Increasing access to reliable electricity or energy services in villages can improve livelihoods by creating economic opportunities.

On Monday April 11, 2022, the final version of the Papua New Guinea Regulation for Small Power Systems was handed over to the National Energy Authority (NEA) by United Nations Development Programme to facilitate the promotion of access to affordable clean energy.

Papua New Guinea has set a target for 70% of its households with access to electricity by 2030 and the ‘Small Power Systems’ sets the foundation to achieving this target. The United Nations Sustainable Development Goal 7 (SDG 7) calls for “affordable, reliable, sustainable and modern energy for all” by 2030.

UNDP Resident Representative, Mr. Dirk Wagener said, “Cheaper, cleaner energy for more people improves livelihoods and protects vulnerable communities and fragile ecosystems from the impacts of global warming and climate change. We take this opportunity to thank NEA for continuing the support that was initially provided by the Independent Consumer and Competition Commission (ICCC) in the development of the Papua New Guinea Regulation for Small Power Systems. A first of its kind for the country!”

The Regulation was developed under the UNDP-managed ‘Facilitating Renewable Energy and Energy Efficiency Applications for Greenhouse Gas Emission Reduction Project‘.

The Regulation provides for private and public investments in energy service products including power systems of less than one megawatt (< 1 MW). It allows for the involvement of communities irrespective of the business models to be used. Micro, small and medium enterprises can now look to becoming energy service providers in remote areas of the country, bringing affordable energy services to rural villages. This will unlock a variety of commercial activities in the communities and expand the local economies. Following endorsement by the National Executive Council, the National Energy Authority, will be able to use the Regulation to license mini-grid operators who wish to retail electricity services in remote rural areas.

The Facilitating Renewable Energy and Energy Efficiency Applications for Greenhouse Gas Emission Reduction Project is proudly funded by the Global Environment Facility GEF). It is administered by UNDP in partnership with the Climate Change and Development Authority (CCDA).