The transport networks serving Papua New Guinea (PNG) are set to receive a $1bn overhaul as the country moves to install the infrastructure needed for the next phase of its economic development.
The billion-dollar funding, which was allocated to the Department of Works (DoW) in the 2014 budget, will finance a broad range of projects. Highways and upgrades of urban centres will be prioritised, together with infrastructure to support planned strategic hubs and improve connectivity. The government is looking to develop Port Moresby for business ventures, while Lae and Mt Hagen will be expanded to accommodate industry and mining initiatives, respectively.
On the move
A rapid rise in the number of cars and trucks has highlighted the road infrastructure gap. Annual sales of vehicles from registered garages rose by 72% between 2009 and 2012 to reach 10,503 units, the PNG Motor Traders Association told OBG. Moreover, this figure could well under-estimate the number of additional vehicles on the road, as it does not include undocumented private sales and a growing number of imported second-hand cars.
The vast majority of transactions were for commercial vehicles, which at 25,352 units accounted for 77% of overall sales between 2009 and 2012, followed by light trucks (10%), heavy duty trucks (7%) and passenger vehicles (6%). Growth over the three-year period was most rapid in heavy duty trucks (147%) and passenger cars (77%), although from a smaller base than commercial vehicles.
About a quarter of sales were in PNG’s second city of Lae, located at the start of the 700-km Highlands Highway. The country’s primary roadway, the Highlands Highway links Lae to Mt Hagen and liquefied natural gas (LNG) operations and is proving to be a major challenge for drivers. Despite the priority tag, remedial work on the roadway will take several years to complete.