Papua New Guinea needs to develop new electricity generation projects to maximise the benefits of a K350 million upgrade to the Ramu Grid transmission network, according to Minister responsible for PNG Power Ltd. Richard Maru.
The 132-kilovolt Ramu Transmission System Reinforcement Project was commissioned at the Taraka Substation in Lae, Morobe Province, on Oct. 9, completing a major component of a K1.9 billion investment in the country’s transmission infrastructure.
Maru said the upgraded network would improve the system’s capacity to carry electricity, but its benefits would depend on whether sufficient power could be generated to meet demand.
The project was financed through a K236.7 million loan from the Japan International Cooperation Agency (JICA) and K113.3 million in counterpart funding from the Papua New Guinea government.
Together with the Tari-Hagen-Yonki 132kV transmission line, the project completes the main transmission backbone of the Ramu Grid.
Maru said the government’s next priority was to develop additional generation capacity, particularly through hydropower, to supply the network and meet the country’s electricity needs.
He identified four potential hydropower projects for further consideration: the Tua River project in Eastern Highlands Province, with a proposed capacity of 60 to 100 megawatts; Yenem Busu Marambi in Morobe Province, with 57 to 184MW; Yanganon/Nankina in Madang Province, with 10 to 110MW; and the 80MW Naoro Brown project serving Port Moresby and Central Province.
The proposed capacities indicate the potential scale of the projects, with final output dependent on their development.
Maru said hydropower projects typically take five to 10 years to deliver, requiring the government to consider shorter-term generation options while larger projects are developed.
For Morobe Province, he proposed temporary solar power plants at Wawin, Yalu and Erap, with planned capacities of 25MW, 10MW and 30MW to 50MW, respectively.
The proposed solar facilities could add electricity supply while longer-term hydropower projects progress, although they would need to be developed and connected to the network before delivering power to consumers.
Maru said investment in hydropower generation had not kept pace with electricity needs over the past 36 years, contributing to greater reliance on independent power producers.
He said expanding generation capacity was important to PNG Power’s long-term position and the country’s ability to provide reliable and affordable electricity to households, businesses and industries.
The transmission upgrade also reflects cooperation between Papua New Guinea and Japan in developing the country’s energy infrastructure.
Maru acknowledged Japan’s support, which has included equipment for the Rouna 4 Hydropower Station, transmission and substation testing equipment, and specialised training for 20 engineers in substation operations, network planning, protection, and financial and economic analysis.
A grant-funded rural electrification programme has also helped connect 3,700 households across several districts in Papua New Guinea.
Maru thanked the Japanese government and people for their continued support, as well as the Marape-Rosso government for providing counterpart funding for the transmission project. He also acknowledged the PNG Power board, management, project team and landowners along the transmission route.
With the main transmission backbone of the Ramu Grid completed, the next challenge is to secure enough generation capacity to supply the network. The proposed hydropower and solar projects are among the options identified to address the country’s electricity needs.
Prime Minister James Marape has called for greater private sector investment in electricity generation after the completion of the K263 million Ramu Transmission System Reinforcement Project, saying reliable and affordable power is essential to achieving the government's ambition of building a K200 billion economy by 2030 and beyond.
Speaking at the project's completion ceremony at Taraka Substation in Lae, Marape said the government had invested billions of kina in roads, electricity transmission and telecommunications to support economic growth, but more generation capacity was needed to meet rising demand.
He urged superannuation funds, landowner companies, domestic businesses and international investors to develop independent power projects, particularly in renewable energy.
“If you can bring us proposals to generate reliable electricity from renewable sources at competitive prices, particularly below 50 toea per kilowatt-hour, our Government will support you,” Marape said.
The project, supported by the Japan International Cooperation Agency (JICA), is designed to improve electricity reliability in Lae and surrounding areas and increase the Ramu Grid's capacity to meet future demand.
It includes about 134 kilometers of additional 132-kilovolt transmission lines, 326 transmission towers, telecommunications systems and upgrades to the Ramu Switchyard and the Singsing, Erap and Taraka substations.
Funding comprises a Japanese concessional loan commitment of ¥8.34 billion, equivalent to about K237.2 million at indicative exchange rates, and K54.7 million in counterpart funding from the Papua New Guinea government.
According to JICA, the reinforced network is expected to substantially reduce power outages caused by transmission problems in Lae and nearby areas.
Government seeks 2,000MW generation capacity
Marape said PNG should aim to have at least 2,000 megawatts of electricity generation capacity available by 2035 to support an expanding economy.
Additional power would be needed for major projects, including Wafi-Golpu, as well as mineral processing, agriculture, forestry, fisheries and manufacturing.
He said the government would encourage renewable energy investments using hydroelectricity, solar, wind and geothermal resources, while existing facilities such as the Yonki hydroelectric project would remain important to the country's electricity supply.
The prime minister also called on PNG Power Ltd. to strengthen partnerships with independent power producers to expand generation while keeping electricity reliable and affordable.
“We cannot continue to have power blackouts affecting our businesses, industries and communities. This must come to an end,” he said, apologizing to Lae residents and businesses for years of unreliable supply.
Marape said the Treasury's Mid-Year Economic and Fiscal Outlook placed PNG's nominal gross domestic product at K160 billion as of July 2026, potentially bringing forward the government's K200 billion economic target by two years.
K1.9 billion invested in transmission network
The government has spent more than K1.9 billion since 2019 on the 132kV transmission network linking Tari, Mt. Hagen, Yonki and Lae, Marape said.
The corridor accounts for about 60% of the country's economic activity and population, according to the prime minister.
He said the investments in electricity transmission, rehabilitation of the Highlands Highway and fiber-optic telecommunications had established three key foundations for economic development.
“We have the highway, we have the power transmission infrastructure, and we have fiber-optic connectivity. These are the essential enablers of economic development,” he said.
Marape urged provincial governments along the Highlands Highway corridor to work with PNG Power and private investors to extend electricity distribution networks to district towns and rural communities.
