Parts VII–IX
Stage 1
Scope of Work
Six integrated workstreams delivering a complete Government-owned decision package.
60–90 Days
Delivery Timeline
Phase 1 Strategic Architecture
6
Integrated Workstreams
Complete decision package
Workstreams
Six Integrated Deliverables
01
Sovereign Liability & Refinancing Assessment
Refinancing opportunity memo; three-pathway comparison; NPV and fiscal impact analysis
02
DFI Credit Enhancement Pathway
DFI options paper; preferred and fallback enhancement structures; feasibility assessment
03
Transaction Structure & Reference Term Sheet
Transaction options paper; Government-owned reference term sheet; architecture diagram
04
Conservation, KPI & Local-Benefit Framework
KPI eligibility framework; use-of-proceeds framework; community benefit principles
05
Governance, Verification & Institutional Architecture
Governance architecture memo; institutional roles map; verification framework
06
Strategic Infrastructure & Resilience Capital Planning
Strategic infrastructure shortlist; financing pathways; ECA analysis; readiness criteria
Timeline
Phase 1 Workplan
| Timeframe | Activity | Detail |
|---|---|---|
| Weeks 1–2 | Mobilisation & Data Access | Ministry data provision; specialist team activation; bond analysis; KPI baseline |
| Weeks 2–4 | Financial Analysis & DFI Pathway | Liability modelling; NPV analysis; DFI credit enhancement scoping; three-pathway comparison |
| Weeks 3–6 | KPI Framework & Governance | KPI design and validation; step-down calibration; PNG Climate Resilience Fund design |
| Weeks 5–8 | Reference Term Sheet | Legal counsel engagement; term sheet drafting; non-binding soundings if directed |
| Weeks 8–10 | Delivery & Decision Gate | All deliverables; Cabinet package; Government decision on Phase 2 |
Protections
What Stage 1 Does NOT Authorise
- ✕No formal market engagement or solicitation
- ✕No pricing discussion without Government approval
- ✕No negotiation with banks or investors
- ✕No DFI engaged without Government direction
- ✕No commitment, representation, or binding undertaking
- ✕No appointment of executing banks or arrangers
- ✕No Request for Proposal or competitive market process
Sovereignty
Unconditional Protections
- ✓Government retains full control over pace, direction, and terms
- ✓Every execution step requires separate written mandate
- ✓Market soundings are strictly informational and non-binding
- ✓Cannot be waived without Government consent
- ✓Applies from the moment of signing
- ✓Stage 1 has no predetermined transaction answer
- ✓FRC's role: test options, quantify tradeoffs, equip Government to decide