This report was prepared by Charles Feinstein, Wendy Hughes and Tendai Gregan of the World Bank. Energy is a fundamental building block for the Kingdom in its social and economic development and in enhancing the livelihood and well-being of all Tongans. In order to assist discussions among Pacific Island states and development partners, this brief outlines how the economic vulnerability of island nations to increasing oil prices and oil price volatility can be mitigated by a “Whole-of-Sector” energy development approach that seeks to balance:
a) the desire for increased access to secure, reliable, affordable, and high quality energy services;
b) the ability to capture gains from increasing energy efficiency;
c) the potential for increasing the share of renewables in the overall energy mix; and
d) the potential benefits from adopting more efficient practices in petroleum supply chain management and procurement
