Niugini Automobiles launched recently in PNG, with the aim of importing electric vehicles from multiple manufacturers. Managing Director Leon Shi shares the firm’s EV rollout plans with Business Advantage PNG.

Electric vehicles are now on the streets of Port Moresby. Credit: Niugini Automobiles

With challenging road infrastructure and power supply issues, electric vehicles (EVs) might not seem a natural fit for Papua New Guinea, but one company is betting that the country is ready to move into a more carbon-neutral future.

Niugini Automobiles recently opened its head office in Port Moresby with the aim of importing electric vehicles (EVs) from Chinese-owned SAIC Motors, MG and Maxus. It is co-owned by local PNG businessmen, Leon Shi and Justin Tan.

The reality is these cars have a range of 450 kilometres and the average driver in Port Moresby does 15 kilometres a day.

Managing Director and majority owner, Leon Shi, says the company plans to help the PNG government towards its stated aim of converting 50 per cent of its fleet to EVs by 2030.

“We have had EVs in the country since January,” says Shi. “We have an MG ZS that has been driving out into Central Province every day since January. There are some terrible potholes on that road and that car has been doing absolutely fine.”

Another concern for EVs in PNG is the uncertainty of the power grid.

“There were concerns over the effect of the power surges,” says Shi. “But we have not had any problems so far. We have been speaking to major shopping centres and other landlords about installing solar-based power chargers, but the reality is these cars have a range of 450 kilometres and the average driver in Port Moresby does 15 kilometres a day.

“So, you can just plug the car into your standard 240-volt socket at home at night or in the office during the day.”

Shi says that one of the biggest hurdles to embracing EVs has been the lack of knowledge about them.

He welcomes the government’s working committee that is working to spread the word on EVs and combat some of the negativity.

“When I first tested EVs I was not convinced but they have come such a long way,” says Shi. “A lot of the difficulty in having EVs embraced by people in PNG is the unknown.”

The Niugini Automobiles head office in Synergy Business Park is helping dispel some myths. They are also looking at setting up a location in Lae, and interest from corporates is also helping the cause.

There are many PNG companies ready to embrace the new technology, Shi says.

The first Maxus eT60 utes were due to arrive in the country in October, and Shi says there is quite a demand for them with a number of corporate companies in PNG having already made inquiries to replace their fleets.

“We are also getting the Maxus MIFA 9 people carrier and there is a lot of interest from the hotel chains for that [model].”

Shi notes that in addition to greatly reducing carbon footprint, the operational and servicing costs are greatly reduced with EVs. Electric cars do not have clutches, gearboxes and oil filters that constantly require replacement in the challenging PNG environment.