Minister for Finance Professor Biman Prasad informed Parliament that a comprehensive review of Fiji’s electricity tariff framework is currently in progress. This initiative aims to ensure that electricity remains affordable for consumers while also maintaining investor confidence within the energy sector. He noted that the government is collaborating closely with Electricity Fiji Limited (EFL) to evaluate a potential adjustment to tariffs, following indications from EFL that a formal review request may be forthcoming.
Prof. Prasad stated, “The provision of reliable electricity is vital for economic growth, but tariff stability is equally important to attract investment and protect families from price shocks.” The review will be led by the Ministry of Finance, in collaboration with the Ministry of Public Works, with an emphasis on striking a balance between financial returns for landowners and investors, and affordable electricity costs for both households and businesses.
EFL is actively pursuing various renewable energy projects, including a 21-megawatt solar plant in the Western Division, and is also investigating hydro, wind, and geothermal energy options. Minister Prasad mentioned the government’s readiness to offer guarantees for well-structured financing, while cautioning that any new borrowing must adhere strictly to Fiji’s debt management strategy. He emphasized the commitment to ensuring energy security without sacrificing affordability or fiscal responsibility.
This review of the electricity tariff framework comes at a crucial time, as Fiji faces rising electricity demands and seeks to bolster its energy infrastructure. The focus on renewable energy development indicates a progressive step toward securing a sustainable energy future. Public engagement through stakeholder feedback will be an essential component of this regulatory process.
Overall, this initiative signals a positive commitment from the Fijian government and EFL to foster an energy sector that is not only resilient and sustainable but also accessible to all consumers, promoting economic stability and growth across the nation.