AGP Executive Report

Freshwater Security: A five-year PacFresH2O programme launched in Honiara will back Guadalcanal, Makira and Central Islands with climate adaptation, stronger freshwater management and improved WASH services, with GIZ Pacific, the Solomon Islands government, SPC and Live & Learn. Mining Governance & Women’s Role: A Honiara workshop backed by the British High Commission and UNDP urged stronger women’s participation in mining community decision-making and EITI processes, pushing transparency and better information sharing. Jobs Beyond Mining: The World Bank says Solomon Islands can turn recovery into more jobs by managing public finances better, investing in agriculture and fisheries, and diversifying growth beyond mining. Skills for Industry: Japan’s Nippon Foundation committed support for a TAFE School of Trade in Solomon Islands, with plans to build up to four across the country to feed a manufacturing and processing workforce. Border & Maritime Security: Australia and Solomon Islands opened the Western Border Outpost in the Shortlands, bringing RSIPF, Customs, Immigration and Biosecurity together and creating 368 local jobs. Land & Revenue Digital Push: MLHS is exploring an Integrated Land Information System to improve government land records and land revenue collection. Hydro Update: Tina Hydro remains on track for February 2028 commissioning, while the TBM was named “Rotima” by local students. Fiscal Discipline Debate: Opposition commended Finance Minister Gordon Darcy Lilo’s “fiscal realism” in the 2026 supplementary appropriation, as parliament also scrutinised a $1.5m house rental linked to PM Wale.

Aviation & Connectivity: New Zealand Foreign Affairs Minister Winston Peters pointed to the Cook Islands’ airline turnaround as a Pacific aviation model, stressing how tourism-dependent economies rely on reliable routes and community “lifeline” services. Fiscal Discipline: Solomon Islands Opposition backed Finance Minister Gordon Darcy Lilo’s “realistic” stance in the 2026 Supplementary Appropriation Bill, warning against spending growth without matching revenue or a clear financing plan. Mining Governance: Women were urged to strengthen transparency and accountability in mining communities, while the Gold Ridge landowners council backed wider consultations on the Mineral Resources Bill after proposed changes since 2024. Energy & Risk: PM Matthew Wale said the Tina Hydro project is a financial risk that should teach lessons, even as officials report it remains on schedule toward February 2028 commissioning; the TBM was also named “Rotima.” Border & Trade Infrastructure: Australia and Solomon Islands opened the Western Border Outpost in Lofung/Shortlands, consolidating RSIPF, Customs, Immigration and Biosecurity, with jobs and local contracts. Land & Revenue Systems: MLHS is exploring a digital Integrated Land Information System to improve government land records and land-rent collection. Skills for Industry: Japan’s Nippon Foundation is supporting plans for TAFE Schools of Trade to build a manufacturing and processing-ready workforce. Fisheries Investment: Government reaffirmed Bina Harbour as a central tuna processing priority through April 2028, alongside stronger monitoring and electronic reporting. Business Support: Strongim Bisnis accelerator winners received laptops and Starlink units to boost MSME productivity and market access.

Maritime Security Upgrade: Australia officially opened the Solomon Islands’ Western Border Outpost in the Shortland Islands, bringing RSIPF, customs, immigration and biosecurity under one roof and supporting Guardian-class patrol operations, with Australia investing over $71.2m. Digital Land Services: Honiara’s Ministry of Lands, Housing and Survey is testing an Integrated Land Information System to unify government land records and improve land revenue collection, building on SOLA and GPS-based boundary work. Aviation Infrastructure: Honiara International Airport’s Aviation Complex Building is at 90% progress, moving into final finishes, testing and commissioning ahead of an end-August target. Hydropower on Track: Parliament heard the Tina River Hydro project remains scheduled for February 2028 commissioning, while the TBM was named “Rotima” as progress reaches 35%. Mining Law Reform: The Mineral Resources Bill 2025 was introduced to modernise mining rules, strengthen environmental safeguards, and make Community Development Agreements a statutory requirement for large projects. Economic Push: Government earmarked $345.4m for economic transformation and rural investment, while finance updates point to 3.5% revised GDP growth supported by mining, agriculture, tourism and fisheries. Fisheries Investment: The Bina Harbour tuna processing plant stays a priority to April 2028, with stronger monitoring and traceability plans alongside customary rights protections.

