Tokelau Electricity Tariff Review

Tokelau's electricity is supplied via three mini-grids across the atolls of Fakaofo, Atafu and Nukunonu. This utility service is provided by the Government of Tokelau's Department of Energy (DOE), which runs and maintains the generation and distribution systems on the atolls. ITP was engaged to review the existing electricity tariffs and make recommendations on tariff adjustments necessary to fund future capital and operating expenditures.

ITP estimated historical and future expenditure and demand to establish a long-run cost of energy for each atoll. ITP then analysed the impact of various tariff rates on cashflow and cost recovery. Following the analysis, ITP was able to recommend tariff rates, tariff rate indexation, and tariff structures.

Return to Projects