Water PNG, Eda Ranu may merge

By MALUM NALU
THE Government plans to merge Eda Ranu and Water PNG to address the water and sewerage problems in the country, according to Public Enterprises and State Investment Minister William Duma.
Duma said Kumul Consolidated Holdings, Eda Ranu and Water PNG were looking at a merger “sometime down the line”.
“It is also for Water PNG to actually make a profit by operating in the rest of the water provinces,” he said.
“All it needs is a combination of good management, a good board and good policies. That is something that we are looking at.”
Duma said if Water PNG could operate alone, the merger would be shelved.
“If on the other hand our analysis shows that it is better in the longrun for those two entities to be merged, then that will be taken to cabinet for a decision to be made.”
He was replying in Parliament last week to Sinasina-Yongomugl MP Kerenga Kua, who said the water and sewerage problems at Daru in Western raised by South Fly MP Aide Ganasi was symptomatic of a larger problem in the Government’s provision of clean drinking water to towns and cities.
“I think the problem lies in the way we’ve structured,” Kua said.
“The most profitable centre is Port Moresby and is placed under Eda Ranu. The smaller centres not profitable are placed under PNG Water.”
Kua suggested that Eda Ranu and PNG Water be merged “so that one authority with one balance sheet, one cash flow” looks after the country’s water supply.