NZ to help PNG develop energy policy

THE New Zealand government will be sending a team of energy experts to help PNG develop an energy policy to harness about 20,000 megawatt of energy source opportunities in the country.

Public Enterprise Minister Ben Micah, who led a team on a New Zealand government funded trip from June 8-12, said the two main areas are geothermal and hydro power energy sources which the New Zealand government has agreed to work closely with the PNG government to develop.

Mr Micah held talks with New Zealand Foreign Minister Murray McCully and his counterpart State Owned Enterprise Minister Tony Ryall said PNG is blessed with many geo thermal activities notably in New Britain, Madang, Oro, Milne Bay and Bougainville.

"My ministry and department is working in collaboration with the Independent Public Business Corporation (IPBC) and PNG Power and we are looking at harnessing geo thermal as an additional electricity power source."

He said geo thermal energy is clean, renewable and cheap but a reliable energy source that has not been fully developed yet.

"I am therefore proposing a New Britain grid that will fully make use of the geo thermal energy sources on New Britain and will focus on providing electricity for the New Guinea Islands and to join into the Momase and Highlands grid.

"Following our visit, I have now directed my department, IPBC and PNG Power to immediately come up with a working plan with their New Zealand counterparts to begin work on geo thermal energy to become an electricity power source."

"These institutions will work to implement the memorandum of understanding already signed between PNG and New Zealand on thermal energy.

"The New Zealand government is already assisting PNG Mining and Geo Hazards Department draft our geo thermal policy.

"My department will be working with the Mining and Geo Hazards Department to ensure the meaning of geo thermal is well defined."

Other issues discussed during the visit included direct flights between Port Moresby into New Zealand and discussions on trade and business between the two countries, especially in the field of agriculture, construction and fisheries.

"We also had briefings from the New Zealand Treasury on SOE reforms and how Treasury is dealing with funds derived from SOE’s and other investments.