Australia and PNG Agree on New Funding Deal for Asylum Seekers
The Albanese government has finalized a new funding agreement with Papua New Guinea (PNG) to support asylum seekers, following PNG’s ultimatum to return them to Australia unless a new deal was established. This agreement follows a covert arrangement made by the Morrison government in December 2021, which allowed approximately 75 refugees and asylum seekers to remain in Port Moresby after the closure of the Manus Island processing centre.
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| Australia and PNG Agree on New Funding Deal for Asylum Seekers |
The initial funding for this arrangement was depleted within the first six months, leading PNG’s then chief migration officer, Stanis Hulahau, to accuse Australia of neglect and threaten to terminate the program, which would have resulted in the refugees being sent back to Australia. Australia has historically argued that it is not responsible for the welfare of these individuals, who were sent to PNG in 2013 and 2014.
Recent regulations tabled by the government reveal that Australia will now offer "additional capability support and funding" to PNG. This support aims to help PNG manage and resolve the remaining cases of individuals transferred before January 1, 2022. The explanatory statement indicates that PNG is working on creating a sustainable settlement framework to integrate these individuals into the local community, either on a permanent or temporary basis, depending on other migration outcomes.
The financial specifics of both the previous and new agreements are confidential, with the government stating that disclosing this information could cause "significant damage" to the bilateral relationship between Australia and PNG. Both agreements require PNG to ensure that refugees and asylum seekers are not returned to unsafe conditions. The funding will come from the Department of Home Affairs’ budget for offshore management of unauthorized maritime arrivals, which was set at $477.7 million for the 2023-24 period.
The explanatory statement also notes that "additional support to PNG will be provided under a variation to the independent management arrangement," with further discussions planned before the new deal is officially signed by a Home Affairs official.
A spokesperson for Home Affairs Minister Clare O’Neil confirmed that details of the support remain confidential, continuing the practice from the previous government. O’Neil had traveled to PNG in mid-June as part of a ministerial delegation.
The refugees and asylum seekers involved in this deal were previously held at Australia’s Manus Island detention centre, which was declared unlawful by PNG’s Supreme Court in 2016. About 70 refugees and asylum seekers currently in PNG face potential eviction due to unpaid accommodation bills since 2022. Port Moresby’s Pacific International Hospital claims it is owed nearly $40 million, while other service providers, including security firms and motels, are owed between $6 million and $8 million each.
During Senate estimates in May, Home Affairs officials described the original deal as a "finite, confidential agreement" to support PNG's transition to full management. Home Affairs Departmental Secretary Stephanie Foster confirmed ongoing discussions with PNG to address their challenges but denied that PNG had made any formal "claim" against Australia.
Greens’ immigration spokesperson David Shoebridge criticized the secrecy surrounding the deal, accusing the government of using undisclosed public funds to support a controversial arrangement. Shoebridge argued that the government’s response should be to bring the refugees to Australia and provide them with necessary care, emphasizing that the current arrangement is "condescending and unfair" given the life-or-death situations faced by many refugees.
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