On behalf of my people and the Government of Papua New Guinea, I bring the General Assembly warm greetings and pledge our support to you, Mr. President, as you guide us in our work. We also wish to thank Mr. Kerim, your predecessor, for his strong advocacy during his tenure as President of the General Assembly at its sixty-second session, especially in the area of climate change. We also support Secretary-General Ban Ki-moon and the United Nations in general, especially its agencies, in the work they do to enhance our development aspirations in Papua New Guinea. As we have always done, my Government continues to support the United Nations. The United Nations currently provides the world forum for Member States to address the many global issues we face together. United Nations reforms need to be carried out in all the relevant areas of the system. We need to address the international gender architecture to make it more robust, responsive and effective. It has to be part of the core reform process to cater for women, youth and children. We must also be vigilant against terrorism and threats to international peace and security. The One UN system needs to be translated more meaningfully in order to effectively enhance each Member State’s development priorities. We support the call for the reform of the Security Council in both the permanent and non-permanent A/63/PV.13 3 08-53122 categories of membership. A number of emerging developing countries need to be accorded permanent status on the Council to better reflect today’s circumstances. We therefore welcome the recent consensus to initiate the intergovernmental negotiating process to properly address the long-standing but critical issue of United Nations reform. We live in a world that provides us many opportunities, as well as formidable development challenges. The challenges include addressing the destructive effects of the illicit use of small arms and light weapons and the need to address globalization and food and energy security, which lead into the wider issue of human security. Additionally, the adverse impacts of climate change and global warming continue to threaten the existence of many small island States, especially due to rising sea levels. For many small island States, sea level rise and the adverse impacts of climate change are security issues threatening their very survival. We therefore call upon the international community to act urgently in order to ensure the security and welfare of small island developing States. As a thriving democracy in the Pacific, Papua New Guinea desires to see our friends and neighbours in the Pacific and beyond enjoy freedom and prosperity. In that regard, and consistent with the decision of the leaders of the Pacific Islands Forum, Papua New Guinea strongly encourages Fiji to restore parliamentary democracy by preparing for elections and holding them in 2009. However, Fiji must be supported throughout, and not isolated in its efforts to address its specific national circumstances. On other regional issues, Papua New Guinea commends the work done so far on the Pacific Plan for Strengthening Regional Cooperation and Integration, which we believe may catalyse our region’s development. It is Papua New Guinea’s strong view that Member States from the Pacific region should be categorized separately by the United Nations in terms of aggregated data and in the area of social and economic classification. While Papua New Guinea is ready, we can support Vanuatu’s call for an extension to the May 2009 deadline for submissions on an extended continental shelf. The Millennium Development Goals (MDGs) provide us with one of the greatest opportunities to leverage our development process. For that reason, we commend the Secretary-General for convening the high-level meeting on the MDGs during the present session of the General Assembly. However, for the MDGs to be effectively implemented, they must be addressed consistent with national circumstances and with host-country leadership. Further, for the MDGs to be effective over the long term, developing countries must take ownership of the Goals. At the midway point of MDG implementation, for Papua New Guinea, we believe there is cause for cautious optimism. Papua New Guinea celebrated 33 years of unbroken constitutional democracy on 16 September this year. Due to the political stability achieved by my Government, we can now afford to plan long-term for our own development. We have had steady economic growth in the last five years, due to prudent economic management that has resulted in five successive budget surpluses. Achieving the Millennium Development Goals remains an integral development priority for my Government. We have set ourselves 15 national targets and 67 indicators, which have been integrated into our medium-term development strategy and sectoral plans. For example, Papua New Guinea recognizes that education is a prerequisite for the betterment of our people’s lives. That is entrenched in our constitution and prioritized under a 10-year national education plan. The current one-laptop-per-child pilot project will make learning accessible, enjoyable and fruitful for our children, while bridging the digital divide. We are looking to expand the project nationwide during the Africa Caribbean Pacific-European Union Joint Parliamentary Assembly, to be held in Papua New Guinea in November. In partnership with UNICEF, we have also introduced proactive programmes aimed at accelerating the girl-child’s access to education. In the area of health, there remain major challenges, such as maternal mortality and HIV/AIDS, which the Government is now addressing through the 10-year national health plan. We have also recorded some positive results in other major health indicators, including a decrease in malaria incidence and in malaria-related deaths, and the stabilization and decline of infant and child mortality. Ultimately, reducing poverty, expanding access to education and health and empowering women through economic and social participation are what we in my Government are addressing. A/63/PV.13 08-53122 4 Millennium Development Goal 8 makes reference to partnerships. We strongly believe that Goal is critical to the achievement of the other seven. We believe, however, that all partnerships must be underpinned by mutual respect among the partners. For that reason, let me highlight some key