Generation

Thermal Generation

PNG Power continues to upgrade the diesel powered generation in regional centres. Generating units were installed at regional centres including major investments at Kokopo, Madang, Alotau, Samarai and Daru.

A new diesel power station for the Gazelle system was recently commissioned to improve the reliability of supply to this region of East New Britain. The power station is at Ulagunan about four kilometres from Kokopo and had a total project cost of K21m.

The Gazelle network system is supplied by a run of the river hydro power station at Warangoi and by diesel generation plant. When the river flow dependent hydro plant is unavailable such as during the dry season, the region is dependent upon supply from the diesel generation plant. In addition, the deteriorating state of the Warangoi to Kokopo transmission line compounded the supply reliability problems resulting in frequent and sometimes prolonged outages. The new power station allows PNG Power to maintain supply to the region when the hydro generation plant or the transmission line is not operational.

PNG Power also initiated an increase in the standby power generation capacity at both Lae and Madang. The standby power units provide power when there are supply interruptions from the Yonki hydro power station.

Three new diesel generating units were sourced for Madang and one of the existing large diesel units was extensively refurbished. This capacity increase allows PNG Power to supply Madang independently of the Yonki hydro supply if required.

In 2003, PNG Power purchased six 3MW generators from Misima Mines. These units were dismantled and shipped to Lae where they are being installed in the Lae power station. The addition of this 18MW to the existing standby generation capacity will allow PNG Power to maintain supply to Lae independently of Yonki hydro generation.

Hydro Generation

Hydro power provides the base power generation capacity in the Port Moresby, Ramu and Gazelle systems. However, much of the hydro plant is in excess of 30 years old and has not been appropriately maintained or refurbished because of the previously poor financial position of PNG Power.

With the improving financial position, PNG Power was able to invest in the resources necessary to establish and implement a program of condition assessment, maintenance planning and refurbishment.

Rouna 2 Hydro Power Station

Rouna 2 is a 30MW (5x6MW) power station built 40 years ago and is the largest hydro power station in the Port Moresby system. Poor plant condition results in poor availability and utilisation and increased generation costs through the need for increased diesel generation.

In 2004, the PNG Power Board and Management initiated a program to refurbish or replace the Rouna 2 facility. International engineering consultants were appointed to develop engineering and contract specifications. In August 2005, PNG Power called for tenders for the overhaul of the power station. Tenders closed in early 2006 and several proposals were received from international engineering contractors.

In September 2006, PNG Power signed a contract with VA Tech of Austria for the refurbishment of the Rouna 2 power station at an estimated cost of K118m (including PNG Power engineering and project management costs). The project is scheduled to take 30 months.

The refurbishment and equipment replacement project will provide an increase in energy output through improved turbine and generator efficiency - reducing the requirement for diesel generation in the Port Moresby power system.

Ramu 1 Hydro Power Station

The Ramu 1 power station at Yonki in the Eastern Highlands provides power to the Highlands, Morobe and Madang regions through over 700 kilometres of transmission lines of the Ramu electricity grid.

As a result of age and poor maintenance, the Ramu 1 power was not performing efficiently and reliability. PNG Power engaged international hydro power consultants to review the current state of the plant and to provide guidance on operational management of the facility and an appropriate maintenance management program.

PNG Power progressively implemented the recommendations of the consultants in a comprehensive heavy maintenance program that continued through 2006 and cost in excess of K10m.

Ru Creek Hydro Power Station

PNG Power also refurbished the Ru Creek mini hydro power station near Kimbe in West New Britain. This mini hydro facility supplements the diesel generators at Kimbe and provides about 20% of the power requirements in this regional centre.