Pacific Island Countries face significant challenges to infrastructure service provision:
- Countries often have a large number of small islands and archipelagos, with different infrastructure requirements.
- Populations are often isolated, with low population densities and people living on small islands dotted across a vast region of ocean. People living in rural areas tend to have least access to infrastructure services.
- Countries are vulnerable to natural disasters, cyclones, tsunamis, floods, volcanic activity and earthquakes. Infrastructure services are particularly vulnerable to damage in natural disasters and the cost of infrastructure rehabilitation can be substantial.
- Countries may have limited capacity to fund and maintain core infrastructure. Without proper maintenance, infrastructure assets have a short life and considerable investment is required to re-build.
PRIF has a role as a catalyst to support and encourage investment in infrastructure in Pacific Island Countries. Some key aspects of infrastructure management include:
- Life-cycle costing and pricing (including capital and recurrent costs such as maintenance and asset replacement)
- Cost recovery from user charges
- Cross-subsidisation: urban/rural, business/residential
- Design, service and maintenance standards and capability
- Regulatory frameworks
- Private sector involvement
- Environmental safeguard policies
- Resource management
- Accountability and performance management
- Financial management and accounting systems
- Asset management capability