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Opening of Yaqara Bridge in Fiji following upgrades financed by AIFFP

Supported by AIFFP financing, the newly replaced Yaqara Bridge in Fiji was opened for use to the local community by the Turaga Na Tui Vatu (Chief) of Vakukaloko alongside Fiji Government and Australian High Commission representatives.

Australia’s Acting Deputy High Commissioner to Fiji, Ms Sophie Temby, attended the bridge opening with Ratu Marika Rasuaki, the Turaga Na Tui Vatu (Chief) of Vakukaloko; the Hon. Ro Filipe Tuisawau, Fiji Minister for Public Works, Transport and Meteorological Services; Kamal Prasad, Chief Executive Officer of Fiji Roads Authority; and Sonal Goundar, Chief Financial Officer of Fiji Roads Authority on 4 May 2023.

The upgrades to Yaqara Bridge form part of the Fiji Transport Infrastructure Restoration Project, with Australia investing the equivalent of $2.47 million in financing to support the bridge works.

The upgrades mean Yaqara Bridge, a key piece of transport infrastructure for communities in northern Viti Levu, is now climate resilient, with a life of 100-years and the ability to withstand a one in 100-year rainfall event. The bridge will be an important connector of communities in northern Viti Levu, linking people to their families, livelihoods and essential services.

The Fiji Transport Infrastructure Restoration Project involves a total financing package of $72 million to support the Fiji Roads Authority in the renewal or resealing of more than 1.5 million square metres of road surface throughout Fiji, as well as replacement of nine critical bridges that are crucial to the Fijian economy.

Australia is proud to support our Pacific family and we look forward to continuing to support the Government of Fiji to meet its infrastructure needs under the broader investment.

Advancing delivery of the East Micronesia Cable project

More than 100,000 people across the Pacific will receive faster, more reliable, secure and higher quality internet connectivity through the East Micronesia Cable Project. The Project, funded by Australia (through the Australian Infrastructure Financing Facility for the Pacific), Japan and the United States, will build a submarine cable to connect the state of Kosrae in FSM, Tarawa in Kiribati, and Nauru to the existing HANTRU-1 cable, located in Pohnpei, FSM.

The new cable will support the increased availability of digital government services and improve trade and employment opportunities through better access to services, information and worldwide markets. It will be an important step in supporting increased economic growth and improved living standards as the region continues to recover from the severe impacts of COVID-19.

On 8 March, senior representatives from the six countries met face-to-face for the first time at the biannual Project Executive Board meeting in Canberra. During the meeting they reaffirmed their commitment to delivering this transformational project and discussed important steps to finalise the marine cable construction contract. Once signed, this contract will signal the beginning of implementation. 

The six-country collaboration highlights the commitment to maximising the region’s stability, security and prosperity, to support long term social and economic growth.

A new AIFFP Board

A newly shaped AIFFP Board has been appointed.

The AIFFP welcomes a new board appointed for a two-year term, commencing from 1 January 2023.

The change brings broader representation and external expertise, reflecting the AIFFP’s transition from establishment to implementation.

Newly appointed Australian Government representatives include senior members from the Departments of Defence and Infrastructure, Transport, Regional Development, Communications and the Arts (DITRDCA). This will support the AIFFP to draw on expertise associated with Defence’s Pacific infrastructure program and DITRDCA’s implementation of major infrastructure and transport programs.

The AIFFP also welcomes Mr Mike Mrdak AO and Dr Wendy Craik AM as the AIFFP Board’s new independent external members. They each have extensive public policy, infrastructure and resource management expertise, each with over 30 years' experience in public administration.

We're hiring!

If you’re looking for a career that has real world impact and is at the centre of Australia’s foreign policy and international development agenda, the Australian Infrastructure Financing Facility for the Pacific (AIFFP) has several opportunities available in a diverse and high-performing team.

Providing an inclusive and supportive work environment that values different perspectives and cross-cultural capabilities, the AIFFP also enables staff to make tangible contributions to a key pillar of Australia’s climate change response. Successful applicants will also help to further cement Australia’s reputation as a regional leader of choice, supporting the delivery of quality and inclusive infrastructure across the Pacific and Timor-Leste.

The AIFFP is a $4 billion facility, which currently has 12 capital works projects across nine countries, at a value of almost $1.2 billion. Take a look at our investments in more detail here.

