A five-member board of directors was sworn in last Friday 18th September, tasked with addressing the state-owned utility’s K1.3 billion debt, improving service delivery and implementing reforms to turn around its financial performance.
The board was appointed by the National Executive Council on August 24, 2026, under NEC Decision 217-2026, and was sworn in at the PNG Power headquarters in Port Moresby last Friday.
Related news: https://www.postcourier.com.pg/minister-maru-directs-new-ppl-board-to-clean-up-culture-of-not-collecting-money/
Magistrate Paul Puri Nii conducted the loyalty declarations.
The five board members are Noel Mobiha, who also serves as Deputy Chairman, John Wau, Lorna McPherson, Dr Clement Waine and continuing member Marlon Brunskill.
Minister responsible for PNG Power Hon. Richard Maru said the new board had been appointed at a critical time and must immediately address the company’s financial position, service delivery and internal performance.
Minister Maru said PNG Power had debts of about K1.3 billion, while its loans were approaching K3 billion, leaving the company with significant financial liabilities.
He said the Government owed PNG Power about K220 million, while other state-owned entities owed a further K43 million.
Minister Maru said government agencies and state-owned entities must move to prepaid electricity arrangements to prevent further accumulation of unpaid bills.
“Government agencies and SOEs must be on prepaid. We cannot continue giving credit,” Maru said.
He also raised concerns over revenue losses, saying PNG Power was losing about 26 per cent of its revenue through technical losses, electricity theft, non-metering and illegal connections.
The Minister said improving revenue collection and ensuring suppliers and independent power producers were paid must be among the board’s immediate priorities.
He also called for a review of PNG Power’s staffing and management costs, saying employees and managers who failed to perform should be held accountable.
“We are looking at HR costs. Management who do not perform must go,” he said.
Minister Maru challenged the board to address frequent power outages and improve fuel procurement and management, saying PNG Power collected about K80 million in revenue each month while customers continued to experience blackouts and fuel shortages.
He also called for greater investment in hydropower and said existing studies and plans must be progressed into actual projects.
“You are not here for a holiday,” Maru told the board.
“You’ve reached the edge of a cliff. You’ve got to turn it around. That’s why you are appointed. I want to see results.”
Kumul Consolidated Holdings Managing Director Professor David Kavanamur said the swearing-in restored a fully constituted board after PNG Power had operated for almost a year without full board oversight.
He said the appointment would strengthen governance, accountability and leadership as PNG Power entered a decisive phase of recovery.
Professor Kavanamur said KCH, as the shareholder, had continued progressing PNG Power through the Government’s approved reform roadmap.
He said six of the seven steps approved under NEC Decision 133-2025 had been completed.
MD Kavanamur said the restoration of a full board would provide the governance structure needed to continue implementing the reforms and improving PNG Power’s performance.
Speaking on behalf of the absent chairman, Deputy Chairman Noel Mobiha said the major challenge facing PNG Power was not a lack of plans, but the failure to implement them.
He said numerous plans and documents already existed outlining how the company could be improved, but the focus must now shift to execution.
“The only way we could fix PNG Power is we fix our staff,” Mobiha said.
He said the board would work to improve staff performance and power supply while ensuring every employee contributed to the company’s turnaround.
Mr. Mobiha stressed the importance of integrity and professionalism across the organization and warned that poor performance would not be tolerated.
“It’s time to implement,” he said.
Mobiha also said managers would be expected to remain accessible and accountable as the company worked to address problems affecting major power feeders in Port Moresby and Lae.
Related news: https://www.thepngsun.com/minister-maru-reveals-financial-crisis-at-png-power/
He thanked the Government for the appointment and said the new board would work with Minister Maru to deliver the Government’s vision for PNG Power.
He said the board’s focus would be on improving the company through “prosperity, integrity and professionalism.”