Energy Fiji Limited (EFL) has addressed concerns regarding its proposed electricity tariff adjustment, reaffirming that the process is systematic, evidence-based, and critical for securing Fiji’s energy future.
In a statement, EFL’s Chief Executive Officer, Fatiaki Gibson, highlighted that the proposal adheres to a structured methodology in accordance with the Electricity Act 2017. This approach relies on comprehensive financial audits, trends in electricity demand, climate change factors, fuel price forecasts, and thorough technical evaluations. Gibson made it clear that the adjustment process is not arbitrary; rather, it has been developed with the support of a respected Big Four audit firm through detailed modelling.
Gibson noted that electricity demand in Fiji has surged by approximately nine percent in 2024 and is projected to escalate by an average of five percent per year over the next decade, nearly doubling demand in the process. He cautioned that maintaining current tariff levels would hinder the ability to sufficiently invest in essential infrastructure, such as new generation capacity and grid improvements, which could lead to an increased risk of power disruptions.
The proposed tariff structure aims to shield vulnerable households and small businesses, as nearly 97 percent of customers fall within the protective category. In contrast, higher-use electricity consumers, who represent a significant portion of the total energy consumption, would assume a larger share of costs under the new plan.
To prepare for future energy demands, EFL has announced planned investments exceeding FJ$1.7 billion. These investments will focus on substantial projects in hydropower, solar energy, and improved transmission systems, enhancing reliability and decreasing dependence on fossil fuels.
Gibson also assured that the company is committed to transparency and community engagement, conducting public consultations in 17 locations across the country to facilitate inclusive participation and ensure that the voices of the public are heard in this vital discussion.