Oz-Dev: PNG Incentive Fund

The Incentive Fund commenced in August 2000 and ended in 2008 when activities approved in 2006 were finalised. It worked over two phases: Phase I from August 2000 to 2003, and Phase II from 2003 to December 2007. Phase II included a wind down phase covering the period 1 January 2008 to 28 February 2009. The Incentive Fund has funded A$113 million across 39 projects, the last of which was completed in 2008. 1.2 The ‘incentive’ is in the opportunity for Papua New Guinea (PNG) service delivery organisations to ‘lift their game’, to expand their ability to ‘do their job’ and then become eligible to access the significant resources available under the Incentive Fund. The ‘incentive’ is the encouragement and the reward factor for well performing organisations and those with capabilities that seriously aspire to do better. Only organisations that are already capable and can demonstrate that they have the capacity to expand their development impact are eligible. The Incentive Fund Phase III (IF III) seeks to support activities that reflect the development priorities of both the Government of Papua New Guinea (GoPNG) and the Government of Australia. The Incentive Fund is generally well regarded having worked with organisations with a good track record and which value and care for the resources available to them, thus increasing the sustainability of the supported activities. IF III builds on this sound foundation and incorporates recommendations of the 2007 Incentive Fund Review and lessons learned in previous phases. The Incentive Fund is demand driven. Its focus will be on good PNG organisations which are delivering services of value to people, and on further building their capacity. IF III will build on the gender equality work started within Phase II and strengthen approaches to sustainability and monitoring and evaluation.