Competition watchdog issues licence to power company

The Independent Consumer and Competition Commission (ICCC) yesterday issued an electricity generation licence to Dirio Gas and Power Company Ltd.
Commissioner and chief executive Paulus Ain said the licence authorised and required Dirio to generate and sell power to PNG Power Ltd’s Port Moresby grid.
“This licence will indeed transform the market in Port Moresby,” he said.
“The transformation we are looking at is reducing electricity rates in Port Moresby.
“We are expecting players in the industry and business houses to translate this into reduction in the prices of goods and services in the city.”
Ain said city residents would benefit.
He said Dirio went through all the technical and financial requirements before the licence was issued. “Since the development of the third party access code by the ICCC, we’ve had a number of potential generation participants in the electricity industry,” he said.
“This has seen a growth to nine and to date, 10.
The most recent one was the NiuPower Ltd with the capacity of 57 megawatts.”
Ain said Dirio submitted its application for electricity generation to the ICCC last Sept 12 after its power purchase agreement, including its wholesale tariff with PPL, was reviewed and approved by ICCC.
Chairman of the Dirio Gas and Power Company Ltd Isaac Lupari said the issuance of the licence was the last of the compliance processes.
Dirio Gas and Power Company is wholly owned by the PNG LNG project impact landowners of Hela, Southern Highlands, Central and Gulf.