The European Union has today signed a deal on funding a renewable energy programme which it hopes will result in better living standards for people in the Federated States of Micronesia, the Marshall Islands, Nauru, Niue and Palau.
The EU says the inception of the US$13.8 million project is timely, given that oil prices are near an all-time high.
It says that's hit the balance sheets of power utilities in all five countries.
The head of the EU delegation in the Pacific, Dr Roberto Ridolfi, says putting national projects into one hat, will save money in overheads and administration.
"The decision on the activities will be very much up to the countries and to the energy utilities in these five countries. There will be a project management unit based in Suva, and this project management unit will co-ordinate the supplies and purchasing of equipment and other works and installations that will be needed."