Energy Sector of Papua New Guinea Worth K4.2 Billion
If properly developed, the energy sector of Papua New Guinea is worth around US$1.2 billion (K4.2bil).
According to the outgoing Energy Minister William Onglo, some countries are dependent on wind for power generation while others for thermal and some, for water.
“I’ve seen that its potential is too huge and this industry can be a US$1.2 billion industry,” he said. “We have the energy resources to supply electricity to all our people (but) we are not getting it right. That’s why the policy and national electrification rollout plan plans are the guide. Petroleum has taken over the upstream. The energy has basically taken over everything downstream.”
His successor, Saki Soloma, added that the energy sector had poorly-managed electricity services which sometimes become unreliable or limited for customers.
“As a result, there are conflicting roles, mandates and poor performance by the institutions involved in the regulation of the energy sector,” he said. “These concerns have also been raised by the development partners, donors, financiers and other energy stakeholders. Legislation is, therefore, required to address these issues affecting the energy sector.”
In April, Soloma hopes to take up the recently-approved National Energy Authority Bill.
“The Bill will establish the National Energy Authority as well as the electricity and energy law for the energy sector,” he said. “The enactment of the Bill will create a one-stop-shop regulatory authority. There will be no more fragmentation or scattering of the regulatory functions currently housed in a number of agencies of the Government.”