Overview:
Palau marked a major milestone in strengthening its power grid with the commissioning of the New Airai Substation, a JICA-funded project set to deliver more reliable electricity to about 7,500 customers. The new facility boosts grid stability, supports growing demand, and allows PPUC to retire a long-standing temporary substation.
By: Laurel Marewibuel
KOROR, Palau — The Palau Public Utilities Corporation commissioned its long-awaited New Airai Substation on Jan. 21, 2026, capping a JICA-funded upgrade that promises steadier electricity for thousands amid the nation’s push for reliable power.

A ribbon-cutting ceremony drew His Excellency Kenichi Kasahara, Japan’s ambassador to Palau; JICA Palau representatives; and PPUC Chief Executive Officer Frank Kyota. The event celebrated the substation’s completion on Jan. 15, after construction kicked off in March 2025.
This 15 megavolt-ampere transformer facility marks the final piece of the project, pairing with a new unit at Malakal Substation to serve about 7,500 customers more reliably. Officials say it bolsters grid stability and gears up for rising demand.
“Now fully operational, the substation clears the way for PPUC to shut down and decommission the temporary site near True Value Hardware,” the corporation said in a statement.
PPUC thanked customers for enduring scheduled outages during construction, calling their patience key to delivering a “more reliable and resilient power system.” The utility also hailed Japan and JICA for their “continued partnership” in Palau’s energy goals.