He identified Bulolo, Mutzing, Kainantu, Okapa, Lufa, Asaro, Kundiawa, Tambul, Mendi, Nipa, Margarima, Tari and Komo among the communities that should benefit from improved electricity connections.
The government is also seeking to strengthen electricity infrastructure along other economic corridors, including Lae-Madang-Wewak, Kerema-Port Moresby, Lae-Bulolo-Garaina-Popondetta, Kokopo-Kimbe, Kavieng-Namatanai and Buka-Arawa-Buin.
Marape said better access to electricity, roads and telecommunications would support agriculture, tourism, manufacturing and rural enterprise.
Japan partnership spans five decades
Marape thanked Japan, JICA and Japanese Ambassador Mochizuki Hisanobu for their support of PNG's electricity infrastructure.
He said Japanese development assistance had supported major power projects over nearly five decades, including Warangoi, Rouna 4 and Yonki.
Together with the Ramu transmission upgrade, Japan's official development assistance loan commitments to these major electricity investments total about ¥26.3 billion, equivalent to approximately K748 million at indicative exchange rates.
The prime minister also acknowledged the contractors and PNG Power's board, management and workforce for delivering the project.
He said reliable electricity was central to the government's goal of expanding economic opportunities and improving living standards, including progress towards the national target of providing electricity access to 70% of the population by 2030.
The target is expected to support improved access for about 3.4 million people.
Marape urged investors not to underestimate PNG's economic potential, saying private capital would be critical to meeting the country's growing demand for power.
“Do not underestimate the resilience and economic potential of our people. The opportunities are there. Invest, innovate and work consistently, and you can build successful businesses while helping our country develop,” he said.
He reaffirmed the government's commitment to productive infrastructure investment, saying electricity projects should be measured by their contribution to jobs, industrial activity and improved living standards.
“I would rather invest K2 billion in electricity infrastructure that drives economic growth, creates jobs, supports industries and improves the lives of our people,” Marape said.
More than 66,000 people in Papua New Guinea and Bougainville are expected to benefit from two new renewable energy projects under Australia's REnew Pacific programme, which aims to expand access to reliable electricity in remote communities across the Pacific.
Australian Minister for Climate Change and Energy Chris Bowen announced the three new projects, including a third in Fiji, at a Pre-COP31 event in Fiji this week.
In Papua New Guinea's Oro Province, Sola PayGo and MiBank will deploy pay-as-you-go solar home systems, streetlights and education servers in 19 communities between Popondetta and the Kokoda Track, reaching about 55,000 people.
The project will also provide training in technical skills, financial literacy and digital literacy to support local livelihoods and improve access to education.
In Bougainville, Save the Children and the Autonomous Bougainville Government's Department of Education will install solar power and battery storage systems at five remote schools in Tinputz.
A school-managed solar lantern scheme will also provide safer lighting to as many as 2,000 nearby households, benefiting more than 11,400 people.
The projects are intended to improve electricity access for communities where reliable power remains a challenge, while supporting education, household needs and local economic activity.
The third project, led by the It's Time Foundation in partnership with Fiji's Ministry of Education, will install solar systems with battery storage at 13 remote schools and teachers' homes across Vanua Levu, Viti Levu, Taveuni and the Yasawa Islands. It will also provide Starlink internet, laptops and smart televisions, benefiting more than 1,200 students.
The announcements were made during a special Pre-COP31 session, *Powering the Pacific: Electrification for Climate Resilience, Energy Security and Development*, which brought together Pacific and Australian leaders, communities and experts to discuss renewable energy's role in regional development and energy security.
The three projects bring REnew Pacific's portfolio to 13 locally led projects across seven countries: Fiji, Kiribati, Papua New Guinea, Samoa, Solomon Islands, Vanuatu and the Republic of the Marshall Islands.
Launched less than two years ago, the programme now reaches more than 255,000 people through projects supporting more than 8,100 homes, 98 schools and 49 health centres.
REnew Pacific builds on the Australian Government's Off-Grid Renewable Energy Partnerships pilots, launched in 2024 across Fiji, Kiribati, Papua New Guinea, Solomon Islands, Timor-Leste and Vanuatu.
Combined, the two initiatives comprise 26 projects, 15 of which have been completed, reaching more than 428,000 people across 215 schools, health centres and communities.
Reeves Envico and CE Group have commenced work on the 22-kilometre transmission line that will connect renewable energy from Tina River with the homes, businesses and essential services of Honiara.
Against the rolling hills and demanding terrain of Guadalcanal, work is beginning on a connection that will carry more than electricity.
The new transmission line will extend 22 kilometres from the Tina River Hydropower Facility to Lungga Power Station and the Honiara national electricity grid. Once complete, it will carry up to 15 megawatts of renewable power to the capital, helping reduce reliance on imported diesel and supporting cleaner, more reliable and more affordable energy for Solomon Islanders.
The commencement of construction was marked at a signing ceremony in Honiara attended by representatives of the Solomon Islands Government, Solomon Power, Australia, Reeves Envico and CE Group.
The ceremony recognised a significant step forward for the Tina River Hydropower Development Project-the largest renewable energy initiative undertaken in Solomon Islands.
Reeves Envico is delivering the transmission line works as principal contractor, with CE Group engaged as the Electrical Infrastructure Partner. The relationship brings together Reeves Envico’s longstanding connection with Solomon Islands and CE Group’s experience delivering complex electrical works in remote and operationally challenging environments.
The scale of the undertaking is significant.
The route crosses rolling hills, changing elevations and areas where weather, access and terrain will influence the movement of workers, equipment and materials. Delivering the line will require disciplined planning, technical capability and close coordination with Solomon Power, national workers, communities and the broader project team.
It is a demanding scope, but its purpose is deeply human.
Reliable electricity supports hospitals, classrooms, communications, refrigeration, government services and local businesses. Its value is felt when essential equipment continues operating, when a student can study and when a business can remain productive.
