Transport, Telecommunications and Related Infrastructure
The Government continues to allocate priority
to the development of a solid infrastructure
despite the generally inhospitable terrain
in Papua New Guinea. The country is vast
in size yet small in terms of its revenue
base. Resource allocation for the development
and maintenance of infrastructure is a constant
challenge for the Government.
Transport and Freight Facilities
The principal modes of transport are provided
by airline and shipping companies though
road transport services provide a vital
service to some parts of the country, particularly
in the Highlands.
The rugged mountain ranges on the mainland
have inhibited the development of an extensive
road network and there is no major road
linking Port Moresby with the rest of the
mainland yet, though development of this
major link is underway. An important highway
however links the industrial city of Lae
to the important Highlands towns of Goroka
and Mt Hagen, among others. The Highlands
is the most densely populated region of
the country and this road system is the
main thoroughfare for commercial distribution
and marketing purposes.
Internal air transport is provided by the
national airline, Air Niugini, and a number
of other privately-owned third level carriers.
There are reliable air services available
to all the main population centres. International
flights are handled at Port Moresby, Mt
Hagen in Western Highlands, Gurney in Milne
Bay and Daru in Western province. Air Niugini
operates regular services to several Australian
cities as well as to Singapore, the Philippines,
Hong Kong and the Solomon Islands. Other
international airlines operating in Papua
New Guinea are Qantas and Solomon Airlines.
Most airlines offer freight facilities on
Coastal shipping services are comprehensive,
employing almost 250 vessels, some of which
are containerised. These ships operate between
the 17 ports along the coastline of the
mainland and the islands. International
shipping lines operate regular freight services
to and from South East Asia, Japan, Europe,
New Zealand, the South Pacific and Australia.
The major ports of Lae and Port Moresby
are regarded by users as very efficient.
The telecommunications system, run by the
Government owned Post and Telecommunication
Corporation (PTC), is highly-developed.
Many international companies operating in
Papua New Guinea have commented favourably
on the system's reliability and performance.
Direct dialling is available to almost
all parts of the country and with the assistance
of solar-powered microwave transmitters,
is very effective. International direct
dialling is also available from most centres.
International and domestic facsimile, telex
and postal services, are also very efficient.
PTC has begun a phased introduction of mobile
Electricity is supplied in Papua New Guinea
by the Government owned Papua New Guinea
Electricity Commission, known as Elcom.
It operates about 20 independent power systems
serving 27 urban centres, representing approximately
50,000 industrial, commercial and domestic
About 80 per cent of the electricity is
generated by hydro power stations and most
of the balance by thermal stations. Solar
power is used extensively for the supply
of domestic hot water systems.
Exciting new developments are on the horizon
as Elcom investigates alternative forms
of energy supply for consumers. In particular,
the country's vast reserves of natural gas
are being seriously considered as an economic
alternative to the current supply forms.
The Government body known as the Industrial
Centres Development Corporation (ICDC) has
fully serviced premises available for occupation
by industrial and manufacturing businesses.
Refer to the information about institutional
framework in Section 11 for more information
about the ICDC. The first completed centre
is located in Lae, Morobe Province. Investors
are encouraged to contact the ICDC for further
information about the special investment
incentives packages available for businesses