Telecoms & IT
From The Report: Papua New Guinea 2014
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While communications will always be difficult in a country where much of the population is geographically isolated and the terrain is so challenging, the relevant infrastructure in PNG is quickly developing towards international standards – and at prices that are near to international norms. For example, prior to competition entering the market, mobile phone SIM cards were sold for $54; however, after a second mobile operator was introduced, prices dropped to around $10. As internet speeds increase, capacity improves and costs come down, ICT is set to become a more integral part of many Papua New Guinean businesses, as they seek to improve their competitiveness. If all goes according to plan, international connectivity is set to receive a major boost, local connectivity will become faster and cheaper, and costs will fall further. It is also likely that consumers will have more choice as new players enter the market. This chapter contains an interview with Jimmy Miringtoro, Minister for Communication & Information Technology.

Articles from this Chapter

Overview

Despite the challenges facing the sector, increased competition and investment are fuelling growth
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The telecommunications sector in Papua New Guinea has changed dramatically in recent years. Until recently the industry was characterised by high prices and slow, inconsistent service, although increased competition is now causing this to change. While communications will always be difficult in a country where many people are geographically isolated and the terrain is so challenging, the relevant infrastructure in PNG is quickly developing towards international standards – and at prices that are…

Interview

OBG talks to Jimmy Miringtoro, Minister for Communication & Information Technology
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Interview:Jimmy Miringtoro As telecoms services become cheaper elsewhere, why do they remain expensive in PNG? JIMMY MIRINGTORO: The telecoms sector had a late start in PNG; at the time of independence the government had different priorities and we are still paying the consequences of that oversight. When the market finally opened up to competition in 2007, Digicel quickly became the market leader. It virtually became a monopoly and, as is often seen in emerging economies, this lead to prohibitive…

Analysis

Establishing stable links and increasing broadband access are priorities
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Much of the work completed to improve Papua New Guinea’s telecommunications sector will help increase connectivity and bring costs under control. The issue of new telecoms licences is set to increase competition, the recognition of so-called declared services will help prevent anti-competitive activity, and the separation of Telikom PNG’s retail and wholesale activities will help stimulate a more vibrant market. However, the creation of the National Transmission Network (NTN) will likely be the…