Border Security Upgrade: Australia’s Deputy PM Richard Marles and Solomon Islands DPM Francis Sade officially opened the Western Border Outpost in the Shortlands, bringing RSIPF, Customs, Immigration and Biosecurity under one roof to boost border management and maritime security, with the facility set to become a sovereign Solomon Islands asset. Development Partnerships Push: PM Matthew Wale urged development partners to align support with national priorities and deliver measurable results, pointing to the GREAT Coalition agenda on free education, affordable electricity, stronger institutions, decentralisation and people-centred growth. Aviation Infrastructure: Honiara International Airport’s Aviation Complex Building is at 90% physical progress, with final works, testing and commissioning underway ahead of a 31 August 2026 completion target. Hydropower Progress: The Tina River Hydropower TBM was named “Rotima” as the project reaches 35% progress, aiming to supply about 65% of Honiara’s electricity needs from February 2028. Economic Planning & Finance: Government earmarked $345.4m (45% of budget) for economic transformation and job creation, while Finance Minister Gordon Darcy Lilo flagged manageable debt and raised concerns about weak visible capital inflows from mining despite strong gold exports. Land & Industry Systems: MLHS surveying work is moving Honiara property boundaries closer to a digital land information system, supporting integration into the proposed ILIS. Fisheries & Ports: Bina Harbour remains the central fisheries investment priority through April 2028, and Honiara Port upgrade works are entering the next phase for International Berth 1 expansion.

MSME Boost: MCILI and Strongim Bisnis handed laptops and Starlink units to five Strongim Bisnis Business Accelerator winners, linking coaching and a Shark Tank-style pitch to a new blended financing facility with DBSI. Fisheries Investment: Minister Polycarp Paea confirmed Bina Harbour Tuna Processing remains the government’s top fisheries priority through April 2028, with stronger monitoring, traceability, and safeguards for customary rights. Port Upgrade: Honiara International Port’s International Berth 1 upgrade has entered the next phase, with temporary marine piling structures now being fabricated ahead of a 30-metre seaward extension. Mining Law Reform: Derrick Manuari introduced a new Mineral Resources Bill to replace the 30-year-old mining act, putting Community Development Agreements and stronger landowner and environmental protections at the centre. Police Capacity: RSIPF received a $5.5m upgraded Tactical Training Centre from Australia’s AFP, aimed at improving readiness and professional training. Economic Outlook: Finance Minister Gordon Darcy Lilo said real GDP growth is revised to 3.5%, driven by mining, agriculture, tourism and fisheries, while logging continues to decline. Regional Energy & Infrastructure: Solomon Islands launched PacFresH2O for freshwater security and climate resilience, while work continues on Tina River’s transmission line to expand renewable power to Honiara.

Port Upgrade: Honiara International Port’s International Berth 1 upgrade is moving into the next phase, with temporary structures being built to support marine piling for a planned 30-metre seaward extension under the Land and Maritime Connectivity Project. Mining Law Reform: The Government introduced a new Mineral Resources Bill to modernise mining rules, put landowners and communities at the centre through a statutory Community Development Agreement, and tighten land access, compensation, and environmental safeguards. Police Training Boost: RSIPF received a $5.5m upgraded Tactical Training Centre from Australia’s AFP, aimed at improving officer readiness and key response capabilities. Energy & Power: Construction has started on a 22km transmission line from Tina River to Lungga to deliver up to 15MW of renewable power to Honiara, while Polar Power reported repeat orders for solar hybrid systems supporting Solomon Islands broadband expansion. Regional Cooperation: SPC and PM Wale discussed stronger technical cooperation across ocean management, fisheries, climate, renewable energy, agriculture and natural resources, including maritime boundary work with PNG. Economy & Tax: Finance Minister Gordon Darcy Lilo flagged manageable debt, revised GDP growth to 3.5% as logging declines, questioned weak visible mining capital inflows, and pushed tax collection tightening and reforms including a planned VAT. Freshwater Security: Solomon Islands launched the PacFresH2O programme to protect freshwater resources and build climate resilience with partners including GIZ, SPC and Live & Learn. Western Border Security: Australia is set to hand over the new Lofung border and patrol boat outpost to strengthen western maritime policing, disaster response and services.

