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The Pacific Islands have been the focus of international academic and policy ‘concern’ in the past decade. Much of this has centred on the issue of governance, with examples such as PNG, Fiji and the Solomon Islands used to support arguments of state failures and a regional crisis of governance (see, for example, Larmour 1998; Hughes 2004). There is a tendency to see ‘state failure’ in these cases as an internal issue (that is, due to internal problems of governance), although this is obviously questioned by the prevalence of the problem across the region. Indeed it is surprising how little attention has been given to the ways in which external processes associated with globalisation contribute to these internal ‘crises of governance’. Connected to the governance concern is a parallel policy discourse on the mismanagement of resource rents from natural resources, particularly forests and minerals. The inability to translate mineral resources into effective broader-based development and nation-building has fuelled regional resource conflicts, and necessitated regional interventions by external countries. There is evidence from elsewhere, however (see Ross 1999), that resource booms tend to undermine the very capacity for governance that economists frequently declare is needed for proper management of resource rents in the first place. Paradoxically, then, liberalisation of investment regimes and promotion of resource developments as tools for generating government revenue and economic growth are accompanied by calls for improved governance and management of resource rents despite these same rents being shown to actively undermine good governance itself.

Mining, Social Change and Corporate Social Responsibility: Drawing lines in the Papua New Guinea mud