National Energy Authority to Receive K1.5B for Electrification Roll out

By: PNG Business News August 23, 2021

Photo Credit: NS Energy

For the countrywide electrification rollout plan, the National Energy Authority will receive K1.5 billion over five years from development partners, donors, and financiers.

NEA chairman Joe Gabut described the concept and pointed out the immediate obstacles ahead in carrying out the program in an 18-page presentation at the Chamber of Mines and Petroleum media and community affairs workshop.

According to him, there is a lack of coordination in the rollout of the national electrification plan.

“The target is electricity access to 70 per cent of PNG households by 2030,” he said. “Specific implementation policies and regulations are required for off-grid rural electrification to be successful.”

He also stated that off-grid or rural electrification needs technical regulation as well as a flexible tariff structure. “Provisional permits will be issued to help developers or operators of mini-grids do feasibility studies and full permits will be issued to the developer or operator if the mini-grid is likely to be sustainable.”

Gabut stated that cost is a big issue for rural families, with most of the households being serviced by solar home systems or pico hydro for villages.

Some of the larger projects, like the huge generating project, are already having an influence on the newly formed NEA.

The Ramu 2 hydroelectric plant is resuming construction.

Before a license can be given, the national energy authority and other state organizations are working with PNG Power Limited to satisfy the prerequisite requirements.

Fortesque Minerals of Australia is pursuing the Purari liquid hydrogen project aggressively, while the Simbu province administration and landowners are collaborating with an Italian business to build the Karamui hydro plan.

The Finschhafen area has another project in the works, with PNG Hydro Development Limited JV working on a prospective 200 MW hydro project.

 

Reference:

Tom, Patrick. Post-Courier (17 August 2021). “K1.5B For Nationwide Electrification Rollout”.  


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