Connect PNG Programme: Financing and progress update

Focus
The following is an update of the Connect PNG Programme from the Ministry of Works and Highways.  The Marape-Rosso Government received a funding boost of K300 million. The funding is to achieve the Government’s vision in connecting roads by 2040.

The Marape-Rosso Government’s vision to achieve 100 per cent Road connectivity in PNG by 2040 has just received a funding boost of K300 million.
This additional funding will maintain good progress for the ongoing work under the Connect PNG Economic Land Transport Infrastructure Development Programme, popularly referred to as the “Connect PNG Programme”.
The additional funding will also kick start upgrading works on six more new critical sections of the national road network on the Manus, East-West Highway, the New Britain Highway (East and West New Britain), the Magi Highway (Central and Milne Bay), the Ramu Highway (Madang & Morobe) and the Coastal Highway (East and West Sepik sections).
Works and Highways Minister Solan Mirisim reinforced the Government’s strong funding commitment to the Connect PNG Programme, during these difficult economic times.
The Marape-Rosso administration has appropriated K600 million for capital works in the 2022 Budget.
This includes K300 million for provincial and district roads under a Sub-national Roads Development Programme, separate from the Connect PNG Programme.
To date, all of this year’s funding has been released in full intended according in this year’s annual work plan.
Mirisim expressed his satisfaction on the overall performance of the Connect PNG Programme, attributing the programmes exceptional progress, to the Government’s strong leadership and commitment, and the huge support from donors and development partners, with ongoing guaranteed funding support.
Mirisim said the Government recognised the importance of transport infrastructure in providing connectivity for urban and rural communities, businesses and industries. Good roads bring a conducive environment that encourages investment in socio-economic development.
Roads, in particular, play a crucial role in encouraging socio-economic development and progress of the country, as land transport accounts for over 80 per cent of national freight and passenger traffic volume.
Despite the important role roads play in the development of our country, existing road network has deteriorated because of neglect over the last 20 years and it has steadily fallen into a state of disrepair due to lack of maintenance.
The poor road network condition has become a brake on our economic development.
Access to markets and service delivery have become much more difficult, travel time and vehicle operating costs for road users, are much higher than normal.
To address the challenge of recovering the condition of the road network and improve road connectivity for our citizens and businesses, the Marape-Rosso Government approved in 2020, the 20-years Connect PNG Economic Road Infrastructure Development Programme 2020-2040. The total cost for the Connect PNG Programme is K20 billion.
The programme’s long-term goal is to achieve 100 per cent road connectivity for PNG by 2040.
In the medium term, the goal is to achieve a road link between the National Capital District with Morobe, Madang and the seven Highlands provinces, before the country’s 50th Independence anniversary.
Mirisim pointed out that the achievement of this road linkage by the September 2025 target, will symbolise national development, cohesion and unity over the past 50 years of independence, as well as achieve a significant development milestone, by connecting our two biggest cities for the first time.
This target will also enable people to travel affordably, to celebrate PNG’s Golden Jubilee in Port Moresby or their home province, as they wish.
In 2021, the Parliament passed the Connect PAIG (implementation and funding arrangements) Act 2021.
The purpose of this Act is to legislate a guaranteed minimum funding for the Connect PNG Programme, equivalent to 6.5 per cent of the annual budget, each year.
Based on treasury’s medium-term budget forecast for 2023-2027, the minimum funding translates to around K1.4 billion annually, for the programme’s phase one period up to 2027, inclusive.
“The Connect PNG Programme is Prime Minister Marape’s ‘flagship’ development programme,” Mirisim said.
“I am therefore thankful for the support and the importance the prime minister has accorded to the programme since his Cabinet approved it in 2020.”
The programme aims to rehabilitate and reconstruct 16,500km of economic roads and 1,000m of bridges and other drainage structures that have deteriorated over time due to lack of regular maintenance.
The programme is also constructing missing link roads (new economic road links) totalling around 4,200km.
Currently, the missing link section of the trans-national highway between Aseki in Morobe and Epo in Gulf is under construction.
The completion of this road section will establish the strategic connection between Port Moresby and Lae City.
The Connect PNG Programme is being implemented in three Phases. Phase one is from 2020-2027 at K7.98 billion.
When the Marape Government came into power in 2019, the department was implementing over 230 contracts around the country. The estimated total value of these ingoing works inherited from the previous administration was K3.4 billion.
All of these works were absorbed into the Connect PNG Programme phase one 2020-2027 target. Since the inception of the Connect PNG Programme in 2020, the Government has completed road works of about K3 billion between 2019 and 2022.
This expenditure comprised K1.93 billion for the upgrading and rehabilitation of 2,000km of roads and another K500 million comprised arrears for unpaid contract claims inherited from the previous Government between 2012-2018.
In addition, there was an additional 3,200km of both national roads and sub-national roads procured and implemented under the Marape-Rosso Government in the same period.
Some of these completed major road works include:

  • UPGRADING to four-lane Lae-Nadzab section of the Highlands Highway at K300 million. This contract is in phase two from Nine-Mile to Yalu Bridge;
  • REHABILITATION and upgrading of 430km of the Highlands Highway from Nadzab to Mt Hagen at close K1.0 billion;
  • UPGRADING to four-lane Kagamuga-Keltiga section of the Highlands Highway for K286 million;
  • CONSTRUCTION of Gulf-Southern Highlands Highway (12km) missing link section for K100 million;
  • ONGOING construction of 141km of missing link section (Aseki in Morobe to Epo in Gulf) of the trans-national highway with the PTD equipment of the Department of Works and Highways, under ‘Force Account’ arrangement;
  • CONSTRUCTION work ongoing for more than 47km of missing link road between Central Province and Milne Bay Province for K14 million;
  • CONSTRUCTION of 100km of missing link road (Finschhafen Highway) from Lae to Finschhafen for K287 million;
  • REHABILITATION of Boluminisky Highway from Kavieng to Namatanai;
  • UPGRADING to seal of the New Britain Highway from Kokopo to Kerevat in East New Britain to be continued with the construction of the missing link between East and West New Britain to Kimbe;
  • REHABILITATION and maintenance of 126km of the Hiritano Highway for K77 million;
  • CONSTRUCTION of 12 bridges on the West New Britain side of the New Britain Highway;
  • SUPPLY and construction of 1,000m of rural standard bridges across the 22 provinces and districts.
  • OTHER missing link loads under the Connect PNG Programme include Madang-Gulf Highway, Trans-fly Border Highway from Kiunga to Aiambak section, Tabubil -Telefomin, and the TransFly Border Highway from Oriomo (Daru Coast) to Wipim Station section.

From this year to 2025, the department will begin K5.6 billion worth of road works programmes, representing the biggest capital works programme undertaken in PNG.
This includes a K1.3 billion bridges rehabilitation and replacement programme on the Highlands Highway to complement the ongoing road works between Nadzab in Morobe and Kagamuga in the Western Highlands.