Court dismisses McNale’s challenge over removal from PNG Power board

The National Court today dismissed a legal challenge by former PNG Power Limited chairman and director, McRonald McNale, who had sought a judicial review of his removal from office.

McNale named State Enterprise Minister William Duma as the first defendant, the National Government as the second defendant, and the Independent State of Papua New Guinea as the third defendant in the case, OS (JR) No. 72 of 2024.

He claimed the revocation of his appointment last year was unlawful, citing error of law, breach of natural justice, and lack of procedural fairness.

At the centre of the dispute was whether due process was followed under the governing legislation for terminating his appointment.

McNale argued that no proper consultation took place and that he was not given an opportunity to respond before his removal.

However, the court found that the Second Defendant, through powers vested under Section 1210 of the relevant Act, had the authority to remove the chairman at any time, following consultation with the responsible Minister.

It held that involving the Chairman in the decision to remove himself would be illogical and impractical.

In delivering the ruling, the court emphasized that public institutions like PNG Power must function effectively and that courts should not interfere in administrative decisions unless clear legal errors or breaches of rights are established.

The court concluded that McNale’s removal was carried out within the legal framework and dismissed the application as incompetent and without merit.

While the court acknowledged McNale may have been affected by the decision, it noted that the appropriate legal and procedural steps had been taken and that the public interest in stable governance outweighed personal grievances.

The court made four orders, among them, dismissal of this judicial review application, and discharging a stay and reinstatement order made on September 5th, 2024.