THE Minister for State Enterprises, Hon William Duma, has announced the execution of agreements between the national airline, Air Niugini Limited, Ok Tedi Mining Limited (OTML), and Pacific Energy Aviation (PEAL) to support the supply of aviation fuel.
This marks a step towards establishing a compliant, sustainable, and consistent jet fuel supply chain, ensuring the smooth operation of Air Niugini’s domestic and international services.
“This is a momentous day for our two state-owned enterprises, working collaboratively and innovatively to achieve an outcome for the benefit of the people of Papua New Guinea,” Minister Duma stated.
“Aviation is fundamental to the economic and social development of Papua New Guinea. It is an essential service and the primary means of connectivity for many parts of the country. Jet fuel is critical to the safe and efficient delivery of air transport. Air Niugini services have been crippled through constant fuel rationing, and thankfully, that is now behind us.”
The aviation fuel supply agreements ensure long-term jet fuel availability, ending disruptions caused by fuel shortages and enabling Air Niugini to operate its schedule reliably.
“Passengers will no longer have to be concerned about Air Niugini’s fuel situation for their flights or possible cancellations,” Minister Duma said.
The agreements, which have been meticulously planned over several months, ensure compliance with rigorous international standards. The aviation fuel supply arrangements will provide a reliable supply chain for at least the next two years. PEAL will manage the facilities for aviation fuel storage, testing, and delivery to aircraft at Jackson’s International Airport.
Jet fuel standards are set by the International Air Transport Association (IATA), based on guidelines from the International Civil Aviation Organisation (ICAO). These standards ensure the quality and safety of jet fuel for the aviation industry. Jet fuel suppliers and distributors in PNG must adhere to these standards and pass regular tests and inspections, licensed through CASAPNG.
Minister Duma congratulated the management teams of both state-owned companies for developing this innovative solution for the supply of jet fuel.
“I would like to express my appreciation to the Managing Director of OTML, Mr. Kedi Ilimbit, and the Acting Chief Executive Officer of Air Niugini, Mr. Gary Seddon, for their perseverance and commitment to developing an innovative fuel solution.”
Mr Ilimbit expressed pride in his organization’s critical role in developing a reliable jet fuel supply chain for Air Niugini.
Meanwhile, Mr. Seddon thanked OTML for taking the initiative in developing this aviation fuel supply chain and expressed gratitude to Minister Duma for his stewardship and foresight.
