By Jesher Tilto | The National | September 19 2025
TO date, Papua New Guinea has 22 provinces and 96 districts.
There are upwards of 370 local level governments (LLG) and at least 6,900 wards, pending confirmation from the Department of Provincial and Local Level Government Affairs (DPLLGA) or Electoral Commission.
And after years of waiting, people will soon go to the polls to elect their leaders in this year’s LLG elections.
The result of these elections is important, as LLGs are PNG’s lowest tier of government and provide services directly to communities.
Electoral Commissioner Simon Sinai said more than 30,000 candidates have filed their nominations to contest for seats in the country’s LLGs and wards.
This sub-national structure was introduced as PNG’s third tier of government in 1995 when the Organic Law on Provincial and Local Level Governments (OLPLLG) was passed.
Although seen as the lowest tier of government, it is only structure that is able to directly interact with the people on the ground, both in the figurative and literal sense.
Sadly, as Government spending has increased over the years, its ability to reach the people in the rural areas has decreased.
Review LLG system
It is evident that the LLG system currently in use is outdated and does not contribute as much to the overall ward development plans.
It may have been effective and appropriate during the pre-Independence era due to a much more effective decentralised government system.
That was when the provincial government system was also working effectively without much control from Waigani.
The LLG system is meant to deliver services to wards, but over the years, it has become another hungry idle monster gnawing away at taxpayers’ money.
Over the years, Government spending has increased, but its ability to reach the people in the rural areas has decreased.
The provincial and LLG levels are required to carry out service delivery functions and make local laws based on powers devolved to them by the OLPLLG.
Funding for services, however, is required to pass through all three tiers. From the Government at the national level, funding passes through the provincial and district levels before it hits the local or ward level.
However, each tier provides its own opportunities for mismanagement as funding from the national level now tends to flow in small droplets to those at the ward level.
The introduction of the District Development Authority (DDA) Act 2014 can be seen to have further displaced and isolated the role of LLGs. The introduction of the act was the third comprehensive reform on decentralisation and subnational government in PNG.
Unlike the former reforms, the DDA arrangement is directly funding the districts, which is intended to bypass much of the bureaucratic red tape. In the process, its operation often also bypasses the Public Finance Management Act and Auditor General Act.
However, since the introduction of the act, service delivery has been poor in most parts of the country and this problem has been compounded by the current socio- economic slump.
Many districts have not been fully funded, and funding has been delayed when needed most and postponed to near the end of the financial year at most times.
Although improving basic service delivery at the subnational levels of government was the main motivation for implementing the act, the reform, however, has a challenging capacity to implement and manage.
At the district level, for instance, there is a lack of qualified officers to implement projects, while at the national level the implementation of the DDA is not effectively monitored for lack of determinants assigning functions and responsibilities.
This then causes service delivery to be hindered by the lack of capacity in the districts and LLGs. Although it can be argued that this situation could improve with increased funding, structural and compliance issues far outweigh the need for more budgetary allocations.
The composition and influence of the DDA board potentially denies people’s stake in the decision-making processes.
The LLG presidents, for example, represent their people and constituency at the board level, yet the board is primarily influenced by the district Member of Parliament.
It is evident that the implementation of the DDA Act is below par with respect to the successful conditions needed for an effective decentralisation policy.
Amendments to the act must be applied sooner rather than later to help in the implementation process to ensure the concerned stakeholders understand their roles.
Appropriate training must be given to district officers, especially district administrators or chief executive officers to the board and district finance officers to ensure they do their jobs diligently and in harmony with the set guidelines, such as the Public Finance Management Act 2016.
Therefore, the LLG system, which acts as an extension of the Government directly to the people on the ground, needs to be reviewed and transformed to become more effective.
Parliament’s recent passage of the LLG Administration (Amendment) Bill 2024 is welcoming news as it should empower LLGs to improve leadership standards, and ensure better management of community resources.
But this can only be a success for this tier of government if strict measures are adhered to.
Improve sub-national governance
Therefore, good governance at the country’s sub-national level is needed now more than ever.
Provincial and Local Level Government Affairs Minister Soroi Eoe recently stated that a lack of adherence to lawful obligations has fostered a culture of negligence in the country’s governance system.
When tabling the consolidated annual provincial performance report for the years 2018 to 2022 in Parliament on May 27, Eoe reminded public servants in all tiers of government to adhere to certain lawful requirements.
According to Section 119 of the OLPLLG, “each provincial government shall, by June 30 of each year, furnish to the minister responsible for provincial government and local level government matters, a report for the year ending December 31 preceding on the affairs of the provincial government and the local level governments in the province.”
Subsection 5 states that “failure to submit a report as required by this section shall constitute a ground for withdrawal of functions, powers and finances as provided by this Organic Law.”
These reports must detail six minimum priority areas (MPA) – health, education, transport and works, primary industry, law and justice and governance.
Eoe said his department, after receiving these reports over the years, found that there has been a significant decline in services within the different MPAs.
In February, the Ombudsman Commission (OC) urged all MPs to acquit their 2024 provincial service improvement programme (PSIP) funds and district service improvement programme (DSIP) funds by March 31.
OC said that without acquittals, it was difficult to determine the manner in which the projects have been procured and whether they are public in nature with maximum public benefit.
However, the submission of these acquittals to the OC and the Department of Implementation and Rural Development has been done by some without any sense of urgency as the commission recently issued another similar notice this month.
It is a shame that such negligent behaviour can be seen in many government departments and administrations that fail to comply with the laws that hold them accountable.
Once can only imagine what other reports are missing, particularly those pertaining to the expenditure of public funds.
That is why compliance, be it within the realm of governance, business or law, is important because it promotes transparency and accountability. It also enhances the credibility and reputation of an organisation which can lead to better opportunities in the future.
And as PNG turns a new page into 50, one can only hope that the inner workings of its public service machinery, particularly at the sub-national level, improves and functions for the better.