Confirmed: PNG PM to launch K4.4 Billion ISEZ project
Prime Minister James Marape is expected to formally launch the K4.4 billion Ihu Special Economic Zone (ISEZ) project in Gulf Province.
Member for Kikori and Minister for Foreign Affairs and International Trade Soroi Eoe confirmed on Wednesday that the Prime Minister will be launching the ISEZ project on the 19th of February.
“Prime Minister, Honourable James Marape has accepted our invitation to visit the project site to formally launch the project program, and will also officially open other completed projects by Kikori DDA,” Minister Eoe said.
He added that the national executive council has approved the ISEZ project with Public Investment Program funding of K100 million over the next five years to kick-start the project.
This funding has been allocated to seven critical capital infrastructure projects (CCIPs). These projects include; a multi-user strategic port facility, a new airport for national flights, new industrial urban town development, water supply and reticulation system, power generation and reticulation system, and a ring road connecting all critical infrastructure and telecommunications.
These CCIPs shall deliver goods and services quickly to some of the most neglected parts of the country since independence. The areas include difficult riverine regions in Gulf and Western provinces, as well as inaccessible mountain regions of Gulf, Morobe, Eastern Highlands, Simbu, SHP and Hela.
“ISEZ project is now fully a funded National Government project. The project has now moved from Phase 1; which was concept development to Phase 2; Project Planning and Implementation,” ISEZ Project Director Peter KenGemar said. He added that Phase 2 has kick off in January 2021 with a major awareness program targeting impacted communities of Ihu LLG, Baimuru LLG, East and West Kikori.
Project impacted area landowners will be required to sign formal consent forms as a prerequisite for the project to rollout major Phase II work program activities.
Activities involved in Phase 2 also includes social mapping and land investigation studies as well as NID and ILG registration. The project will also undertake environmental impact and full feasibility studies as well as initiate SME incubation for impacted communities.
Located between the Vailala and Purari Rivers, the ISEZ project covers over 85, 417 hectares of land and 130 square nautical miles of sea area. It is estimated that the economic projects hosted within ISEZ will generate K10 to K12 billion in government revenue annually upon completion of the first stage of development. In addition to attracting foreign direct investment in downstream processing activities, the project will create long term value for national SMEs and cottage industries that service large industries. The project is expected to create 250 000 jobs directly and 250 000 jobs indirectly with associated technology and skills transfer.
Kikori district hosts the Kutubu Oil export pipeline and terminal, PNG LNG Project pipeline, and will soon host the country’s second LNG project in Papua LNG and Pasca Gas Condensate Project. However, despite these large extractive industries, the district’s 51,000 men, women and children remain in dire need of basic infrastructure development and service delivery.
Minister Eoe is optimistic that the seven new critical capital infrastructure projects associated with the development of ISEZ will turn things around for his people.
“On the back of these setbacks over many years, the new Kikori District administration under my leadership, as the mandated political leader of the District and electorate have pursued forward planning and developed program for infrastructure development in the District,” he said.
*On our next article we will examine actual industrial activities that the ISEZ Project is programing and promoting to attract Government funding.
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