IEEJ：July 2017 © IEEJ2017

About Papua New Guinea
Presented By Samuel PetauIEEJ：July 2017 © IEEJ2017

Country:

Papua New Guinea (PNG)

Capital City:

Port Moresby

R iRegion:

OOceaniai (Polynesia,(P li Micronesia,Mii Melanesia)
M li )

Languages:

English (for business), Pidgin, Motu & 800 othersp
Population:

Population of Papua New Guinea (2017 and historical)

Year

Population

Yearly %Change2016

7,776,115

2.06 %

2015

7,619,321

2.16 %

2010

6,847,517

2.38 %

2005

6 086 905
6,086,905

2 52 %
2.52

Source: www.worldometers.info/world-population/papua-new-guinea-population/IEEJ：July 2017 © IEEJ2017

Current Energy Policy and Measures
ENERGY POLICY DEVELOPED DURING 2015-20162015 2016

POLICY GOAL
“to ensure affordable, reliable, competitive, sustainable and environmentally friendly
supply of energy by developing the nation’s indigenous resources to grow the economy
and improve the quality of life for all citizens
citizens”..

IEEJ：July 2017 © IEEJ2017

The PNG National Energy Policy explains:
i.
ii.
iii
iii.
iv.
vv.
vi.
vii.
vii
viii.
ix.
xx.

The reasons why PNG needs a National Energy Policy.
The role of energy as an engine of growth in the national economy.
The legal and regulatory framework and proposed institutional arrangements.
arrangements
The overview of the hydrocarbon (upstream, midstream and downstream) andrenewable energy sectors, highlighting the challenges and the proposed
strategies to develop these sectors;
growthThe transportation fuels sector and its role to propel economic growth.
The overview of the electricity industry and the challenges facing electric power
generation, transmission and distribution and strategies to reform and rejuvenate theelectricity industry.
The importance of creating an enabling environment for indigenous participation in theenergy sector developments.
The energy financing, trading and the proposed tariff and pricing mechanism;
The energy efficiency, conservation and land, environment, health and safety and;The proposed institutional arrangements and new institutional structure.
structureIEEJ：July 2017 © IEEJ2017

PNG’S AGENDA ON ENERGY
PNG’S VISION 2050
By 2050 PNG’s economy should attain 100% power supply from renewable andsustainable energy sources.
R dhi i bby 90 percentt tto 1990 llevels;lReducegreenhouseemission
PNG STRATEGIC DEVELOPMENT PLAN 2010- 2030
y household will have access to electricity.
yByy yyear 2030,, 70% of the country’s
PNG NATIONAL SUSTAINABLE AND RENEWABLE DEVELOPMEN STRATEGY.
Promote Green Energy Investment in the renewable resources sector;

IEEJ：July 2017 © IEEJ2017

Energy Demand and Supply

The main factor in determining
g the energy
gy demand,, p
particularlyy in developing
p gcountries like Papua New Guinea is the economic growth. Programs, projects
and institutional reforms outlined in the National Energy Plan (2016 - 2020)
will be carried out consistent with the economic objectives as stipulated underthe Medium Term Development Strategic Plan 2 (MTDS) (2015 – 2017).
2017)

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IEEJ：July 2017 © IEEJ2017

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Outlook of Energy Demand

Increases in population is resulting in increasing demand for energy
consumption.

Despite theh global
l b l economic ddownturn there
hare indications
dthath ddemandd ffor
energy in Papua New guinea will continue to grow.

Recently there is an increase in the solar related energy being consumed byth rurall population.
thel tiThiThis iis bbeingi experienced
id iin areas ththatt d
do nott hhaveaccess to electricity supplied by the country’s three main grids.

There is a greater demand for energy and the demand will still increase in theyears to come.
comeIEEJ：July 2017 © IEEJ2017

Outlook of Energy Supply
Undeveloped Hydrocarbons
Papua New Guinea has more natural gas identified to be developed in thenear future.

Papua New G
Guinea hhas ddevelopedld andd started
d exporting LNG.
G Therehis
significant amount of gas identified under review for commercialisation.

Most of the oil and gas being extracted in the country are being exported .

Policies are needed to meet the increasing demand from the locally extracted
oil and gas at an affordable price.

IEEJ：July 2017 © IEEJ2017

Outlook of Energy Demand and Supply- SupplyPapua New Guinea is predominantly a subsistence base economy. Most
population is found in the rural areas. Here wood is used more as source ofenergy.
energy

50 % of Energy in terms of electricity is supplied from Hydropower and areoperated in isolation by state owned entity, PNG Power. Diesel operated
thermal power plants, gas and geothermal energy plants provide the rest.
Demand far outweighs the supply.

PNG has resources to increase the capacity of energy supply within they Some of the ppotential sources of energy
gy that are yyet to be fullyy
country.
developed are: Solar, Wind, Tidal Waves (Ocean Current), Biomass,Geothermal and Gas.

IEEJ：July 2017 © IEEJ2017

Major issues and difficulties in Formulating Energy Policy•

Structural Reform of the Energy Sector•Energy Investment & Financing•

Political Will and Support•

Bureaucratic Red Tape•pg
Duplicationof roles within the ggovernment agencies

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Contact :report@tky.ieej.or.jp