Papua New Guinea has achieved a limited score in implementing the 2023 EITI Standard

Outcome of Validation of Papua New Guinea

Decision reference                       Decision basis

2026-39 / BM-67                        EITI Articles of Association 2023, Article 12.1.i

6 October 2026

Board decision

Papua New Guinea has achieved a score of 63.5 (Limited) in implementing the 2023 EITI Standard. The overall score reflects an average of the three component scores on Stakeholder engagement, Transparency, and Outcomes and impact. A score of 1 point is added for effectiveness and sustainability of EITI implementation.

The Board is encouraged by Papua New Guinea’s progress in beneficial ownership transparency after being grey listed by the Financial Action Task Force. The Board urges government and industry to take concrete steps to address other long-standing issues, such as contract transparency and establishing an EITI reporting law, building on the momentum achieved in implementing beneficial ownership laws and regulations. The Board commends Papua New Guinea’s MSG and National Secretariat for their efforts to improve transparency and understanding of the terms associated with Community Development Agreements. The Board also takes note of follow-up on recommendations to improve data quality and assurance procedures in EITI reporting to improve the reconciliation process. Beyond reporting reforms, the Board acknowledges the rapidly growing informal gold sector, which threatens the traditions and livelihoods of large portions of the country’s rural population. It also recommends strengthening alignment of EITI implementation with national objectives and evolving policy challenges. The Board calls on the MSG to proactively monitor civic space and bring any concerns forward for discussion and action at MSG meetings. 

Under the Outcomes and impact component (Limited), the Board notes Papua New Guinea’s 2023-2026 work plan is aligned with national policy priorities on beneficial ownership transparency, subnational disclosures, legislative reform and revenue transparency. The Board finds that progress toward systematic disclosure has been incremental, with PNGEITI continuing to serve as a key source of extractive sector data. While commending PNGEITI’s Open Data Policy, the Board notes that government and companies do not yet consistently provide accessible, machine-readable data in open formats. The Board further notes that the MSG has undertaken active outreach both collectively and through individual constituencies during the period under review, advancing PNGEITI’s national priority of strengthening engagement at the subnational level.

Under the Stakeholder engagement component (Good), the Board recognises PNGEITI’s resilience in sustaining an operational national secretariat and MSG after key staff departures. The Board calls for more consistent high-level government engagement to raise the profile of EITI implementation, while industry and civil society should continue to improve outreach to the alluvial sector and subnational community organisations, respectively. The Board commends MSG’s efforts to advance key reforms while noting that achieving tangible results will require sustained commitment over the longer term. The Board welcomes efforts to institutionalise EITI implementation and encourages stakeholders to ensure that any legal framework is consistent with the EITI Standard and supports multi-stakeholder governance, transparency and accountability. The Board encourages active collaboration among all PNG EITI constituent groups to present unified positions to the MSG Chair for submission to Parliament.

Under the Transparency component (Limited), the Board notes that public disclosures through government and company websites provide an overview of extractive sector governance, exploration and licensing data and the sector’s economic contribution. The Board acknowledges EITI reporting as a key factor in augmenting systematic disclosures through granular reporting on mining production and exports as well as third-party financing and potential resource-backed loans by state-owned enterprises. At the same time, disclosure gaps were identified for several core thematic areas, including contracts, state participation, subnational payments and transfers as well as environmental payments. The Board calls on the MSG to discuss the applicability of requirements around state participation and strengthen comprehensiveness of non-fiscal disclosures, including contract transparency and community development agreements.

The Board has determined that Papua New Guinea will have until a next Validation commencing on 1 July 2029 to carry out 27 corrective actions: Requirement 1.1 (Government engagement), Requirement 1.2 (Company engagement), Requirement 1.3 (Civil society engagement), Requirement 1.4 (Multi-stakeholder group governance), Requirement 1.5 (Work plan, monitoring and review), Requirement 2.2 (Contracts and license allocations), Requirement 2.3 (License register), Requirement 2.4 (Contracts and licenses), Requirement 2.5 (Beneficial ownership), Requirement 2.6 (State participation), Requirement 3.2 (Production data), Requirement 3.3 (Export data), Requirement 4.1 (Comprehensive disclosure of taxes and revenues), Requirement 4.2 (Sale of the state’s share of production or other revenues collected in kind), Requirement 4.3 (Barter agreements), Requirement 4.5 (Transactions related to state-owned enterprises), Requirement 4.6 (Subnational payments), Requirement 4.7 (Level of disaggregation), Requirement 4.8 (Data timeliness), Requirement 4.9 (Data quality and assurance), Requirement 4.10 (Project costs), Requirement 5.2 (Subnational transfers), Requirement 6.1 (Social expenditures and environmental payments), Requirement 6.3 (Contribution of the extractive sector to the economy), Requirement 6.4 (Environmental and social impact of extractive activities), Requirement 7.1 (Public debate), Requirement 7.2 (Data accessibility and open data), Requirement 7.3 (Recommendations from EITI implementation).  

