closure of a Registry account by the Authority; and
(e)entries for Papua New Guinea Mitigation Outcome Units, ITMOs, VCUs or any other emission reduction units issued in accordance with approved international emissions reduction standards; and
(f)the holding, surrender, cancellation or transfer of Papua New Guinea Mitigation Outcome Units or ITMOs; and
(g)the holding of VCUs or other emission reduction units issued in accordance with approved international emissions reduction standards; and
(h)the voluntary cancellation of Papua New Guinea Mitigation Outcome Units or ITMOs; and
(i)correction and rectification by the Authority of clerical errors, obvious defects or unauthorised entries in the Registry; and
(j)the publication of information relating to Papua New Guinea Mitigation Outcome Units, ITMOs, VCUs or other emission reduction units issued in accordance with approved international emissions reduction standards; and
(k)compliance by Papua New Guinea with eligibility requirements relating to ITMOs and the international transfer of Papua New Guinea Mitigation Outcome Units under the Paris Agreement; and
(l)any other necessary arrangements to enable operation of the Registry.
[section 78A inserted by section 50 of Act 25 of 2021]

78B. REDD+ Transactions by the government

(1)Where the Government participates in any transaction under international REDD+ programmes, including but not limited to the Green Climate Fund results-based payments programme, the Minister is to be taken to have the authority of the land holder to sell and transfer all carbon sequestered by the forest including in the form of emissions reductions, Papua New Guinea Mitigation Outcome Units or carbon sequestration resulting from that programme provided that—
(a)the Minister has the free, prior and informed consent of the customary land holders and will be guided by Section 89, where relevant; and
(b)the Government may compensate the customary land holders as PES, where relevant, and any other land holder with forest carbon included in the transaction under an approved benefits sharing plan subject to Section 93; and
(c)the Minister has considered the market value of the emissions reductions or Papua New Guinea Mitigation Outcome Units at the time of evaluating the proposed transaction and the impact that such a transaction will have on Papua New Guinea’s NDC; and
(d)any other necessary arrangements with land holders are entered into.
(2)The Minister in consultation with the Minister responsible for forestry matters may approve a benefit sharing plan for any transaction under international REDD+ programmes.
(3)Notwithstanding any other provisions in this Act, any transaction including PES carried out in accordance with this section is to be carried out on terms agreed between the parties to the transaction, provided that any such transactions or PES are recorded and accounted for in the Registry.
(4)A Regulation shall prescribe the operations of this section.
[section 78B inserted by section 50 of Act 25 of 2021]

Part VII – Authority to inspect and collect data

1. Application of the Search Act 1977

79. Interpretation, etc.

(1)For the purposes of this Part, an “authorised officer” means an officer of the Authority duly appointed by the Authority to conduct search or obtain data or information related to all the activities that produces emissions and removals of the targeted Greenhouse Gases under Section 3 of this Act and any information related to climate change.[subsection (1) substituted by section 51 of Act 25 of 2021]
(2)An authorised officer appointed under Subsection (1) shall produce a valid search warrant in the course of carrying out searches or related functions under this Act.

80. Application of Search Act 1977

(1)The Search Act 1977 shall apply to searches conducted under this Act.[subsection (1) amended by section 52(a) of Act 25 of 2021]
(2)For the avoidance of doubt, an authorised officer shall not exercise search powers of police under the Search Act 1977 other than for the purposes of this Act.[subsection (1) substituted by section 52(b) of Act 25 of 2021]
(3)[subsection (3) repealed by section 52(b) of Act 25 of 2021]
(4)For the avoidance of doubt, an authorised officer shall not exercise search powers of police under the Search Act 1977 other than for the purposes of this Act.

81. Search, etc.

(1)A search may be conducted by an authorised officer for the purpose of, but not limited to—
(a)monitor and ensure compliance with this Act; or
(b)gather information about a suspected offence against this Act; or
(c)gather other information relevant to the administration or enforcement of this Act.
(2)A person who or an entity which, without reasonable excuse, resists or obstruct or does not cooperate or fail to provide data to an authorised officer within a reasonable period of time to carry out an authorised activity under Subsection (1) is guilty of an offence.Penalty: A fine not exceeding K50,000.00 or imprisonment for a term not exceeding one year or both, for a natural person or a fine not exceeding K500,000.00 for a body corporate.

