Mokono driven to improve housing

The National Weekender
HOUSING

By KELVIN JOE
INSTEAD of generating revenue to maintain its operation and support other government functions like public service improvement programmes, the National Housing Corporation (NHC) has lost millions of kina in internal revenue annually.
It is the Government’s single biggest real estate owner in the country including Port Moresby and Lae, but the lack of leadership, mismanagement and corruption practices have been resulted in under improvement and unsuccessfully delivery of its development projects over the years.
NHC Managing Director Henry Mokono says the corporation has lost between K100 million and K120 million in internal revenue every year due to increasing rental arrears and run-down facilities throughout the country.

National Housing Corporation managing director Henry Mokono (left) presenting a certificate to one of his best performing staff in last year during NHC celebration to motivate staff performance to achieve organisational goals. – Nationalpic by KENNEDY BANI

But the establishment of new management team with a positive mindset, attitude and determination has set a new foundation for a journey to success.
The organisation is beginning to realise its potential when Moresby South MP Justin Tkatchenko took over the Housing and Urban Development Ministry in June 2020, followed by the appointment of Mokono as managing director, 14 months later on Aug 5, 2021.
Tkatchenko and Mokono brought back confidence and trust to the organisation that was about to collapse.
The Government started investing on its development projects and funded operational plans to ensure the organisation achieve its goals.
The corporation is currently rolling out major projects such as:
A social housing programme;
Renovation and refurbishment work on its run-down facilities;
Reinvesting in development projects; and
Rolling out a recovery exercise.
Tkachenko said it had been common practice in the past where corrupt staff, including former managing directors were selling off properties to individuals for their own personal gain.
He said the removal of underperforming and incompetent staff through a staff restructure exercise in 2020 was purposely to restore transparency and recover revenue.
He said a private human resource (HR) consultant was engaged to recruit qualified citizens to occupy some positions permanently and to clean up hitches in the organisation.
“The cost-cutting exercise has brought the number of staff down from 318 to 214. It shows that the Government and NHC have been able to save up to K6 million annually,” the minister said.
Mokono said previous governments had no confidence to release required funding to support NHC operations and reinvest in other developing projects because of negligence, corruption and mismanagement practices.

National Housing Corporation managing director Henry Mokono reveals that the organisation lost between K100 million and K120 million in internal revenue every year during a media conference recently.

He said funding meant for refurbishment and renovation work to improve the facilities and other initiated development projects was not delivered successfully in the past.
He said thousands of tenants had outstanding arrears with some accumulated up to more than K100,000.
“NHC should make about K10 million to K12 million internal revenue every month, but we have collected only K200,000 to K250,000 currently.”
He encourages his staff to work with ethical values and according to the law as the way forward for the organisation.
“We (will) do things correctly and by the book to follow the process with honesty, transparently and got to be accountable for our decisions.
“These are the pillars and foundation that turn companies and organisations around and then the people of this country and the Government will respect this organisation.
“There are no shortcuts, all the time we must do it right to gain people’s trust and confidence.
“NHC has been sinking into the darkest abyss, but we will pull it out and put it on top again.
“We have more challenges this year to take this organisation forward.
“NHC is a sleeping giant and we need to nurture it to make it grow.
“I want to turn this organisation around, slowly but eventually.
“All forms of corruption that have tainted the image of the NHC will be history, and have been history since I took the office.”
Mokono said the Government had confidence in the new management as they began to allocate adequate funding to it.
“The Government is passionate about NHC and has given us about K3 million budget support this year.”
He said NHC would secure about K12 million from the Government through the Finance Department to offset all outstanding entitlements, debts, superannuation contributions and fees that were not been paid to staff, contractors and service providers over the past two decades.

National Housing Corporation managing director Henry Mokono (left), presenting a land title to widow Ellen Bis from Finschhafen, Morobe after she won a 16-year legal battle against the National Housing Corporation (NHC) for selling her property illegally in 2005, witnessed by Housing Minister Justin Tkatchenko and Ombudsman Commission Complaint and Admininstration Director Timothy Wrumongo in Port Moresby last month.

A major refurbishment and renovation work for its’ headquarter in Port Moresby is planned to kick-off in a few months’ time.
NHC engaged three local civil engineering companies and one architectural company in January to go through the design details for the K10 million refurbishment project which is schedule to be completed within 12 months.
Six other reputable construction and building companies with up to 30 years of experienced in the country were also engaged to develop allotments and build houses at Duran Farm in 9-Mile under the social housing project this year.
More than that, ordinary Papua New Guineans that live and work in Port Moresby (NCD) will benefit from this low cost housing scheme.
About 2,515 allotments will be available to the public and prices for the houses would range between K250,000 to K450,000.
Mokono said 100 allotments would be allocated to public and private sectors while 200 would be reserved for his staff to ensure people had the opportunity to access an affordable house. It is a project that would directly impact and improve people’s lives.
An earlier attempt to start the Duran Farm housing project ended badly and the 60 houses erected at a cost of K20 million are being pulled down again. The Government has allocated a further K3 million for the demolition work to make way for the social housing scheme to start soon.
NHC also did renovations and refurbishments on its Manu Autoport flats signifying major improvements which would include all is other properties in Port Moresby and Lae.
The organisation is on course again under the navigation of Mokono through the guidance of Tkatchenko to restore confidence and pride which have not been there for years.