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National Airport Corporation to Focus on Redevelopment Projects
by PNG Business News - May 13, 2021
The National Airports Corporation plans to devote more resources to the redevelopment projects at Kavieng, Tari, and Mendi airports as part of the Civil Aviation Growth Investment Program.
With the exception of three airports, all airports under the CADIP program are on a budget, according to NAC acting managing director Rex Kiponge.
Apart from Jackson Airport in Port Moresby, Kiponge claims that the majority of the country's airports are unable to handle the newly launched F100 aircraft.
“The introduction of F100 aircraft has deteriorated the condition of runways in PNG. Under CADIP, fencing and runway length deficiencies will now meet the F100 and ICAO requirements. CADIP was implemented to meet the minimum PNG Civil Aviation Rules (CARS) and the International Civil Aviation Organisation (ICAO) standards and recommended practices in all the 22 airports in the country.
“The F100 aircraft require a minimum runway length of 1900 metres –– only three airports meet this requirement.”
The F100 will be able to land at 12 airports thanks to a CADIP runway length upgrade.
Port Moresby is now the only province that meets the operating criteria for F100 planes.
Standby control, security fencing, apron parking, runway, taxiway, and apron strength, and a runway length suitable for takeoff at maximum payload are all part of the 22 airport upgrades. Kiponge recently visited the three airports and expressed his satisfaction with the development.
Contractors have already finished construction on the security fence at Kavieng Airport, and work on the runway extension is going well. Once the runway extension is complete, the contractors can begin work on the terminal.
He mentioned that the runway extension at Tari Airport is complete, and contractors are currently working on the apron, which will be finished until the runway extension is completed. Owing to the contractors' inability to obtain materials for the runway at Mendi Airport, NAC has requested that they redo the runway before moving on to the other areas.
“Despite whatever issues within NAC, I will ensure that all 22 NAC’s airports undergoing upgrading will be completed and I will put in a lot of efforts and focus to makes certain work is done well and completed,” Kiponge said.
PNG Business News - April 19, 2021
Airport Projects On Schedule
Subprojects funded by the Asian Development Bank's multi-tranche funding facility loans for the Civil Aviation Development Investment Program (CADIP) advancement are on schedule to be completed within the facility's availability span. The multi-tranche financing facility (MFF) is one of the ADB's modalities for assisting clients with their medium to long-term investment program or schedule. Bashirullah Khpalwan, the project team leader for the ADB-backed Civil Aviation Development Investment Program, said CADIP is a multi-tranche financing facility that has been introduced in three tranches as planned. CADIP is scheduled to be completed on November 24, 2021. The 21 national airports that handle the majority of the country's domestic passenger and freight traffic are the target of this investment program. He stated that CADIP's Tranche 1 was approved on December 1, 2009, and was completed in December 2015, while Tranche 2 was approved on November 25, 2013, and has made more than 95% implementation progress and is expected to be completed in September. Tranche 3, the MFF's final tranche, was approved on March 2, 2017, and all contracts have been awarded, with the exception of Kavieng Airport, which will be awarded in 2020. “The Kavieng Airport is on a critical path to completion and all other sub-projects under Tranche 3 are on track for completion as well within the MFF availability period of November 24, 2021. The executing agency for CADIP, the National Airports Corporation (NAC), has agreed with the civil works contractor in Kavieng to an accelerated schedule to complete the entire scope of the project within the availability of the MFF,” he said. Despite the COVID-19 pandemic and its accompanying lockdown, the CADIP team and civil works contractors aim to make strides in 2020, with positive results so far. In terms of cumulative growth and milestones, CADIP Tranche 3 has proved to be one of the highest performing projects in the PARD portfolio in 2020. The investment scheme, according to Mr Khpalwan, is closely associated with the PNG Government's Development Strategic Plan 2010–2030 and National Transport Strategy, which both recognize essential air connectivity to rural areas as a national priority.
