UN report on Manus taken on board: Rudd PRIME Minister Kevin Rudd says his government is working through the United Nation's report which heavily criticises the Australian-run asylum-seeker processing centre in Papua New Guinea. At a joint press conference with his counterpart, Peter O'Neill, in Port Moresby on Monday, Mr Rudd said both governments will be mindful of the report's criticisms as a permanent asylum-seekers' facility is built on remote Manus Island. The UN's refugee agency, UNHCR, last week slammed conditions at the temporary detention facility on Manus Island. "I thanked PNG for its co-operation on asylum seekers, including on Manus Island," Mr Rudd said. I thank the UNHCR for its work in this report and we're studying its recommendations. We will work through those recommendations with our friends here in PNG. PNG is an important part of an effective regional response. He said the construction of a permanent facility on Manus was still going ahead. This is a challenge that as Australian prime minister I will not shy away from. As I've said before, where the circumstances change, Australia will adjust, continue to adjust and, where necessary, change our policy. Mr O'Neill said he hoped the UNHCR appreciated the problems faced by governments in tackling asylum seekers. We agree with Prime Minister Rudd, we welcome that report and will look into the details of it. We need to establish a permanent regional processing centre. Mr Rudd said he intended to work with PNG and other regional neighbours to tackle people smugglers.