PNGSDP gives projects and assets

Sir Mekere Morauta

The chairman of PNG Sustainable Development Program Ltd, Sir Mekere Morauta, announced today that the company had given some of the company's assets and projects to the Western Province community.

"We are very aware of the desperate need for development to continue," he said, "and for the benefits of our funding to continue to be delivered in Western Province."

"Therefore, according to our stated intention at the time it became impossible to continue with these projects, we are handing them over in an orderly and planned way so that they do not go to waste.

"PNGSDP did not cause the situation it is now in, where it has no funds to continue its social and economic development program, but we are determined that Western Province will continue to benefit as much as possible."

At a ceremony in Kiunga on Friday, Sir Mekere handed over ownership of K13 million worth of housing and classrooms in Tabubil to Mine Area Community Mine Continuation Agreement representatives.

He said the Mine Area CMCA would be able to rent the high-quality accommodation and classrooms to OTML or other organisations, or keep it for community housing or other appropriate uses.

"By doing this we are keeping faith with the people of Western Province represented by the CMCAs, who are the rightful beneficiaries of profits from the mine," Sir Mekere said.

"PNGSDP believes that the buildings can provide long-term sustainable income for the mine villages, if they decide to use the housing for commercial purposes.

"If not, then I know that there is a very severe shortage of high-standard accommodation in Tabubil and these houses will help fill the gap."

The housing consists of 12 duplexes in Andrews Street, owned by PNGSDP's Star Mountains Institute of Technology, and classrooms at the SMIT training Centre.

PNGSDP also gifted its 100 percent equity in Western Power to the Fly River Provincial Government so that, with other parties, a new operation can be developed that will continue to supply Tabubil and Kiunga, and possibly expand in the future as the gas industry develops.

The Governor of Western Province, Mr Ati Wobiro, accepted the gift on the province's behalf. He said Western Power was a valuable asset, which he would use to extend electricity supplies across the province.

The gifting includes the licence to supply electricity, grids and equipment at Morehead, Wipim, Balimo, Awaba, Obo, and Lake Murray, all the mini-grids in the Tutuwe area, equipment for the construction of the proposed South Fly solar mini-grids, retail power sales equipment and offices, housing and other assets in Kiunga.

"There is ample income from the Ok Tedi mine to finish these projects as well as all the others that PNGSDP has been forced to halt," Sir Mekere said.

"I look forward to watching PNGSDP's development legacy continue to benefit the province."

Mekere Morauta KCMG Chairman