Vanuatu’s energy regulator took steps this month to develop a simple tool that will help ensure fair fuel pricing for its people in the future.
To provide clarity a pricing template was developed which is a tool specific to Vanuatu’s energy and fuel needs. This tool will ensure fuel being imported by private suppliers is fair and reasonable against global pricings and ensure monitoring of fuel consumption and efficiency can be understood.
Fuel is a critical commodity for Vanuatu as it powers the country’s energy network and ensures the people of Vanuatu have access to transportation and maritime shipping across the 80 islands spread through more than 1300km of Ocean.
This template will ensure both an understanding of how to improve the efficient use of fuel for these critical sectors whilst ensuring the people of the country have fair access and comparable pricing standards.
To develop the tool energy specialists from neighbouring countries working in regulation and energy sectors came together to provide decades of experience in regulation and pricing. The training team from American Samoa, Fiji and Solomon Islands have all been using a similar template specific to their respective countries and were able to share the knowledge and lessons learned from their experience with the Vanuatu Team.
Executive and Policy Officer from Vanuatu Price Control Bureau’s, Mr Henrikson Malsokle, said he was thankful to SPC and the team of trainers for spending a focused week on developing a relevant tool for his team to use to ensure the country have equitable access to fuel.
“This training and attachment now means, we are ready to monitor fuel prices by means of wholesale and retail fuel pricing verification. This knowledge will equip us to advise the public on price notices ensuring transparency on fuel price setting in Vanuatu,” he said.
Energy Efficiency Advisor, Makereta Lomaloma facilitated this peer-to-peer learning exchange and said the exchange will genuinely support fair pricing and increased efficiency of fuel usage for Vanuatu into the future.
“Vanuatu, at present, imports an estimated 62 million litres of fuel per annum* but ensuring cost-effective supply and price verification supported through this knowledge exchange is critical for the country, its sustainable development and future efficiencies in reducing dependence on fossil fuels.”
Mr Malsokle will apply this new template in a learning exchange with the Fijian Competition and Consumer Commission (FCCC) before returning to Vanuatu. It will then be implemented in Vanuatu in the coming months.
Vanuatu Price Control Bureau; Department of Energy; and Vanuatu Utilities Regulatory Authority were the key representatives being supported. The training also accommodated a participant from Tuvalu Department of Energy.
Atishma Lal, Project Information Assistant, Georesources and Energy Programme, Geoscience, Energy and Maritime at SPC, [email protected] or +679 337 9402
Meeting papers can be accessed from this link.
* Based on 2017 importation rates