Cost of electricity to come down this year: PM

By MATTHEW VARI

Wednesday, February 11, 2015 (Midweek Chronicle, PNG)

PRIME Minister Peter O’Neill revealed in parliament yesterday that the cost of electricity is expected to go down in the city of Port Moresby.

This follows the initial signing between the LNG operator ExxonMobil and the national government to supply 75 megawatts of additional electricity supply into the country.

The Prime Minister indicated that before the Pacific Games the first additional load of 25 megawatts would be channeled into the city to maintain constant supply for the duration of the major event.

He added that by the end of the year, an additional 40 megawatts would be added to the 75 provided to meet more than enough of the city’s needs for electricity.

“Before June this year and the time when the Pacific Games comes into play, we will have the first 25 megawatts of additional power which will give us a buffer to supply the city and its residents with power so we will not have interruption during that period,” the Prime Minister said.

“It will be a much welcomed relieve and also will save us the embarrassment for us when we hope the major events.”

“Second part is that before the end of the year Exxon Mobil will supply further 50 megawatts of power, so it will more than adequately supply power to Port Moresby.”

He assured that the reduction in the cost of electricity generation is expected to go as low as 50 percent in fuel costs currently and will be passed on to the consumers.

“The good thing about this understanding is that the cost of power is expected to come down, supply of fuel cost to about 40 to 50 percent,” O’Neill said.

“We are encouraging PNG Power to pass that savings to the customers so that our businesses and residents can pay a much cheaper power costs when they consume power.”