The European Union has rejected a Marshall Islands country funding plan, saying that the Marshalls needs to follow a model being implemented in other island countries.
Until the Marshalls resolve the conflict with the EU it can't begin drawing down at least 1-POINT-5 million US dollars annually for the five-year period on offer.
The government recently produced country support strategy plan in a move to access large-scale and long-term EU funding. The strategy focused on education and human resource development.
But the EU says the Marshall Islands should get in step with other Pacific Islands by focusing on solar power and other alternative energy installations for remote islands.
A group of Marshall Island officials have spent the last 12 months working on producing the country support strategy.