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Electrification Program

Ihu SEZ Electrification Program​

 

The Ihu Special Economic Zone (ISEZ) prioritizes sustainable development, and a key element of this vision is the Ihu SEZ Electrification Program. This program aims to provide a reliable and sustainable power source that fuels the projects positive impact on human, social, and economic development in the region.

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Building a Brighter Future

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  • Robust Power Grid: Develop a reliable power grid within the ISEZ using a combination of renewable and diesel sources (initially) with a long-term transition to cleaner-burning natural gas.

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  • Strategic Locations: Establish power generation, transition, transmission, and distribution networks in key areas like Ihu Station, Popo, and Orokolo.

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Harnessing Resources, Empowering People

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  • Low-Cost, Reliable Power: Generate its own power using the 5% DMO allocation from the Papua LNG Gas Agreement, ensuring a steady and cost-effective energy supply for industries within the ISEZ.

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  • Investment Magnet: Attract businesses by offering reliable and affordable power, positioning the ISEZ as an attractive investment destination.

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  • National Development: Generate excess power capacity that can be exported to other parts of Papua New Guinea, contributing to the nation's overall development.

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  • Empowering Communities: Improve living standards of local residents through the Rural Town Housing Scheme, facilitated by the electrification program. This prepares them for opportunities associated with large-scale projects and empowers local communities within the ISEZ's vicinity.

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Sustainability at the Core

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  • Smooth Transition: Prioritize a smooth and responsible transition to gas-based power generation.

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  • Efficiency: Optimize the conversion process to minimize waste and maximize efficiency.

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  • Environmental Safeguards: Implement stringent environmental impact assessment and safety measures to ensure the project's long-term sustainability.

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​Powering Progress Through Partnership​

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The Ihu SEZ Electrification Program takes a significant leap forward through strategic partnership:

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  • Expert Partners: Secure key partners to manage program execution, encompassing feasibility studies, engineering design, procurement, and financing.

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  • Strategic Alliance with KPHL: Leverage Kumul Petroleum Holdings Limited's (KPHL) expertise in infrastructure development, energy projects, and project financing for a stronger program foundation.

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Exploring Sustainable Solution:

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Committed to a sustainable future, ISEZ is actively exploring various clean energy options:

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  • Upper Vailala Hydropower Project Feasibility Study: Partner with Snowy Mountain Engineering Consultants (SMEC) to launch a feasibility study in Q4 2024, assessing the viability of this large-scale renewable energy source.

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  • Comprehensive Energy Option Study: Conduct an IFC-backed study analyzing the feasibility of various power generation options, including hydro, wind, solar, gas, and the potential utilization of the 5% DMO Gas from Papua LNG Porject.

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  • Wartisla PNG Partnership: Gain technical, operational, and management support for exploring thermal power generation options as part of the overall energy mix.

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The Path to Transformation:

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Fueled by strong partnerships and a commitment to sustainability, Ihu SEZ Electrification Program is poised to transform the region. By Providing a reliable and clean power source, this program will unlock the ISEZ's full potential, empowering local communities, and contribute to Papua New Guinea's long-term development.

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