Quarantine & COVID Variants: Opposition leader Matthew Wale warns the government to take a “zero risk” approach before any further repatriation flights, saying SOPs must account for misleading early test results and the spread of delta and the emerging lambda variant. Mining Law & Community Benefits: Minister Derrick Manuari introduces the Mineral Resources Bill 2025 to modernise mining rules, make Community Development Agreements (CDAs) statutory, strengthen landowner access and compensation, and tighten environmental approvals and rehabilitation. Port & Shipping Infrastructure: Honiara International Port upgrade works move into the next phase for the International Berth 1 seaward extension, with temporary marine piling structures now being fabricated and installed to support a planned 30-metre increase in capacity. Police Training Upgrade: RSIPF receives a SBD 5.5 million upgraded Tactical Training Centre from Australia’s AFP, aimed at improving officer preparedness and response capability. Energy & Grid Build-Out: Construction begins on a 22-kilometre transmission line from Tina River to Lungga Power Station, targeting up to 15MW of renewable power for Honiara and reduced reliance on imported diesel. Freshwater Security Programme: Solomon Islands launches PacFresH2O to protect freshwater resources and boost climate resilience across Solomon Islands and Papua New Guinea, supported by GIZ, SPC and Live & Learn. Tax Reform Push: Finance Minister Gordon Darcy Lilo flags revenue losses from tax exemptions and abuse, pointing to new tax administration steps and plans for VAT and income tax rewrites. Economic Outlook: Lilo says real GDP growth is revised to 3.5% for 2026, driven by mining, agriculture, tourism and fisheries as logging declines, while also noting debt remains within fiscal safety limits. Regional Fuel Hub Plan: PM Wale proposes a Pacific regional fuel hub at Aruligo, aiming for up to 12 months of storage to improve energy security and potentially cut fuel costs across the region. Agriculture Value-Add: Indonesia talks with PM Wale focus on coconut value-added processing (beyond raw copra) plus opportunities in cocoa and seaweed, while Faifatala’a kava farmers move toward a plantation-to-market hub model to meet export demand.

Delta Preparedness: Opposition leader Matthew Wale warns the government to take a “zero risk” approach as more repatriation flights could bring the delta variant into Solomon Islands, urging clearer explanations and ongoing risk analysis for other variants like lambda. Mining Law Reform: Minister Derrick Manuari introduces a new Mineral Resources Bill to modernise mining rules, strengthen environmental safeguards, and make Community Development Agreements (CDAs) a statutory requirement so landowners and communities benefit directly. Port Upgrade: Construction at Honiara International Port moves into the next stage of the International Berth 1 upgrade, with temporary marine piling structures now being installed to support a planned 30-metre seaward extension. Energy & Power Infrastructure: Work begins on a 22-kilometre transmission line from Tina River to Honiara’s grid to deliver up to 15MW of renewable power, while PAC questions SBD21.69m in advanced warrants tied to the Tina River project. Freshwater Security: Solomon Islands launches the PacFresH2O programme with partners to protect freshwater resources and boost climate resilience across Solomon Islands and Papua New Guinea. Economic & Fiscal Updates: Finance Minister Gordon Darcy Lilo says real GDP growth is revised to 3.5% as mining, agriculture, tourism and fisheries strengthen, while logging declines; he also says debt remains within safety limits and flags concerns about weak visible capital inflows from mining. Regional Trade & Fuel Planning: PM Wale discusses deeper cooperation with Indonesia (coconut value-add, cocoa and seaweed) and Thailand (trade, agriculture, tourism), and proposes a regional fuel hub at Aruligo, aiming for up to 12 months of storage to cut costs across Pacific islands. Police Training Upgrade: RSIPF receives a SBD5.5m upgraded Tactical Training Centre from Australia’s AFP to improve preparedness and operational readiness. Geology for Industry: Curtin New Colombo Plan scholars digitise 7,000 rock samples and maps, unlocking geological data for future research and resource planning.

