Australia has declared a $20 million aid to facilitate the much-desired revamp of Nuku’alofa Port in the Kingdom of Tonga. The Asian Development Bank previously sanctioned a $45 million grant in 2020 for the very initiative. Nevertheless, a sum total of $88 million is necessary for the project’s fulfillment.
The Australian government has thus signed up to co-fund alongside the Tongan government. New Zealand firm, McConnell Dowell, has bagged the project, slated for completion by mid-2025.
Functionality of Nuku’alofa Port for Tonga
Satellite to Tonga’s existence, the Nuku’alofa port acts as a conduit for approximately 98 percent of the nation’s imports. This port has witnessed a steady decline due to neglect and lack of investment over time, particularly concerning the Queen Salote International Wharf, the main cargo terminal.
Anticipated Improvement from Port Upgrade
The proposed upgrade seeks to expand the wharfs’ size to invite larger vessels. Emphasis is also given to ensure the resilience of all primary port infrastructure to combat climate change. Given that Tonga is susceptible to rising sea levels, which pose an existential threat to numerous Pacific Island nations, these efforts are vital.
The environs of Tonga are seismically active, succumbing to devastating earthquakes every couple of decades. Moreover, there’s an impending threat of cyclones wreaking havoc on their infrastructure every one to five years.
Global Support for Pacific Island Nations
Sevenitini Toumo’ua, Tonga’s Minister for Infrastructure, commended Australia’s backing, asserting that it will immensely aid Tonga’s economic resurgence and development. Besides this, U.S. President Joe Biden made a generous commitment of $200 million to Pacific Island nations.
These funds are earmarked for projects aimed at alleviating the effects of climate change, curbing unlawful fishing, and stimulating economic growth.
Infrastructure Deficit and Geopolitical Tensions in Pacific Islands
According to a fresh report by ANZ Bank, the Pacific Islands region is staring at a significant infrastructure deficit – a daunting $12 billion projected through 2030. Climate catastrophes have sent the cost accruing exponentially, with constant repairs required on roads, ports, and telecommunication networks.
Chinese state enterprises have been instrumental in making infrastructure investments in an attempt to strengthen their geopolitical foothold in the Pacific Islands. Under the Belt and Road Initiative, these firms have infused tens of millions of dollars annually into roads, bridges, hospitals, and various regional projects.
However, U.S. Secretary of State Antony Blinken sourly noted during his Tonga visit in July, the progressive increase in China’s problematic behavior in the region. He termed it “predatory economic activities,’ which threaten good governance and fuel corruption.”