New Delhi: The Asian Development Bank (ADB) has signed agreements with the governments of Solomon Islands and Tonga to provide grants and loans for sustainable energy projects. The agreements were signed on the sidelines of the COP29 climate conference in Baku, Azerbaijan, an ADB press release said.
The projects aim to assist the Pacific nations in transitioning from dependence on diesel fuel imports to renewable energy sources.
Solomon Islands and the Asian Development Bank signed a $10 million loan and a $5 million grant for the Solomon Islands Renewable Energy Development Project. The project will be co-financed by the Saudi Fund for Development with a $10 million contribution.
The project will construct solar farms in Guadalcanal and Malaita provinces with a total capacity of 2.5 megawatts. It will also install the country’s first utility-scale grid-connected battery energy storage system to integrate more renewable energy into the grid. The project will support power sector reforms and create an enabling environment for increased private sector participation and investment in renewable energy. The Solomon Islands Electricity Authority will receive capacity building support to sustainably operate and maintain the battery energy storage system.
Tonga and ADB signed grant agreements totaling $4.6 million. The project aims to help Tonga achieve its 70% renewable energy target by constructing a new 33-kilovolt electricity network to evacuate energy from a solar power plant. The project will also upgrade a portion of the existing 11-kilovolt network. It will enable Tonga Power Limited to construct and maintain the 33-kilovolt network and develop gender policies and action plans.
The project will slash Tonga’s reliance on imported fossil fuels, bolster the disaster resilience of its power grid, and enhance energy accessibility. The Asian Development Fund (ADF) provides grants to ADB’s poorest and most vulnerable countries. Donor countries replenish the ADF every four years.
ADB Vice-President for East and Southeast Asia, and the Pacific Scott Morris said, “These transformational energy projects demonstrate ADB’s steadfast commitment to improving energy security, affordability, access, and sustainability across the Pacific. They will significantly reduce Solomon Islands and Tonga’s reliance on fossil fuels and enhance the disaster resilience of Tonga’s power grid.”