Australia and Papua New Guinea NG have unveiled a long-awaited deal handing PNG its own NRL team, confirming the league’s most ambitious expansion since formation, and notching what the federal government is hailing as a major strategic victory.
Prime Minister Anthony Albanese, his PNG counterpart James Marape and NRL boss Peter V’landys announced the agreement this morning in Sydney’s CBD.
Under the deal, Papua New Guinea will join the NRL in 2028 and will become the competition’s 18th or 19th team, depending on what happens with other franchise bids before then.
Mr Albanese confirmed that the federal government would provide $600 million dollars over a decade to help make the team a reality.
In return Papua New Guinea has agreed to sign what has been called a “parallel” agreement on “strategic trust” between the two countries, which is clearly designed to stop China from gaining a significant security foothold in the Pacific country.
Mr Marape has played down the significance of the agreement, saying it simply reaffirms Australia as PNG’s top security partner and existing commitments made under a security pact both countries signed last year and which also enters into force today.
But the ABC has been told it contains a clause which allows the federal government to withdraw funding at any time if PNG breaches its commitment to stick with Australia as its major security partner.
If that happens then the NRL is obliged to terminate the franchise immediately.
The $600 million dollars will be split into three “streams” — $290 million for the franchise, $250 million for rugby league partnerships across the Pacific and a $60 million licence fee.
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