PNG Business News - May 10, 2021
Mendi Airport Redevelopment put on Hold
The Southern Highlands Province's Mendi Airport Redevelopment scheme has been placed on hold. The redevelopment of the airport, which was scheduled to be completed in October this year, has been placed on hold, according to NAC acting managing director Rex Kiponge, due to the contractor not having the right materials for the runway and a disagreement among the landowners in Mendi. According to Kiponge, he visited the project site last week to do an inspection, and NAC discovered that the materials used to build the airport's runway were not the correct materials because the contractors struggled on their end, so the contractors were advised to re-do the runway. “I have to admit, we faced a lot of issues not only in Mendi Airport redevelopment but through all the airports under the CADIP Program. The contractors will redo the airport runway and the work on the terminal has not started as yet,” he said. According to Kiponge, there have been several landowner disputes that the provincial government is responsible for resolving. He said that he is eager to resolve the issues and complete the project under CADIP before the Asian Development Bank's deadline of November 24, 2021. The Mendi Airport Redevelopment project includes upgrading the current runway pavement to accommodate Dash 8-400 (Q400) and ATR 0-70 aircraft, as well as the construction of a new terminal building and other developments such as NAC Staff quarters, a tractor shed, an engineer site office, and a powerhouse. CADIP 1 is a sub-project funded by the Asian Development Bank's multi-tranche funding facility loans, and the ADB needs to see proper progress on all project sites completed during the availability timeframe before moving on to CADIP 2, which is scheduled for 2022-2024.
PNG Business News - May 18, 2021
Construction of New Terminal Building for Momote Airport Well Underway
The new terminal building for Manus' Momote Airport is well underway and starting to take shape. This project should be finished by November of this year. The Momote Airport upgrade is part of a series of high-impact projects financed by the Asian Development Bank's multi-tranche Financing Facility (MFF) loan and the Government of PNG's counterpart funding totalling K99.6 million under Tranche 3. The Civil Aviation Development Investment Programme (CADIP) is handled by the National Airports Corporation's project implementation team. Allen Guo Investment Limited (AGI), a subcontractor, designed this architectural masterpiece in collaboration with China Harbour Engineering Corporation, the lead project contractor, and the NAC project team. This new facility will have a VIP lounge, a large departure lounge with 139 seats, passenger check-in counters, an arrival lounge with luggage conveyor belts, baggage screening machines, close circuit camera TV (CCTVs), a kiosk, restrooms, and other amenities. Should direct flights from abroad become available in the near future, it will also provide on-arrival VISA and Immigration counters to process foreign passengers. The airport's improved aircraft runway pavement, which was reinforced and covered with an asphalt surfacing finish, complements the current terminal building. In April 2021, the runway length was expanded from 1810 meters to a total of 2010 meters to accommodate B737 800 or equivalent capacity aircraft. The construction of a new airport market building, which is approaching completion, as well as the installation of a water source and an airfield lighting system, are also part of the Momote Airport's modernization programs.
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PNG Business News - June 15, 2021
PNG Vanilla Company Partners Expo2020 Team
Dr. Nancy Irwin (left) with the Deputy Commissioner General for Expo2020 and Head of the PNG Expo2020 Secretariat, Mrs. Jacinta Warakai-Manua began the partnership to tell the PNG Vanilla story in Dubai, by exchanging ideas in Port Moresby last week. A vanilla production and export company is partnering with the PNG Expo2020 Team to promote their products in the Dubai World Exposition that starts in October this year. KAMAPIM, a company working with landowners in the Madang and Morobe Provinces produces top quality vanilla beans and is already exporting to the EU market. The Managing Director of the company Dr. Nancy Irwin, met with the PNG Commissioner General to Expo2020 Ambassador Joshua Kalinoe and his Deputy Mrs. Jacinta Warakai-Manua in Port Moresby last week to firm up the arrangements. Dr. Irwin said Kamapim (pidgin for develop and to improve) concentrates its efforts in producing the best quality bean for the international market through quality assurance production methods. “PNG farmers can grow anything, they have instinctive ability to grow well any crops. When I first started the project, the quality of the beans were poor, full of fungus due to lack of processing knowledge. We saw huge potential of the organically grown beans and started working with landowners through a cooperative production and marketing structure to improve quality” “The company provide extension services to farmers and buy the beans directly, ensuring farmers are paid a fair price for their efforts”, she said. Dr Irwin said the beans are tested internationally and are consistently classed as the top-quality A grade level. “While PNG has a good perception of growing environment friendly organic vanilla beans, the challenge is for the relevant Government authorities to work with farmers to improve quality. I believe the cooperative production methods applied by our company, Kamapim, could be used nationally as one of the models to improve quality for the export market as well as to maximize revenue gain for farmers”, Dr. Irwin said. She said the company is looking forward to partnering with the PNG Expo2020 Team to tell the PNG story and to connect with niche importers in Dubai and the Arab world in general. Dr. Irwin said the company would promote its products in specially branded PNG Expo2020 containers to create visibility for the country as well as to preserve quality at the company’s cost.
