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Lighting houses and connecting communities in Papua New Guinea

Australia, through the Australian Infrastructure Financing Facility for the Pacific, is financing AUD168.2 million for upgrades and refurbishments to Papua New Guinea’s energy and road networks.

Australia’s support includes an AUD91.9 million financing package for the Laitim Hauslain project to improve national power infrastructure. This investment will connect 30,000 to 40,000 households, schools and clinics in Morobe and East New Britain provinces to electricity, many for the first time.

Australia’s financing forms part of the PNG Electrification Partnership, which supports a key Papua New Guinean Government priority to achieve 70 per cent electrification by 2030. Improved access to electricity will improve economic and development outcomes in Papua New Guinean, support economic development in local communities, and improve the delivery of vital services for the people of Papua New Guinea.

Australia has also invested AUD76.3 million to support the national road network, connecting communities and supporting improved access to markets. The investment will support the Papua New Guinean Department of Works and Highways to undertake long-term rehabilitation and maintenance of approximately 359 kms of roads along the Wau Highway in Morobe Province and the Sepik Highway in East Sepik and West Sepik (Sandaun) provinces.

Funding will contribute to designs for the proposed Trans-National Highway. This will assist the Papua New Guinean Government progress their priority Connect PNG Strategy, a plan to increase strategic connections across Papua New Guinea’s four regions over the next 20 years.

Both investments will provide employment for Papua New Guinean people and use local materials where possible, to help stimulate Papua New Guinea’s economy and recovery from COVID-19.

Laitim Hauslain Project

Wau and Sepik Highways 

For more information, contact aiffp@dfat.gov.au

*Updated AUD figure based on exchange rate: 1.0AUD/0.70USD

Nauru Airport refurbishment

The Australian Government will provide an AUD40 million grant finance package, including AUD30 million through the Australian Infrastructure Financing Facility for the Pacific (AIFFP), to upgrade Nauru’s international airport.

The upgrade, to be delivered by AIFFP in partnership with the Nauru Department of Transport, includes resurfacing of the runway and upgrade of some critical air traffic control equipment. The funding will also enable climate-resilient upgrades to sections of the Nauru ring road.

As a small and remote island-state, Nauru is heavily dependent on the airport to connect Nauruans with their families overseas and deliver fresh food, medicine and other critical supplies.

The airport upgrade is a major infrastructure priority for Nauru, and its people, and will ensure the airport continues to operate safely and meet international standards.

Joint statement: Australia-Nauru cooperation on critical transport infrastructure | Australian Minister for Foreign Affairs Minister for Women (archived link)

Nauru airport refurbishment 

Financing agreements to improve renewable energy infrastructure in Palau

Australia, through the Australian Infrastructure Financing Facility for the Pacific, is providing a USD22 million financing package to Solar Pacific Pristine Power for a landmark solar and battery energy storage facility in Palau.  

The financing was announced by the Minster for Foreign Affairs and Minister for Women, Marise Payne during her visit to the Republic of Palau in December 2021. The agreements were signed on Monday 31 January 2022.

The project will deliver high-quality, renewable and sustainable energy infrastructure for Palau. It is anticipated to provide approximately 20 per cent of the country’s energy needs reducing dependency on imported diesel for power generation.

Palau Solar Plant Investment | The Australian Infrastructure Financing Facility for the Pacific (AIFFP)

For more information contact aiffp@dfat.gov.au

Australia powers new women-led solar and clean water systems for Kiribati’s remote Aranuka Island communities

Residents of the remote outer island of Aranuka in Kiribati recently celebrated the completion of a new solar-powered electricity and clean water project that is bringing reliable energy and safe water to more than 1,000 people.

Delivered by Action on Poverty through the Australian Government’s Business Partnerships Platform (BPP), the partnership with the Foundation for the Peoples of the South Pacific Kiribati (FSPK) and local communities installed solar-powered battery systems and solar water pumps across all five communities on the island, powering three schools and five community halls. Six new communal freshwater wells fitted with solar pumps are also being installed to help address the island’s longstanding water access challenges.

For many families on Aranuka, access to electricity and safe drinking water has long been limited. With no connection to a power grid and scarce freshwater resources, many households collected water several times a day, a task often carried out by women. Before the new system, around two-thirds of households made more than two trips daily, while about a third did not always have access to safe drinking water.

