The proposed Port Moresby Grid Development Project will upgrade and extend the transmission and distribution grid in the national capital, Port Moresby, thereby improving the reliability and quality of power supply to the main urban center in Papua New Guinea (PNG), improving the energy efficiency o Contact online >>
The proposed Port Moresby Grid Development Project will upgrade and extend the transmission and distribution grid in the national capital, Port Moresby, thereby improving the reliability and quality of power supply to the main urban center in Papua New Guinea (PNG), improving the energy efficiency of power delivery, and enabling delivery of essential power to rapidly expanding areas of Port Moresby. A project preparation technical assistance (PPTA) will be undertaken for the due diligence of the proposed project.
Energy / Electricity transmission and distribution
PPL customers (residential and business) undertake more economic activities
Better power supply for Port Moresby
-Procurement training conducted by ADB consultant in May 2018.
-Safeguards Training conducted by ADB in June 2018
1. PPL upgrades and rehabilitates hydropower capacity by 7.6MW by 2022.
2. PPL to construct 1 new Substation and 6.1 km of transmission line by 2020.
3. Project management and capacity building
4. Upgrade Port Moresby''s 11kV Distribution Grid by 2022.
Issues: Scope of work for the project has increased due to the deterioration of existing plant from the 1960s and 1970s. Prolonged Bid Evaluation due to bidders not providing sufficient information as required by the Tender documents.
2.POM system survey completed. As built drawings completed. Simulation of results and field data using Sincal in progress. Technical part 90% completed with Technical Data to be compiled and verified by a Distribution Expert.
Issues: Lack of "as built drawings"in PPL achieves,took PPL PMU almost 12months to complete survey. Forex issue, USD payment took over 6 months to renew Sincal SW License
3.Kilakila substation contract awarded on 8 May 2017.
Site clearance and site office completed with services. Project team onsite. Civil works/excavation alone-more than 50% with platform design levels reached. Tower route, spots and levels completed. Final design and approval in progress with ongoing procurement.
Issues: GoPNG counterpart funding shortfall and slight delay in USD payment (forex issue)
-Procurement training conducted by ADB consultant in March 2018.
The Asian Development Bank (ADB) is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. It assists its members and partners by providing loans, technical assistance, grants, and equity investments to promote social and economic development.
PNG Power is informing business houses and the general public that the current load shedding exercise across the country will continue as it continues to conserve its fuel supplies whilst reducing fuel expenses.
It was incorrectly reported in the National Newspaper (October 24) that the Government had settled K50 million in outstanding bills and therefore the fuel payment issue had been resolved. This is not the case.
Whilst the Government has been making payments, these payments have settled only current amounts owed, whilst amounts in arrears total up to K38million.This continues to place significant pressure on PNG Power to meet payment obligations to critical suppliers.
This situation should ease dramatically in Port Moresby once electricity is able to be supplied from the Niu Power Gas plant in early 2020, upon completion of the transmission line, as a greater proportion of generation is sourced from cheaper renewable energy in Hydro and Gas.
In the provincial centers, where the majority of energy produced is generated from thermal generators, load shedding will be an ongoing exercise. This is because in most cases, the cost to produce power is higher than the tariff we are able to charge.
Acting CEO, Douglas Mageo pointed out that if PNG Power was operating purely on a commercial basis, we would cease power supply in most of the provincial centers where we make a financial loss every time we generate electricity.
Therefore, in order for PNG Power to reduce its fuel bill to sustainable levels, we will continue to load shed in provincial centers that are not connected to the Port Moresby and Ramu Power Grid addition, Mr. Mageo explained that at no point did he make a statement that Dirio needed a K15 million bail out.
Mr. Mageo affirmed that when asked by the reporter from the National about Dirio, his response was simply “they are not ready to commence production”. Furthermore he is not privy to any financial information on Dirio.
Douglas MageoActing Chief Executive OfficerPNG Power
PNG Power Ltd (PPL) is a fully integrated power authority responsible for generation, transmission, distribution and retailing of electricity throughout Papua New Guinea and servicing individual electricity consumers.
PNG Power will continue its load shedding exercise across the country as it continues to conserve its fuel supplies whilst reducing fuel expenses.
PNG Power was issued a ‘stop-supply’ notice by Puma Energy due to non-payment previous bills. Once payment has been resolved, the Port Moresby and Ramu Grid systems will revert to normal.
PNG Power continues to struggle to meet payment obligations to its critical suppliers while at the same time also awaiting outstanding bills the National Government owes PNG Power in arrears totaling up to K38million.
Business houses and the general public are hereby advised that the current load shedding exercise will continue into this week.
A majority of the provincial centers use power supply generated from thermal generators and therefore load shedding will be an ongoing exercise.
PNG Power A/CEO, Mr. Douglas Mageo said that PNG Power will continue to ensure its fuel bill is managed at sustainable levels and therefore load shedding will have to take place in the diesel run power stations.
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