Gas-fired power to reduce tariff

By HELEN TARAWA
STATE Enterprises Minister Sasindran Muthuvel says the introduction of gas-fired power through the independent power producers (IPP) is expected to reduce tariff by the end of 2021.
Muthuvel was part of the Government team who witnessed the commissioning of the NiuPower plant outside Port Moresby on Friday.
He said gas energy was an excellent opportunity for the Government’s medium-term solution strategies for the next 25 years.
He said NiuPower was the first IPP gas-powered station to put power into the Port Moresby grid which currently had 10 megawatts.
Once it comes into full operation next year, it will reach 58 megawatts. “This power plant comprises six high-efficiency reciprocating gas engines ensuring high terminal efficiency and also spending less fuel, lower cost and reduced emissions,” Muthuvel said.
“It is highly flexible and responsive to changes in demand and will stop a lot of bogus deal where PPL was losing money.”
Kumul Petroleum Holdings Ltd managing director Wapu Sonk commended the contractors for completing the project on time and under budget.
He said NiuPower had committed K30 million for the power lines which was being constructed from Gerehu to the power plant.
“We want to help the people of PNG and it must be passed on to ICCC to regulate it,” Sonk said.
Oil Search managing director Peter Botten, the NiuPower chairman, said they looked forward to the arrival of the new power line to crank up the power station and meet PNG Power’s needs.
“We look forward to working with all stakeholders, including the provincial governments and landowners to deliver the true potential of energy for the people,” Boten said