To see more information about the opportunities, visit the Department of Foreign Affairs and Trade’s careers page, or head directly to the links below:

  1. APS4/5 Multiple Vacancies
  2. APS 6 Multiple Vacancies
  3. EL1 Multiple Vacancies

New partnership with Timor-Leste to improve airport facilities

The Australian and Timor-Leste Governments are partnering to create local jobs and economic growth with a $97.7 million concessional financing package for the redevelopment of Presidente Nicolau Lobato International Airport in Dili.

Australia’s contribution to the airport redevelopment will deliver critical airport infrastructure components, such as improving road access to the airport terminal, lighting, a new rescue firefighting facility and a new healthcare facility. Australia’s investment has been designed to improve the lives of the Timorese people and maximise local jobs, especially for women.

The partnership was officially signed at a ceremony in Dili today with HE Dr Rui Augusto Gomes, Minister of Finance for the Government of Timor-Leste and Mr Ridwaan Jadwat, First Assistant Secretary, Southeast Asia Maritime Division, Department of Foreign Affairs and Trade.

The concessional financing package includes a $57.1 million loan and up to $40.6 million in grants from the AIFFP and Department of Foreign Affairs and Trade’s bilateral program. The concessional financing package is Australia’s first sovereign financing loan to Timor-Leste, and is blended with grants to ensure Australian support for the airport redevelopment is concessional.

Australia’s contribution also includes funding from the Australian Government’s Partnerships for Infrastructure program for project preparation activities. Other funding partners to Timor-Leste for the project include the Asian Development Bank, the Japan International Cooperation Agency and the International Finance Corporation.

Importantly, the redevelopment will enable the Airport to meet key international safety and security standards, which will support increased tourism flows and improved passenger experience.

The redevelopment will support increased economic growth, connectivity with the region, create local jobs, and achieve a key development priority for Timor-Leste. The project will also deliver long-term economic growth opportunities for key agricultural sectors through improved trade and quarantine facilities at the airport.

More Australians than any other nationality travel to Timor-Leste by air. This partnership will further deepen the strong people-people links between Australia and Timor-Leste as passenger capacity at the airport is expanded.

Timor-Leste Airport Facilities Project

Media release: Partnering with Timor-Leste to improve airport facilities

Growing together: further maritime support for PNG

In November 2022, the first AIFFP funded pilot boat, purpose-built for PNG Ports Corporation (PNG Ports), was launched in a ceremony attended by Papua New Guinea Minister for State Enterprises, the Hon William Duma MP and Australian Minister for International Development and the Pacific, and Minister for Defence Industry, the Hon Pat Conroy MP.

The pilot boat is the third boat launched under the PNG Ports Fleet with the first two funded by PNG Ports and five additional boats supported by the AIFFP. The renewed fleet will enhance PNG Ports ability to meet industry demands as global trade increases in the aftermath of the COVID-19 pandemic. MV Paga was named after Paga Hill which overlooks Fairfax Harbour in Port Moresby.

Officials on the MV Paga

The new pilot boats are part of the AIFFP’s $621 million partnership with PNG Ports Corporation to upgrade and renew key ports across Papua New Guinea, which will boost maritime trade capacity, create local jobs, and support economic growth in alignment with Papua New Guinea’s PNG Connect initiative.

Only 4km apart by distance, Australia and Papua New Guinea share a close partnership that is underpinned by strong people-to-people links and a commitment to working together to deliver tangible and positive outcomes. Building on this partnership, the AIFFP is proud to be supporting the development priorities of Papua New Guinea.

AIFFP - A Partner Of Choice, Finds Independent Review

An Independent Review of the AIFFP’s first two years in operation has found that the AIFFP is responding to needs of the Pacific and Timor-Leste and has become the second-largest infrastructure financier in the Pacific.

The Two-Year System-Wide Review (the Review) assessed the AIFFP’s performance from its establishment in mid-2019 to the end of 2021 and considered how well-positioned the AIFFP is to meet its objectives.

The Review was conducted by Alinea International, a specialist monitoring and evaluation firm, and endorsed by Mr Jim Adams, a former Vice President of the World Bank Group.

As per the 20 findings and 10 recommendations, the Review found that the AIFFP has made ‘considerable and impressive progress’, establishing an ‘appropriate pipeline of investments with good economic and inclusive development potential’ and putting in place a set of policies, procedures and systems which were ‘high quality’ and fit-for-purpose.

The AIFFP has a robust monitoring, evaluation and learning plan with regular reviews that will inform the continuous improvement of the AIFFP.

A Management Response to the Review has been developed and can be viewed with the Review here

October Budget 2022-23: Unlocking opportunities and boosting connectivity through quality, climate-resilient infrastructure

The Australian Government has expanded investment in climate infrastructure, doubled the AIFFP’s grant funding, and strengthened the AIFFP’s capability through the October 2022-23 Budget.

