In a major move to shield Fiji’s seafood export sector from volatile global fuel prices, Pacific Fishing Company (PAFCO) has signed a landmark memorandum of understanding (MoU) with Australian renewable energy company-owned Island Solar Fiji Pte Ltd to transition its massive Levuka processing operations toward 100 per cent renewable energy.
The historic 20-year Power Purchase Agreement (PPA) will see Island Solar Fiji fully finance, build, and maintain the new clean energy infrastructure, allowing PAFCO to completely bypass upfront capital expenditure (CAPEX).
“PAFCO is not putting any money into it at this stage,” PAFCO chief executive officer Saiyad Raiyum told The Fiji Times in an interview at their Suva office yesterday.
“This initiative strengthens the long-term future of the business … we wish to move forward with reliable and affordable energy as it is critical to our future.”
The project marks a massive shift for Ovalau Island, which at present relies entirely on 100 per cent diesel generation.
Heavy industrial fuel costs have skyrocketed, creating severe supply chain vulnerabilities for the region’s vital seafood exporter.
“Right now, there is a big risk of diesel,” Island Solar Fiji director Eddy May told this newspaper after their MoU signing yesterday.
“The prices are through the roof. Delivery concerns are constant. And this really is de-risking the future.”
And because PAFCO consumes roughly 90 per cent of the entire electricity generated on Ovalau, the solar transition is being executed in close collaboration with Energy Fiji Limited (EFL).
By easing the massive industrial load off the local network, the project aligns with EFL’s broader master plan to move the entire island to 100 per cent renewable energy, ultimately stabilising the local grid for nearby residents and businesses.
While executives declined to state an exact number of new jobs before final engineering designs are locked in, Island Solar Fiji committed to a strict local-first hiring policy. Mr May also did not state the value of investments but said the funding would be supplied by the owner and operator of the system – Island Solar Fiji, and its financiers.
The renewable energy company guaranteed that ongoing operations and technical maintenance over the next two decades will be a 50-50 split between their core team and workers trained directly within the Ovalau community.
“If you are a local person on that island, we want to help you learn about renewable energy,” Mr May said, highlighting the project as a prime example of the deepening economic partnership between Australia and Fiji. Mr May said this was more than a solar project for a factory, but the beginning of a transformation that could help reshape Ovalau’s energy future and provide a blueprint for renewable development across Fiji and the Pacific.