For Reeves Envico and CE Group, those everyday outcomes give the partnership its meaning.
Reeves Envico Managing Director Simon Gorman said the signing marked a deeply significant return to the country where the company’s story began.
“Reeves’ connection with Solomon Islands began in 1988, with our very first project. To return today and sign this contract is more than an important milestone-it is a privilege,” Gorman said.
That history brings both experience and responsibility. The partnership between Reeves Envico and CE Group is grounded in trust, integrity and a shared commitment to deliver work that supports Solomon Islands’ national priorities.
For CE Group, the project is its largest contract to date and an opportunity to apply its electrical engineering and construction capability to work of lasting national value.
CE Group Managing Director Ryan Johnson said the signing reflected the strength of the relationships that continue to connect Solomon Islands and Australia.
“Today’s signing honours that enduring partnership and opens the door to new opportunities for the people of both our nations," Johnson said.
Those opportunities extend beyond the physical delivery of the transmission line.
More than 190 Solomon Islanders are currently employed across the broader Tina River Hydropower Development Project, with further opportunities expected as construction progresses.
Behind that number are workers developing experience, families supported by employment and national capability that will remain beyond the construction period. The wider project also includes education and training initiatives and measures supporting safe employment opportunities for women and girls.
Australia is contributing approximately SBD$180 million to the transmission line project through the Australian Infrastructure Financing Facility for the Pacific, combining concessional financing and grant funding.
The project is expected to be completed in early 2028.
Its magnitude can be measured in kilometres, megawatts and the difficulty of the landscape. Its true legacy, however, will be measured by what it enables: stronger energy security, more dependable essential services, national employment and new possibilities for Solomon Islands communities.
For Reeves Envico and CE Group, the intention is clear: to honour the trust placed in the partnership, deliver with integrity and remain focused on the people the work is ultimately intended to serve.
The signing ceremony marked the beginning of that responsibility-not its conclusion. The lasting measure of the partnership will be found in the work delivered, the relationships strengthened and the benefits carried forward for Solomon Islands.
Beyond borders, progress is built through partnership.
The Sepik Development Project (SDP) continues to record strong progress in stakeholder engagement while expanding employment opportunities for Papua New Guineans, with a clear focus on benefiting communities in the Sepik region.
Project representatives from the community affairs team, whose dedicated role is to meet with and listen to local communities, recently visited near-mine communities, including those in the Upper Sepik, where they held constructive engagement sessions about project plans and new opportunities.
The consultative engagement is part of an ongoing schedule of positive engagement with landowners, local communities, government agencies, and other key stakeholders, reflecting the Project’s commitment to transparency, partnership, and responsible resource development.
Country Manager Dr Joel Hamago said the strength of stakeholder relationships established to date demonstrates the Project’s long-term commitment to Papua New Guinea.
“We are encouraged by the collaborative approach we are seeing on the ground, and we remain committed to open dialogue and mutual respect as the Project progresses,” Dr Hamago said.
“Meaningful engagement with our host communities, based on transparency and accurate information, is central to how we operate.”
Dr Hamago called on opponents of the Project to adopt the same commitment to accuracy and honesty in their actions.
“It is disappointing to see a recent media publication where Project Sepik continues to misrepresent the outcome of the SDP’s recent engagement with Sepik communities via the OECD’s AusNCP referral process, where an independent examiner confirmed our compliance with OECD guidelines in relation to stakeholder engagement on this project.”
Dr Hamago said community engagement activities would continue. “While we have had an overwhelmingly positive response from communities, which value the level of engagement and the future opportunities from the Development, we understand that many people still have concerns and questions, which is why we will continue to listen as we consult with them."
Employment Growth and Opportunities for Sepik Communities
As activities continue to advance, the Sepik Development Project has opened a number of new employment opportunities across various roles, which are currently advertised on the Project’s official LinkedIn page.
In line with the Project’s localisation strategy, priority will be given to suitably qualified applicants from the Sepik region, ensuring local communities are directly involved in and benefit from Project development.
“Our employment strategy is deliberately focused on local participation,” Dr Hamago said. “Wherever possible, we want people from the Sepik to take up these roles, gain valuable skills, and become part of the Project’s journey from the early stages.”
Supporting PNG’s Local and National Content Agenda
The Sepik Development Project strongly supports the Papua New Guinea Government’s drive to increase local and national content within major resource developments. Through targeted recruitment, training, and skills development, the Project aims to create sustainable employment outcomes and contribute to long-term national capacity building.
“This Project is about more than just mining. It is also an infrastructure project with rippling opportunities,” Dr Hamago said.
“It is about building capability, supporting PNG talent, and ensuring that Papua New Guineans are well positioned to participate meaningfully in major developments, both now and into the future.”
How to Apply
Interested applicants are encouraged to view current vacancies and application details via the Frieda River Limited LinkedIn page. Applicants should carefully review role requirements and ensure their qualifications and experience align with the advertised positions.
The Frieda River Project will continue to provide regular updates on stakeholder engagement, employment opportunities, and Project milestones. Frieda River Limited is the proponent of the Sepik Development Project (SDP) in Papua New Guinea. The SDP comprises four integrated components: the Sepik Infrastructure Project (SIP), the Frieda River Copper-Gold Project (FRCGP), the Frieda River Hydroelectric Project (FRHEP), and the Sepik Power Grid Project (SPGP).
The Project is designed to deliver enabling infrastructure, including power generation and transmission, road access, airport and port facilities, supported through private investment. During operations, the SDP is expected to create approximately 2,500 direct jobs, with a target of 93 per cent national employment, and generate more than 30,000 indirect employment opportunities.
The Project incorporates engineered tailings and water management systems, as well as a hydroelectric power solution intended to reduce operational emissions and support environmental management objectives, including protection of the Sepik River system.
