Government called on to develop biofuel

Wednesday, 22 April 2026, 12:02 pm

Calls grow to expand coconut biofuel production as a local solution to rising fuel costs. (Image: Supplied)

A call has been made on the Government to seriously tap into biofuel production.

Karkar Islander Tony Dibul made the call amid ongoing instability and uncertainty in global fuel prices. He said Papua New Guinea cannot continue to remain vulnerable to global fuel shocks when viable local solutions exist, stressing that the time to act is now.

“We already have the solution operating on Karkar Island. What we need now is commitment and action by the Government. This is not just an economic issue, it is a national security priority,” Mr Dibul said.

He said Karkar Island’s biofuel offers an immediate solution, but requires Government support to further develop the Kulili facility owned by the Middleton family.

The coconut-based biofuel initiative led by Kulili Estates demonstrates that Papua New Guinea can produce its own alternative fuel, reducing reliance on imported diesel and strengthening national fuel security.

Mr Dibul stressed, “This is not a concept or pilot, it is an existing operation with proven capability. It matters even more now due to rising global prices that are directly impacting PNG households, businesses, and essential services.

“Continued reliance on imported refined fuel exposes the country to external shocks. Immediate, scalable alternatives are required to stabilise supply and costs, and Karkar Island presents a ready-to-expand solution that can be mobilised quickly with the right Government support.”

Locally, Mr Dibul highlighted that scaling up production on Karkar Island could improve fuel security for Madang Province and provide a cost-effective, reliable local fuel source. It could also generate income for coconut farmers and smallholders, create employment and economic activity on the island, and serve as a model for renewable energy development in the country.

He is now calling on provincial and district leaders, national authorities, and relevant stakeholders to urgently come together and act on expanding the Karkar biofuel initiative.

Mr Dibul further urged leaders to commit to a clear long-term plan, support public-private partnerships with Kulili Estates, fast-track implementation measures, and avoid repeating past delays.

“These efforts could transform Karkar Island into a key agro-industrial and energy hub,” he said.