Recognising that climate change is the single greatest threat to the livelihoods and well-being of our Pacific family, the Australian Government has expanded its investment in climate infrastructure through the Pacific Climate Infrastructure Financing Partnership to be implemented by the AIFFP. 

The Partnership will build on the existing portfolio of climate-focused investments to prioritise projects that assist countries to respond, and adapt, to climate change risks and impacts.

Under the Pacific Climate Infrastructure Financing Partnership, the AIFFP will:

  • increase support for medium and large-scale, climate-related infrastructure projects that mitigate, adapt, and build resilience to the impacts of climate change
  • green existing or future AIFFP investments by integrating climate-smart enhancements.

The AIFFP will continue to offer grants and concessional financing packages for investments that are sustainable, transparent and meet international standards. This reflects Australia’s commitment as a major lender in the region, to ensure unsustainable debt burdens are not imposed on our Pacific family, especially amidst global economic headwinds and rising interest rates.

The Government has grown the AIFFP to a $4 billion facility by doubling the grant funding available under the AIFFP ($1 billion in grants and $3 billion in loans, drawn from the existing ODA allocation). Additional funds have also been provided to strengthen the AIFFP’s project management and risk capability reflecting that construction and procurement has started across nine countries.

Joint media release: Making Australia stronger and more influential in a contested world | Australian Minister for Foreign Affairs and Minister for Women, and Australian Minister for International Development and the Pacific, and Minister for Defence Industry 

Australian Official Development Assistance October Budget Summary 2022-23

Learn more about AIFFP's climate change focus

Driving economic activity and climate resilience in Fiji

Australia, through the AIFFP, will boost its support for Fiji’s economic recovery and climate-resilience with a AUD72 million concessional, results-based financing package. This will support the renewal of more than 1.5 million square metres of road surface and replacement of nine key bridges through the Fiji Transport Infrastructure Restoration Project.

The new investment, which includes a grant of AUD14.7 million, between Australia and the Republic of Fiji was officially agreed to at a signing ceremony with the Hon. Aiyaz Sayed-Khaiyum, Fijian Attorney-General and Minister for Economy, Civil Service, Communications, Housing and Community Development, and Mr John Williams, Australia Chargé d’affaires, in Suva on 18 October 2022. It represents Australia’s first sovereign loan to the Republic of Fiji, and is delivering upgrades to nine critical bridges and renewing more than 1.5 million square metres of road surface throughout Fiji.

Focussing on replacing and renewing critical transport infrastructure, the Fiji Transport Infrastructure Restoration Project will ensure that nine key bridges in Fiji are climate resilient and designed to withstand a one in 100-year rainfall event.

As Fiji continues to recover from the COVID-19 pandemic, the investment will also sustain much-needed economic activity, with the majority of the workforce to be local Fijians.

Fiji Transport Infrastructure Restoration Project

Media release: Australia partners with Fiji to drive climate resilient transport infrastructure

For more information, contact aiffp@dfat.gov.au

Palau Solar project sets new benchmark for quality Pacific infrastructure

The Palau Solar project is delivering low emissions and climate resilient infrastructure alongside robust environmental and social standards.

Australia, through the AIFFP, has provided AUD31 million in financing to Solar Pacific Pristine Power to support the construction of Palau’s first utility-scale solar and battery energy storage facility.

Located on Palau’s largest island, Babeldaob, the project is expected to generate 20 per cent of Palau’s energy needs by replacing diesel with renewable energy. It will play a key role in Palau’s efforts to meet its renewable energy targets by 2025 and be one of the largest hybrid facilities of its kind in the Pacific.

Palau is home to the most species-diverse native forests in Micronesia, with many rare and endangered plants and animals. Solar Pacific Pristine Power has worked closely with local stakeholders and biodiversity experts to preserve this unique ecology, ensuring all environmental requirements are met and mitigating any risks that the solar and battery facility would damage the surrounding pristine environment.

As a wholly private sector led project, Australia’s partnership with Solar Pacific Pristine Power demonstrates how financing can encourage private sector investment in major infrastructure projects in the Pacific to prioritise inclusive social and environment standards, without adding to sovereign debt.

The AIFFP is committed to ensuring that robust social and environmental standards are met to ensure the infrastructure meets the development needs of Pacific countries and Timor-Leste, without harming the environment.

For more information, contact aiffp@dfat.gov.au