2. Power of entry and collection of data

82. Powers of search

In addition to those powers conferred by the Search Act 1977, an authorised officer may -
(a)enter land or premises and inspect the land or premises and any operations or activities conducted on the land or premises; or
(b)examine anything on the land or premises; or
(c)take photographs, films or videos; or
(d)carry out tests on machinery, facilities and equipment; or
(e)take and remove samples; or
(f)take and remove anything that may be evidence of non-compliance with this Act, or do such other necessary thing in the circumstances for the purposes of this Act.

83. Power to gather information

(1)An authorised officer may require a person who may be in a position to provide information relevant to any matter subject to an authorised investigation or data collection or for any such purpose under this Act
(a)to answer a question relevant to the investigation, including but not limited to name and address; or[paragraph (a) amended by section 53 of Act 25 of 2021]
(b)to take reasonable steps, within that person’s power, to obtain information relevant to the investigation or data collection and to pass it on to the authorised officer.
(2)Where a person is required to answer a question under this section fails to answer the question to the best of the person's knowledge, information and belief within a reasonable time, he commits an offence.Penalty: A fine not exceeding K10,000.00 or imprisonment for a term not exceeding two years or both, for a natural person or a fine not exceeding K500,000.00 for a body corporate.

84. Production of records

(1)This section applies to records relating to—
(a)targeted greenhouse gas emissions by a person or entity in a regulated sector; or
(b)removals of targeted greenhouse gases to a sink by a person or entity in a regulated sector; or
(c)verification of any records under this Act; or
(d)mitigation plans, mitigation action or adaptation projects; or
(e)compliance with the Fuel Standards Regulation; or
(f)compliance with the Climate Building Climate Standards Regulation, or other matters relevant to the administration of this Act.[paragraph (f) amended by section 54 of Act 25 of 2021]
(2)A person or an entity who has possession or control of a record to which this section applies shall, at the request of an authorised officer—
(a)produce the record for inspection by the authorised officer; and
(b)answer any questions that the authorised officer reasonably asks about the record.
(3)An authorised officer may retain records produced under this section for the purpose of making copies of them.
(4)A person who or an entity which fails to comply with this section is guilty of an offense.Penalty: A fine not exceeding K10,000.00 or imprisonment for a term not exceeding two years or both, for a natural person or a fine not exceeding K500,000.00 for a body corporate.

85. Power to record information

(1)The Authority shall, in respect of mitigation and adaptation, REDD+ and other climate related activities, keep such records or information as are determined by the Authority.
(2)All records shall be kept in such manner as determined by the Board.

85A. Offences in relation to authorised officers

A person or entity who—
(a)hinders or obstructs an authorised officer in the execution of his duties; or
(b)fails to comply with a lawful requirement made by an authorised officer; or
(c)refuses an authorised officer entry to premises which the authorised officer may lawfully enter; or
(d)impersonates an authorised officer,
is guilty of an offence.Penalty: A fine not exceeding K10,000.00 for a natural person or imprisonment for a term not exceeding two years, or both or a fine not exceeding K500,000.00 for a body corporate.[section 85A inserted by section 55 of Act 25 of 2021]

86. Non disclosure of information

(1)Subject to Subsection (2), a member of the Board or an officer who, except for the purpose of the performance of his functions and duties under this Act, discloses to any person, business group, company, corporation or any other business association, any information in relation to the financial affairs, plant, equipment, mitigation, adaptation, REDD+ or any related climate change activities, of a person acquired in the performance of the functions and duties of the member or officer, as the case may be, under this Act, is guilty of an offence.Penalty: A fine not exceeding K10,000.00 or imprisonment for a term not exceeding six months.
(2)Subsection (1) does not apply to a disclosure made in criminal proceedings in accordance with this Act.

Part VIII. Recognition of landholder rights

1. Rights of customary landholder

87. Free, prior and informed consent

In this Part consent of all landholders shall be obtained through the “free, prior and informed consent” process prescribed in the Regulation.

88. Customary landholders

The rights of the customary landholder shall be fully recognised and respected in all transactions affecting the customary land.