Frieda River Limited is a significant subsidiary of the PanAust Limited Group. Along with pre-development opportunities in Papua New Guinea operations, PanAust Limited also owns Phu Bia Mining, an award-winning dual operation in Laos, and has development opportunities in Chile. An Australian-incorporated company, PanAust is owned by Guangdong Rising H.K. (Holding) Limited, which is a wholly owned subsidiary of Guangdong Rising Holding Group Co., Ltd. (GDRH). GDRH is a Chinese state-owned company regulated under the State-owned Assets Supervision and Administration Commission of the People’s Government of Guangdong Province in China.
Papua New Guinea is mobilising its energy sector to support the country’s transition towards a low-carbon future as part of preparations for its third Nationally Determined Contribution (NDC 3.0) under the Paris Agreement.
The United Nations Development Programme (UNDP) joined the Climate Change and Development Authority (CCDA) in convening a committee meeting with representatives from the energy sector, government agencies and development partners to discuss how the sector can contribute to the country’s climate commitments.
Papua New Guinea is currently developing its NDC 3.0, which outlines the country’s targets and strategies for reducing greenhouse gas emissions and adapting to climate change in line with global efforts to limit average temperature rise to below 2°C.
Officials said the energy sector will play a central role in advancing the country’s climate ambitions, particularly as global efforts intensify to reduce reliance on fossil fuels and shift towards cleaner, low-emission energy sources.
During the meeting, participants exchanged ideas and explored practical solutions to help accelerate Papua New Guinea’s energy transition.
Key proposals discussed included expanding the use of renewable energy sources, increasing electrification through off-grid and mini-grid solutions, and improving grid efficiency to reduce energy losses.
The meeting was co-chaired by the National Energy Authority and William Laikain, general manager of the Climate Change and Development Authority.
Outcomes from the discussions will help inform the finalisation of Papua New Guinea’s NDC 3.0 ahead of national endorsement and submission under the Paris Agreement framework.
Officials said strengthening collaboration between government agencies, development partners and the private sector will be essential to advancing sustainable energy solutions and supporting the country’s broader climate goals.
A 100-kilowatt solar mini-grid has been commissioned at Kanabea Rural Health Centre in Gulf Province, delivering round-the-clock electricity to one of the country’s most isolated communities after a logistics operation that required 31 helicopter lifts and nearly 22 tonnes of equipment.
Operational since September 2025, the system powers the rural health centre, Kanabea Primary School, the local Catholic church, staff housing and more than 40 surrounding households, marking a major step forward for a community accessible only by air or a three-day trek over two mountain ranges.
The project was initiated in late 2023 under the USAID-Papua New Guinea Electrification Programme, or USAID-PEP, which committed 700,000 kina in support of rural electrification aligned with the government’s Medium Term Development Plan IV target of 70% national electrification by 2030. Of that amount, 545,000 kina was disbursed before the programme was terminated by the Trump administration under the US Department of Government Efficiency initiative.
The initial proposal sought 50% co-funding. In total, the project received 545,000 kina from USAID-PEP, 700,000 kina from the Kerema District Development Authority and 20,000 kina from PNG Foundation in Melbourne, Australia. Any shortfall was absorbed by PNG Solar Supply and installation contractor Construction Electrical Services.
The Kerema DDA support was provided under the leadership of Thomas Opa, who now serves as Papua New Guinea’s finance minister.
Despite the early closure of USAID-PEP, the project proceeded to completion. The funding disruption resulted in minor scope adjustments, with installation teams hiking in and out of Kanabea and carrying approximately 120 kilogrammes of smaller equipment on foot. On-site works ran for 15 weeks from May to September, with delays caused by limited aircraft availability for the final material deliveries. Typical installations take eight to 10 weeks where logistics are less complex.
The system has recorded 100% uptime since commissioning.
Air-only logistics
All materials were transported by road to Kerema before being airlifted approximately 27 nautical miles (50 kilometres) to the site. The 15-minute flight belies the scale of the task: the cargo — including solar panels, battery systems, mounting structures, poles and distribution lines — weighed nearly 22 tonnes.
Thirty-one helicopter lifts were required, most carrying underslung freight.
Fully solar configuration
The mini-grid is fully solar powered, with no diesel generator backup. It comprises two 50kW Sunsynk inverters paired with 122.8 kilowatt-hours of high-voltage Sunsynk lithium battery storage. The solar array uses Trina Vertex S+ 430-watt n-type panels. The system is designed to allow additional panels and battery storage to be added as demand grows.
Reliable power is expected to transform public services. The health centre, which is estimated to see around 40,000 patients annually, can now operate vaccine refrigeration, diagnostic equipment and emergency services at night. The primary school, with approximately 500 students, can extend study hours and introduce digital learning tools.
Prepaid tariff model
The system operates under a prepaid off-grid metering arrangement, with electricity priced at 1 kina per kilowatt-hour — comparable to urban tariffs. Billing and collections are managed by the local Catholic church, with revenue allocated to routine maintenance and a reserve fund to ensure long-term sustainability.
Replicable model
PNG Solar Supply has delivered 23 similar mini-grids nationwide. The Kanabea model has since been replicated at six sites in Bougainville — five high schools and one USAID-PEP-initiated project in Bumpuka village in the Autonomous Region of Bougainville. A further 16 sites have progressed from procurement and design to installation.
The Kanabea project highlights both the logistical challenges and the transformative potential of decentralised renewable energy in Papua New Guinea’s most remote regions.
The Sepik Development Project (SDP) is a nation-building initiative in Papua New Guinea, delivering transformative infrastructure, renewable power, and essential services to remote communities while responsibly developing one of the world’s largest gold and copper deposits.
“Utilising world-leading engineering and renewable-powered design, the project is committed to protecting the Sepik River ecosystem and ensuring the safety of its communities,” said a Frieda River Limited spokesperson.
Designed as one of the lowest-emission mining projects globally, the SDP supports Papua New Guinea’s commitment to energy transition and sustainable resource development. The mine will be powered by a hydroelectric dam, producing a surplus of 270 MW of electricity. This power will connect to the national grid, supplying industries and communities in the northern border frontier with clean, reliable energy, while contributing to the reduction of PNG’s long-term carbon emissions.
