PPL to ensure revenue generation

PNG Power Limited says it is working to ensure it generates revenue out of power purchasing agreements (PPA).

This is by ensuring that there are customers who are actually paying for the service.

PPL acting CEO, Alex Oa, says with a PPA it must ensure that all its electricity is sold.

The state entity currently has a PPA with Oil Search for the biomass fuel project in Markham, Morobe Province, to supply the Ramu power grid with 30 megawatts of renewable, biomass-fired power.

Oa says they working to ensure there is a revenue base for them.

“We have to make sure all the power is sold because there’s an agreement and if we don’t have customers, we will have to pay for it,” said Oa.

Meanwhile, the biomass project is expected to be completed and functional in 2019.

Front End Engineering Design (Pre-FEED) was scheduled to be completed mid this year and a final decision to be announced at the end of 2017.

Oa says discussions with Oil Serach are ongoing.

Cedric Patjole