Subsidy to provide electricity relief for Norfolk Island

Beautiful coastal shoreline of Norfolk Island
Image: Shutterstock

The federal government is providing a temporary subsidy to Norfolk Island Regional Council to relieve the impact of increased diesel fuel prices on electricity production costs and charges for council and the community.

The $200,000 subsidy is an interim arrangement while Norfolk Island makes the transition to renewable power, supported by the government’s $5.3 million investment in improvements to Norfolk Island’s electricity network including the roll-out of solar infrastructure.

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Minister for Regional Development, Local Government and Territories Kristy McBain said, “I acknowledge the pressures associated with increased power costs for both the council and local residents and businesses, with a rise of 40% in diesel fuel prices in recent months, driven by domestic and global freight challenges.

“Having spent time on Norfolk Island, I understand the challenges the community is facing and want to support measures to alleviate cost of living pressures where possible.

“The government is supporting the community to transition to a more sustainable and cost-effective power base,” McBain said.

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“The remote location of Norfolk Island, compounded by freight and supply chain shortages on a global scale, means it was appropriate to look at temporary measures to address the significantly increased cost of power for consumers.

“What we have seen over these past months is that a long-term transition to more financially and environmentally sustainable energy is vital for Norfolk Island, and I look forward to seeing the roll-out of improvements to the electricity network across the island in the coming months.”

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