In accordance with Art. 6, Section 1 of Part 2 of the 2023 EITI Standard, the following 14 Requirements are subject to mid-term monitoring after 18 months (1 April 2028): Requirement 1.1 (Government engagement), Requirement 1.5 (Work plan), Requirement 2.4 (Contracts and licenses), Requirement 2.6 (State participation), Requirement 4.3 (Barter agreements), Requirement 4.6 (Direct subnational payments), Requirement 4.9 (Data quality and assurance), Requirement 4.10 (Project costs), Requirement 5.2 (Subnational transfers), EITI Requirement 6.1 (Social and environmental expenditures), Requirement 6.2 (Quasi-fiscal expenditures), Requirement 6.4 (Environmental impact) and Requirement 7.3 (Recommendations from EITI), and to address concerns on broader civic space, Requirement 1.3.f. (MSG civic space monitoring).

In accordance with Article 5, section 1 of part 2 of the EITI Standard, the Board will consider the progress on the time-bound corrective actions under Requirement 1.1 after six months (April 2027). 

Papua New Guinea is encouraged to consider the strategic recommendations with a view to prioritising those it deems most urgent and relevant. In accordance with the EITI Standard, Papua New Guinea may request an extension of this timeframe or request that Validation commences earlier than scheduled

Corrective actions and strategic recommendations

Corrective actions

The EITI Board agreed the following corrective actions to be undertaken by Papua New Guinea. Progress in addressing these corrective actions will be assessed in the next Validation commencing on 1 July 2029:

1. In accordance with Requirement 1.5.b and 1.5.c, PNG should ensure that:

• The MSG undertakes an annual progress review of the EITI work plan, and that this review informs the subsequent work plan;
• The review should be publicly documented and informed by consultations with national stakeholders;
• It should include progress and challenges in achieving work plan objectives, any changes to those objectives, how implementation will be adapted, activities and outcomes achieved, stakeholder feedback mechanisms and documented stakeholder views, gender and inclusiveness considerations, and actual expenses compared to the work plan budget.

2. In accordance with Requirement 7.1, PNG should ensure that:

• EITI disclosures are presented in ways that are clearly accessible and relevant to different audiences, including subnational stakeholders, affected communities and the media;
• The MSG should document how dissemination and outreach contribute to informed debate and policy engagement, including how information is tailored to language and access needs and how outreach is assessed in terms of audience reach and data use.

3. In accordance with Requirement 7.2:

• Government and companies should ensure that EITI disclosures are made available online in machine-readable open data formats;
• The MSG should ensure that summary data files for each fiscal year are clearly and publicly accessible;
• The MSG should demonstrate more clearly how the agreed open data policy is being implemented in practice across EITI disclosures, including through publicly accessible formats that users can locate and use easily.

4. In accordance with Requirement 7.3, the MSG should:

• Ensure the matrix for following up on recommendations, information gaps and discrepancies from EITI implementation, includes a clear record of MSG prioritisation, progress, completion status and follow-up actions are intended to strengthen government systems and policymaking;
• Document how recommendations are used to strengthen government systems and address information gaps beyond management of the reporting process itself.

5. In accordance with Requirement 1.1, PNG EITI should: 

• Ensure that high-level government representatives are involved in all aspects of EITI implementation and that these individuals serve as the MSG spokesperson on issues such as contract transparency, improving clarity on quasi-fiscal expenditures, direct subnational payments and subnational transfers; 
• Ensure that high-level government officials can respond to MSG requests for assistance in overcoming political bottlenecks related to EITI implementation;
• Ensure that “primary” government MSG representatives from integral institutions, such as the Department of Treasury, the Department of Prime Minister, the Conservation and Environment Protection Agency and the National Executive Council attend at least one MSG meeting a year.