The dam design, which continues to be strengthened and refined, incorporates world-class tailings and waste management technology to effectively mitigate risks to the Sepik River and surrounding ecosystem. It has been engineered to withstand high rainfall and seismic activity, with an embankment and spillway designed to safely accommodate extreme water flows and potential earthquake events.
Water quality will be managed through advanced waste and water-management techniques, including underwater tailings storage and active treatment of open-pit water. The project’s design is informed by one of PNG’s most extensive environmental data programmes, supported by a decade of baseline studies and biodiversity surveys.
Scientific modelling indicates that impacts on downstream water quality and marine life are expected to be minimal, with significant safeguards in place to protect surrounding and downstream communities. The facility is designed to store water and permanently contain process tailings and mine waste rock. Ongoing water quality monitoring will be conducted at two checkpoints during wastewater discharge activities to ensure the Sepik River and surrounding environment remain protected.
“The safety of the Sepik and its communities is a key priority for the project, guided by four principles: technically appropriate, environmentally safe, socially responsible, and financially profitable,” the spokesperson added.
“The Sepik Development Project is committed to genuine, inclusive engagement with communities, ensuring local voices shape how the project is planned and delivered. We believe this nation-building initiative should deliver substantial economic and social benefits to Sepik communities and PNG more broadly. We are actively listening to and working with our stakeholders to ensure this outcome.”
The spokesperson also noted, “We will continue to engage fully and openly with stakeholders through our annual community engagement programmes within the project’s infrastructure and riverine footprint corridor. We welcome questions, feedback, and guidance from communities as we work to deliver a project that brings tangible benefits to landowners, local communities, and PNG as a whole.”
Frieda River Limited is a significant subsidiary of the PanAust Limited Group. In addition to its pre-development opportunities in Papua New Guinea, PanAust Limited owns Phu Bia Mining — an award-winning dual operation in Laos — and has development projects in Chile.
An Australian-incorporated company, PanAust is owned by Guangdong Rising H.K. (Holding) Limited, a wholly owned subsidiary of Guangdong Rising Holding Group Co., Ltd. (GDRH), a Chinese state-owned company regulated under the State-owned Assets Supervision and Administration Commission of the People’s Government of Guangdong Province.
South Pacific International Academy (SPIA) is at the forefront of Papua New Guinea’s renewable energy transition, having installed a 130 kW solar mini-grid at its Port Moresby campus. The system, powered by Trinasolar Vertex S+ 445W modules and supported by 244 kWh of Sunsynk lithium batteries, produces approximately 89 MWh of clean electricity annually, enough to meet the school’s energy needs reliably and reduce dependence on diesel generators.
The project was designed to balance efficiency with practical sustainability. “We conducted a detailed load analysis with PNG Solar Supply to ensure the system was correctly sized. An undersized system would require constant generator backup, while an oversized one would mean paying for unused capacity,” said Matt Allen, Chairman of the School Board. During peak demand, the system delivers 67 kW to immediate consumption while storing over 60 kW in batteries for night-time use, providing consistent power even during periods of high usage.
The installation also illustrates the economic benefits of advanced solar technology. Following recent amendments to PNG’s rooftop solar policy, SPIA reports that its monthly electricity bill from PNG Power Ltd has fallen from K12,000 to under K2,000, with particularly sunny months seeing bills as low as K384. Blackouts across both the school and staff housing have been eliminated, while generator usage has dropped to roughly one hour per month. Currently, all solar power is self-consumed, as PNG Power does not yet provide a feed-in tariff for exporting excess electricity.
Beyond operational savings, the mini-grid represents a broader educational and sustainability mission. “Our core values of faith, truth, and growth emphasise stewardship, integrity, and lifelong learning. By operating a 100% solar-powered, grid-independent campus, we model responsible environmental stewardship while demonstrating practical innovation and resilience,” Allen said. The mini-grid functions as a living classroom, giving students and the wider community hands-on exposure to renewable energy technologies.
The site also serves as a model for national capacity-building initiatives. In 2025, the mini-grid was used for a JICA-conducted training programme for NEA inspectors, providing a practical environment to complement classroom instruction. It will again feature as the site visit for the upcoming “Capacity-Building Workshop for Institutions and Decision-Makers on Solar Energy Transition in PNG” from 17–19 February 2026.
Staff and families residing on campus have experienced tangible improvements in quality of life. Stable electricity has safeguarded appliances and equipment previously damaged by brownouts, including air conditioners and water pumps. The project also enhanced campus safety, with solar-powered street lighting along the perimeter and a solar-powered electric fence protecting staff residences.
SPIA plans to expand the solar array in line with campus growth. Phase 3 of the school, set to include new classrooms, offices, and an indoor dining facility, will be supported by an additional 50 kW of solar capacity. The project was funded through a zero-interest loan from a sister non-profit organisation, requiring no special licensing from NEA, as the installation is below 1 MW. NEA inspections and guidance ensured smooth implementation despite the regulator’s relatively young age and developing framework.
The academy is exploring complementary renewable initiatives, including solar water heating and future EV charging infrastructure, although local serviceability remains a constraint. “We hope to be a model for others to follow,” Allen said.
By combining operational savings, hands-on education, and community benefits, SPIA’s mini-grid demonstrates how high-performance, durable solar technology can support energy security, sustainability, and real-world learning in PNG—a model increasingly relevant as the country seeks resilient, low-carbon solutions for schools and institutions.
The Sepik Development Project (SDP)’s approach to engagement with Sepik communities has been validated by the OECD’s Australian National Contact Point (AusNCP), following an exhaustive examination of the Project’s activities.
A Follow-Up Statement issued by the AusNCP, reporting on the SDP’s compliance with recommendations issued in 2023, confirmed that the Independent Examiner is satisfied the project has delivered on the recommendations.
