Climate change and unsustainable growth threaten these natural assets, ones which  the people of Papua New Guinea have enjoyed for thousands of years. And generations to come should enjoy them too.

Sipora Naraga, a resident of Aromot Island – an atoll off the coast of Umbol Island in the Vitiaz Strait of Morobe Province, laments about what has come to pass. “Our island is smaller now than it was before,” she says, referring to rising sea levels. “The soil isn’t fertile like it used to be, we can’t grow anything here.” Sipora’s story speaks directly to the impacts of climate change, deforestation and degradation of land and water, on lives, homes and livelihoods. Repeated resettlement is often part of this reality.

PNG’s abundant natural assets underpin its potential to manage and use these assets to generate an ‘ecosystem services’ economy – based on fisheries, tourism, and renewable energy. And yet, much of the country’s recent growth has been fueled by hydrocarbon-based industrialization and the extractives industry. In 2019, extractives made up over a quarter of the country’s gross domestic product (GDP) and accounted for 88 percent of its export revenues.

And yet, much of the population have not benefitted from these revenues. It is the mostly subsistence-based agriculture, forestry and fishing sectors, that accounts for a quarter of the GDP, and supports over 80 percent of the population.

Recognizing the threats to its marine and terrestrial environment and acknowledging its global role as a frontier nation in the fight against climate change, the Government of Papua New Guinea has made several strong international commitments and has advanced its domestic legislation and policy statements. Implementation, however, has fallen short of this commendable intent and ambition.

The “Making Nature’s Value Visible: Valuing the Contribution of Nature to Papua New Guinea’s Economy and Livelihoods” report recently published by the PNG Conservation and Environment Protection Authority (CEPA) and UNDP[i] offers some clear insights. The data and evidence is clear - highly concentrated extractive-based growth, combined with insufficient enforcement of environmental standards, cannot sustainably and inclusively increase a country’s prosperity.

Unpacking the data of the report - the country invests approximately 112 million Kina (US$ 32 million) each year toward environmental protection. This is 0.5 percent of current government spending. The total economic value of its natural environment, on the other hand, is estimated at 1 trillion Kina (US$ 255 million) per annum, or 13 times the country’s 2020 GDP.  For every Kina invested in environment protection, nature provides 9,800 Kina in ecosystem services, say the report authors form the James Cook University in Australia.

The development imperative for PNG is clear. The country will gain significantly in both the short and long run, by pivoting its economy toward its most abundant resource: the natural environment. Moving rapidly to renewable energy, introducing sustainable agriculture and fisheries practices at scale, restoring and regenerating the country’s marine and terrestrial environments, are all essential investments in the country’s future. These sectors employ the majority of Papua New Guineans and will therefore have a direct impact on their lives. Sustainably produced agricultural commodities such as coffee and cocoa, for instance, may offer improved livelihood opportunities for people like Sipora Nagara. And importantly, for young new entrants to the labour market, who would now see new opportunities that offer more hope in the future.

In this context, implementing the Protected Area Policy, in full, and expanding the country’s Protected Area network to achieve PNG’s international targets under the Convention for Biological Diversity, will pay big dividends. With the right mix of foresight and planning to draw on nature-based solutions, Papua New Guinea can be a leader in the faster transition to a green and blue economy.