Solomon Islands and World Bank discuss energy security and lower electricity costs

Solomon Islands has held talks with the World Bank on measures to strengthen energy security, manage fuel price pressures and reduce electricity costs for households and businesses.

Minister of Foreign Affairs and External Trade Hon. Rick Houenipwela and Minister of National Planning and Development Coordination Hon. Peter Kenilorea Jr. met World Bank Regional Vice President Felipe Jaramillo on Sunday, 30 August 2026, on the margins of the 55th Pacific Islands Forum Leaders Meeting.

During the meeting, the ministers outlined the Government’s efforts to respond to fuel price pressures and progress reforms aimed at making electricity supply more efficient and affordable across Solomon Islands.

Reducing electricity costs is a key priority for Prime Minister Hon. Matthew Wale and the GREAT Coalition Government, with high energy costs continuing to affect households, businesses and broader economic growth.

Foreign Minister Houenipwela told Mr. Jaramillo that Pacific Island countries could benefit from working together to reduce the transport, freight and insurance costs associated with importing fuel from Singapore. The ministers also highlighted the Government’s interest in expanding renewable energy through a mix of solar and hydropower projects.

The discussions also covered Solomon Islands’ interest in developing a national fuel storage facility, with the potential to support regional fuel storage needs. The World Bank indicated it was willing to undertake analytical assessment work on the concept.

Mr. Jaramillo welcomed the initiatives and outlined possible areas of World Bank support, including short-, medium- and long-term assistance, fuel storage investment and renewable energy development.

The World Bank also reaffirmed its commitment to the Tina River Hydropower Project, which is expected to provide reliable baseload power and reduce Solomon Islands’ reliance on imported fuel. The Bank has also been working with the Government to support advocacy for US$35 million in financing from the Green Climate Fund.

Both sides agreed to continue working together on practical measures to lower electricity costs, strengthen energy security and support Solomon Islands’ long-term economic development.