Papua New Guinea is set to take a major step in turning resource wealth into community development with the installation of a new gas-fired power plant at the LNG facilities in Hela Province. Prime Minister James Marape said the project represents a shift from resource extraction to direct, long-term benefits for local communities.
During a site visit last year, the Prime Minister inspected the 2-megawatt gas-fired power plant, which is nearing completion and expected to be operational by the first quarter of 2026. Plans are already underway to expand capacity to 5 megawatts by the end of next year, providing more extensive electricity coverage to surrounding towns and villages.
“This is where the true value of our gas resources is realised — electricity for our people, improved services, and real development in host communities,” Prime Minister Marape said. He emphasised that reliable power will support health facilities, businesses, public services, and future economic activity in Hela, helping convert resource wealth into tangible social benefits.
The new plant is designed to supply Komo, Koroba, and Tari towns, including nearby communities. Once expanded, power will reach Margarima, Nipa, Lake Kopiago, and further west to Kandep and Mendi — areas that have remained without reliable electricity since PNG’s independence in 1975.
Prime Minister Marape highlighted that improved electricity access would deliver direct social benefits, particularly for women and girls, by improving lighting for safer communities, enhancing maternal and child health services, and creating better learning environments in schools.
The project aligns with government policy to ensure that PNG’s gas resources contribute not only to export earnings but also to domestic energy security and regional development. He encouraged landowner companies, including Trans Wonderland, to use the new power supply to expand into agriculture, storage, processing, and light manufacturing, with a focus on boosting women’s participation in the economy.
“This is how we turn resources into opportunity — empowering our people, supporting women’s participation, and creating long-term livelihoods beyond the life of the gas project,” the Prime Minister said.
The 2-megawatt facility marks the first phase of domestic electricity generation at Hela LNG, with the 5-megawatt expansion expected to progressively extend electricity to additional towns and rural communities. The project will also provide reliable, low-cost energy for schools, health centres, and local businesses, supporting inclusive economic growth and sustainable community development.
Prime Minister Marape said the initiative demonstrates a new model for resource development, where extractive industries directly contribute to social infrastructure, energy access, and long-term livelihoods for host communities.
