Prime Minister Peter O’Neill has denied claims made by the Leader of the Opposition Patrick Pruaitch that the United States government was pulling out of the PNG Electrification Partnership.
He said what Pruaitch has said is misleading and untrue.
The Prime Minister said the statement lacked evidence, and challenged the Pruaitch to prove it.
The leader of the Opposition recently claimed that the Government had placed the PNG Electrification Partnership in jeopardy by awarding power projects to companies from China without calling for open and competitive tendering.
He alleged that this has given rise to problems because the National Executive Council has approved the Ramu-2 hydroelectric project, which is uncompetitive against gas-fired power and other energy sources.
The 180-Megawatt Ramu-2 hydroelectric project was awarded to a Chinese company, Shenzen Energy, at a projected cost of US$800 million.
The signing of the PNG Electrification Partnership deal between PNG, the US, Japan, Australia and New Zealand was a highlight of the 2018 APEC Summit in Port Moresby.