Fiji runs on imported fuel and so it must urgently consider executing several steps available to it immediately while the global supply chain is partially functioning and act proactively to the potential fuel crisis on the horizon as the Strait of Hormuz – the conduit of the world’s oil had been closed since early this month.
Academic and former Professor of Meteorology Dr Sushil K Sharma in his latest column to this newspaper said every litre of petrol, diesel, aviation fuel and heavy fuel oil were imported primarily through Singapore-based suppliers that were now under severe stress, and the Government needed to act with great urgency and be fully prepared in case the war carried on longer than originally projected.
He said approximately 40 per cent of Fiji’s electricity generation depended on diesel and heavy fuel oil, every vehicle, fishing vessel and airline operated on imported fuel, the fuel infrastructure at Nadi, historically managed through the Joint User Hydrant Installation, was entirely dependent on uninterrupted supply chains.
He added the bulk petroleum storage at Vuda Point was Fiji’s only physical buffer, “and without a strategic reserve policy, that buffer represents only weeks of supply, not months — a dangerously thin margin when global supply chains are fracturing in real time”.
Dr Sharma said several steps were available immediately for Fiji and the cost of taking those steps was negligible compared to the cost of inaction.
He said the Ministry of Economy should contact alternative fuel suppliers outside the Gulf supply chain without delay, suggesting the US Embassy in Suva could facilitate engagement with Atlantic-basin energy suppliers.
“Storage at Vuda Point and Nadi must be filled to maximum capacity while supply chains remain partially functional,” Dr Sharma said.
“A rationing framework should be prepared and held ready.”
He said national airline Fiji Airways must urgently confirm its jet fuel supply position and pursue forward-purchasing through non-Gulf sources.
“Looking further ahead, no Pacific state maintains a meaningful strategic petroleum reserve. Australia and New Zealand, both Pacific Islands Forum members with IEA-compliant strategic reserves, are the natural partners for a regional fuel security arrangement — reserve oil held in their storage on a PIF cost-sharing basis, giving every Pacific nation a buffer without each building expensive infrastructure.
“A PIF emergency meeting should place this on its agenda now.”
