The governor of Papua New Guinea's Morobe province, Luther Wenge, has threatened to seek independence if the co-operation programme with Australia is reinstated under the same terms.
The Enhancement Corporation Programme has been suspended for two weeks because of a PNG court ruling that immunity provisions for Australian police were unconstitutional.
Senior PNG ministers have met their Australian counterparts in a bid to revive the programme and say they don't want to change the constitution.
A sticking point remains how PNG can accommodate the Australian demand for immunity.