The US Government will fund fuel storage, grid stability, and pipeline infrastructure projects in multiple Pacific Island nations, US Deputy Secretary of State Christopher Landau said at the Pacific Islands Forum on 2 September.
The Government intends to spend $60 million on fuel storage and grid stability projects across the Pacific, the State Department said. The department will also work with the US Trade and Development Agency (USTDA) to support Tongan port upgrades, fuel storage projects, and pipeline developments, it added.
In late August, USTDA invited US-based firms to submit feasibility study proposals related to a Tongan port development project. Proposed feasibility studies need to assess options to enable Tongan ports to accept medium-range tankers, explore options for pipelines linking ports to storage terminals, and explore fuel storage options, USTDA said at the time.
Pacific Island nations heavily depend on imported oil as an energy source. Six nations in the region requested financial support from the Asian Development Bank (ADB) because of Iran war-related oil price increases in 2026, ADB Pacific Lead Emma Veve told RNZ Pacific in May.
The New Zealand Government has welcomed the State Department’s commitment to fund Pacific energy security projects. “Pacific Islands Forum Foreign Ministers have been regularly discussing how best to respond to the fuel crisis, and … New Zealand … has been working so hard to assist Pacific Island countries to deal with it,” Foreign Minister Winston Peters said.
“We are pleased to have the United States on board contributing to this vital work,” Peters added.
By Avinash Govind