Abstract

This Energy Finance Assessment examines how Pacific Small Island Developing States can unlock finance to accelerate clean, inclusive, and resilient energy transitions. Focusing on the Cook Islands, Niue, Samoa, and Tokelau, the report analyses the policy, regulatory, financial, and institutional conditions shaping renewable energy investment and innovation across diverse island contexts.

While near-universal electricity access has been achieved, the assessment finds that progress towards higher renewable energy penetration remains constrained by donor dependence, limited private sector participation, weak enabling frameworks, and insufficient access to finance—particularly for small and medium-sized enterprises (SMEs), women-led businesses, and communities. Drawing on extensive stakeholder consultations and regional case studies, the report highlights practical solutions, including blended finance, risk-sharing mechanisms, community and diaspora financing models, and regional innovation platforms.

Anchored in UNDP’s Climate Promise and SDG 7 commitments, the assessment offers a set of actionable recommendations to strengthen investment readiness, scale inclusive energy solutions, and support governments and partners in delivering just, low-carbon, and sustainable energy systems across the Pacific.