93490 Papua New Guinea Energy Sector Development Project Improving renewable energy and access to electricity across PNG. Development of a Renewable Background Energy and Rural Electrification Papua New Guinea is one of the least urbanized countries in the world with approx. 85 percent of the Policy and Strategy. population living in sparsely populated rural areas with low access to infrastructure. The country has a dual economy, with a formal sector focused mainly on the large-scale export of natural resources and Technical assistance to facilitate an informal sector based primarily on the subsistence activity of the majority rural population. more reliable power supply on existing power grids. Energy is a cross-cutting sector which affects all households, businesses, and industries in Papua New Guinea. The demand for electricity on the Port Moresby grid has grown rapidly in recent years and is Promote a socially-sustainable predicted to continue for several years to come. and gender-equitable energy sector. Effective development of a sustainable energy sector providing increased electricity access and more reliable power supply through existing grids, would deliver broad social development benefits for households in both urban and rural areas, as well as positive impacts on the formal economy. About the Project The objectives of the Energy Sector Development Project are, through technical assistance, to strengthen the policy development and strategic framework for renewable energy and rural electrification, and to attract investors for the sustainable development of a new hydropower generator that will supply the Port Moresby grid. The project has two components: 1. Technical assistance the energy sector policy and strategy development Location: The project will This component focuses on the policy and strategy of the electricity sector with a focus on rural and support renewable energy and renewable energy in PNG. It will also provide capacity building for the Government of PNG’s role in access to electricity throughout development of the Naoro Brown hydropower project. Papua New Guinea 2. Technical assistance for preparation and planning for Port Moresby hydropower supply This includes the preparation of the Naoro Brown hydropower project (approximately 80MW) to Approval Date: 21 February 2013 supply the Port Moresby grid, and improved planning related to hydropower supply for Port Moresby. Closing Date: 31 January 2018 There is a strong emphasis on consultation, including targeted consultations with women, both in the development of policy and strategy , and in planning for the planned Naoro Brown hydropower Total Project Cost: US$8.35 project. This promotes socially-sustainable, gender-equitable energy sector development that million explicitly factors in the needs and concerns of both the formal and informal elements of the economy and traditional PNG society. Donors: World Bank (International Development This technical assistance will directly support the development of energy sector policy in PNG by Association)—US$7.3 million government and institutions . Its successful completion will support more reliable, affordable and sustainable access to electricity for Papua New Guineans, especially for those living in rural areas. Implementing Agency: Department of Petroleum and Energy and PNG Power LTD Contact: World Bank Task Team Leader www.worldbank.org/pg Senior Energy Specialist Robert Aiello, raiello@worldbank.org