Port Infrastructure: Honiara International Port upgrade is moving into the next stage of International Berth 1 works, with temporary structures now being fabricated to support marine piling for a planned 30-metre seaward extension under the Land and Maritime Connectivity Project. Mining & Land Rights: The Government introduced a new Mineral Resources Bill 2025 to modernise mining law, with a statutory Community Development Agreement framework and stronger landowner access and compensation rules, alongside tighter environmental safeguards. Economy & Fiscal Watch: Finance Minister Gordon Darcy Lilo told Parliament real GDP growth is revised to 3.5% this year as mining, agriculture, tourism and fisheries hold up while logging declines; he also said government debt remains within safety limits and revenue/spending figures show a 2025 deficit but overall surplus after external financing. Energy & Industry: Construction has started on a 22-kilometre transmission line from Tina River to Honiara’s grid to deliver up to 15MW of renewable power, while Polar Power reported repeat orders for solar-hybrid systems across Solomon Islands telecom sites. Regional Security & Trade: Australia’s Lofung border and patrol boat outpost in the Shortlands is set for handover on 17 August, bringing police, customs, biosecurity and immigration into one facility to strengthen western maritime border management. Water Security: Solomon Islands launched the PacFresH2O programme to protect freshwater resources and build climate resilience across Solomon Islands and Papua New Guinea.

Port Upgrade: Construction at Honiara International Port is moving into the next stage of the International Berth 1 upgrade, with temporary structures now being installed to support marine piling for a planned 30-metre seaward extension—aimed at boosting capacity and safer cargo handling. Economic Outlook: Finance Minister Gordon Darcy Lilo told Parliament real GDP growth for 2026 has been revised up to 3.5%, driven by mining, agriculture, tourism and fisheries as logging declines and diversification becomes urgent. Public Finance: Parliament heard that government revenue reached about $4.1b in 2025 while spending hit about $5.1b, leaving a deficit of roughly $768m, alongside a separate update saying debt remains within a 35% safety threshold. Geology for Industry: Curtin University’s New Colombo Plan scholars have digitised over 7,000 rock samples and maps, creating a national geological database that can support research and resource planning. Energy & Infrastructure: Work is underway on a 22km transmission line from Tina River to Honiara’s grid to bring up to 15MW of renewable power, reducing reliance on imported diesel. Border & Trade Logistics: Australia will hand over the new Lofung border and patrol boat outpost to Solomon Islands on 17 August, strengthening western maritime security and enabling services for remote communities. Freshwater Security: Solomon Islands launched the PacFresH2O programme to protect freshwater resources and improve climate resilience across Solomon Islands and Papua New Guinea. Mining Scrutiny: Lilo raised concerns that strong gold export earnings are not matched by visible capital inflows into the national accounts, prompting further review.

Energy & Infrastructure: Reeves Envico and CE Group have started work on a 22km transmission line from Tina River to Lungga, aiming to deliver up to 15MW of renewable power to Honiara and cut diesel reliance. Parliament & Public Finance: Parliament deferred the 2025 and 2026 Supplementary Appropriation Bills after required reports weren’t tabled, while PAC scrutiny continues over advance warrants and project costs. Mining & Tax Reform: Finance Minister Gordon Darcy Lilo questioned weak visible capital inflows from mining despite strong gold exports, and pushed tax reforms to curb exemptions and improve revenue collection, including plans for VAT and income tax rewrites. Water Security: Solomon Islands launched the PacFresH2O Programme to protect freshwater and boost climate resilience across the region, with support from GIZ, SPC and Live & Learn. Agriculture & Jobs: MALD’s Pig Breed Improvement Program has begun with breeding pigs arriving at KG VI Farm to tackle poor genetics, while Faifatala’a kava farmers are preparing a plantation-to-market hub to meet export demand. Trade & Border: Australia will hand over the Lofung Border and Patrol Boat Outpost in the Shortlands on 17 August to strengthen western border services. Telecom Power: Polar Power says repeat orders are expanding solar-hybrid systems for Solomon Islands telecom sites, supporting broadband rollout. Local Development: MRD is developing a policy framework for Constituency Economic Growth Centres to bring services and economic opportunities closer to rural communities.

