K18.55m energy project
The National, Friday 31st May 2013
By MALUM NALU
The World Bank and the Government have signed a US$8.2 million (K18.55 million) energy sector development project to establish a new hydro-
power project in Central province.
The project at the Naoro-Brown River will provide technical assistance to support Government’s goal of increasing electricity access from 10% today- one of the lowest electrification rates in the world – to 70% by 2030.
“This is a small project that’s going to make a big amount of difference,” World Bank country manager Laura Bailey said.
The project was signed at Vulupindi Haus by Bailey, Treasurer Don Polye and PNG Power Ltd acting chief executive officer John Tangit.
Bailey said: “Papua New Guinea is a nation that’s blessed, not only with resources that we can extract from the ground, but even more importantly, with extractable resources that allow us, if we are extremely clever and well-organised, to generate more benefit.
“And in that area, we have hydro power, geo-thermal, wind, solar – all sources of energy that could be harnessed for electricity for the rural communities and businesses all across the nation.
“I’ve never seen a country with as diverse a source of renewable energy in such a compact, sufficient space.”
Tangit said the signing opened new doors for electricity generation in PNG.
“We are confident that with this support from the World Bank, PPL can complete the outstanding studies and move the Naoro-Brown hydropower project to a stage where PPL and its partners can make investment decisions on the project,” he said.
“With the injection of 80MW hydropower from Naoro-Brown into Port Moresby power grid, PPL will have sufficient capacity to accommodate the steady growth we are experiencing in the city.
“At the same time, electricity services will be accessible to the rural communities in the Naoro-Brown River areas, and neighbouring areas who have no access at present.”
Polye said the Government would provide counterpart funding of US$1.05 million (K2.3 million), to bring the total to US$9.25 million (K20.93 million) and was in line with the government’s aim of providing more power to the people.