Lae power station

From Global Energy Monitor

Lae power station is a proposed 60-megawatt (MW) coal-fired power station in Morobe province, Papua New Guinea.


The map below shows Lae in Morobe province, the approximate location where the plant would be built.

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Background on Plant

Since 2014 Australian-based Mayur Resources has proposed the establishment of an "Enviro Energy Park" in the industrial hub of Lae, Morobe province, Papua New Guinea (PNG). In October 2018 a memorandum of agreement (MOA) for the project was signed between the company, the Lae City Authority, and the Morobe Provincial Government. The MOA details plans for a new 60 megawatt power station, with the ability to burn coal as well as use biomass, solar energy, and by-product heat. Coal may come from PNG Gulf Province's Depot Creek. If the projects are built, they would mark the first coal-fired power plant and coal mine in the country.[1]

Mayur Resources said it had completed a feasibility study, selected a site, secured environmental approval, and received bids for the construction of the facility. However, a Power Purchasing Agreement (PPA) still needs to be signed by national electricity provider PNG Power before energy can be sold to the country's grid.[1]

The plant is supported by Energy Minister Sam Basil and Gulf Governor Chris Haiveta, but must be approved by PNG Power Limited, which requires competitive bidding of planned generation, transmission, and distribution investments.[2]

According to the Mayur Resources website (November 2019), construction bids had been received and the Power Purchase Agreement (PPA) was submitted to PNG Power and under review. For the site location, a lease had been taken out with PNG Ports at Lae Tidal Basin.[3]

The project has been criticized by environmental groups over its environmental impacts and high costs. Mayur Resources had dismissed the concerns and says it hoped to gain approval for the project in 2021.[4]

Project Details

  • Sponsor: Mayur Resources
  • Parent company:
  • Location: Lae, Morobe province, Papua New Guinea
  • Coordinates: -6.733333, 147 (approximate)
  • Status: Permitted
  • Capacity: 60 MW
  • Type:
  • Start date:
  • Coal Type:
  • Coal Source: Gulf Province's Depot Creek, PNG
  • Source of financing:
  • Permits and applications:

Articles and resources


  1. 1.0 1.1 "The Australian company pushing to open Papua New Guinea's first coal-fired power plant," ABC Australia, 18 Oct 2018
  2. "Duma backs Mayur proposal and asks PNG Power to consider coal project," The National, April 2, 2019
  3. "Enviro Energy Park," Mayur Resources, accessed November 2019
  4. "Despite criticism Aust coal-miner confident of PNG go-ahead". RNZ. 2020-09-28. Retrieved 2020-11-17.

Related articles

External resources