"This is to upgrade the road from the Wau turnoff to the Yalu Bridge, a distance of 8km, hopefully to a four-lane standard as the completed section under phase 1 from the Bugandi roundabout to the Wau junction.
"China Railway International completed phase 1 and adding phase 2 is probably best as they will not face any mobilisation problems.
"Phase 2 of the Lae-Nadzab project is to start soon and will come just in time as the Highway past the Wau junction is showing signs of collapse as it has received very little maintenance while construction under phase 1 was being done," the LCCI said in its latest newsletter.
The LCCI also welcomed the announcement of a K3.1 billion loan from the Asian Development Bank to upgrade the national roads in the country to world-class standards.
First up is the Highlands Highway, but also to be upgraded are the roads between Madang and Ramu, the Sepik, Buliminski (New Ireland) and New Britain highways.
"This is excellent news and most welcome. There was however no mention of the any upgrades to the Wau to Bulolo Highway which is in a real mess and needs urgent attention as well.
"While the upgrading of all these roads will bring the National Highways up to a good standard, it will not be the end of maintenance, which is on-going. The very nature of this country makes for high maintenance on all roads.
"This major expenditure on roads should go a long way to boost construction companies' standards, and make them more competitive in the world markets, if it is monitored and scrutinised properly and continually," the LCCI said.