89. Obtaining consent of customary landholders

(1)Where the Authority or any such entity or person desires to enter into a climate change related project agreement over customary land, the title of the customary landholders to that land shall be—
(a)vested in a land group or land groups incorporated under the Land Groups Incorporation Act 2009; or
(b)registered under a law providing for the registration of title to customary land.
(2)Where it is impractical to give effect to the requirements of Subsection (1), a climate change related project agreement may be executed on behalf of customary groups who are customary land holders in respect of the land covered by the agreement, proven through the conduct of a social mapping and landowner identification study, provided that 85 percent of the adult members resident on the land of each such land group give consent in accordance with Section 87 to their group entering into the agreement.[subsection (2) substituted by section 56 of Act 25 of 2021]
(3)Where the Authority or any person or entity intends to enter into a climate change related project agreement, the Board shall inform—
(a)the Provincial Government for the province and the Local-level Government in which the area covered by the agreement is situated; and
(b)the member or members of Parliament for the Province and the electorate or electorates in which the area covered by the agreement is situated,
in relation to the intention of the Board to enter into the proposed climate change related project agreement.

2. Rights of customary landholders in climate change related project agreements

90. Climate change related project agreement including rights and benefits sharing

[heading amended by section 90(a) of Act 25 of 2021]
(1)A climate change related project agreement shall—
(a)be in writing; in both English and Tok Pisin, and in the local language if requested by the customary land holders; and
(b)explain and define land holder, rights and benefits, including monetary or PES and other benefits, if any, to be received by the land holders, as prescribed under Part IX, in consideration for the rights granted; and
(c)specify the nature of project in the area covered by the agreement; and
(d)specify a term of sufficient duration in order to allow for proper project management measures to be carried out to completion to be determined based on the best available science and shall include provisions for review of the agreement appropriate for the length of the project; and
(e)be accompanied by a map showing clearly the boundaries of the area covered by the agreement; and
(f)specify any other climate compatible or green growth-related land use options, if any; and
(g)be accompanied by a stakeholder engagement and awareness plan specific to the project area land holders and land holder representatives.
[subsection (1) substituted by section 90(b) of Act 25 of 2021]
(2)An agreement under Subsection (1), in the prescribed format, shall be lodged with the Office of State Solicitor for necessary legal clearance before execution.[subsection (2) substituted by section 90(b) of Act 25 of 2021]
(3)A copy of a duly executed agreement together with a copy of the legal clearance issued under Subsection (2) shall be lodged with the Authority.
(4)The Board may, from time to time, determine appropriate lodgement fees in relation to the lodgement of copy of an agreement.
(5)An agreement under Subsection (1) shall comply with the requirements under Subsections (2), (3) and (4) and failure to comply with any one or more of those requirements shall render the agreement under Subsection (1) invalid and unenforceable for all intents and purposes.
(6)Climate change related projects shall use the updated versions of relevant Regulations or guidelines if none are available.[subsection (6) added by section 90(c) of Act 25 of 2021]

91. Rights under climate change related project agreement

Where the Authority or any person or entity enters into a climate change related project agreement
(a)subject to this Act and the terms and conditions of the agreement, the Authority or any person or entity may assign land-user rights, other than land ownership rights, acquired under the agreement to one or more other persons; and
(b)for the purposes of exercising project rights, the Authority or any person or entity may, according to the terms of the agreement and in consultation with any relevant agencies—
(i)enter on land covered by the agreement; and
(ii)build, maintain and use roads, wharves, bridges, buildings and other infrastructure on land covered by the agreement.

3. Rights of State and freehold or fee simple landholders

92. Rights of State and freehold or fee simple landholders

(1)The ownership rights of the State and any freehold or fee; simple landholders shall be respected when dealing with a climate change related project under this Part.
(2)Sections 88 and 89 shall apply for and in relation to a dealing with a climate change related project on a land or resource owned by the State or a freehold or fee simple landholders.

