PRESS STATEMENT - 14th May 2012 - The Federated States of Micronesia (FSM) is seeking to reduce its carbon emissions by 500 tonnes annually with anticipated savings of approximately US$486,000 in diesel costs per year through the use of renewable energy.FSM will now access its US$4 million allocation from the Pacific Environment Community (PEC) Fund to supplement electricity generation through solar energy on its dispersed northern Pacific states.
The PEC Fund is administered by the Pacific Islands Forum Secretariat on behalf of the Government of Japan, with projects developed and implemented by each participating Forum Island Country (FIC).
FSM States of Yap, Chuuk, Pohnpei and Kosrae will each benefit from the FSM PEC Fund project to be managed by the Energy Division of the FSM Government's Department of Resources and Development.
The project will see the installation of grid-connected solar photovoltaic systems of 150 kilowatt peak in each of the states.
While meeting with President Mori and Vice President Alik of FSM in Pohnpei in May, the Secretary General of the Pacific Islands Forum Secretariat, Tuiloma Neroni Slade, took the opportunity to congratulate FSM on the development of its PEC Fund proposal.
"FSM's PEC Fund project is anticipated to provide significant benefits to each of the four states of FSM - Yap, Chuuk, Pohnpei and Kosrae. I wish FSM the very best with implementation and look forward to a sustainable and valuable project," said the Secretary General.
The FSM PEC Fund project is anticipated to further contribute 1.7% electricity generation to the national renewable energy target of 30% energy from renewable energy sources by 2020.
"We are currently working with FSM officials to prepare a Financing Agreement to enable implementation of the approved project at the earliest," said the Secretary General.
To date, the Governments of Cook Islands, Fiji, Nauru, Samoa, Solomon Islands and Tuvalu have accessed the PEC Fund and are implementing projects in-country.
The PEC Fund is a commitment by the Government of Japan of ¥6.8 billion (approx US$66 million) to support Forum Island Country (FIC) projects with a focus on the provision of solar power generation systems and sea water desalination plants, or a combination of both technologies.
The PEC Fund is guided by a Joint Committee (JC), chaired by the Secretary General of the Forum Secretariat. A Technical Advisory Group (TAG) comprising technical experts recommended by the Secretariat of the Pacific Community (SPC), Pacific Power Association (PPA) and the Government of Japan, is responsible for assessing all PEC Fund project proposals and makes recommendations to the JC.