Women’s leadership has been central to the project’s design. Twenty women now hold leadership roles across five community Infrastructure Management Committees, established to oversee the operation and maintenance of the systems. Committee members have received training in equipment maintenance, financial literacy and good governance, as well as gender equality and community leadership.

Action on Poverty’s Asia and Pacific Program Manager, Michiyo Yamada, said: “Empowering women to lead and manage the systems was central is the project’s long-term success. Women are already at the heart of water and energy management in their communities. By strengthening their leadership and technical skills, we are helping ensure these systems can be maintained locally and continue delivering benefits for many years to come,” Ms Yamada said.

Foundation for the Peoples of South Pacific Kiribati (FSPK) Program Coordinator, Ruiti Aretaake, said “Working closely with communities across Aranuka has helped ensure these systems respond to real needs on the island. Reliable power and water will support healthier and more resilient communities.”

This is a pilot for REnew Pacific, Australia’s $75 million investment to power off-grid communities across the Pacific and Timor-Leste with renewable energy. REnew Pacific is supported through the Pacific Climate Infrastructure Financing Partnership (PCIFP), a $350 million Australian Government initiative delivered by the Australian Infrastructure Financing Facility for the Pacific (AIFFP).

Find out more.

Residents of Aranuka in Kiribati recently celebrated the completion of the project

Residents of Aranuka in Kiribati recently celebrated the completion of the project

The project installed solar-powered battery systems and solar water pumps across all five communities on the island, powering three schools and five community halls

The project installed solar-powered battery systems and solar water pumps across all five communities on the island, powering three schools and five community halls

AIFFP’s first investment in Samoa powers new clean energy project

Samoan families living in remote island communities will soon have access to clean, reliable electricity for the first time.

Announced today, the project marks a major milestone for Samoa as the country’s first project through Australia’s REnew Pacific program and the first-ever investment by the Australian Infrastructure Financing Facility for the Pacific (AIFFP) in Samoa. 

Led by the Electric Power Corporation (EPC), in partnership with the Ministry of Finance, the Ministry of Women, Community and Social Development (MWCSD), and supported by the Australian Government, the project will install solar and battery systems for 108 households and five community fales across Upolu and Savai‘i. It will also upgrade a mini-grid power network on Apolima Island to provide 24/7 renewable electricity to 11 households.

While Samoa has achieved high electricity access overall, some rural and island communities remain beyond the national grid, relying on wood fires and kerosene lamps for light and cooking. Replacing these with clean solar power will improve health and safety, support study and small businesses, and help communities better withstand climate impacts while contributing to Samoa’s goal of 70 percent renewable energy by 2031.

“This first-ever AIFFP-funded project for Samoa marks a milestone not only for EPC but for our nation’s journey toward universal access to clean energy. Through REnew Pacific, EPC will deliver reliable solar and battery systems to families who have waited the longest for safe power. This investment is a tangible expression of Australia’s friendship and shared commitment to Samoa’s sustainable and resilient future,” said Fesola’i Tau‘ili‘ili Faumui Iese Toimoana, General Manager of EPC.

This locally led project is the latest milestone for REnew Pacific, the Australian Government’s $75 million investment delivering off-grid renewable energy to rural and remote communities across the Pacific and Timor-Leste, including Samoa.

“Australia is proud to be working alongside Samoa to deliver clean, renewable energy to families and communities across the islands. This first REnew Pacific project in Samoa shows what true partnership looks like: local leadership driving lasting change,” said Will Robinson, Australia’s High Commissioner to Samoa.

REnew Pacific is a five-year program launched in November 2024, operating across eight countries in the Pacific and Timor-Leste, including through earlier pilot projects. It delivers locally led clean energy projects that improve lives and strengthen resilience in remote communities, responding directly to the Pacific’s call for urgent climate action and demonstrating Australia’s climate leadership in the region. 

REnew Pacific sits within the Pacific Climate Infrastructure Financing Partnership, a AUD 350 million initiative delivered through AIFFP and implemented by Palladium.

Find out more about the project.