92A. Carbon rights and ownership

(1)The ownership of carbon rights may be identified, defined and regulated under this Act.
(2)A Regulation may provide the safeguards, procedures and guidelines on—
(a)how carbon rights are defined; and
(b)landownership; and
(c)institutional arrangements,
taking into account the principles of natural resource ownership in Papua New Guinea.
[section 92A inserted by section 58 of Act 25 of 2021]

Part IX. Benefit sharing or allocation of incentives

93. Landholder participation and benefits sharing

[heading amended by section 59(a) of Act 25 of 2021]
(1)This Part applies to the participation and benefit sharing or allocation of incentives for climate change related projects or activities.
(2)All affected landholders shall participate and benefit from the incentives of a climate change related project implemented on land or at sea.
(3)Unless a law provides to the contrary, a Regulation shall provide for the participation and benefit sharing or incentive allocation mechanism under this Part.
(4)For the purposes of Section 1(3) of the Organic Law on Provincial Governments and Local-level Governments, a Regulation shall prescribe the benefit sharing arrangement of revenues generated by the Authority and further define the processes and allowances for the collection of moneys for the purpose of Provincial and Local-level Governments (where necessary).[subsection (4) added by section 59(b) of Act 25 of 2021]

94. Project report

[heading amended by section 60(a) of Act 25 of 2021]
(1)The Authority or any person or entity who undertakes a climate change related project shall quantify the net income or net benefits (as the case may be) and present a project report at the completion of the project to the concerned land holders and the Authority and relevant provincial government.[subsection (1) substituted by section 60(b) of Act 25 of 2021]
(2)An abstract or summary of the report under Subsection (1) shall be published at least twice in a daily newspaper circulated nationwide.
(3)An project report produced under Subsection (1) is a public document for all intent and purposes.[subsection (3) amended by section 60(c) of Act 25 of 2021]
(4)Within one calendar year of the date of coming into operation of this Act, regulations may define the procedures for this section.[subsection (4) added by section 60(d) of Act 25 of 2021]

95. Penalty provision

A person or an entity which contravenes any of the provisions under this Part is guilty of an offence.Penalty: A fine not exceeding K10,000.00 or imprisonment for a ten not exceeding six months or both, for a natural person or a fine not exceeding K500,000.00 for a body corporate.[section 95 amended by section 61 of Act 25 of 2021]

Part X. Miscellaneous

96. No personal liability

The Minister, Managing Director, or a servant or agent of the Authority properly acting under the direction of one of them or an authority delegated to him under this Act, shall not be personally liable to an action, suit or proceeding or claim for damages for or in respect of an act or matter done or omitted to be done in good faith in the exercise or purported exercise of any power or authority conferred by this Act.

97. Identity cards

(1)The Managing Director shall issue to each officer of the Authority an identity card—
(a)stating the name of the authorised officer; and
(b)containing a photograph of the authorised officer; and
(c)stating that the person whose name and photograph appear on the card is an authorised officer for the purposes of this Act.
(2)If an authorised officer proposes to exercise powers under this Act against a person, the authorised officer shall, if practicable, produce the identity card for inspection.

98. Giving of notices and service

(1)A notice under this Act may be given by the Authority
(a)personally or at the registered office of the person or through electronic means to whom the notice is addressed; and
(b)by publication in the National Gazette.
(2)A notice shall be given to or legal process shall be served on the Authority by personal service on the Executive Officer of the Managing Director or a person duly authorised by the Managing Director to accept service of legal process at any offices of the Authority.[subsection (2) amended by section 62 of Act 25 of 2021]

99. Extension of time limits

(1)Subject to any requirement under any other law, within three months from the date of receipt of a request for an extension of time from a person or entity, the Managing Director may, after being satisfied on reasonable grounds, extend time limits fixed by or under this Act.
(2)Upon application by an aggrieved person or entity in regard to a decision made by the Managing Director or where there is an unreasonable delay by the Managing Director in making a decision under Subsection (1), the National Court may, after being satisfied on reasonable grounds, extend time limits fixed by this Act.

100. Secrecy

(1)A person who is, or has been, employed in carrying out duties related to the administration of this Act shall not disclose confidential information acquired in the course, or as a result of, carrying out those duties except—
(a)in the course of carrying out official duties; or
(b)as authorised by the person to whom the duty of confidentiality is owed; or
(c)as authorised by law; or
(d)as required by a court or other lawfully constituted authority; or
(e)as authorised by the Minister after consultation (where practicable) with the person to whom the duty of confidentiality is owed.
(2)A person who or an entity which contravenes this section is guilty of an offence.Penalty: A fine not exceeding K25,000.00 or imprisonment of a term not exceeding one year or both for a natural person or a fine of not exceeding K500,000.00 for a body corporate.

