TEMPO.CO, Jakarta – Indonesia’s National Border Management Agency (BNPP) explored avenues to step up bilateral cooperation with Papua New Guinea (PNG), focusing on the continuation of electricity supplies for border residents in Wutung, PNG.
The Ministry of Home Affairs, BNPP's parent institution, held talks on power cooperation with Papua New Guinea's Ministry for Tourism, Arts, and Culture in Jakarta on Thursday, July 17, 2026, according to a statement received on Saturday.
“We will forward the outcome of this discussion to our higher-ups. Should there be a gap in tariffs requiring a special policy, it will be resolved through a mechanism in accordance with regulations,” Indonesian Director General of Regional Administration Development Safrizal Zakaria Ali said.
He noted that the Indonesian government had demonstrated support for Wutung residents by extending electricity infrastructure to the border area.
In 2024, Indonesia and PNG agreed on a tariff of US$0.20 per kilowatt-hour, with Jakarta covering the price gap through a grant arrangement. However, agreement implementation stalled after PNG proposed a new tariff rate.
Against that backdrop, the two governments used Thursday’s meeting to review the proposed tariff and prepare a memorandum of understanding.
Ali emphasized that border cooperation extends beyond power supply, highlighting Indonesia’s plans to build additional shared facilities for communities on both sides of the border.
“The BNPP has many programs for residents in border regions. We will develop markets and various facilities that can be used together by Wutung residents and Indonesian Papuans,” he explained.
He further noted that Indonesia and PNG would continue the discussion at the Joint Border Committee meeting scheduled for October 2026.
The PNG delegation called for a more affordable electricity tariff, stressing that accessible power would benefit border communities in both countries, whose residents are closely connected through family ties and intermarriage.
Responding to the proposal, BNPP Assistant Deputy for Physical Infrastructure Amrullah Ridha urged both sides to prioritize broader discussions on the future direction of bilateral relations.
“Matters regarding tariffs can be addressed later,” he said.
He argued that Indonesia and PNG should view border cooperation as a strategic means of improving people's welfare while expanding collaboration into other sectors.
“We may roll out certain schemes that deliver greater benefits for the two countries,” Ridha remarked.
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