6. In accordance with Requirement 1.3, PNGEITI should: 

• Monitor adherence to Protocol: Participation of Civil Society and document its discussions related to any shortcomings, identified as well as any actions undertaken to address them; the Board will review progress as part of the mid-term mechanism;
• Ensure that civil society substantively involved in the EITI process is able to freely express their views on natural resource governance, as well as to safeguard their freedom to engage, associate, operate and participate in decision-making; 
• Ensure that government provides an enabling environment for civil society participation with regard to relevant laws, regulations and administrative rules as well as actual practice in implementation of the EITI.

7. In accordance with Requirement 1.4, EITI PNG should:

• Ensure that all constituency groups are engaged at the operational and leadership levels to streamline decision-making and overcome bureaucratic bottlenecks; 
• Adhere to the MSG’s MoU as it relates to timely distribution of documents ahead of MSG meetings; 
• Monitor adherence to the Protocol: Participation of civil society and document its discussions related to any shortcomings identified, as well as activities undertaken to address them.

8. In accordance with Requirement 3.2, PNGEITI should:

• Disclose the sources of and methods for calculating production volumes and values; 
• Disclose existing mechanisms to monitor and verify the accuracy of production data and document findings, including any weaknesses related to the comprehensiveness and reliability of publicly available production data. 

9. In accordance with Requirement 3.3, PNGEITI should:

• Disclose sources and methods for calculation of export data; 
• Disclose existing mechanisms to monitor and verify the accuracy of export data and document findings, including any weaknesses related to the comprehensiveness and reliability of publicly available export data.

10. In accordance with Requirement 6.3, PNGEITI should:

• Disclose comprehensive and reliable data on the alluvial mining sector, including number of miners, production volumes, revenues and export flows. 
• Disclose comprehensive, sector-wide employment data.

11. In accordance with Requirement 2.2, PNGEITI should:

• Ensure comprehensive disclosure of the procedures and technical and financial criteria for license awards and transfers to improve public understanding; 
• Disclose any non-trivial deviations from applicable legal and regulatory frameworks; 
• Strengthen the reliability and consistency of licensing information disclosed through EITI reporting.

12. In accordance with Requirement 2.3, PNGEITI should ensure that all licenses held by material companies, including petroleum licenses, are publicly disclosed with the information required by the EITI Standard, including license holder, coordinates or geographic area, dates of application, award and expiry, and commodity information. 
13. In accordance with Requirement 2.4, PNGEITI should: 

• Disclose any contracts and licenses that are granted, entered into or amended from 1 January 2021. 
• The multi-stakeholder group is expected to agree and publish a comprehensive plan for disclosing contracts with a clear time frame for implementation and addressing any barriers to comprehensive disclosure. 
• Publish an overview of which contracts and licenses are publicly available. Implementing countries must provide a list of all active production and exploration contracts and licenses, indicating which are publicly available and which are not. For all published contracts and licenses, the overview must include a reference or link to the location where the contract or license is published. If a contract or license is not published, the legal or practical barriers must be documented and explained.

14. In accordance with Requirement 2.5, PNGEITI should: 

• Ensure public disclosure of the beneficial owners of all companies holding or applying for extractive licenses, including details on ownership and control, politically exposed persons and the level of ownership; 
• Strengthen mechanisms for data verification and reliability; 
• Disclose any significant gaps or weaknesses in reporting on beneficial ownership information, including any entities that failed to submit all or some beneficial ownership information; 
• SOEs are required to disclose the name of the state(s) or entities owning or controlling the SOE, the level of ownership and details about how ownership or control is exerted.

15. In accordance with Requirement 2.6, PNGEITI should: 

• Work with Kumul Consolidated Holdings to understand the impetus behind publishing audited financial statements for non-extractive SOEs and mirror these processes in the extractive sector through timely publication of audited financial statements for KPHL, KMHL and MRDC. 
• Ensure that SOEs publish up to date and comprehensive information related to SOEs’ operating and capital expenditures, procurement, subcontracting, third-party financing and corporate governance. 
• Clearly document changes in SOE ownership of extractive companies and projects through annual EITI reporting. 
• Ensure that the financial rules governing the relationship between MRDC and the State are publicly available.

