Papua New Guinea Energy Information

Papua New Guinea Energy Research

- Papua New Guinea's Energy & Climate Policy Framework: PNG aims for 57% renewables in power mix by 2027 and carbon neutrality in energy sector by 2030. The government is implementing strategic plans to boost renewables, energy efficiency, and regulate oil, gas, and electricity sectors.

- Papua New Guinea's Energy Companies: "PPL, PNG's state-owned power utility, holds 50% of electricity generation capacity, while Oil Search and ExxonMobil lead the oil and gas sector. PPL faces insolvency and tariff challenges, with independent producers and auto-producers supplementing capacity. The energy sector includes upstream, midstream, and downstream operations, with KPHL representing state interests in oil and gas projects."

- Papua New Guinea's Energy Supply & Demand: PNG's power grid is fragmented, with frequent outages. Oil dominates energy use (45%), followed by gas (17%) and biomass (35%). Electricity generation is 4.6 TWh, with oil (51%) and gas (25%) leading. The grid suffers from high transmission losses. Gas production is 14 bcm, mostly exported as LNG. GHG emissions rose to 12 MtCO₂eq in 2023.

- Papua New Guinea's Energy Use & Price by Sector: In 2023, PNG's final energy demand reached 3.3 Mtoe, with biomass and petroleum products dominating supply. Residential, commercial, and agricultural sectors accounted for 55% of consumption, while electrification remained low at 19%. Industry and transport saw increased reliance on oil products. Energy prices have fluctuated, with transport fuel costs decreasing post-2023.

- Papua New Guinea's Issues & Prospects: PNG plans to expand its energy sector, with projects including the P’nyang gas field and a second LNG plant. Electricity targets aim for 2 GW by 2030, with 70% grid access, and 4.6 GW by 2050, dominated by renewables. Key projects include gas, hydro, and geothermal initiatives, supported by international funding.

Papua New Guinea Total Energy Production & Consumption

Primary energy consumption has increased by 2.4%/year since 2010.

Oil is the dominant fuel in the energy mix (44% in 2024). The share of natural gas has increased by 14 pp since 2010 to 17% in 2024, while the share of primary electricity (hydro and geothermal) and biomass decreased significantly (by 8 pp each) to 3.4% and 35%, respectively.

Per capita primary energy consumption remained around 0.45 toe/cap in 2024.

Graph: Primary Consumption Trends by Energy Source

Source: Papua New Guinea energy report

Interactive Chart Papua New Guinea Total Energy Production & Consumption

Source: Global Energy & CO₂ data

Papua New Guinea Oil Production & Consumption

Crude oil production remains stable at around 1.3 Mt/year since 2020. It rose rapidly from 2010 to 2020 (15%/year), reaching 1.4 Mt. Before 2010, it declined steadily from around 3.6 Mt in 2000 to 2 Mt in 2009.

The country has one refinery with a capacity of 32.5 kbl/d.

Graph: Crude Oil Production & Consumption

Source: Papua New Guinea energy report

Interactive Chart Papua New Guinea Crude Oil Production & Consumption

Source: Global Energy & CO₂ data

Interactive Chart Papua New Guinea Refined Oil Products Production & Consumption

Source: Global Energy & CO₂ data

Papua New Guinea Natural Gas Production & Consumption

Gas production has increased by 2%/year since 2015, reaching 14 bcm in 2024. It rose very rapidly in 2014 and 2015 with the commissioning of an export LNG plant, to 6 bcm and 11.8 bcm, respectively. In 2018, the LNG plant was stopped for almost two months following a severe earthquake.

Source: Papua New Guinea energy report

Interactive Chart Papua New Guinea Gas Production & Consumption

Source: Global Energy & CO₂ data

Papua New Guinea Renewable in % Electricity Production

In 2026, the Government updated its Nationally Determined Contribution (NDC) and committed to raise the share of renewables in the grid-connected installed capacity from 60% in 2022 to 80% in 2035. The target was lowered compared to the previous NDC submitted in 2020 (78% renewables by 2030), due to an increased use of gas in the power sector. In 2024, this share reached 34% (21% in the power generation mix).

In 2022, the NEA added geothermal energy to the agency's priority agenda to ensure the energy policy target of the country is met.

Source: Papua New Guinea energy report

Interactive Chart Papua New Guinea Share of Renewables in Electricity Production (incl hydro)

Source: Global Energy & CO₂ data

Papua New Guinea GHG emissions and CO₂ emissions

The Papua New Guinea Climate Change (Management) Act 2015 established the Climate Change Development Authority (CCDA) and the Climate Change and Green Growth Trust Fund. CCDA, supported by the United Nations Development Program (UNDP), validated the NDC 3.0 in 2026.

Source: Papua New Guinea energy report

Interactive Chart Papua New Guinea CO₂ emissions

Source: Global Energy & CO₂ data