Solar powers brighter futures at remote Solomon Islands’ College

Clean, reliable solar energy is now powering Sir Dudley Tuti College in Isabel Province, strengthening education, campus safety and essential services for one of Solomon Islands’ largest and most remote secondary schools.

The installation marks a major milestone for REnew Pacific’s first Solomon Islands project, led by local renewable energy provider Superfly.

Serving 820 students, including around 600 boarders, as well as staff and community houses, the College previously relied on costly and unreliable diesel generation. The new solar system will now provide dependable power day and night while significantly cutting fuel use and costs. 

The system was officially launched by the Honourable Trevor Hedley Mahaga, Member of Parliament for Gao/Bugotu together with the Australian High Commission leaders and the school community led by Principal Dudley Uata. 

Australia’s High Commissioner to Solomon Islands, Jeff Roach, said Australia was proud to partner with Solomon Islands in delivering clean, affordable energy solutions that were locally led and sustainable.

“The solar hybrid system installation at Sir Dudley Tuti College demonstrates Australia’s commitment to supporting expanded access to renewable sources of energy in remote and rural areas,” said High Commissioner Roach.

Speaking at the launch event, Honourable Trevor Hedley Mahaga said the investment in Sir Dudley Tuti College was an investment in the future of Isabel Province.

“Reliable solar power will enable brighter classrooms, safer dormitories and dependable services across the campus, giving students and teachers more opportunities to learn, teach and live well after dark,” said Honourable Mahaga.

Sir Dudley Tuti College is one of three sites benefitting from the REnew Pacific project, which will support more than 81,000 people across Isabel, Western and Malaita provinces. In Eastern Malaita, Atoifi Adventist Hospital is receiving a hybrid solar system to power emergency care, maternity services and its nursing school, while Goldie College in Western Province is also installing a new solar hybrid system to support students, staff and surrounding communities.

Gavin Pereira, Director of Superfly, said: “We are proud to deliver this project alongside the Sir Dudley Tuti College community and our partners.”

REnew Pacific is the Australian Government’s $75 million investment in off-grid renewable energy for rural and remote communities across the Pacific and Timor-Leste. It’s part of the Pacific Climate Infrastructure Financing Partnership (PCIFP), a $350 million initiative delivered through the Australian Infrastructure Financing Facility for the Pacific (AIFFP) and implemented by Palladium. 

Learn more.

The system was launched by the Honourable Trevor Hedley Mahaga, Member of Parliament for GaoBugotu together with the Australian High Commission leaders and the school community

The system was launched by the Honourable Trevor Hedley Mahaga, Member of Parliament for GaoBugotu together with the Australian High Commission leaders and the school community

Sir Dudley Tuti College is one of three sites benefitting from the REnew Pacific project, which will support more than 81,000 people across Isabel, Western and Malaita provinces

Sir Dudley Tuti College is one of three sites benefitting from the REnew Pacific project, which will support more than 81,000 people across Isabel, Western and Malaita provinces

Clean, reliable solar energy is now powering Sir Dudley Tuti College in Isabel Province, strengthening education, campus safety and essential services

Clean, reliable solar energy is now powering Sir Dudley Tuti College in Isabel Province, strengthening education, campus safety and essential services

Australia invests an additional $550 million in critical infrastructure in the Pacific

Australia is deepening its long‑term commitment to high‑quality, critical infrastructure across the Pacific and Timor‑Leste, with the announcement of an additional $550 million in official development assistance (ODA) grants for the Australian Infrastructure Financing Facility for the Pacific (AIFFP).  

Announced by Australia’s Foreign Minister Penny Wong during a meeting of the Pacific Islands Forum Troika on 27 January 2026, the additional funding strengthens the AIFFP’s capacity to back Pacific‑led priorities and support high-quality, climate-resilient infrastructure that delivers lasting benefits for communities and economies across the region.  

The new funding brings the AIFFP’s total facility financing to $4.55 billion, comprising a $3 billion loan cap and $1.55 billion in ODA grants.

The additional $550 million has not been pre-allocated and will be considered on a case-by-case basis, in close consultation with our Pacific partners. 