16. In accordance with Requirement 4.3, PNGEITI should:

• Document and evaluate the MSG’s definition of materiality with regards to infrastructure provisions and barter arrangements, particularly considering that this Requirement was considered ‘not applicable’ by the MSG for this Validation; 
• Document the revenue flows and value transfer between KPHL and Chevron; 
• Document the key terms of the agreement, including amount borrowed, duration of the agreement, as well as grace period and maturity, and repayment terms, including fees and interest rates.

17. In accordance with Requirement 4.5, the MSG should assess the comprehensiveness and reliability of disclosures of payments and transfers involving SOEs and government entities.
18. In accordance with Requirement 6.2, PNGEITI should:

• Agree upon a singular definition of a QFE that distinguishes between QFE and social expenditure. This definition should address what has been termed as a “voluntary” QFE and explain this within the context of the EITI Standard; 
• Ensure that beneficiary and project information are clearly documented and specific. If multiple beneficiaries and projects, details should indicate the portion of QFE for each beneficiary and project; 
• Ensure that the description of the expenditure be specific to geographic or subject area to allow traceability.
• Use the technical working group (TWG) to develop a reporting process that ensures that same level of transparency in the disclosure of QFEs as in other payments and revenue streams. This process should also capture QFEs undertaken at the SOE subsidiary and joint venture level.

19. In accordance with Requirement 4.1, PNG should ensure that EITI reporting: 

• Clearly discloses the material revenue streams and reporting entities included in scope, the quantitative and qualitative criteria used to determine materiality, and the basis for any exclusions. (4.1.a) 
• Discloses the extent of reporting coverage achieved in practice, including the effect of delayed, missing or incomplete reporting by government entities and any resulting limitations in the comprehensiveness of company payment and government revenue disclosures. (4.1.b) 
• Discloses whether any potentially material companies or government entities were not included, including where this was due to limits on access to underlying tax authority data or non-mandatory participation, and explains the implications for comprehensiveness. (4.1.d) 
• Discloses the availability and public accessibility of audited financial statements for material companies, SOEs and government entities participating in EITI reporting. (4.1.c)

20. In accordance with Requirement 4.7, PNG should ensure that EITI reporting:

• Clearly discloses the project definition used for EITI reporting and how it is applied in practice; 
• Discloses whether the MSG assessed any licences, contracts or agreements as substantially interconnected and therefore treated as a single project, and if none were identified, states this clearly; 
• Clearly distinguishes payments and revenues disclosed at project level from those disclosed at entity level and explains the basis for that distinction.

21. In accordance with Requirement 4.9, PNG should ensure that the MSG undertake the following measures: 

• Ensure that all material revenue data disclosed through EITI reporting is supported by quality assurances aligned with international standards, including timely publication and public accessibility of audited financial statements for material companies, SOEs and government entities, or clear disclosure where this is not yet the case (4.9.a and 4.9.b); 
• Strengthen follow-up on weaknesses identified in the review of audit and assurance arrangements for government entities, including delays in provision of information, inadequate management support and audit backlogs affecting the credibility and timeliness of government disclosures (4.9.a and 4.9.b); 
• Document more clearly the agreed data quality assurance procedure and confirm more explicitly how it was applied in practice, including any deviations or limitations (4.9.c).

22. In accordance with Requirement 4.10, PNG should ensure that the MSG undertake the following measures: 

• Disclose in EITI reporting the government’s policies and practices for monitoring and managing revenue loss risks in the extractive sector, including any actions undertaken to monitor project costs (4.10.a); 
• Discuss and document whether, and to what extent, summaries of final cost and tax audit findings can be made publicly accessible, including information on non-recoverable or non-deductible costs and any additional revenues to be collected (4.10.b).

23. In accordance with Requirements 4.6, PNGEITI should: 

• Clearly distinguish between direct subnational payments and subnational transfers and make this information publicly accessible; 
• Clarify recipient information and indicate the division of payment when multiple recipients are listed. Recipient information should indicate a specific subnational unit or landowner, including name and location.

