US Announces $60 Million Energy Support for Pacific Islands

The United States announced US$60 million in energy support for the Pacific region during the Pacific Islands Forum leaders' summit in Koror, Palau. Delivered by Deputy Secretary of State Christopher Landau, the funding aims to address budget shortfalls and oil price shocks caused by a global energy crisis and the Iran War. The deal remains subject to congressional approval.

In a separate initiative, the United States and New Zealand announced a co-funded US$60 million upgrade to the port at Penrhyn atoll in the Cook Islands. The United States committed US$50 million to the project, while New Zealand provided US$10 million.

New Zealand Foreign Minister Winston Peters welcomed the US energy contribution, noting that the region's isolation and near total dependence on imported fuel make it exceptionally vulnerable to price shocks. Peters stated that New Zealand's own development programs focus on increasing renewable generation and energy efficiency to reduce the demand for imported fuels.

Palau President Surangel Whipps Jr. emphasized that the high cost of fuel, freight, and food demonstrates how external events affect Pacific households. He argued that transitioning to renewable energy is a matter of sovereignty to reduce economic risk and exposure to external shocks.