101. General penalty provision

(1)Where a person is found guilty, according to law, of committing an offence under this Act and no specific penalty is provided, as a sentencing guide, a penalty of K2,500.00 each day that the offence has been committed up to a maximum penalty of K25,000.00 may be imposed for a natural person or a fine not exceeding K.500,000.00 for a body corporate.
(2)In addition to the penalty under Subsection (1) or any penalty prescribed elsewhere in this Act, the Authority may impose other penalties as the Authority determines appropriate from time to time.[subsection (2) amended by section 63 of Act 25 of 2021]

102. Authentication of documents

(1)Where, for any purpose, it is necessary to prove the authenticity of a document or record held or issued by the Authority, it shall be sufficient if such document is issued under the Seal of the Authority.[subsection (1) amended by section 64 of Act 25 of 2021]
(2)Any person or entity that falsifies any document or instrument or tampers with the authenticity of documents or takes any action that contravenes Subsection (1) is guilty of an offence.Penalty: A fine not exceeding K10,000.00 or imprisonment for a term not exceeding two years or both for a natural person or a fine not exceeding K500,000.00 for a body corporate.

103. Functional audit

(1)The Authority shall, conduct a functional audit, in line with the Corporate Plan, at least once every three years and submit it to the Minister.
(2)The Authority shall engage a firm that is a Registered Company Auditor under the Accountants Act 1996, to conduct the functional audit and furnish to the Board a report of their findings in relation to that functional audit, within four months of being engaged.
(3)The Board shall present a copy of the report referred to in Subsection (1) to the Minister as soon as possible following receipt and the Minister shall table a copy of the report at the first sitting of the National Parliament.
(4)The Authority shall publish the report referred to in Subsection (1) within a reasonable period after the report is tabled in the National Parliament.
[section 103 substituted by section 65 of Act 25 of 2021]

104. Project audit

(1)The Authority may, from time to time, appoint an independent reputable project auditor, on such terms and conditions as the Board determines, to audit any climate change related project.[subsection (1) amended by section 66(a) of Act 25 of 2021]
(2)A project auditor appointed Under Subsection (1) shall furnish to the Authority a report of its findings in relation to that project audit within a time specified by the Authority.
(3)The Authority shall publish the report referred to in Subsection (2) within a reasonable period after the report is received by the Authority in accordance with Section 94.[subsection (3) amended by section 66(b) of Act 25 of 2021]

105. Disputes resolution mechanism

(1)Any disputes or complaints related to climate change related project or activities shall, in the first instance, be resolved through the dispute resolution process in accordance with Subsection (3).[subsection (1) amended by section 67(a) of Act 25 of 2021]
(2)Any disputes on the interpretation or application of the Paris Agreement, shall be resolved through the provisions of the Paris Agreement.[subsection (2) substituted by section 67(b) of Act 25 of 2021]
(3)A Regulation shall provide for a dispute resolution process taking into account the principles of arbitration and dispute resolution practices within Papua New Guinea.[subsection (3) added by section 67(b) of Act 25 of 2021]

106. Jurisdiction of court

(1)For any personal actions at law or equity, other than those actions prescribed under Sections 105 and 107, brought against the Authority or by the Authority for which Section 21 of the District Courts Act 1963 applies, the District Court may have jurisdiction.
(2)Except for matters prescribed under Subsection (1) and Section 105 and the issuance of a search warrant under Part VII of this Act, where all Courts, except the Village Courts, have concurrent jurisdictions under the Search Act 1977, and any other matters prescribed under any other law, the National Court shall have jurisdiction for all matters arising under this Act.

107. Prosecutions, etc.

(1)Subject to the approval of the Public Prosecutor, the Authority may prosecute any offence against this Act or any other Act the administration of which is the responsibility of the Authority from time to time.
(2)A prosecution under Subsection (1) of this Act shall be made on indictment to the National Court.
(3)Any fine or penalty or any default fine or penalty to be paid by a person or body corporate as a result of an action brought by the Authority is to be paid to the Authority and, in addition to any other remedy, may be recovered by the Authority as a debt due to the Authority.

