PNG Ports To Receive Multi-Billion Kina Worth Of Restoration

By: PNG Business News November 08, 2021

Photo credit: PNG Ports Corporation - An aerial view of the Lae Port

In the following years, the Papua New Guinea Ports Corporation Ltd (PNG Ports) claimed its network of ports will be receiving multi billion kina worth of restoration.

A substantial portion of infrastructural development funds will be distributed to ports, namely those operated under PNG Ports' community service obligation (CSO).

The rehabilitation and renovation of the ports is part of PNG Ports' 30-year ports infrastructure master plan, which was just announced.

The Australian government will provide a large portion of the cash through a K1.5 billion infrastructure finance facility for the Pacific.

During the commissioning of the master plan in June this year, a memorandum of understanding (MoU) was signed between Australia and PNG, according to PNG Ports.

During a series of talks held at the several CSO ports, PNG Ports managing director Fego Kiniafa explained the infrastructure investment to stakeholders.

Stakeholders expressed concerns about the present status of ports and the need to upgrade them to contemporary facilities.

“Work on implementing the master plan has already begun,” Kiniafa said.

“The master plan was done following a structural and safety assessment which identified serious structural failings that required immediate rehabilitation.

“We have only 30 years to rehabilitate all 15 ports.

“It is not easy, however, PNG Ports is confident in delivering the rehabilitation projects under the guidance of our infrastructure master plan and through partnerships with qualified contractors in country and abroad.

“Ports are the lifeline of this nation and we intend to make them safe, competitive, modern, profitable and operationally efficient.”

Kinafa said 80 per cent of PNG’s ports did not make money and were run as CSO ports.

“These ports rely on the revenue from Lae and Motukea (Port Moresby), Rabaul, Kimbe and Madang to fund their existence.”

CSO ports, he noted, needed continual repair and maintenance.

Shippers, freight forwarders, stevedoring providers, shipping agencies, Customs, the National Agriculture and Quarantine Inspection Authority, importers, exporters, and those in the logistics and supply chain industries are all stakeholders in PNG Ports.

Aitape, Alotau, Buka, Daru, Kavieng, Kieta, Lorengau, Oro Bay, Vanimo, and Wewak are the CSO ports for PNG Ports.


Reference: The National (2 November 2021). “PNG Ports to rehabilitate 15 ports with funding from Aust”.

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