Regional Energy Security: PM Matthew Wale says Solomon Islands is planning a major regional fuel hub at Aruligo, Northwest Guadalcanal, aiming for up to 12 months of storage and lower freight costs across Pacific partners. Freshwater Resilience: Government launches the PacFresH2O Programme to protect freshwater and boost climate resilience in Solomon Islands and Papua New Guinea, with support from GIZ, SPC and LLEE. Mining Revenue Scrutiny: Finance Minister Gordon Darcy Lilo questions why strong gold export earnings aren’t showing up as visible capital inflows in the national accounts, signalling a push to examine how mining is financing locally. Tax Reform Push: Lilo warns tax exemptions and abuse are draining revenue, pointing to the Tax Administration Act and plans for VAT and further Income Tax Act rewrites. Honiara Power Upgrade: Construction starts on a 22km transmission line from Tina River to Lungga to deliver up to 15MW of renewable power for Honiara. Agriculture Value Chains: Faifatala’a kava farmers move toward a plantation-to-market model to meet international demand, while MALD’s SIART-backed Pig Breed Improvement Program begins with new breeding pigs at KG VI Farm. Governance & Oversight: Parliament defers supplementary appropriation Bills over outstanding reports; PAC also probes warrant spending on Tina River and gaps in labour workforce data.

Renewable Power Build-Out: Reeves Envico and CE Group have started work on a 22-kilometre transmission line linking Tina River Hydropower to Honiara’s grid, aiming to deliver up to 15MW of cleaner power and cut reliance on diesel. Hydropower Spending Scrutiny: PAC questioned MMERE over SBD21.69m in advanced warrants tied to the Tina River project, now seeking regularisation through the 2026 Supplementary Appropriation Bill. Telecom Energy Expansion: Polar Power says repeat orders from a Solomon Islands telecom customer will add 15 more solar-hybrid systems for remote broadband sites, building on $7.9m in Pacific revenue since 2024. Honiara Education Funding Watch: PAC probed a SBD3.3m push to rehabilitate Honiara Senior High School, questioning costs and why it was processed through a recurrent advance warrant. Labour Data Gap: MCILI told PAC Solomon Islands lacks a single database for the formal labour workforce, relying on NPF data while a labour survey is planned. Land, Mining and Finance Reforms: Government outlined five land-sector bills and a sliding-scale gold royalty system, plus plans for a Sovereign Wealth Fund—while MPs pressed for enforceable benefit-sharing for customary landowners and provinces. Rural Growth Planning: MRD is developing a policy framework for Constituency Economic Growth Centres to act as rural hubs for services and enterprise.

Energy & Infrastructure: Reeves Envico and CE Group have started work on a 22-kilometre transmission line linking renewable power from Tina River to Honiara’s grid, aiming to deliver up to 15MW and cut reliance on imported diesel. Public Finance Watch: The Public Accounts Committee questioned MMERE over SBD21.69m in advanced warrants tied to the Tina River Hydropower project, while PAC also paused MID’s supplementary budget review after figure mismatches. Electricity for Schools & Communities: Solomon Islands–Australia Community Partnerships projects in East Kwaio are delivering gravity-fed clean water, solar power for schools, and classroom upgrades. Telecom Expansion: Polar Power says it has repeat orders for 15 more solar hybrid systems for Solomon Islands telecom sites to support broadband in remote areas. Climate Policy Push: Pacific Forum foreign ministers backed stronger climate action ahead of COP31, including more climate finance, renewables investment, and Pacific leadership at Pre-COP31 meetings. Governance & Jobs Data: MCILI told PAC Solomon Islands lacks a single labour workforce database and is working on a labour database survey. Mining & Royalties: Government outlined a sliding-scale royalty system that tracks global gold prices, plus new labs to verify mineral exports. Education Policy Debate: Opposition says free education by 2027 needs the “machinery” in place—teachers, classrooms, dorms, water systems, and a clear funding plan. Rural Development: MRD is developing a policy framework for Constituency Economic Growth Centres to bring services and economic opportunities closer to rural communities.

