Prime Minister, Peter O’Neill, says the purchase of two 26.2 megawatt power generators at a cost of K94 million, is yet another good deal entered into by his government, buying the generators at a reduced price.
He said it was done to address continuous power outages faced by Port Moresby and Lae. He challenged Namah to come up with alternate policies on how this issue can be addressed, instead of always disagreeing with every transaction his government does.
Prime Minister, O’Neill, said the purchase of these generators is a short term approach to address power issues, but in the long term, his government will expand capacity in existing hydros, build a new Hydro at Brown River, and the government is concluding arrangements with Exxon Mobil, to power up parts of PNG using our own gas.
He further said government departments owed millions in unpaid bills to PNG Power and the K94 million transaction will off-set these debts. He said LR group was acting as an agent of Israeli Electric, as they do not have representation in the country.
Israeli Electric is a big buyer of electrical goods from General Electric Corp, a multi-million dollar US company, and PNG went through Israeli Electric to purchase the generators at a low price. He said the generators were already on the ship to PNG.