partnerships. Our partnerships with Australia, New Zealand, the European Union, Japan, China, Italy, Austria and many non-governmental organizations continue to contribute strongly to Papua New Guinea’s development. We also partner with the Coral Triangle Initiative on coral reefs, fisheries and food security, and the Forest-11 Group, launched last year by His Excellency the President of Indonesia. Another important partnership is with the Bill and Melinda Gates Foundation, facilitated by the Clinton Foundation, in the area of HIV/AIDS and the provision of antiretrovirals. To succeed, we must significantly scale up our partnerships. Often, we all tend to wallow in the negative — environmental degradation, catastrophic climate change, crippling poverty, ineffective governance — rather than leveraging the positive. My Government’s vision is to transform those societal challenges into a framework for environmentally and socially sustainable economic growth. It is time to cast off policy chains of the past and create a new paradigm for the future. Let me be specific. First, we cannot account for the environment as an externality. Our natural environment and its services are not free to society. Once we lose those services, often irreversibly, the costs can be significant. Secondly, we must create a broad framework for ecosystem service markets. Carbon sequestration must only be the first step, followed by valuations for biodiversity, water purification, rainfall generation, crop pollination and food security. Thirdly, we must now view our natural environment as an engine for wealth creation. Those valuable ecosystem services must be transformed into lasting wealth that supports the rural communities that have traditionally cared for those assets. Let me use the issue of reducing deforestation and forest degradation — an issue that our Prime Minister, Grand Chief Sir Michael Somare, has championed internationally — as an example. Deforestation is a complex subject, but, put simply, it is driven by the fact that the world values forests more dead than alive. Traditional economic theory, which considers ecosystem services a common good and thus free to all, is primarily responsible for the massive loss of the world’s forests. With those ecosystem services valued at zero, rural communities that depend on and care for forests must make a living in other ways. Keeping the land forested means sacrificing the opportunities to be gained by converting it to other uses, such as producing commodities such as timber, palm oil, coffee and cocoa. The international commodity markets, in fact, have hardly changed from colonial times. In many ways, those two economic relics are increasingly perverse and nonsensical. The environment is devastated, rural communities stay poor and the rich shift the blame. They cite lack of governance and corruption, but those are not drivers of deforestation, but symptoms of obsolete market constructs. Therefore, global leaders must redraft economic theory and reinvent global markets for a sustainable future. For example, the latest estimate is that approximately $20 billion a year will be needed to halve carbon emissions resulting from deforestation. However, that would be a wise investment, even for that one ecosystem service alone. Forests sequester some 3.3 billion tons of carbon dioxide annually. So, with today’s price of more than $30 per ton of carbon dioxide, rural communities are effectively subsidizing the carbon emissions of the rich to the tune of approximately $100 billion per year — more than total annual official development assistance. Norway has provided great leadership towards that necessary paradigm shift. First, Norway has stood up against global climate change and has targeted the achievement of carbon neutrality by 2030. Norway has also dedicated $2.8 billion to offset emissions reductions resulting from deforestation in developing countries, through the valuation of forest ecosystem services. Faced by the ravages of climate change on a small island developing State, our Prime Minister, Sir Michael Somare, has charted out his own bold goals: reducing Papua New Guinea’s emissions by 50 per cent before 2025 and achieving carbon neutrality before 2050. Sharing a similar vision, the partnership of leadership between Papua New Guinea and Norway may significantly address several of the greatest A/63/PV.13 5 08-53122 challenges of our time: effectively valuing global environmental services, contributing to the mitigation of climate change, conserving global biodiversity and financing the achievement of the Millennium Development Goals in rural areas. Finally, our global economy values companies in the billions simply for advertising trinkets on the Internet. Some countries make billions by selling fossil fuels that pollute our atmosphere, others by producing low-cost consumer products that humanity does not require. In fact, Google is worth $150 billion, while the world’s last great tropical forests left standing are worth nothing. How can that be right? Together, we must reconstruct our value frameworks. New environmental markets must support tropical countries striving to achieve sustainable development, by generating billions from rainforest ecosystem services that humanity has so far been exploiting for free. Several communities in my country have voted to cancel their logging concessions, telling me that the forests and rivers have provided all they needed for thousands of years. In some ways, however, they now feel trapped. The old ways allowed them to survive but did not prepare their children for an increasingly complex future. They now struggle with schools that cannot afford the best teachers and with health centres that provide only basic medicines. Yet those communities still remember how to live sustainably — a skill that many others have forgotten in the rush to get ahead. But there is hope. Bold leadership is required on both sides of the economic divide to transform the way in which we value our environment and create wealth for rural populations. As leaders, we must understand that, while we may have inherited the Earth from our forefathers, we have in fact borrowed it from our grandchildren and our future generations. Indeed, by learning to save our environment, perhaps we can once again learn how to save ourselves and guarantee a better world for our future generations.