A new Joint Implementation Unit (JIU) between the Australian Infrastructure Financing Facility for the Pacific (AIFFP) and Papua New Guinea’s port authority, PNG Ports Corporation was opened by Minister for State Enterprises Hon. William Duma MP.
Co-located with the PNG-Australia Partnership’s Transport Sector Support Program (TSSP), the JIU will leverage bilateral aid delivery expertise to support the implementation of maritime investments across key national ports including Kimbe, Oro Bay, Daru, the Lae Tidal Basin, and Kavieng, to improve connectivity and supply chain efficiency, enabling economic and social development for rural communities in PNG.
Australia’s investment in PNG’s port infrastructure upgrades through the JIU between PNG Ports and AIFFP is an estimated PGK966 million.
Minister Duma expressed confidence that the JIU would set an example for other investments in Papua New Guinea.
“I want the rest of the country to see this as a model and use this as a template when using funds from our friends in other countries,” Minister Duma said.
Australian High Commissioner to Papua New Guinea, John Feakes said the JIU represents a major advancement in improving the quality and efficiency of AIFFP-funded port infrastructure projects.
“We are judged on our ability to deliver and I’m looking forward to the Kimbe Port Marine works contract being approved by NEC this year and for construction commencing in early 2025. I hope that through the JIU and through similar approaches in PNG we can start to deliver transformational infrastructure across ports but also through energy and telecommunications,” High Commissioner Feakes said.
First Assistant Secretary DFAT and Head of AIFFP, Jonathan Kenna said AIFFP’s infrastructure investments use a mix of both grant financing and debt financing that work best in close partnerships with a joint commitment to quality.
“This approach is reflective of the broader partnership approach that Australia and PNG take across a wide spectrum of engagement that is timely, cost effective, climate resilient and that has to encourage the participation of local communities and deliver to their needs”.
“We have a partnership that is strong enough to evolve and adapt as we encounter the complexities of these projects and the combination of contributions that come together in this JIU will set us up for success,” Mr Kenna said.
By integrating the expertise of PNG Ports, TSSP, and the AIFFP PMO, the JIU will significantly enhance the program's procurement and contract management capacity, ensuring the successful delivery of maritime investments through to 2027.
This collaboration will better support program delivery, resource allocation, and leadership, fostering a culture of continuous improvement and ensuring superior project outcomes.
Minister for State Enterprises Hon. William Duma MP and Australian High Commissioner to Papua New Guinea, John Feakes, cut a cake at the opening of the Joint Implementation Unit (JIU).
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