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The National Airports Corporation (NAC) signed a Memorandum of Understanding (MoU) with the Asian Development Bank (ABD) for Civil Aviation Development Investment Program (CADIP 2) program to commence.

This will be the second phase of airports reconstruction and development under the PNG Government’s Connect PNG Plan.   

Gathered to witness the signing of the MoU for CADIP 2 were heads of various government departments, partners and stakeholders at the NAC Conference at 7 mile in Port Moresby.

The Connect PNG is an initiative of the PNG Government and is to do with three modes of transport in the country, which is air, maritime and land transport.

According to Secretary for Transport, Mr. Ray Mumu, the Connect PNG involves National, Provincial and District roads, airports, ports and other assets in the country.

CADIP 1 was more focused on National Airports while CADIP 2 program will mainly focus on reconstruction and redeveloping of smaller airports and airstrips in all four regions.

“For the start of this year secretary and ADB, we are ready in terms of detail scoping for two airports and we will start putting it out on the market.” Kiponge said.

The first phase of this program saw Momote airport and Vanimo airport amongst others recently upgraded and opened for the traveling public.

Phase 2 will see Gurney, Aropa, Hoskins and Wewak airports being reconstructed and redeveloped further for passenger convenience.

Asian Development Bank Senior Project Officer Ganiga Ganiga said this support will continue.

“We got the scope and budget together with the government approval which will be circulated in MoU internally. That will pave the way for the next steps to get the funding to implement the CADIP 2” Ganiga said.

It (MoU) contains information on the ABD Mission’s findings and agreements reached with Government of PNG on the following;

I. Project scope of works;

II. Cost estimates and financings plans;

III. Implementation arrangements;

IV. Project due diligence

V. Proposed loan assurances and conditions

VI. Draft project administration manual; and

VII. Loan processing schedule.

The proposed CADIP Phase 2, is expected to be financed at an estimated cost of

USD$ 171.5 million (ADB loan of USD$ 162.9 and the Government’s counterpart funding of USD$8.6 million)

The connect PNG is an initiative of the current government and as the country goes into the polls in attempt to elect new leaders into the 11th parliament, the Civil Aviation Development Investment program continues.

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