Department of Petroleum and Energy

At the Chamber of Mines and Petroleum Community Affairs and Media workshop held this week in Port Moresby, the need of a restructure was highlighted.

The Secretary for Department of Petroleum and Energy, David Manau in a presentation presented that the current structure was set up in 1978 and was outdated.

He raised that many senior and highly qualified and experienced technical officers such as engineers, geologists, lawyers, accountants, and economists are paid below Grade 10 pay level than technical officers at other government Departments.

Secretary for Department of Petroleum and Energy, David Manau yesterday highlighted the key challenges at the opening of the two-day Community Affairs and Media Workshop held in Port Moresby.

The challenges currently faced are landowner issues, legacy issues, capacity and funding constraints and lack of data.

This follows recent press coverage on DPE Acting Secretary, Kepsie Puiye, stressing ‘overwhelming evidence’ that the PNG LNG had the potential to expand.

Puiye has been reported saying here is possibility of a third new LNG with the second LNG, Papua LNG having a potential gas reserves of 6-7TCF (trillion cubic feet) set to begin.

Similar discussions have also been made by Oil Search Managing Director, Peter Botten, and Kumul Petroleum Holdings (KCH) Managing Director, Wapu Sonk,  on the reserve of oil and gas in the country recently.

He told Loop PNG that so far, the PNG Chamber of Mines and Petroleum has shown its support to him for the establishment of the authority.

“What that means is that the industry will put the money up front to bring in short term consultants who will basically focus on setting up the authority.”

He says this means they will do all the necessary work, like the drafting of the bill, which will give legal meaning to the operation of the new authority.

Though a small ceremony, the new office space for the GPCO is hailed a significant milestone not only for the institution but the oil and gas sector.

GPCO Director, Peter Koim, said he was happy with the new office space, which will boost the morale of staff to perform.

The office will also house the Minister for Petroleum & Energy and his staff as well.

General Manager Strategy and External Affairs, Hulala Tokome (pictured), told Loop PNG  that a comprehensive land, air and sea survey has evaluated the extent of the oil spill spread from a sub-sea hose connected to the pipeline which feeds its Kanudi Terminal facility.

Acting Secretary, Kepsy Puiye, says this has resulted in a lack of efficiency and coherence.

“We have serious issues in terms of our capacity, in terms of our human resources, in terms of infrastructure needs.

“On the other hand, you will find that the industry demands the best or demands a lot from us.

“And they have the right to demand that because they are investing billions of dollars into our country.”

Kepsie said improving their capacity is one of the major dilemmas he currently faces.

President, Gerea Aopi, welcomed the comments by Petroleum and Energy Minister, Nixon Duban, that the transformation process is on the Government agenda.

Minister Duban was quoted in the media yesterday that a budgetary allocation of K2 million was invested for the transformation. However, the process could be concluded after the swearing in of the new government after the 2017 Elections.

President Aopi said the Chamber and Industry stands ready to collaborate with the Government to work through this initiative to bring to fruition.