24. In accordance with Requirement 5.1, PNGEITI should ensure that if any revenues from the extractive sector are allocated to extra-budgetary entities or retained by revenue-collecting entities, this should be disclosed systematically. The disclosures should include or consist of financial or other relevant reports demonstrating the basis of the allocation of revenues and actual allocations in the period under review.
25. In accordance with Requirement 5.2, PNGEITI should:

• Work with the NEFC to reproduce information found in annual Budget Fiscal Reports on non-grant tax transfers and other subnational transfers involving extractive revenues; 
• Disaggregate subnational transfers of extractive revenues by revenue stream, subnational government entity/landowner and specify whether the transfer was made in cash or in kind;
• Highlight discrepancies between the expected transfer and the actual transfer based upon the revenue-sharing formulas applicable to each revenue stream.

26. In accordance with Requirement 6.1, PNGEITI should: 

• Ensure that the terms related to mandatory social and environmental expenditures are clear and accessible to the public. Given PNG’s reliance on contracts to set individual terms for projects, this could necessitate disclosing the community development agreements that contain the terms of expenditures. 
• Ensure that all material government entities and companies for EITI purposes disclose data on social and environmental expenditures, and to the level of disaggregation required by Requirement 6.1.a. 
• With the MSG, agree a procedure to address data quality and assurance of information on social and environmental expenditures beyond the use of audited financial statements, given the weaknesses noted in this data quality assurance method.

27. In accordance with Requirement 6.4, PNGEITI should:

• Document and publish legal provisions and administrative rules for social and gender impact assessments related to mining and oil and gas projects. 
• Document and publish legal provisions and administrative rules for decommissioning and closure programmes, and in the case of mining, rehabilitation programmes. 
• Provide information on, and the actual disclosures of, active EIAs, rehabilitation programmes and other programmes related to the social or environmental impact of extractive activities.

Strategic recommendations

Papua New Guinea is encouraged to consider the following recommendations to strengthen EITI implementation:

Outcomes and impact

1. To strengthen the implementation of Requirement 1.5.d 1.5.e, the MSG is encouraged to apply a more systematic monitoring, evaluation and learning approach to assess outcomes, capture wider stakeholder input and demonstrate how EITI implementation contributes to reform and governance improvements. The MSG should also ensure that work plan objectives are framed in a way that supports strategic follow-up on governance priorities, including anti-corruption reform.
2. To strengthen the implementation of Requirement 7.1, the MSG is encouraged to produce more thematic and analytical products on issues of national and local relevance, and to present these in accessible formats and languages tailored to communities, journalists, subnational stakeholders, policymakers and other key audiences.
3. To strengthen the implementation of Requirement 7.2, the MSG is encouraged to improve the public usability and visibility of EITI data by adopting open licensing in practice, publishing more structured and machine-readable datasets, and progressively improving interoperability through data standards, metadata and formats that support reuse and comparison with other public datasets.
4. To strengthen the implementation of Requirement 7.3, the MSG is encouraged to use the publicly accessible consolidated register of recommendations from EITI Reports, Validation and commissioned studies more explicitly as a learning tool to assess which follow-up actions have delivered results and where further reform is needed.

Stakeholder engagement

5. To strengthen implementation of Requirement 1.2:

• Companies, including SOEs, are encouraged to disclose up to date audited financial statements; 
• EITI-supporting companies at the international level are encouraged to ensure that their subsidiary companies properly fill out reporting templates, fulfil international commitments to disclosing extractive contracts and ensure that mandatory social and environmental expenditure data is properly disaggregated; 
• PNGEITI is encouraged to expand industry outreach to the alluvial gold mining sector to ensure that these voices are heard on the MSG; 
• PNGEITI is encouraged to examine its use of alternate MSG members and decide whether there should be a push for primary members to attend more meetings. This could be accomplished with a greater reliance on virtual meetings to enable flexibility; 
• PNGEITI is encouraged to detail which extractive companies that fill out reporting templates have published an anti-corruption policy, including the presence of BO data in these policies. For companies that do not have such a policy, the MSG should detail the company’s reasons for not having one.

6. To strengthen implementation of Requirement 1.3, the MSG is encouraged to elevate cases of concern to the MSG for discussion and document key concerns on safeguarding civic space.
7. To strengthen implementation of Requirement 1.4, EITI PNG is encouraged to examine the attendance of ‘alternate’ over ‘primary’ MSG members at MSG meetings to determine the effects on MSG decision making.

