Governor wants provinces to partner PPL

PROVINCES should be allowed to partner with PNG Power Ltd (PPL) to address the electricity supply problems, says West New Britain Governor Sasindran Muthuvel.
He told Parliament that since provinces suffered the most from the poor electricity supply, they should be allowed to partner with PPL and private partner developers to share the cost of producing and supplying electricity in the national electricity grid system.
“In Kimbe, the provincial government, PPL and New Britain Palm Oil Ltd can partner to share the risks of producing power and distributing it throughout the province,” Muthuvel said.
He also suggested that project developer business partnerships was a way in which PPL could upgrade its grids, giving priority to its profitable grids in Port Moresby, Ramu and Gazelle and downsize its non-profitable power producing operations in areas such as Kimbe, Daru and Kavieng.
He also said that uncompetitive market prices of services, good and strategic governance, and government debts to state-owned enterprises (SOEs) were contributing to the overall financial performance of SOEs.
“In terms of operational difficulties and low profit balance sheet performances, PPL, Air Niugini and Telikom PNG Ltd were the three SOEs that critically needed reform,”
He suggested to the Government to pay up what it owed to PNG Power.
Parliament will resume on Oct 3.