The recommendations related to compliance with OECD guidelines for obtaining the Free, Prior and Informed Consent (FPIC) of communities and other stakeholders, following a complaint lodged by Project Sepik and the Jubilee Australia Research Centre.
Phil McCormack of the Sepik Development Project welcomed the findings, saying the outcome highlighted the Project’s ongoing commitment to building strong relationships and securing FPIC from Sepik communities.
“We are pleased the AusNCP has confirmed our compliance with OECD guidelines in relation to stakeholder engagement on this project,” he said.
“This outcome represents independent recognition of our commitment to transparency and collaboration with Sepik communities.
“We look forward to continuing our proactive and transparent engagement to ensure local communities not only fully consent to the project, but can also be active participants in the way the project develops, and in the generation of future benefits for Sepik communities and Papua New Guinea.”
Mr McCormack also thanked the AusNCP for its thorough consideration of the issue.
“We appreciate its rigorous review process and constructive approach to addressing complex issues,” he said.
Last month, the Conservation and Environment Protection Authority (CEPA) granted six environmental permits for the Project, following a comprehensive assessment process.
The permits cover the Frieda River Copper-Gold Project, Sepik Power Grid Project, Frieda River Hydroelectric Project, Sepik Infrastructure Project Road, Green River Airport, and Vanimo Ocean Port.
The Sepik Development Project represents one of the most significant investments in Papua New Guinea. It is expected to unlock long-term economic value, deliver sustainable infrastructure, and empower local communities through genuine partnerships with landowners.
The Bougainville Power and Water Corporation Limited (BPWCL) has become one of the first State-Owned Enterprises (SOEs) under the Autonomous Bougainville Government (ABG) to generate revenue from its own commercial operations following the commissioning of the 1-megawatt Buin Solar Power Plant in South Bougainville.
Chief Secretary to the ABG and BPWCL Board Chair, Kearnneth Nanei, described the achievement as a significant step in strengthening Bougainville’s SOE sector, which now falls under his leadership following a departmental restructure that placed SOE functions within the Office of the Chief Secretary.
“BPWCL is now one of the first SOEs under the ABG to successfully generate revenue directly from its operations. This demonstrates that Bougainville is building the institutional and technical capability to run commercially viable public utilities that support service delivery and economic growth,” Nanei said.
The solar facility, officially commissioned on 16 December 2025, now provides clean and reliable electricity to approximately 250 households, schools, businesses, health facilities, and government services in Buin town and surrounding communities.
Nanei highlighted the successful transition of electricity services from the former supplier, Buin Power, to BPWCL, with the latter now fully responsible for operational management and billing.
“Through this transition, BPWCL is generating a sustainable revenue stream as an SOE. This marks a major milestone in Bougainville’s economic and institutional development,” he said, acknowledging the cooperation of Buin Power leadership in ensuring continuity of service during the handover.
“The Buin solar project is not only about providing reliable electricity. It is about strengthening SOEs to operate responsibly, professionally, and sustainably so they can contribute to Bougainville’s development,” Nanei added.
The Buin Solar Plant was funded by the Government of Japan and built by the United Nations Development Programme (UNDP). It integrates solar panels with modern battery storage and backup generation to provide uninterrupted electricity, reduce reliance on fossil fuels, and support global renewable energy goals.
BPWCL is planning to expand power connections in Buin, including to the Buin District Hospital, Buin Teachers College, and Buin Town Market. Workforce development is also a key priority, with training programs to equip Bougainvilleans with the skills to operate and maintain modern renewable energy systems.
Further plans include the development of renewable-powered mini-grids for remote communities across Bougainville to increase household electricity access. Mr. Nanei emphasized that reliable energy supply will boost business confidence, improve public services, and attract new investment in South Bougainville.
Employment opportunities are expected to grow. “BPWCL currently has ten employees, but this will increase to about twenty this year. Additional opportunities are expected for local businesses in fuel supply, security, and general maintenance,” Mr. Nanei said.
Similar renewable energy projects are being considered for Arawa and Buka, pending formal arrangements with PNG Power Limited through a Memorandum of Understanding expected later this year.
Communities in Buin have already reported improvements in daily living conditions and economic activity, highlighting the impact of reliable electricity. The ABG commended BPWCL for this milestone, marking a new phase in the development and sustainability of Bougainville’s public utilities.
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.
A 1-megawatt Buin Solar Farm was officially launched last Friday in Buin Town, marking a major milestone in Bougainville’s renewable energy journey.
The project, funded by the Government of Japan and implemented through the United Nations Development Programme (UNDP) in partnership with the Autonomous Bougainville Government (ABG), will deliver clean and reliable electricity to homes, schools, hospitals and businesses across Buin and its surrounding communities — reaching nearly 80 percent of the population.
In his welcoming remarks, Chief Albert Nukuitu reflected on the community’s determination to keep Buin powered through difficult years.
“In 2018, we formed Buin Power — a community-driven effort that ran 22 hours a day without government funding,” he said. “These young people gave their lives to serve the community and deserve recognition as Bougainville Power moves forward.”
The solar farm now transforms that legacy into a regionwide power solution, integrating solar panels, battery storage and backup generators to ensure a constant energy supply while cutting fossil fuel dependency.
President Ishmael Toroama, in his keynote address, commended the people of Bougainville for their resilience and unity, describing the solar project as a milestone in the region’s journey towards self-reliance.
“What we have achieved today is not by chance,” he said. “It is through our own hands, our pride and our unity as Bougainvilleans. Peace is here to stay.”
The President expressed gratitude to development partners for their continued collaboration and encouraged communities to take ownership of projects that contribute to Bougainville’s growth.
“We must take ownership of our land, our power and our future,” he said. “When we work together, we strengthen our journey towards independence.”
Japanese Ambassador Hisanobu Mochizuki reaffirmed Japan’s support for Bougainville, describing the project as a reflection of long-standing friendship and cooperation.
“This solar farm will help stimulate the local economy by improving access to clean energy,” the Ambassador said.
