PNG to close Australia's Manus Island detention centre immediately

Papua New Guinea will close Australia's asylum seeker detention centre on Manus Island immediately.

The announcement comes a day after the nation's Supreme Court ruled the centre was unconstitutional.

PNG Prime Minister Peter O'Neill said in a statement the facility would be closed, placing the onus on the Australian government to find "alternative arrangements" for asylum seekers held at the camp.

Immigration Minister Peter Dutton was waiting to see following a PNG court decision on Manus Island. Photo: AAP
Immigration Minister Peter Dutton was waiting to see following a PNG court decision on Manus Island. Photo: AAP

"Respecting this ruling, Papua New Guinea will immediately ask the Australian government to make alternative arrangements for the asylum seekers currently held at the Regional Processing Centre," Mr O'Neill said.

"As I stated recently at the at the Australian Press Club, we did not anticipate the asylum seekers to be kept as long as they have at the Manus centre."

Mr O'Neill said PNG would work with Australia on a timeframe for the closure of the facility, which he anticipates will have an detrimental impact on the small island's economy.

Mr O'Neill said his government had never expected the asylum seekers to be kept for so long on Manus Island.

"For those that have been deemed to be legitimate refugees, we invite them to live in Papua New Guinea only if they want to be part of our society and make a contribution to our community," he said.

The closure would be carefully managed in conjunction with local businesses and the Australian government.

The PNG leader said he was proud his country had been able to stop the loss of life due to people-smuggling.

About 500 of the men on Manus Island have been found to be refugees.

The announcement comes after lawyers warned the Australian government could be sued for false imprisonment after court ruling found the restrictions to asylum seekers' freedom was unconstitutional and illegal.

It also ruled that a constitutional amendment made by the PNG government last year to legitimise the arrangement with the Australian government is also unconstitutional and invalid.

"Both the Australian and PNG governments shall forthwith take all steps necessary to cease and prevent the continued unconstitutional and illegal detention of the asylum seekers," the judgment says.

Following the court decision, Immigration Minister Peter Dutton insisted Australia's border protection policies will not change, and asylum seekers on Manus Island will not be brought to Australia.

"If people seek to come illegally by boat to our country, whether they're on Manus, they're on Nauru or they're negotiating with people smugglers now, they will not be settled permanently in this country," he told Sky News.

"We will not retreat from what has been a tough but fair policy."


But the Australian Lawyers Alliance says the decision strengthens claims that Australia breached its duty of care for detainees.

Alliance spokesman Greg Barns says the ruling is consistent with international law, which states indefinite detention is unlawful.

"The ruling makes it highly likely that asylum seekers can successfully make claims for damages for false imprisonment from the time they entered detention on Manus Island," he said.

"If Australia ignores the decision then it is contradicting its oft-stated claim that Manus Island detention is a matter for PNG jurisdiction."

Mr Dutton says Australia was not a party to the legal proceedings brought by PNG opposition leader Belden Namah, insisting the ruling is a matter for the PNG government.

He said the Australian government had contingency plans in place for a "number of outcomes in a number of court cases" and would work with the PNG government to send asylum seekers back to their country of origin.

The government is also working with countries in the region on third country settlement options, he said.

Loani Henao, legal counsel for Mr Namah, says the decision means the Manus Island detention centre must be shut down.

Labor is demanding Mr Dutton immediately travel to PNG for urgent talks with the government while the Greens want the asylum seekers brought to Australia.

He has said the male detainees won't be settled in Australia, but they can return home or go to another country willing to accept them.

"Before people get ahead of themselves let's see what the PNG government has to say, what their response will be and how it is they propose to deal with the situation," he told ABC radio on Wednesday.