EAP - The Pacific Infrastructure Challenge - World Bank (2006).pdf
EAP - The Pacific Infrastructure Challenge - World Bank (2006).pdf
EAP - The Pacific Infrastructure Challenge - World Bank (2006).pdf
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None of the <strong>Pacific</strong> ports reviewed have container cranes. This increases ship turnaround<br />
time, and means that ships docking at these ports have to have their own lifting gear,<br />
limiting ports’ ability to service international traffic.<br />
Likewise, <strong>Pacific</strong> airports do not often suffer from overcrowding, but terminal facilities like<br />
retail, car rental and other services are lacking at most of the smaller airports. <strong>The</strong>se<br />
services are important sources of non-aeronautical revenue for airports and help to finance<br />
maintenance and upgrades or expansion. <strong>The</strong>y also provide a more positive experience for<br />
tourists and business passengers.<br />
Tariffs are relatively high in some countries<br />
In all <strong>Pacific</strong> countries in this review, international telecommunications services are<br />
provided by monopolies. Charges for internet services and international calls from the<br />
<strong>Pacific</strong> are higher than in other small island countries, but local and mobile rates are<br />
similar.<br />
<strong>The</strong> international trend in mobile and international telephony has been that tariffs have<br />
fallen significantly with the introduction of competition. This has been the case in most<br />
Caribbean countries. Tonga is the only <strong>Pacific</strong> country with competition in the mobile<br />
sector. It also has the lowest average mobile tariffs.<br />
Average electricity tariffs are high in some <strong>Pacific</strong> countries, such as Tonga, Kiribati and<br />
Vanuatu as shown in Figure 5.2, but low in others. <strong>The</strong> lower tariffs in some countries can<br />
be partly explained by government subsidization. <strong>The</strong> lower tariffs in Fiji are partly<br />
explained by the fact that over 50% of electricity generation is hydro based.<br />
While fuel costs and small size account for a good part of the high costs, there are other<br />
factors at work. For example, Tonga relies on the same fuel as Vanuatu, has about the<br />
same system size, and more favorable topography, and yet charges its customers<br />
considerably more.<br />
Figure 5.2: Residential Electricity Tariffs<br />
Average Tariffs (Residential and Commercial customers)<br />
(US cents per KwH)<br />
35<br />
30<br />
25<br />
20<br />
15<br />
10<br />
5<br />
0<br />
New Zealand<br />
Palau<br />
FSM<br />
Marshall Islands<br />
Source: Castalia Research, SOPAC. Notes: FSM: Federated States of Micronesia<br />
Fiji<br />
Jamaica<br />
St Kitts<br />
Timor<br />
Barbados<br />
Solomon Islands<br />
St Lucia<br />
Samoa<br />
Grenada<br />
Vanuatu<br />
Dominica<br />
Kiribati<br />
Tonga<br />
17