He also highlighted Japan’s ongoing assistance to Bougainville, including the construction of 15 coastal bridges, support for the 2019 Bougainville Referendum and the building of new school facilities.
UNDP Resident Representative Nicholas Booth noted that the event coincided with United Nations Day, marking 80 years since the UN Charter came into force and 50 years since Papua New Guinea joined the UN.
“Bougainville once knew the scars of war, but today it stands for peace,” Booth said. “This solar farm represents renewal — linking peace, equality and sustainable development.”
He added that the project will reduce energy costs by up to 50 percent, deliver steady power to essential services and directly benefit more than 200 households.
Chief Secretary Kearnneth Nanei also acknowledged the continued partnership with Japan and UNDP, describing the initiative as a vital step towards Bougainville’s energy independence.
“Bougainville Power will manage generation and distribution across Buin, Arawa and Buka,” he said, adding that upcoming government initiatives — including plans for a new hospital, teachers’ college, market facilities and major road improvements — will also be supported by this project.
The Buin Solar Farm will expand its network to nearby villages and missions, including Piano, Tokaino, Tabago and Kangu, covering a 48-kilometre radius.
Papua New Guinea continues to grapple with energy gaps, but hydro power is increasingly being recognised as a key solution to meet the country’s growing electricity demand. Managing Director of PNG Hydro Development Ltd Allan Guo says hydro energy is the way forward and holds the key to unlocking PNG’s green industrial future.
He called for more unified action between government, the private sector and international partners to realise this potential.
“This is our moment. Hydro is renewable, it's reliable and it is ours. We must develop it not just to light homes, but to power a whole new economy,” he said.
Harnessing PNG’s vast hydro potential
Speaking at the 2025 Petroleum and Energy Conference (2025 PEC) on 9 October, Guo highlighted that PNG possesses substantial renewable energy potential—an estimated 14,000 megawatts of hydro capacity, more than 98 percent of which remains untapped.
He said the country’s vision is clear: to power green industries and achieve 70 percent household electrification by 2030. With landowners ready and investors showing genuine interest, the next step, he explained, is proactive and coordinated action to resolve land access issues.
Guo emphasised that tailored policies and strong on-the-ground leadership are essential to turn PNG’s promising renewable resources into viable, bankable projects.
A personal and professional journey
In an exclusive interview with PNG Business News, Guo shared his personal and professional journey—a story that began with humble beginnings and evolved into a lifelong mission to build a greener, more self-reliant PNG economy.
Reflecting on his early years, Guo spoke about the values that continue to guide his company and his belief that energy is the cornerstone of national progress.
“When I came to PNG over 20 years ago,” he recalled, “my first exposure was through a Chinese company. From there, I worked in Africa, and eventually returned to PNG because I saw a future here.”
“Energy is not just part of development. Without it, you can’t build roads, schools, factories—nothing,” he added.
Over the years, PNG Hydro Development Ltd has completed eight hydroelectric schemes and one transmission line, including several Asian Development Bank (ADB)-backed projects, developments for King Forest Products, and independently funded hydro and energy infrastructure initiatives.
The Edevu Hydropower Project: powering Port Moresby and beyond
Among the company’s landmark achievements is the Edevu Hydropower Project, located on the Brown River in the Hiri-Koiari District of Central Province. AG Investment, a subsidiary of PNG Hydro Development Ltd, began work in late 2022 on the Edevu–Moitaka 132 kV transmission line.
Led by PNG Hydro Development Ltd, the project represents a total investment exceeding K700 million and aims to strengthen energy supply to Port Moresby and the Southern region, both of which have long struggled with unstable power and frequent blackouts.
With an installed capacity of 54 megawatts and four turbine units located in the powerhouse, the Edevu Hydropower Plant is expected to supply up to 40 percent of electricity needs for homes in the National Capital District. The project is designed to improve energy reliability and affordability, helping Port Moresby meet growing industrial and residential demand.
The plant has received strong endorsements from national and provincial leaders, serving as a model for public-private partnerships that advance PNG’s target of 70 percent national energy access by 2030.
Development of the Edevu Hydropower Plant spanned nearly 15 years. Initially launched in February 2017 by PNG Power Ltd, it is seen as a milestone toward achieving the government’s Vision 2050 goal of a decarbonised, green energy future, with hydropower positioned as the cornerstone of PNG’s renewable transition.
Guo credited long-term cooperation and dialogue with Edevu’s landowners as a key factor in the project’s success. The project also represents one of Central Province’s largest infrastructure investments, creating significant employment opportunities during construction and continuing into its operational phase.
The project’s 104 transmission towers connect the Edevu plant to the Port Moresby grid and are designed to accommodate future supply from the upcoming Naoro-Brown Hydropower Project—part of a broader effort to strengthen grid stability across the region.
Building a green foundation for national growth
Guo believes many national development plans falter because they overlook energy as the foundation for sustainable growth.
“You build roads without energy, and they collapse into disuse. Fix energy first and the rest will follow,” he said.
For him, hydropower is not just a tool for electrification—it is a catalyst for transformation.
Hydropower: PNG’s green goldmine
According to Guo, hydroelectricity represents far more than a power source. It is a pathway to national transformation and economic independence.
“Hydro is green. It’s sustainable. It can power our industries and help PNG export green fuels like methanol, which the world is now demanding,” he said.
With the global shift toward low-carbon shipping and aviation, Guo sees PNG’s rivers and mountains as strategic assets that can drive both domestic and international growth.
“We have only tapped 2 percent of PNG’s hydro potential. The remaining 98 percent is untouched. That’s our opportunity.”
He believes that one day, PNG could export green energy and decarbonised fuel to global markets, achieving energy security while building an entire green economy at home.
Empowering Papua New Guineans through local expertise
Today, PNG Hydro Development Ltd has a presence in nearly every province. Central to its mission, Guo said, is empowering locals in project sites through hands-on technical training and leadership development.
