Tonga has officially owned Tonga Gas Ltd after it has been at the hands of foreign companies for over 40 years.
John van Brink, Tonga Power’s CEO said: “Tonga Gas owns a total base asset of approximately TOP$3 million in comparison to Tonga Power’s asset base of some $80 million”.
“While the two gas companies, Home Gas and Tonga Gas, continue to operate as separate entities, combined, both retails around 1, 500 tonne of LPG (Liquid Petroleum Gas) throughout Tonga”.
“This equates to 110,000 cylinder fills per year with 70% of the population using LPG for cooking making access to LPG as important as it is for electricity”. He said, this was one of the reasons why Tonga Power saw LPG business as a natural fit for Tonga Power’s expertise and growing customer awareness.
Prior to the achievement of purchasing Tonga Gas, Tonga Power Ltd acquired Home Gas and it became a subsidiary of Tonga Power Ltd where the commencement of Tonga Power’s involvement in the gas business emerged.
“The acquisition of Tonga Gas will enable the two parts of the supply chain to eventually merge operations and become a single, Government owned, supplier of gas and associated services”, said John.
History
The history of the supply of Gas to Tonga started back in 1973 when the supply of gas was carried out by Origin Energy Australia. In 1980, the supply of gas was taken over by Boral Gas Tonga, a company owned by Origin Energy Australia. In 1983, that ownership has changed and Fiji Gas took over from Origin Energy Australia. From 1983 to 2000 Fiji Gas became the main supplier of gas to Tonga. In year 2000, Tonga Gas started supplying gas to Tonga under the ownership of Fiji Gas Ltd.
The ceremony was officiated by the guest of honour, Hon. Poasi Tei, the Minister for Public Enterprises, attended by Lord Matoto, president of the Constitution Free Church of Tonga, the Chairman of Tonga Power’s Board of Directors, Mr Carl Sanft and guests.
