The National newspaper
ELECTRICITY is becoming limited with more mining and other industrial activities increasing in the country.It has been predicted that the demand for energy is likely to increase by another 50%.
PNG Power acting chief executive officer Tony Koiri highlighted this at the signing of the Memorandum of Understanding (MoU) between PNG Power and Indonesian power company Naima Investment for the development of a new 250MW coal power station in Madang last Friday.
He said with the boom, PNG Power was unable to supply the power needed as the company could not support this with shortage of generation facilities. The assistance to provide a source of power was previously discussed but nothing eventuated and PNG Power is happy to see Naima coming in to assist.
Madang already had developers who wanted to get involved in the hydro-power project because the need was high. However, PNG Power was unable to financially support the project.
Naima Investment Ltd managing director Lai Weng Hoo said the company was happy to be a developer of a power plant in Madang which would benefit PNG. He said the company was privileged to be a part of PNG Power’s plan to continually improve the power supply in PNG and to support the country’s economic expansion and help meet its tremendous power demand.
Mr Lai said the MoU was very important to them because it would create a framework for them to coordinate their efforts together as well as setting out the basic primary parameters for success. Following its signing, they would together finalise a heads of agreement with a power purchase agreement to follow. He said the MoU was a “roadmap but not a destination”.
Commitment was a crucial key of success and to which, their group’s track records as a successful international developer and investor with diversified interests regionally and globally, testifies their commitment.
He also pointed out that they were sure of PNG Power’s commitment. Such mutual commitment and cooperation was a basic paramount ingredient for success and said the signing signified a celebration of that cooperation, collaboration and partnership between two very committed groups acting in unison towards the good of the nation.