DoWH Secures 50 Housing Allotments for Staff Under National Housing Corporation Partnership

The Department of Works and Highways (DoWH) signed a Memorandum of Understanding (MOU) with the National Housing Corporation (NHC) on Tuesday 16th June at the Department of Works and Highways Headquarter, marking the beginning of a strategic partnership aimed at supporting the Government’s Public Service Housing Scheme and improving home ownership opportunities for public servants.

Speaking at the signing ceremony, Minister for Housing, Hon. Dr. Kobby Bomareo, said the Government’s vision is to ensure affordable and quality housing is accessible to every public servant and Papua New Guinea citizen.

“It is the Government’s approach to have affordable quality homes for every public servant and PNG citizen, and NHC, as the service provider, will ensure this becomes a reality,” Dr. Bomareo said.

He added that while other government departments have also been encouraged to participate in the housing initiative, basic infrastructure at Durand Farm, where the development will be established, is still being put in place.

“Those issues will eventually be sorted out,” he said.

Dr. Bomareo acknowledged DoWH’s proven track record in delivering results and announced the allocation of 50 allotments to the department under the housing scheme.

“DoWH has a proven track record of getting the job done, so we are allocating 50 allotments to DoWH. Together with NHC, we will assist DoWH staff to build their homes at Durand Farm under the Government’s housing scheme, including support for low-income earners. The Government has already set aside funding to assist first-time homeowners through stamp duty exemptions,” he said.

The Minister also highlighted land availability as one of the biggest challenges facing housing developments in the country.

“One of our biggest issues is land. We do not have free land readily available unless customary landowners release some of their land through the Lands Department or we work in partnership with customary landowners,” he said.

NHC Managing Director Mr. Abel Tol assured the department that NHC remains committed to making home ownership affordable for public servants.

“Our approach is to reduce the cost of a complete home as much as possible and keep it below K700,000. To achieve that, partnership and collaboration with DoWH is the way forward,” Mr. Tol said.

“Our goal is to ensure the design and construction cost of houses do not exceed K700,000, which falls within the stamp duty exemption threshold. The signing of this MOU will help us achieve that objective.”

Mr. Tol said the allocation of 50 allotments to DoWH signals the beginning of a strong working relationship between the two organisations.

“With the Minister’s approval to allocate 50 allotments to DoWH, this MOU marks the start of our partnership. We will now look into arrangements for land titles to be issued to eligible public servants and DoWH officers who qualify through the department’s internal processes.”

“On our part, we will work closely with financial institutions to facilitate housing loans. Our aim is to create a one-stop-shop arrangement that provides affordable mortgages and a smoother pathway to home ownership,” he added.

In his remarks, Secretary for Works and Highways Mr. Gibson Holemba said the department continues to prioritise staff welfare, empowerment, and institutional reforms.

“We are focusing on empowering our staff, driving reform agendas, and strengthening staff welfare. One thing we strongly believe in is that when you look after your staff and support them, they can do more, produce more, and serve the people of this country better,” Mr. Holemba said.

“That is the understanding behind our commitment to this agreement and the housing opportunities being provided through the Public Service Housing Scheme.”

The Secretary mentioned that previous housing schemes had not always delivered positive outcomes for departmental staff.

“We have participated in several housing schemes before and, unfortunately, some of the outcomes were not favourable. Some of our staff are still waiting for allotments, while others have retired and are yet to receive any allocation,” he said.

“We sincerely hope this housing scheme will not be like the previous ones. However, the presence of the Minister, Managing Director, and Board Chairman gives us confidence and assurance that this initiative will succeed.”

Mr. Holemba thanked NHC for allocating the 50 allotments and indicated that the department may request additional allotments should interest from staff exceed the current allocation.

“In the event that there is greater interest within the department, we will formally write to request additional allotments,” he said.

The Secretary also reaffirmed DoWH’s commitment to supporting the development through its technical expertise and resources.

“We are looking at developing the small arterial road network within the establishment. Your project management team will liaise with our project management team to develop the scope of works and determine how the project can be phased and implemented according to your planning priorities.”

“Between 60 to 70 percent of my workforce are engineers, architects, and surveyors, and they are ready to support the technical aspects of this development.”

Mr. Holemba further highlighted the importance of the initiative for long-serving public servants who have dedicated decades of service to the country.

“I have staff who have served this country for more than 40 years, with the longest-serving officer having spent 53 years in the department. These officers have dedicated their lives to serving Papua New Guinea, yet many are approaching retirement without owning a home.”

“This initiative provides an opportunity for us to recognise their service and allow them to retire with dignity. Through their savings with Nambawan Super and access to Housing Advance, they can contribute towards their equity and finally secure a home of their own.”

Mr. Holemba concluded by reaffirming the department’s commitment to support the initiative and working closely with NHC to ensure its success.

“DoWH is keen to support this initiative and stands ready to work with NHC to deliver better housing opportunities for our staff.”