Canberra, 15 February 1966
Confidential
Submission no.1—Papua and New Guinea—constitutional development1
Subject to the observations in the succeeding paragraphs of this Decision, the Cabinet approved the general approach set out in the Submission and the particular recommendation—
(a) that if the Select Committee’s enquiries disclose that there is a strong and widespread popular support for early constitutional changes in Papua and New Guinea towards increased participation in the executive government by elected members, changes in harmony with the principles set out in paragraph 14 of the Submission to apply immediately after the general election in 1968, would be acceptable; and
(b) that if there is strong support for changes in the present composition of the House of Assembly, the official attitude might follow the lines set out in paragraphs 21, 24 and 26 of the Submission.
2. It was noted that the reference in paragraph 5, which would appear to suggest authority for Parliamentary Secretaries to direct the overall activities of their Departments, was not intended to be read as substituting the Parliamentary Secretary for the Administrator, whose responsibility for policy would remain.
3. Concerning paragraph 12 of the Annex dealing with the estimates, it was agreed by the Cabinet that, contrary to the proposal in the paragraph, it would be desirable not to submit the draft Budget estimates for the Territory to the Administrator’s Council for advice before the estimates are passed to the Minister for Territories.
4. The Cabinet noted the possibility referred to in paragraph 17 of the Submission of division of the Territory Budget so that local revenues of the Territory would finance a specified area of activity. It decided that no decision in this sense should be taken, but agreed that the Minister for Territories might keep the matter under review, keeping in mind the objective of progressively decreasing the proportion of Commonwealth grant to total Budget and increasing the financial responsibility of the House of Assembly.2
[NAA: A 1838, 936/5 part 4]
1 Document 5.
2 The substance of the Cabinet decision was conveyed by Warwick Smith to Cleland in a letter of 8 March (NAA: A452, 1966/4576).