NEC approves 30MW plant in POM

Business, Normal

The National, Thursday January 30th, 2014

 THE National Executive Council (NEC) recently has given approval of a 30 megawatt power plant to solve power generation issues in Port Moresby, the Independent Public Business Corporation (IPBC) announced this week.

The initial proposal was to give a 50% share to the Energy World International (EWI), 30% IPBC and 20%to a local investor to be selected by EWI.

However, the NEC decided it was best that EWI holds 50% and PNG Power Ltd assisted by IPBC hold the other 50% to fast track this project.

IPBC has recruited a professional industry adviser, veteran engineer Sev Maso to guide and implement the POMIPP and other power projects with IPBC and to assist necessary regulatory and statutory approvals.

He will also help in obtaining a licence to generate electricity, an environmental permit.

The IPBC announced that the government was now seeking assistance from the Israel Power Company for two additional 15MW power plants in Port Moresby and Lae.

The Port Moresby and Lae power plants will have the ability to operate on gas when gas becomes available.

The additional power plants in Port Moresby and Lae would come as payment in kind by the State in settlement of outstanding debts from the selected state agencies, such as money owed by government departments and agencies to PPL.

In this regard, a deposit of K50 million has already been made through the Bank of Papua New Guinea.