Assistant Secretary Domenech Applauds Progress at Pohnpei Utility and JEMCO Support

WASHINGTON – Doug Domenech, U.S. Department of the Interior Assistant Secretary, Insular and International Affairs, applauds the Pohnpei Utilities Corporation (PUC) for its progress in strengthening institutional management as well as delivery of power and water utilities for the people of Pohnpei in the Federated States of Micronesia (FSM). Assistant Secretary Domenech further commends the subsequent decision of the U.S.-FSM Joint Economic Management Committee (JEMCO) to provide PUC with $1,328,220 in fiscal year 2019 Compact sector grant assistance to overhaul generators and expand cash power systems at the utility.

“I commend Chairman Nik Pula and the JEMCO for making this grant assistance available to the FSM Government for the benefit of the Pohnpei Utilities Corporation,” said Assistant Secretary Domenech. “I understand that leaders in Pohnpei are collaborating to bring PUC out of financial insolvency so that it may operate on sound commercial principles. This is a concrete example of the U.S.-FSM partnership under the Compact of Free Association and how it should work to benefit the people of the FSM,” Domenech further added.   

Assistant Secretary Domenech visited Pohnpei State in May 2018, where he was given a tour of the Nanpohnmal power plant by PUC Manager Nixon Anson and experienced rolling brown outs during his stay.

Compact sector grant assistance as approved by the JEMCO, and made available through the Compact of Free Association (Public Law 108-188) will support the following:

• Power Generation Engine Servicing - $828,220 to overhaul PUC diesel generators and engines by (1) partial or complete disassembly of the Caterpillar 3516 gensets, (2) inspection to detect damaged, defective, or worn parts, (3) repair or replacement of such parts, and (4) reassembly, testing, and trial-run prior to returning the item to its full operating level. 
   
• Three-Phase Prepayment Power Metering System Expansion - $500,000 to support the purchase of electric meters for commercial and industrial customers of PUC.

The PUC has been operating under an emergency decree and in crisis mode for several years. Recently, PUC leadership began implementing the early stages of a program to develop a sustainable framework to capitalize, manage, and strengthen the utility called the Multi-Donor Framework for a Capitalization, Recovery, and Institutional Strengthening Program (CRISP). The CRISP contains commitments from PUC and the Pohnpei State leadership, that when implemented, seeks to enable the PUC to restore itself as a reliable, effective, and efficient provider of power, water, and wastewater utility services to the people of Pohnpei.

The Secretary of the Interior is responsible for coordinating federal policy with respect to the territories of the U.S. Virgin Islands, American Samoa, Guam, and the Commonwealth of the Northern Mariana Islands, and administering and overseeing U.S. federal assistance provided under the Compact of Free Association to the freely associated states of the Federated States of Micronesia, the Republic of the Marshall Islands, and the Republic of Palau. The Assistant Secretary, Insular and International Affairs, executes these responsibilities, on behalf of the Secretary, through the Office of Insular Affairs whose mission is to foster economic opportunities, promote government efficiency, and improve the quality of life for the people of the insular areas.

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