The Sustainable Development team started in November 2019, and now has young, vibrant members who are mentored by Australian Volunteers. The team is looking to expand even more over 2023, to improve the way Solar Solutions thinks about and approaches Sustainable Development.
Our aim is to improve the lives of people living in the remote areas of Papua New Guinea through our range of products and services. As a subset of a living company, we focus on achieving sales through projects but also ensure good development practices and social inclusion through our distribution approach.
Partnerships and Projects:
We create new partnerships, maintain current partnerships, and look for opportunities to collaborate on projects. Our projects are within the solar space, and ranges from urban lighting solutions to rural electrification projects. We work in partnerships with Donors, NGOs, CBOs, Government Organization, Corporate Companies, and Individuals.
Knowledge and Innovation:
We collect information, ideas and use our experiences to tap into opportunities to bridge the energy access gap. Market research, and product testing and development is also part of what we do.
We use our knowledge, skills, and expertise to support governments and other partners to improve energy access planning.
Support ongoing core business activities to ensure sustainability of Solar Solutions, as needed.
Professional Development:
We continue to reflect on our work and achievement and find ways to further our professional and personal development.
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We are driven by a vision of PNG where everyone has access to technologies that enable them to live productive, dignified and healthy lives.
We are Papua New Guinea''s leading solar energy company, providing high quality solar services for your home or business through renewable energy.
Despite huge popularity in the rest of the world solar power has yet to take off in PNG. This is for a variety of reasons but with recent developments in the PNG energy market its now safe and legally compliant to use solar for certain applications. Our policy experts have worked closely with our engineers to develop a range of safe, economic and regulatory compliant solutions for using solar on your business or home. You can leave everything to us or we can talk you through each stage step by step.
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Christian Lohberger (CL): For the small-scale lanterns and Solar Home Systems being used in rural areas, demand has dropped. Many of these are often distributed with the support of corporate social responsibility (CSR) programs, and budgets for them have been cut, as has household income. At the same time, there is an uptick of support from international NGOs, the PNG government and multilateral programs, such as the PNG Electrification Partnership (PEP), which is leaning on solar as a major contributor for its off-grid goals.
For the Commercial and Industrial market there has probably been a slight increase in interest. The COVID-19 recession means CFOs are looking to cut overheads, and installing solar can reduce energy costs considerably. Electricity in PNG is still very expensive and the cost of solar power continues to fall each year. Now we''re seeing similar price drops for batteries, and I think that will be the next stage for solar projects, as many of them will begin to include energy storage.
‘If we get to 2030 and we''re not almost completely solar and hydro, I would be surprised.’
At the utility scale, PNG has a few solar farms under development, with largely unchanged progress as most of the obstacles here are regulatory more than economic. PNG Power Ltd and the Department of Energy are supportive of these projects, but there are a lot of moving parts and all parties have worked hard to keep them on track.
The government has ambitious electrification goals through the PEP announced at APEC 2018. We had hoped the PEP would be further advanced, but the five partner countries [PNG, Japan, New Zealand, Australia and the US] haven''t developed yet a unified program to push it forward, which isn''t a showstopper, but means that we''re seeing progress in some areas faster than others.
For domestic emissions, electricity in PNG is largely zero-emission hydropower but you also have some highly polluting diesel generators contributing to energy production in Port Moresby and most of the provincial capitals (C-Centres). In Port Moresby, we have seen two big new LNG power stations at Dirio and NiuPower, which should reduce the use of diesel at Kanudi and Moitaka with a correlating emissions reduction.
One of the main challenges for C-Centres using diesel generators is that fuel logistics don''t work: they have to ship in fuel and spare parts, which takes time, money and organisational resources. It''s increasingly apparent that self-generation through solar power will be a much easier and cheaper way to produce electricity. Solar can reliably meet day-to-day demand and a battery or diesel generator can get you through overnights and rainy periods.
‘We see tariff reform for electricity prices as an important step.’
The International Finance Corporation (IFC) is currently helping PNG Power review most of the C-Centres to determine what would be the best way to produce electricity for them, but I think the trend is going to be towards renewable energy just because it eliminates the complexity of fuel logistics and maintenance overheads.
So, by official policy the PNG government plans to be 100 per cent renewable energy by 2050, but economic trends will likely see renewable energy become the main source of generation well before then. If we get to 2030 and we''re not almost completely solar and hydro, I would be surprised.
CL: This is a pretty significant weak spot in the government''s energy strategy: PNG doesn''t have tax breaks or incentives for the private sector to invest in emissions reduction. There is a duty-free component to importing solar equipment but no carbon price, tax credit or renewable energy target, which could drive investment.
We see tariff reform for electricity prices as an important step. Variable pricing could be a major contributor to the PNG government''s targets for both electrification and emissions reduction. Energy Minister Kerenga Kua has confirmed the imminent launch of the National Energy Authority. This will accelerate the use of renewable energy but, without net-metering or a feed-in tariff developing, a residential solar market is challenging.
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