Guided by Pacific priorities, the AIFFP focuses on transformational infrastructure. Since its establishment in 2019, it has committed approximately $1.1 billion in loans and $850 million in grants, supporting 58 projects across 11 countries in critical sectors such as clean energy, telecommunications and digital connectivity, ports and airports. 

Backing Pacific-led climate solutions remains central to the AIFFP’s work, alongside continued support for digital infrastructure and strengthened digital capabilities to deliver the best outcomes for the region. 

The additional investment is provided as ODA grant funding, enabling the AIFFP to support major economic infrastructure while helping partners manage debt sustainability.

By combining grants with loans, where appropriate, the AIFFP offers tailored financing solutions that support long‑term economic growth, deliver value for money and ensure infrastructure investments remain responsible and sustainable.

Consistent with the Pacific Quality Infrastructure Principles, the AIFFP partners for local benefit — creating jobs, supporting local businesses, building skills and ensuring strong environmental and social safeguards across all projects.

Through sustained investment in high‑quality infrastructure, Australia is working with Pacific partners to build a more connected and economically vibrant region, now and into the future.

Header image: In attendance the Hon Chris Bowen MP, Minister for Climate Change and Energy, Solomon Islands Prime Minister Manele, Tongan Prime Minister Lord Fakafanua, Palauan President Whipps and the Secretary General of the Pacific Islands Forum (PIF) Baron Waqa. 

AIFFP’s first investment in the Republic of Marshall Islands powers clean energy and inclusive education

Australia is supporting clean, reliable energy access for remote communities in the Republic of the Marshall Islands, with the country’s first REnew Pacific project set to deliver solar power to 19 primary schools across Arno, Ebon and Mili Atolls.

The project was announced by Australia’s Minister for Foreign Affairs Penny Wong and Minister for Pacific Island Affairs Pat Conroy during a February 2026 visit to Australia by the President of the Republic of the Marshall Islands, Her Excellency Dr Hilda Heine. It marks a major milestone as Australia’s first REnew Pacific project in the Marshall Islands and the first investment by the Australian Infrastructure Financing Facility for the Pacific (AIFFP) in the country. 

Delivered in partnership with UNICEF Australia alongside UNICEF Pacific, the Ministry of Education, Sports and Training, including the Public School System, and the Environmental Protection Authority, the project will provide clean, affordable, renewable energy to every primary school across these outer island atolls, where schools currently have no access to electricity.

Cyclone-resilient solar systems with battery storage will power classrooms, lighting, digital learning tools, and water and sanitation facilities. This will improve learning conditions, support inclusive and technology-enabled education and strengthen schools’ ability to function as safe community spaces during emergencies.

The project will directly benefit more than 700 children and 90 teachers, with a further 1,300 community members supported when schools are used as emergency shelters.

Dr Natalie Nimmer, Commissioner of Education for the Republic of the Marshall Islands, said: “We are deeply grateful to the Australian Government and to UNICEF for their continued partnership and investment in the future of children. This collaboration demonstrates a shared commitment to strengthening education systems while advancing sustainable and resilient solutions for our neighbour islands.”

Hamish Young, UNICEF Pacific’s Representative, said: "This is an important milestone in children’s education and the right investment in their futures. By harnessing clean energy, schools will be transformed into climate-ready learning spaces ensuring that no child is left behind – no matter where they are. We thank the Australian Government for their support in making this a reality for every child."

This locally led project is the latest milestone for REnew Pacific, the Australian Government’s $75 million investment delivering off-grid renewable energy to rural and remote communities across the Pacific and Timor-Leste, including the Marshall Islands.

REnew Pacific now operates across seven countries in the Pacific and Timor-Leste, including through its earlier pilots, helping remote communities access clean, reliable power for homes, schools, clinics and small enterprises. The program sits within the Pacific Climate Infrastructure Financing Partnership (PCIFP), a $350 million initiative delivered through the Australian Infrastructure Financing Facility for the Pacific (AIFFP) and implemented by Palladium.

Find out more about the project.

The Republic of Marshall Islands' first REnew Pacific project is set to deliver solar power to 19 primary schools across Arno, Ebon and Mili Atolls

The Republic of Marshall Islands' first REnew Pacific project is set to deliver solar power to 19 primary schools across Arno, Ebon and Mili Atolls