Energy Fiji Limited (EFL) has provided clarification regarding its proposed electricity tariff adjustment, which is framed as a necessary step within a structured and regulated process to ensure the long-term reliability and sustainability of Fiji’s energy supply. EFL’s CEO, Fatiaki Gibson, emphasized that this tariff proposal is not an arbitrary move but one grounded in detailed evaluations, including audited financial statements, electricity demand forecasts, fuel price projections, and engineering assessments.
According to Gibson, electricity demand in Fiji experienced a notable surge of approximately 9 percent in 2024, with expectations of continued annual growth at around 5 percent. This increasing demand poses potential challenges to the national grid, particularly if significant investments to enhance generation capacity, upgrade transmission and distribution networks, and improve overall grid reliability are not made. EFL warns that without an adjustment in tariffs, there may be difficulties in meeting these critical infrastructure needs, which are vital for supporting economic growth.
The proposed tiered tariff structure aims to mitigate impacts on vulnerable households and small businesses, with estimates indicating that about 97 percent of users—around 207,468 customers—will face minimal changes to their bills. In contrast, customers with higher electricity usage, who account for 58 percent of total consumption, will see an increase in costs.
To prepare for future energy needs, EFL is planning significant investments totaling over $1.7 billion, which include $653 million designated for two major hydropower projects scheduled for completion between 2031 to 2033, $400 million for new solar generation initiatives in Western Viti Levu by 2029, and $731 million to enhance the transmission networks by 2033.
The company is actively engaging with the public through an open consultation process across 17 locations nationwide, facilitating discussions, providing information, and encouraging community feedback on the proposed tariff.
Gibson reaffirmed EFL’s commitment to safeguarding vulnerable customers, ensuring a reliable electricity supply, and advancing Fiji’s transition to a 100 percent renewable energy future. He urged stakeholders to review the publicly accessible tariff proposal and to engage in the consultation process to help make informed, equitable decisions in the best interest of the nation.
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