Future Energy has shifted three remote Fiji resorts from full diesel dependence to a solar-and-battery system. The project covers Paradise Cove, Blue Lagoon and Octopus Resort in the Yasawa Islands.
The installation includes more than 1,700 solar panels and eight battery units, providing the resorts with a combined 1.6MW of battery storage and 760kW of solar capacity. The off-grid system is expected to cut diesel use by about half in full-year 2026, with savings targeted to reach 70% to 75% by the end of 2027 as more panels and batteries are added.
The three resorts had relied on diesel delivered by barge in barrels to generate electricity. According to the companies involved, that left them exposed when diesel prices in Fiji rose sharply after disruption in the Strait of Hormuz.
Yasawa Island Resorts owner and iHug co-founder Nick Wood said the move had softened the impact of that increase on operating costs.
"If you look at the fuel we were using at Paradise and the 80% surge in diesel prices, the increase in our operating costs would have been substantial. Instead, we're at similar levels to what we were at before we energised the system," Wood said.
The project cost about FJ$2.65 million, or roughly NZ$1.96 million, and was funded from operating cash flow. At the current level of installation, annual fuel savings are projected at about FJ$850,000, or around NZ$630,000, before tax incentives.
That implies a pre-tax payback period of two to three years. Fiji tax measures allowing a full capital expenditure write-off and duty-free importation for qualifying solar and battery investments could reduce that to an estimated 18 to 27 months.
Remote build
The location complicated the build. There was no grid connection, no site plans and no local supply chain, so equipment had to be shipped in containers and installed in a hot, salty environment.
SolaX Power Australia, which supplied the AELIO battery units used in the project, said the conditions made deployment difficult.
"A remote Fijian island was a demanding environment: no grid, salt air and extreme heat. AELIO performed across all three resorts and the savings speak for themselves. Our partnership with Future Energy shows what's possible in remote, off-grid conditions. This solution is available to any operator across the Pacific still relying on expensive imported diesel," said Joey Zhang, general manager of SolaX Power Australia.
Future Energy managed the project from design through installation and now handles day-to-day system monitoring. The first island installation was commissioned in September 2025 and the third in June 2026.
Local workforce
Eight Fijians with no previous solar experience were trained to operate and maintain the system. That creates local technical support for the sites, rather than leaving the resorts dependent on visiting specialists.
The installation also supports desalination plants serving about 200 live-in staff and tens of thousands of guests each year across the three resorts. The resorts still use diesel generators, but the lower load is expected to reduce the risk of overheating and outages.
The battery management system gives operators real-time data on power generation and use. The project team said that information should help the resorts plan future additions such as new rooms and restaurants.
Economic case
Diesel cost savings of 35% were achieved in the first six months of operation, before all eight battery units were online. Future Energy expects that to rise to 50% across full-year 2026, with further gains once the system is expanded.
The business case is notable in Fiji, where fuel imports are a major cost to the economy. The project team said the country's fuel import bill is about three times the healthcare budget, underscoring the financial pressure created by reliance on imported diesel.
Future Energy director Alastair Mortensen said the Yasawa project showed off-grid solar could stack up commercially in difficult locations.
"If we can do it here, we can do it anywhere. Remote lodges, rural hospitals, marae, data centres - the barriers to solar are lower than most businesses think. And right now, reducing reliance on diesel has real benefits, not just for the environment, but for the bottom line," Mortensen said.
The next stage is expected to use surplus solar generation to replace gas hot-water systems with heat pump units across the three resorts. Once installed, that phase is projected to save a further FJ$95,000 to FJ$110,000 a year in gas costs.
"Reducing reliance on fossil fuels across New Zealand and the Pacific is the reason we founded the company. This project proves it is achievable. Using solar and battery technology, locally generated energy is now economically viable, with modular solutions that can start small and scale as cash flows allow," Mortensen said.