07/04/2026
To clear the air,
Under Section 132 of the Land Act, the direct selling of customary land in PNG to private individuals, companies, or foreigners is illegal. The law does not allow customary land to be sold through agreements between individuals. Landowners can only lease or transfer land to the State, which may then lease it back for development purposes under proper arrangements.
For sales made before the Land (Amendment) Act 2024 came into effect, citizen-to-citizen transactions may still be recognized if they were done legally at that time. However, sales to foreigners have always been illegal and remain invalid.
Under the new amendment, any direct sale of customary land is now void and has no legal effect. This means buyers do not receive legal ownership, the land remains with the customary landowners, and any money paid is unlikely to be refunded. People occupying such land also risk eviction because the sale is not recognized by law. (Example: Port Moresby evictions everywhere).
If you or a company are currently on customary land through informal arrangements, the safest legal option is to follow proper processes. Landowners should register as an Incorporated Land Group (ILG), go through the Voluntary Customary Land Registration process, and arrange a formal lease through the State so that both the landowners and occupants are protected under the law.
In places like Port Moresby and Lae, landowners are selling land without proper valuation. There is no problem if you use the land for your own benefit, as it is your land passed down through generations. However, selling customary land for money is illegal under the amendment act. You can be charged for unlawfully selling the land, as it is a criminal offence. The court will consider whether there is an element of mens rea (intention) or actus reus (action). It will assess whether there was an intention to sell the land for money or whether the person actually entered into a contractual agreement to sell the land to a buyer. These two elements of criminal law will be applied, and you may be held criminally liable if found guilty.
Always follow the proper legal process to avoid losing both your land and your money.
Follow Ordinary People's Voice for more!