Govt urged to address failing SOEs

By DALE LUMA
THE Government should address under-performing State-owned enterprises (SOEs) by assessing them at a case by case basis, according to a business council leader.
Micro-Small-Medium-Enterprise Council president Des Yaninen also told The National that an entity should not be a regulator and a services provider at the same time, using PNG Power Ltd (PPL) as an example.
Yaninen said the government should be the regulator and open up the market for independent power producers to come in.
“This will lower the cost of energy and overall cost of doing business in PNG,” Yaninen said.
“This makes us (PNG) more competitive and attractive as an investment destination.”
In the case of PPL, it is understood that the National Energy Authority (NEA) which was recently set up by the Government following the passage of the National Energy Authority (NEA) Bill will take over PPL’s role in the issuance of licences and regulatory role in price setting by the Independent Consumer and Competition Commission (ICCC).
Yaninen was responding to questions from The National about whether under-performing SOEs needed to be privatised.
Former managing director for Kumul Consolidated Holdings Isikeli Taureka previously said the Government would sell off its companies that were not profitable.