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Fiji faces electricity crisis as fuel costs surge; calls for urgent tariff reform and nationwide conservation

Power transmission infrastructure in Fiji during sunset.

Energy Fiji Limited has warned the nation it is at a “crisis point” after the cost of generating electricity jumped by about 70 per cent, driven by a sharp rise in global oil prices and ongoing geopolitical tensions. The utility said the increase has pushed its fuel bill to levels that are unsustainable while national demand tops 200 megawatts, prompting calls for immediate action from households and businesses across Fiji.

EFL chief executive Fatiaki Gibson said the company still imports nearly half of its generation fuel and has seen Brent crude climb from a recent pre-conflict average of about US$65 a barrel to more than US$100. “We are facing a perfect storm of global instability and record-high input costs,” Gibson said, adding that EFL is effectively generating electricity without full cost recovery because a tariff review due three years ago has not been completed.

The company said it is working to optimise hydro resources and manage thermal generation but warned customers to expect tighter revenue collection measures. EFL has put consumers on notice that failure to pay bills in full and on time will result in swift disconnections. It also cautioned that limited standby generation capacity means restoration of after-hours faults may be postponed until the following business day, even where crews are able to attend.

Gibson urged a nationwide conservation effort to reduce pressure on the grid and blunt the worst impacts of rising fuel costs. He called for “a unified national response to energy security,” asking households and offices to reduce consumption and adopt simple changes — for example turning off lights and setting air conditioners to 24 degrees — to conserve fuel. “Every light switched off, and every air conditioner set to 24 degrees makes a difference,” he said.

The warning comes even as the government continues a fuel duty concession scheduled to run until July 31, which EFL noted helps but will not offset the scale of the global price increases. With system demand exceeding 200MW, the utility said small changes in consumption are now significant to maintaining system resilience and avoiding forced outages.

EFL’s public statement frames the situation as short-term emergency management rather than a long-term policy solution. Gibson said the company is doing everything possible internally to manage costs and maintain supply but stressed the need for collective national measures and an overdue tariff review to restore long-term financial sustainability.

The development adds urgency to broader discussions about Fiji’s energy mix and security, highlighting vulnerabilities from dependence on imported fuel and the value of maximizing renewable and hydro capacity where possible. For now, EFL’s message is clear: the system remains operational, but customers must conserve and pay promptly if the lights are to stay on without further operational compromises.


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