Power cuts driving businesses nuts

Business

By EREBIRI ZURENUOC
REGULAR power cuts in Lae have been causing significant disruptions to businesses.
The acting provincial programme adviser for Morobe Fisheries Management Authority (MFMA), John Joseph, told The National that the fish market in Lae Main Market needed 450 volts to power all equipment in the facility.
“With the constant power outages, we fear it might damage the equipment donated by the Overseas Fisheries Cooperation Foundation (OFCF) of Japan,” he said.
“Equipment that is given to us by donors must be used accordingly and protected from damage.
“We are thankful that two OFCF staff who came all the way from Japan were able to install a device to safeguard all the equipment from being damaged because of the power outages.”
Coca-Cola general manager Gigy Philip also expressed concern about Lae’s constant blackouts.
“It’s not only the impact of stopping our lines and our ability to produce,” he said.
“Our latest investment are a state-of-the-art equipment, and a lot of the equipment very much have high-end electronics.
“With the power fluctuations, it cause quite extensive damage to the equipment, in terms of the electronics, so the impact to our business is quite significant.
“I think in terms of the history, let’s say for the last six months, we’re been averaging probably one to two power outages a day in this plant.”
Coca-Cola launched its new PET-line at its Lae production site, the second of its beverage production lines, after a can-line was launched last year. “It is something that we need to work with PNG Power Ltd and the Government in terms of long-term solutions to relieve that power situation,” Philip said.
“One of the impacts of this is that we have generators, so when PNG Power fails, we kick up our generators, which are quite expensive to run.”
He said the cost of generating power doubled the cost of PNG Power. “Every time PNG Power fails, for that period, the cost of internal generation is quite significant,” Philip said.
“It is not the generators, it is the stoppage on the lines, stopping us producing, as well as the damage it does to the equipment.”