Australian PM Expresses Concern Over China's Potential Purchase of 21 Islands Near Papua New Guinea

Concerns have been expressed in Australia that Chinese ownership of the Conflict Islands would present Beijing with an opportunity to project power at Canberra’s doorstep. The Australian Strategic Policy Institute (ASPI) has urged the government to buy the privately-owned islands, which fall under the jurisdiction of Papua New Guinea.

Australian Prime Minister Anthony Albanese has admitted that it would be worrying if Beijing were to purchase a group of privately-owned islands located off the country’s northwestern coast near Papua New Guinea (PNG) in the Solomon Sea.

Ian Gowrie-Smith, a retired Australian businessman, is selling 21 atolls, known as the Conflict Islands, to possible buyers.

Gowrie-Smith told Nine News this week that he sent an email to Australian Foreign Minister Penny Wong in June, saying that he wanted to sell off the islands. He said the reason he approached the Australian government was because he was already concerned about the security implications for Australia from the Sino-Solomon Islands security pact, which was unveiled in June.

Gowrie-Smith has said that he would accept a price of $25 million ($36 million Australian dollars) should Canberra decide to buy the Conflict Islands.

He said he would sell off the islands to Beijing if he doesn't get a favorable response from Australia's Department of Foreign Affairs and Trade (DFAT).

Australian media reports have noted that the Conflict Islands are located near one of Canberra's main shipping routes, making them strategically significant. Importantly, three submarine cables connecting Australia to the world lie near the islands.

Recently, tensions between Australia and its largest trading partner Beijing have been high in the wake of the unveiling of the Sino-Solomon security framework agreement in April. Top Australian generals have warned that a potential Chinese military presence in the Solomon Islands would affect the patrolling patterns of the Australian Defense Force (ADF).

Both China and the Solomon Islands have consistently rejected that a Chinese military base is envisaged under the security agreement.

Australian PM Says Looking Into Potential Purchase of Conflict Islands

Prime Minister Albanese said on Wednesday that his government would ensure that Canberra’s “national interest” remains protected as far as the case of the Conflict Islands is concerned.

“We'll have a look at this particular transaction,” Albanese told 2GB Radio on Wednesday.

The Australian leader remarked, however, that Canberra wasn’t in a position to buy all the real estate in the region.

Albanese underlined that there are over 500 islands in the area that could be bought out by a potential buyer. “There’s a lot of real estate across the Pacific. The Australian taxpayers aren't in a position to buy all of it,” he said.

He also appeared to defend Foreign Minister Wong for not responding to Gowrie-Smith’s email in a prompt manner, saying that the Department of Foreign Affairs and Trade (DFAT) wasn’t able to locate the particular email.

Albanese also noted that Wong is scheduled to pay a visit to Papua New Guinea next week, when the issue of the sale of the Conflict Islands may come up during official talks.

The Australian leader also claimed that his government has done more than its Liberal predecessor, headed by ex-PM Scott Morrison, to firm up Canberra’s standing in the Pacific region. He pointed out that Wong had already undertaken several trips to the region since the Labor Party’s federal election win in May.