107A. Home ownership policy and scheme

The Authority shall, at least once in each fiscal year, furnish to the Minister, for presentation to the National Executive Council, a report on any Home Ownership Policy and Scheme devised and operated by the Authority.[section 107A inserted by section 68 of Act 25 of 2021]

107B. Blue carbon policy

The Authority is responsible for—
(a)Papua New Guinea’s Blue Carbon Policy and Strategy; and
(b)developing policies, procedures and safeguards for the implementation of blue carbon projects, programmes and activities; and
(c)the development of a benefit sharing arrangement for blue carbon projects, programmes and activities; and
(d)facilitating consultations with relevant entities, as appropriate; and
(e)advising the Minister on the role of blue carbon in the NDC.
[section 107B inserted by section 68 of Act 25 of 2021]

Part X. Transitional provisions

108. Transfer of staff and assets

(1)The Minister responsible for Environment and Climate Change matters shall, Conservation within 30 days from the coming into operation of this Act, sign an allocation statement identifying staff, assets and liabilities of the Public Service for transfer to the Authority.[subsection (1) amended by section 69 of Act 25 of 2021]
(2)Within 14 days of the date of signing of the allocation statement under Subsection 1, the Minister shall cause the allocation statement to be published in the National Gazette.
(3)The Office of Climate Change and Development established by the National Executive Council shall be subsumed into the Authority, with necessary modifications or adjustments as the Board determines, and all the staff, assets, property, rights, obligations and liabilities which, immediately before the commencement date, were vested in or imposed on the Office of Climate Change and Development shall, on that date, continue to be vested in or imposed on the Authority.

109. Saving of contracts, etc.

(1)Subject to Subsection (2), all contracts, agreements, conveyances, leases, deeds, licences and other instruments and undertakings entered into by, or made with or addressed to the Office of Climate Change and Development, whether alone or with any other person, before, and in effect immediately before, the commencement date, continue on that date, to the extent that they were previously binding on and enforceable against the Office of Climate Change and Development, to be binding and of full force and effect in every respect against or in favour of the Office of Climate Change and Development as if entered into, made with or addressed to the Authority.
(2)Subject to Subsection (3), any climate change related agreement or project that was not directly dealt with or approved or sanctioned by the Office of Climate Change and Development is hereby declared void and unenforceable for all intent and purposes.
(3)A person who or an entity which, carries on an activity or dealing in relation to matters described under Subsection (2), without the prior approval of the Board within one year after this Act takes effect, is guilty of an offence.Penalty: A fine not exceeding K50,000.00 or imprisonment of a term not exceeding three years or both, for a natural person or a fine not exceeding K500,000.00 for a body corporate.

110. Transfer not to affect service

The transfer of staff under this Part shall not invalidate, diminish or restart the period of service of any staff member and service with the Public Service will count as service with the Authority for all purposes and all accumulated entitlements of each staff member of the Office of Climate Change and Development who is transferred to the Authority shall be preserved and met by the Authority.

111. Public service rights

Where—
(a)an officer of the Public Service is appointed to be Managing Director, his service as Managing Director; and
(b)an officer of the Authority was, immediately before his appointment, an officer of the Public Service, his service as an officer of the Authority,
shall be counted as service in the Public Service for the purpose of determining his rights, if any, in respect of—
(i)leave of absence on the grounds of illness; and
(ii)furlough, or pay in lieu of furlough, including pay to dependents on the death of the officer.

112. Effect of transfer of assets and liabilities

No stamp duty or goods and services tax is payable on the transfer of any asset or liability from the Public Service to the Authority under this Act.

113. Inaugural appointment of screening committee

(1)For the purposes of appointing inaugural non-ex officio Board members and the Managing Director, the inaugural five members of the Screening Committee, where at least one member shall be a female, shall be appointed amongst the officers of the Authority by the National Executive Council.
(2)The appointment under Subsection (1) shall be made within three months from the date that this Act comes into operation.
(3)This section shall not apply after the full inaugural Board is established and the inaugural Managing Director is appointed.

114. Regulations

Without limiting specific powers to make regulations provided elsewhere in this Act, the Head of State acting on advice of the Minister may make regulations for the purposes of prescribing anything under this Act.

Schedule

Oath and affirmation of office

Oath

I, ________________________________ do swear that I will give good and faithful service as a member of the Board of the Climate Change and Development Authority of Papua New Guinea.So help me God!

Affirmation

I, ________________________________ do solemnly and sincerely promise and declare that I will give good and faithful service as a member of the Board of the Climate Change and Development Authority of Papua New Guinea.
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