Solar & telecom power: Polar Power says it has received repeat purchase orders for 15 more Solar Hybrid Power Systems in the Solomon Islands, backing broadband expansion to remote telecom sites. Telecom reform push: PM Matthew Wale met Satsol leadership as the company plans rural service expansion, while the Government flags reforms including a review of the Telecommunications Act and changes to the regulator. Energy & accountability: PAC questioned MMERE over SBD21.69m in advanced warrants for the Tina River Hydropower project, with spending now seeking regularisation via the 2026 Supplementary Appropriation Bill. Disaster resilience in Honiara: Minister Derrick Manuari opened regional geohazard and tsunami warning meetings, highlighting Pacific Ring of Fire risks and the need for monitoring and early warning. Labour data gap: MCILI told PAC the country lacks a single database for the formal labour workforce, relying partly on National Provident Fund data while a labour survey is being prepared. Rural growth hubs: MRD is developing a policy framework to establish Constituency Economic Growth Centres as decentralized commercial and industrial hubs. Education funding scrutiny: PAC probed MEHRD supplementary requests, including a $3.3m push to rehabilitate Honiara Senior High School, while debate continues over the sustainability of free education plans. Mining & royalties: Government outlined a sliding-scale gold royalty system linked to global prices, plus new labs to verify mineral exports. Infrastructure momentum: Work is progressing on the Australia-funded Seghe Market (75% complete) and Honiara’s second road corridor is moving into feasibility and detailed design with ADB support.

Energy & Infrastructure: Construction has started on the 22-kilometre transmission line linking the Tina River Hydropower Facility to Honiara’s grid via Lungga Power Station, aiming to deliver up to 15MW of renewable power and cut reliance on diesel; the project is expected to finish in early 2028 with Australia contributing about SBD$180m. Mining & Royalties: The Government says mining reforms will let it take up to a 25% stake in major projects, introduce a “No Pay, No Ship” export rule, reserve alluvial mining for Solomon Islanders, and move royalty rates with global gold prices; two new labs will verify mineral exports. Rural Development & Jobs: The Ministry of Rural Development is drafting a policy framework to set up Constituency Economic Growth Centres as decentralized hubs bringing services and economic opportunities closer to rural communities. Telecoms Expansion: PM Wale met Satsol, which is planning to expand services into rural areas; reforms include reviewing the Telecommunications Act and the role of the Telecommunications Commission. Governance & Oversight: PAC scrutiny continues over supplementary funding—MEHRD’s $76.8m request, MCA’s $532k SolCERT push, and Home Affairs’ $5m sports grant for Oceania Rugby Sevens—while Commerce flagged a gap in a complete national labour workforce database. Education Policy Debate: Opposition warns free education must be backed by classrooms, teachers, infrastructure and a clear 10-year financing plan. Honiara Works: PAC paused MID’s supplementary review after figure discrepancies, while Honiara’s alternative road corridor feasibility and detailed design are being procured with ADB support. Disaster Preparedness: Regional geohazard and tsunami warning meetings were opened in Honiara, highlighting the need for monitoring and early warning systems. Agriculture: Government plans new cocoa and coconut plantations targeting 10,000 hectares, alongside rehabilitation of aging farms and stronger pest management. Local Economy & Markets: Seghe Market construction is 75% complete, with a climate-resilient facility for 120 vendors expected later this year.