The United Nations High Commission for Refugees said it is troubled by the new asylum policies adopted by Australia earlier this week.
In a statement, the UNHRC says the policy lacks "adequate protection standards for asylum seekers".
"Australia's Regional Resettlement Arrangement (RRA) with the Government of PNG raises serious, and so far unanswered, protection questions,
"UNHCR is troubled by the current absence of adequate protection standards and safeguards for asylum seekers and refugees in Papua New Guinea," it said.
"UNHCR’s assessment, based on recent visits to PNG, is that there are currently significant shortcomings in the legal framework for receiving and processing asylum-seekers from Australia. These include a lack of national capacity and expertise in processing, and poor physical conditions within open-ended, mandatory and arbitrary detention settings. This can be harmful to the physical and psycho-social well-being of transferees, particularly families and children."
The organisation said it would discuss with both Australia and Papua New-Guinea the "very significant policy, legal and operational challenges in ensuring proper protection for all asylum-seekers and refugees affected."
Australian Prime Minister Kevin Rudd announced earlier this week that all new asylum seekers arriving by boat would be sent to Papua New-Guinea for processing and would not be allowed to settle in Australia.