Author: OBG Admin

Mark Geilenkirchen-CEO-Port of Sohar

Expanding the role of renewable energy in PNG

Posted OBG AdminPosted in Uncategorized

For a country that relies heavily on hydrocarbons exports as a major revenue stream, Papua New Guinea has an electricity sector surprisingly reliant on renewable energy. This is more from necessity than from any overriding imperative to develop clean energy; PNG has little in the way of tailored incentives like feed-in tariffs or a “green certificate” scheme for producers of clean energy. Instead, the wide availability of renewable sources – mainly hydro and geothermal – combined with the absence of a local coal mining industry and presence of an export-heavy oil and gas sector, have led to an energy mix heavily weighted towards green energy.

Chaim Zach-Managing Director and CEO-Agric International Technology and Trade; Kabiru Rabiu-Group Executive Director-BUA Group; and Aliyu Abbati Abdulhameed-Managing Director

Satellites deliver ICT service, overcoming PNG’s challenging terrain

Posted OBG AdminPosted in Uncategorized

Although Papua New Guinea’s mountainous topography and existing digital infrastructure gap have been a major impediment to the expansion of internet coverage, satellite and microwave technology are creating promising opportunities for service providers. The government has already moved to create a microwave link for its planned National Broadband Network (NBN). At the same time, satellite broadband services represent perhaps the most high-potential channel for future rural service and capacity expansions in PNG, with several new deals signed in recent months. Digital Deficit Internet penetration is low in PNG, and World Bank data shows that just 6.5% of the population used the internet in 2013, while

Pham Hong Hai-CEO-HSBC Vietnam

PNG’s mining industry promotes growth in transport

Posted OBG AdminPosted in Uncategorized

The recent surge of natural resources out of Papua New Guinea, along with the inflow of manpower and material needed to develop industrial infrastructure, is fuelling demand for transportation and logistics services internally and internationally. Although the country lacks established international trade hubs and the associated scales of economy, the lure of PNG’s lucrative resources remains incentive enough to establish more efficient transportation links from which to boost international trade. The ongoing expansion of PNG’s extractive resource industries, which often provide the impetus for greater transportation connectivity, is also being aided by basic organic trade growth through a growing list of international trade agreements, both

Nhon Luc Ly-CEO-AIA Myanmar; Son Nguyen-Country President-Chubb Life Insurance Myanmar; Daw Zarchi Tin-CEO

Maritime operators boost PNG’s economy

Posted OBG AdminPosted in Uncategorized

Some 15 of PNG’s 22 provinces are coastal or island provinces, with these regions also home to around 60% of the country’s inhabitants. Thus, road links outside the main cities are sparse, and commercial and passenger traffic from the periphery to the country’s urban centres is often done by sea. Furthermore, PNG occupies a strategic position on north-south routes between northern Asia and Australia and New Zealand. Major international shipping lanes cross the Bismarck Sea, which lies to the north of mainland PNG and encompasses New Ireland and Manus Island, and the Solomon Sea, between the mainland, New Britain and Bougainville. Maritime Nation The two

Éric N’guessan-Managing Partner-EY Côte d’Ivoire

Mobile broadband jumps ahead of fixed-line services in PNG

Posted OBG AdminPosted in Uncategorized

According to the International Telecommunication Union, only 6.5% of Papua New Guinea’s population uses the internet, with those accessing internet services via a fixed-line connection standing at just 1%. One of the factors behind low penetration has been a lack of network availability outside of the main cities, where around 80% of the population resides. A more prohibitive factor has been high subscription and data costs for relatively poor speeds and network quality, with the National Information and Communication Technology Authority (NICTA) reporting that wireless broadband costs between 20% and 80% of the average citizen’s monthly income, while a fixed-line service equates to an even

Mohammed El Etreby-Chairman-Banque Misr

International events in PNG spur airport expansion

Posted OBG AdminPosted in Uncategorized

Although Papua New Guinea’s public infrastructure investment has focused more on road upgrades until recently, the country’s dual hosting duties for the 2015 Pacific Games and 2018 APEC Summit have made airport upgrades a top priority. Ongoing construction is expected to see the number of airports offering international connections in the country increase from just one to three, easing congestion at the over-crowded Port Moresby International Airport (PMIA), while Nadzab Airport of the secondary city, Lae, is also set for a major facelift and the construction of a new airport city that will boost multi-modal connectivity. Funding presents the most serious challenge to planned expansion

Emmanuel Macron-President of France

PNG expands transport projects to ease flow of goods

Posted OBG AdminPosted in Uncategorized

As the largest trading economy in the Pacific region, with links to Australia, Pacific island nations and Asian economies, it is essential that Papua New Guinea have efficient transportation and logistics infrastructure to maximise its trade potential. PNG’s economy is dependent on international trade, both in terms of revenue generation from exporting energy, mining and agricultural products as well as relying on imports from Australia and other countries for food, machinery and equipment. International Story The country’s interdependence is expected to continue, given the trend of increased trade within the Asia-Pacific region. Interconnectivity between Asia and Western markets has improved over the past few decades

Mohammed El Etreby-Chairman-Banque Misr

PNG gets to work building affordable housing

Posted OBG AdminPosted in Uncategorized

First-time and low-income homebuyers in Papua New Guinea face significant obstacles to property market entrance. A five-year construction boom due to the recently completed PNG liquefied natural gas (LNG) project placed upward pressure on inflation, rents and property prices, while the nation remains one of the poorest in the Pacific, putting homeownership out of reach for the majority of citizens. However, with robust GDP growth forecast for 2015 on the back of new energy revenues, the government is moving to address the affordable housing shortage, launching a host of new initiatives aimed at expanding home ownership across the country. Although some challenges persist, particularly in

Éric N’guessan-Managing Partner-EY Côte d’Ivoire

PNG’s contractors are busy preparing for the 2015 Pacific Games

Posted OBG AdminPosted in Uncategorized

The construction boom from the Papua New Guinea liquefied natural gas project may be slowing after years of fast growth, but the sector is still in the midst of expansion, led by infrastructure projects ahead of the 2015 Pacific Games. An opportunity to showcase the country’s rapid development and natural beauty, the games prompted major upgrades to stadia and transport networks, to the benefit of private contractors. Winning Bid The games, which took place July 4-18, 2015, attracted more than 3000 athletes and thousands of spectators from 21 neighbouring Pacific nations, with 28 separate sporting events. This marked the third time that PNG had hosted

Pham Hong Hai-CEO-HSBC Vietnam

PNG real estate prices rise with rapid urbanisation

Posted OBG AdminPosted in Uncategorized

The residential real estate sector has soared in recent years, as the government wrapped up construction on the $19bn PNG liquefied natural gas (LNG) project in Port Moresby. With rents and home prices showing a sharp increase, there is a growing concern that home ownership remains out of reach for the average citizen. If the strong GDP growth projections for 2015 are any indication, PNG will continue to grapple with elevated residential prices. While inflation is expected to ease in 2015, an ongoing shortage of mid-range and affordable housing units will see residents confronted with high property prices, though government efforts to roll out new