PNG Business News - June 15, 2021
PNGEITI Praises Open Dialogue to Reopen Porgera Mine
The PNG Extractive Industries Transparency Initiative (PNGEITI) has praised the open stakeholder dialogue culminating in reaching consensus to re-open the Pogera Mine in Enga. Parties in April this year sanctioned a “Framework Agreement for the New Pogera Project” which spells out the roadmap to reopen the mine. Mark Bristow, CEO and President of Barrick Gold last week explained key elements of “Framework Agreement for the New Pogera Project” at a public forum at the Piam Oval in Pogera witnessed by PNG Prime Minister James Marape, landowners and other leaders. In the new agreement, PNG stakeholders will together own a 51 % equity stake in the mine while Barrick Niguini Limited (BNL), a joint venture company in which Barrick and Zijin Mining Group each own 50% will hold 49 %. BNL will remain the mine operator. At the end of the first ten year period, the PNG stakeholders will have the option to purchase BNL’s 49 % PNGEITI Head of Secretariat Lucas Alkan remarked that the open discussion throughout the negotiation process on the part of the mine operating lead, Government and landowners has culminated in this agreement signed happily by all parties. “We at the PNGEITI congratulate the Government and the project lead Barrick Gold and other stakeholders for reaching a consensus decision to reopen the mine. “Pogera has been an economic powerhouse for many years and people in the country have been waiting for the outcome. “We commend the Prime Minister, the President and CEO of Barrick Gold Mr. Mark Bristow for the leadership in ensuring that the negotiations were done in the transparent and open manner. “PNG Extractive Industries Transparency highly encourages such openness in the negotiating process for resources benefits and importantly the responsibilities that each stakeholder must take on to ensure smooth flow of proceeds. “We look forward to working with the Government and the project operator in the areas of transparency and accountability to help derive best value for all stakeholders. PNGEITI commitment to reporting on developments in the mining and petroleum space is becoming stronger with new reporting dimensions taking shape as we making progress in promoting transparency and accountability in the PNG mining and petroleum industry” Mr. Alkan said.
PNG Business News - June 14, 2021
BPNG Goes For Review
Treasurer Ian Ling-Stuckey has revealed the terms of reference for a review of the Bank of PNG, as well as the members of the review panel. Former Chief Secretary Robert Igara will lead the study, which was planned in the Supplementary Budget for 2020. Former central bank governor Sir Wilson Kamit and Australian professor Dr Stephen Howes are the two members. “These very eminent people, all of whom have detailed experience of the PNG financial system and reform, will be working to a term of reference approved recently by the NEC,” Ling-Stuckey said. “It is the first review of the central bank and the Central Banking Act 2002 since Sir Mekere Morauta’s financial system reforms when he was prime minister from 1999 to 2002. “Much has changed since then, and the effects of the coronavirus pandemic, along with substantial technological advances, have made the need for a review even more urgent. “The aim is to modernise the bank and the legislation in line with international developments, and make it more responsive to prevailing circumstances while preserving its independence.” The study is scheduled to be finished in time for Parliament's November session. “An independent advisory group was also established by the late Sir Mekere when looking at the changes that led to the Central Banking Act 2000,” he said. “Igara, currently the University of Papua New Guinea chancellor, was chief secretary at the time, and Sir Wilson was the governor of the Central Bank. “Prof Howes, head of the Development Policy Centre at the Australian National University, has long been involved in PNG research and advice and consultation, particularly in relation to national development.” Reference: The National (8 June 2021). “BPNG going for review”.