EDITORIAL COMMENT I Oil shock should drive Fiji’s energy reform

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Fiji cannot control the war in the Middle East and what happens in the Strait of Hormuz.

We certainly cannot dictate the price of oil on international markets.

But that does not mean Fiji is entirely powerless.

The latest fuel crisis has exposed, yet again, the economic vulnerability created by our over dependence on imported fossil fuels.

According to an analysis by the global grassroots organisation 350.org, rising oil prices have already cost Fiji an estimated $F100million since the start of the Iran war and the Strait of Hormuz crisis.

If the disruption continues, that figure could more than double by the end of the year.

These are estimates, and they should be treated as such. But the underlying problem is real.

When fuel prices rise, the consequences reach far beyond the petrol station.

Transport becomes more expensive. Businesses face higher operating costs. Food and other goods become more expensive.

Inflationary pressures increase, and families already struggling with the cost of living are forced to stretch their incomes further.

Pacific Islands Forum Secretary General Baron Waqa has acknowledged precisely this wider impact, saying the crisis is affecting transportation, inflation, the cost of goods and people’s livelihoods.

That should be a wake-up call.

For too long, the debate over renewable energy has largely been framed as a matter of climate responsibility.

It is certainly that. But it is also a matter of economic security.

Every time Fiji depends on imported fuel, it is exposed to events taking place thousands of kilometres away.

We cannot eliminate that vulnerability overnight. Nor should renewable energy be presented as a magic solution without acknowledging the investment, infrastructure and transition challenges involved.

But neither should those challenges become an excuse for moving slowly.

The Pacific leaders’ decision to consider renewable energy as part of the regional response to the fuel crisis is therefore encouraging.

The next step must be to turn that recognition into real action.

Fiji needs a practical, long-term energy strategy that increases renewable generation, strengthens infrastructure, improves efficiency and encourages households and businesses to reduce their dependence on imported fuel.

At the same time, the Government must address the immediate pain being felt by consumers and businesses.

Long-term energy reform will not pay today’s fuel bill. People need relief now, alongside a credible plan for tomorrow.

The enormous profits reported by major international oil companies will understandably fuel public frustration.

But Fiji’s best response is not simply to condemn the oil industry. It is to reduce our exposure to it.

Fiji should not wait for the next geopolitical shock to rediscover the importance of energy security.

We may not control the price of oil but we can control how dependent we choose to remain on it.