Transparency

8. To strengthen implementation of Requirement 2.1, EITI PNG is encouraged to:
   • Further enhance transparency of artisanal and small-scale mining (ASM) governance by strengthening and enforcing relevant policies and regulations governing alluvial mining activities. 
   • Fulfil NEC Decisions taken in 2013 and 2019 to draft an EITI Reporting Bill that would create a legal obligation on companies, government agencies and SOEs to provide relevant data for EITI reporting. The MSG should work with the external expert to tailor the Bill to suit PNG’s legislative and normative process and ensure that the MSG nomination mechanisms respect the sovereignty of constituent nomination processes.
9. To strengthen implementation of Requirement 3.1, PNGEITI is encouraged to:

• Monitor significant exploration projects; 
• Improve the availability and transparency of data on mineral and petroleum reserves, to support long-term planning and informed public debate on resource potential, including in the context of energy transition minerals and emerging deep-sea and offshore exploration activities.

10. To strengthen implementation of Requirement 3.2, PNGEITI is encouraged to:

• Disclose estimates of production resulting from artisanal and small-scale activities; 
• Request companies to disclose realised sales volumes and values by project

11. To strengthen implementation of Requirement 3.3, PNGEITI is encouraged to: 

• Disclose export data by region, destination and buyer; 
• Request exporting companies to disclose whether the buyer is a related party.

12. To strengthen implementation of Requirement 6.3, PNGEITI is encouraged to disclose further information on employment data including disaggregated figures; Sector contribution to key regions or areas where extractive activities are concentrated.
13. To strengthen implementation of Requirement 2.2, PNGEITI is encouraged to improve transparency around community consultation in license approval processes, including clarifying how stakeholder concerns are considered in licensing decisions. 
14. To strengthen implementation of Requirement 2.3, PNGEITI is encouraged to establish a publicly accessible and regularly updated online petroleum cadastre and improve consistency and accessibility of licensing data across sectors.
15. To strengthen implementation of Requirement 2.5, PNGEITI is encouraged to: 

• Maintain a publicly available register of the beneficial owners of the corporate entity(ies) that apply for or hold a participating interest in an exploration or production oil, gas or mining license or contract, including the identity(ies) of their beneficial owner(s); the level of ownership; and details about how ownership or control is exerted; 
• The multi-stakeholder group is encouraged to review the comprehensiveness and reliability of ownership information disclosed in the stock exchange filings.

16. To strengthen implementation of Requirement 2.6, PNGEITI is encouraged to: 

• Provide more information about SOEs’ investments and any alignment they may have to the energy transition or climate change.   
• Identify beneficial ownership information of agents, intermediaries, suppliers and contractors for SOEs.

17. To strengthen implementation of Requirements 4.2, PNGEITI is encouraged to monitor the potential for the sale of the state’s share of production or other revenues collected in kind, given the state’s shift toward the use of production-sharing contracts for all new oil and gas projects.
18. To strengthen implementation of Requirement 4.3, PNGEITI is encouraged to: 

• Disclose the full text of the loan agreement, or key terms in the absence of the full text.   

19. To strengthen implementation of Requirement 4.4, PNGEITI is encouraged to disclose non-material pipeline fees that accrue to government or SOEs.
20. To strengthen implementation of Requirement 4.5, PNGEITI is encouraged to: 

• Use SOE payment data to spur public debate; 
• Ensure that disclosures are in open format. 

21. To strengthen implementation of Requirement 4.1, the MSG is encouraged to advance routine and systematic disclosure of company payments and government revenues through the relevant government and company systems.
22. To strengthen implementation of Requirement 4.7, the MSG is encouraged to promote greater use of project-level disclosures in analysis, stakeholder dialogue and public debate, and to provide more sector-specific explanatory material showing how project-level revenues relate to ongoing governance issues, particularly in large mining projects, alluvial mining and oil and gas license administration. 
23. To strengthen implementation of Requirement 4.8, the MSG is encouraged to:

• Improve routine and timely disclosure of extractive payment and revenue data through relevant government and company systems, including through the planned online portal and other forms of systematic disclosure that reduce dependence on the annual EITI reporting cycle; 
• Monitor and address practical bottlenecks affecting the timely provision of data by reporting entities, particularly where delays by government entities weaken the efficiency of the reporting process.

24. To strengthen implementation of Requirement 4.9, the MSG is encouraged to: 

• Build on the AUP/JICA/AGO project by working with the Auditor General and relevant government entities to improve the timeliness and quality of routine government audit processes, and to make assurance information more systematically and publicly accessible; 
• Develop a distinct and documented approach to address reliability of non-revenue data (encouraged aspect of 4.9.c).

