New Zealand provides NZ$11 million for the Nuku’alofa Network Upgrade Project Featured
HE Tiffany Babington also presented Hon Mateni Tapueluelu with New Zealand’s NZ$3 million contribution to replenish the Tongatapu Village Network Upgrade
16 May, 2018. New Zealand High Commissioner Tiffany Babington signed a NZ$11 million grant funding arrangement for the upgrade of Nuku’alofa’s electricity network today with the Acting Minister of Finance and National Planning, Hon Mateni Tapueluelu.
New Zealand’s grant contribution will directly benefit over 2,000 households and businesses in 12 villages in Kolomotu’a and Kolofo’ou, the first stage of the five-year Nuku’alofa Network Upgrade Project.
The project will deliver economic and social benefits to these villages through a more stable source of electricity, safer connections, reduced diesel costs, and a more resilient network in times of extreme weather conditions.
The project will be implemented in partnership with Tonga Power Limited over the next two years.
“New Zealand has been a long-term partner in efforts to improve Tonga’s electricity supply, and access to affordable, reliable, sustainable and modern energy for all is one of the United Nations Sustainable Development Goals,” announced New Zealand’s Deputy Prime Minister, Hon Winston Peters, during his visit to Tonga in March 2018.
The Nuku’alofa Network Upgrade Project follows on from the successful upgrade of 55 rural villages in Tongatapu. New Zealand has provided grant funding of NZ$27.7 million which will enable 11,188 households to be connected to a network built to New Zealand’s standards by December 2018.
HE Tiffany Babington also presented Hon Mateni Tapueluelu with New Zealand’s NZ$3 million contribution to replenish the Tongatapu Village Network Upgrade supplies that were used to restore the electricity network on Tongatapu following the damage caused by TC Gita.
The Government of Tonga estimated the energy sector reconstruction costs at US$46 million and requested assistance from New Zealand, Australia and the Asian Development Bank to support the energy sector recovery following Tropical Cyclone Gita.
”New Zealand hopes this NZ$14 million investment will assist the Government of Tonga to meets its energy targets,” New Zealand’s High Commissioner Tiffany Babington said.
2 comments
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UN-DEMOCRATIC FOR GOVERNMENT PRIVATE ENTERPRISES, LIKE TONGA POWER LIMITED, TO TAKE PROFITS FROM UTILITY COMPANIES...Tonga Power and Water Authority are monopolies. They have no competitions, and are legally protected by law (closed entry)...Electricity users are forced to pay "central planning" costs (planned by elite members picked by government instead of through elections), not competitive prices in the free marketplace to benefit customers.
To be competitive, utility companies like Tonga Power Ltd. must be democratically accountable and transparent to the end users, stakeholders (kau tau-tonu). End users must elect Board members in non-profit Utility Cooperatives who must compete for their seats. Furthermore, they must bring competitive prices to consumers (lower electric bills), and better service.
When in office, Board members are accountable to utility users to fight high costs and improve bad service. If they don't, they will be voted out of office. THAT'S BEING DEMOCRATIC.
Profits paid to government by private enterprises should have been paid to electricy and water users in the form of lower rates, and better service. Otherwise, the incentive to turn a profit for government from a "central planning" body is un-democratic, and is a tool of un-democratic, socialized and communist governments. -
THANK YOU NZ...HOPEFULLY TONGA POWER LTD BOARD will soon be elected by the users of electricity, not by government bureaucracy. Board members should not answer to political forces of government, but they should answer to the people who are the end users of electricity.
A non-profit cooperative made up of electricity users will elect and dismiss Board members. Their mission is to improve service, and reduce costs for the users of electricity. The Board in turn hires the best qualified management team. Government should not be in the business of reaping profits form utility companies, which are monopolized entities.
Current profits paid to government should be utilized to lower electricity rates, and improve service, including better pay and better benefits for the management team.
The Board members of Tonga Power Ltd should be elected by the members of such Cooperative.