“When you mention the word hydro, people think it has to be done by expatriates. We have proven otherwise—a PNG-based company can deliver hydro projects.”
To reinforce this vision, PNG Hydro Development Ltd has established a dedicated arm for energy investments, engineering and technical services—including installation and testing—that were once outsourced overseas.
Through this approach, the company not only builds power plants but also local capability, ensuring that PNG’s renewable future is truly powered by Papua New Guineans.
Ok Tedi Mining Limited (Ok Tedi) is pleased to announce the signing of a non-binding gas supply term sheet with ArranEnergy, a subsidiary of Trans Wonderland Limited (TWL), to purchase gas from its Stanley Gas Fields in Western Province.
This marks a major step toward the company’s plans to achieve its Growth 2050 Energy Transition Strategy and decarbonise its operations.
Speaking at the signing ceremony, Ok Tedi Manager for Energy Transition Anton Safronov said that the signing is a significant milestone for Ok Tedi and the first of many steps to be taken as the company work towards decarbonising our operations under its Growth 2050 Strategy.
“This event signifies more than just our decarbonisation targets—it also reflects our commitment to using local products and creating more employment opportunities for our people," Safronov said.
Ok Tedi Managing Director and Chief Executive Officer Kedi Ilimbit said “PNG has not really developed the liquefied natural gas (LNG) supply for its domestic market. So Ok Tedi, being 100% PNG-owned, is happy to be the first to enter this segment with Trans Wonderland and ArranEnergy. We will now generate power and drive trucks using gas from the Stanley LNG Project.”
Ilimbit reiterated Safronov’s sentiments on reducing Ok Tedi’s carbon footprint, while highlighting the need to de-risk the business for the future.
He said Ok Tedi’s supply of imported fuel—especially diesel for its operations and electricity generation—has always depended on river levels along the Fly River. The Stanley LNG Project now provides an alternative energy source, allowing Ok Tedi to transition to cleaner, locally produced gas with a reduced carbon footprint and lower costs.
Ok Tedi’s current thermal generation produces 60 megawatts (MW) of power for daily operational consumption.
Ilimbit also noted that plans are in place to further enhance hydro generation facilities and to expand the use of gas across the company’s mobile fleet.
The Stanley LNG Project will be instrumental in decarbonising Ok Tedi’s operations and supporting a more resilient, sustainable future for the company and its stakeholders.
Key benefits of the Stanley LNG initiative include:
TWL Managing Director Larry Andagali expressed excitement about the prospect of selling processed gas within PNG, as opposed to focusing solely on exports.
“The next 50 years are looking brighter, and this partnership signifies better things to come. We have a vast natural gas resource, but the question is: how can we best add value to it for our people after processing? Our answer lies in supplying the domestic gas users’ market," Andagali said.
“We thank Ok Tedi for this partnership and hope that more businesses in the country will follow suit to ensure the sustainable use of our natural resources for an improved quality of life for all our people in PNG," he added.
Ok Tedi, being 100% PNG-owned, remains committed to responsible mining and to operating with excellence to deliver sustainable legacies for its stakeholders.
Earlier, OTML and the National Energy Authority (NEA) have signed a Memorandum of Agreement (MoA) to advance the Lighting Up the West (LTW) initiative—a transformative program aimed at expanding access to reliable, affordable, and clean energy across Western, West Sepik, and East Sepik Provinces.
The MoA, signed by Ok Tedi Managing Director and Chief Executive Officer Kedi Ilimbit and NEA Managing Director Ronald Meketa, establishes a framework for regulatory cooperation, licensing, and stakeholder engagement to deliver rural electrification through decentralised renewable energy (DRE) solutions in the short to medium term, and hydropower in the long term.
The initiative aligns with Papua New Guinea’s national goal to achieve 70 percent electricity access by 2030 and 100 percent by 2050, prioritising renewable energy sources such as solar and hydro.
Ok Tedi, through its subsidiary Ok Tedi Power, will lead the deployment of DRE solutions to anchor communities, with feasibility studies currently underway in Western, West Sepik, and East Sepik Provinces. The program is designed to deliver social, economic, and environmental benefits, including improved quality of life, local enterprise development, reduced emissions, and enhanced energy independence.
Prime Minister James Marape met with Japan Organisation for Metals and Energy Security (JOGMEC) Chairman and Chief Executive Officer Takahara Ichiro to discuss trade relations and investment opportunities between the two countries.
The meeting focused on strengthening bilateral relations, with particular emphasis on trade, natural resources, investment opportunities, clean energy and battery technology.
Prime Minister Marape proposed a trade relationship between PNG and Japan, where both countries would exchange goods and services with minimal tariffs, leveraging PNG’s abundant natural resources, including minerals and energy.
Marape invited Japanese companies to invest in PNG, particularly in downstream processing and manufacturing, highlighting the country’s carbon-negative status and significant capacity for clean energy production, including hydro, solar, and geothermal power. He also encouraged Japanese companies to explore research and development in battery technology, which could be used to store and transport clean energy.
A strengthened trade relationship between PNG and Japan could lead to increased investment and trade between the two countries. PNG’s clean energy resources and carbon-negative status make it an attractive location for companies seeking to invest in renewable energy.
The discussions on downstream processing highlighted PNG’s natural resources and strategic location, making it an ideal base for value-added processing and manufacturing.
However, challenges such as infrastructure development and the need to strengthen the regulatory framework must be addressed to support increased investment and trade. The country’s regulatory framework may require improvements to ensure a stable and predictable business environment.
Prime Minister Marape emphasised his government’s commitment to modernising the court system, introducing international arbitration, and establishing an independent and functional national court system to handle any disputes that may arise.
“We are restructuring our economy to make sure that the characteristics of a free-market economy remain the bigger and best business in the country,” he said.
The Prime Minister expressed enthusiasm for closer cooperation with JOGMEC and welcomed their support in promoting business opportunities in PNG.“I am looking forward to your support as your advocate in the business communities, and I want to give you my full commitment,” he said.
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