25. To strengthen implementation of Requirement 4.10, the MSG is encouraged to use future reporting and scoping processes to assess whether project cost data can be disclosed in a structured and disaggregated way, particularly by project and by type of cost, and to explain how project costs and cost recovery practices affect public revenues in both the mining and oil and gas sectors (4.10.c). In doing so, the MSG could distinguish between information held or controlled by government and information reasonably available from companies, and engage industry early in developing any project-cost disclosure approach.
26. To strengthen implementation of Requirement 4.6, PNGEITI is encouraged to further efforts aimed at systematic disclosure of this information on company and subnational government websites.
27. To strengthen implementation of Requirement 5.2, PNGEITI is encouraged to: 

• Explain any discrepancies found between expected and actual transfers; 
• Agree upon a procedure for addressing data quality in accordance with Requirement 4.9; 
• Explore whether any subnational transfers would be considered discretionary or voluntary; 
• Publish information on actual disbursements and how extractive revenues are earmarked for specific programmes or investments at the subnational level, actual disbursements and how they are managed.

28. To strengthen implementation of Requirement 5.3, PNGEITI is encouraged to: 

• Request mining companies to disclose projected project production levels, and estimated timelines related to cost recovery. 
• Disclose timely information that will strengthen public understanding and debate around issues of revenue sustainability and resource dependence

29. To strengthen implementation of Requirement 3.4, PNGEITI is encouraged to: 

• Encourage companies to disclose greenhouse gas (GHG) emissions in alignment with existing leading disclosure standards.   
• Where feasible, request disaggregated disclosures. 
• Coordinate efforts through the MSG to systematically request GHG emission data from companies using the CCDA’s mandate through the Paris Agreement to ensure compliance.

30. To strengthen implementation of Requirement 6.1, PNGEITI is encouraged to Consider whether voluntary social and environmental expenditures, using a materiality threshold, should be subject to the same level of disclosure as mandatory social and environmental expenditures, given the size of some voluntary expenditures.
31. To strengthen implementation of Requirement 6.4, PNGEITI is encouraged to:   

• Document and discuss any reforms that are planned or underway related to legal provisions and administrative rules governing environmental and social impact management and monitoring in the extractive sector. 
• Provide information on the monitoring and enforcement practices related to the environmental and social impact of extractive activities. This could include monitoring and enforcement practices related to water, land, forests, emissions and human rights. 
• Provide information on environmental sanctioning processes, including any sanctions applied.

Background

Papua New Guinea has been a member since 2014. This is its third Validation. Information on Papua New Guinea’s EITI implementation can be found at eiti.org/countries/papua-new-guinea.   

 Period under review 

This Validation covers the period from November 2022 to April 2026, with financial data assessed for 2024 and was conducted in accordance with the 2023 EITI Standard. It assesses Papua New Guinea’s progress in meeting the EITI Requirements, drawing on publicly available information, stakeholder consultations and Validation templates completed by the EITI International Secretariat and the MSG. 

 Methodology  

The assessment follows the Validation procedure approved by the EITI Board in 2023 and applies the three-component framework: Outcomes and impact, Stakeholder engagement and Transparency. It also considers effectiveness and sustainability indicators as part of the overall scoring system. Up to three additional points may be awarded where EITI implementation demonstrates tangible contributions to the EITI’s strategic priorities: addressing corruption risks, strengthening domestic revenue mobilisation, informing the energy transition, as well as enabling inclusive governance, open data and learning.  

The International Secretariat’s country implementation support team included Sarah Hayton, Senior Country Manager, Asia. The Validation team comprised Riley Zecca, Validation Advisor, Mark Burnett, Regional Director – Europe, and Lucia Cirimello, External Consultant, with internal quality assurance provided by Oliana Valigura, Regional Director – Asia, Esteban Manteca, Regional Director – Latin, and Gay Ordenes, Technical Director – Disclosure.  

The Validation of Papua New Guinea commenced on 1 April 2026. A public call for stakeholder views was first issued on 13 October 2025, with an updated publication on 17 December 2025. Stakeholder consultations were conducted in-person in April 2026. The draft Validation report was finalised on 15 July 2026. Following comments from the MSG the report was finalised and presented to the EITI Board. 

Link: https://eiti.org/board-decision/2026-39