Outgoing Chinese Ambassador HE Zhang Yuanyuan this week paid a courtesy call on Deputy Prime Minister and Minister of Finance Sir Terepai Maoate.
The Ambassador, who has visited the Cook Islands four times during his tenure in Wellington discussed a range of issues with Sir Terepai, including the aim by the government here to harmonize all major infrastructure projects planned for the country.
The Chinese government has asked to examine a priority list of Cook Islands development projects that have been indentified as needing substantial funding.
During a meeting the Ambassador said China wants to be constructive partner to developing Pacific island countries.
A harmonization approach to the planned infrastructure projects is being designed by the Asian Development Bank. Finance Minister Sir Terepai Maoate says the government views the development of infrastructure as being a major investment in the country’s growth.
The harmonization follows on from the Infrastructure Master Plan that was prepared in conjunction with the National Sustainable Development Plan in early 2007. Detailed feasibility studies are being undertaken by a multi-disciplinary group of consultants funded through the Asian Development Bank by the governments of Japan and New Zealand.
The studies will assess the costs, and social, economic and environmental benefits of projects involving water, sanitation, waste management, energy and transport projects and their sustainability to assist the Government in deciding which projects to proceed with.
In order to turn the projects into reality, and to minimize costs to the Cook Islands, the Government has asked its major development partners, including donors and development banks to harmonize and coordinate their support so that a clear implementation and least cost financing plan can be worked out.
ADB, NZAID, European Union and the European Investment Bank are working with the government to put together financing for the integrated infrastructure development plan that is emerging from the ADB study, says ADB Infrastructure Specialist Richard Phelps.
The European Union has expressed interest in assisting with water and sanitation development on Aitutaki with grant funding. NZAID, in addition to its ongoing outer islands port projects will continue to support the outer islands, again with grant assistance.
Commercially oriented public infrastructure projects like the Rarotonga airport terminal and renewable energy projects such as the wind power scheme proposed for Rarotonga, are attracting support from the European Investment Bank.
ADB is looking to provide finance for the development of the Avatiu port and water and sanitation on Rarotonga.
This unprecedented collaboration between Government and development partners is expected to result in turning offers of aid into concrete action much more quickly than has previously been the case with Avatiu port and Aitutaki water projects expected to start next year, says Phelps.
Although the Ambassador did not make a commitment to any specific project on behalf of his country he gave the undertaking that the priority project list would be examined very closely.
Two years ago the China made $600 million available in a grant/concessional loan scheme to the Pacific region. The concessional loan of $13 million that the government is obtaining from China for the construction of the multi-sports facility and other major projects has been drawn down from that scheme. Mr Zhang says money is still available in the fund and the Cook Islands is welcome to put forward development proposals that need financing.
Source: Office of the Deputy Prime Minister |
