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Economy
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Samoa suffering energy crisis after weeks of power outages

Samoa is in the grip of an “energy crisis” prime minister Fiame Naomi Mata’afa said this week, as she declared a state of emergency over power outages that have swept the country for weeks, causing huge disruption to businesses and daily life.

The government is scrambling to provide relief to affected businesses and households, with temporary power generation units due to arrive next week.

For weeks, frustration over regular electricity blackouts has been building across Upolu, Samoa’s main island where the capital Apia is located. The tourism sector has been heavily affected and only major resorts have back up generators. Hospitals, schools and households have also struggled with regular interruptions to power supplies..

On Monday, Fiame warned the crisis could wipe off about 16% off the national economy this year due to “severe disruptions” to public services and economic activity.

Business owner Filisitia Fa’alogo, who runs a small shop on the southern side of Upolu, is among those to suffer heavy losses. Fa’alogo told the Guardian she had just bought over US$500 worth of frozen goods when the power outages began more than two weeks ago.

“Initially the ice was able to hold up the goods, but after the second day, I literally had to give the meat away to save it from spoiling,” Fa’alogo said.

The loss meant she could not make a profit for the month, as she only sells basics to the local villages, such as milk, bread, butter and canned goods.

“This is just outrageous, this is a bare necessity I need to run my village store,” she said.

Fa’alogo is just one of many business owners who have suffered as a result of the failure of the power sector. More than 90% of businesses have experienced frequent outages, with 70% facing disruptions multiple times per week, according to a survey by the Samoa Chamber of Commerce and Industry conducted in mid-March. Firms reported equipment damage and significant revenue losses. More than half of the businesses reported losses exceeding $1,000 tala ($350) per incident.

Power outages are not unusual in Samoa, but they are usually associated with cyclones. It is rare for them to occur island-wide and drag on for such a long period of time.

The crisis has been caused by multiple technical issues, including the breakdown of key generators at the Fiaga power station on Upolu island, and a fault in a crucial underground transmission cableThese problems, compounded by ageing infrastructure and delays in acquiring replacement parts, led to widespread electricity outages across Upolu. At one point, the entire island was without power.

The state of emergency declared on Monday will run for 30 days. Authorities have begun efforts to urgently restore power supplies and support affected homes and businesses. Full power restoration across Upolu is expected before the end of April. Permanent generators aren’t due to be ready for use until August.

Pacific business sustainability expert Tupa’imatuna FotuoSamoa said the persistent power failures have harmed Samoa’s economy.

“There is significant impact on business … continued disruptions can have long-term impacts for many in our community.”

“While it’s welcome news that there is consideration for relief, such as importing generators, you need to think broader, not just relying on hydropower but incentivising other means of power generation nationally.”

Source: www.theguardian.com