Vanuatu is a group of islands in the South Pacific Ocean comprising four main islands and 80 smaller islands with a total land area of 12,189 km2. The current population is 287,361 with a population density of 20 people per square kilometer. Vanuatu is separated into six provinces (administrative divisions): Malampa, Penama, Sanma, Shefa, Tafea and Torba with its capital Port Vila in Shefa province. The major languages spoken are Bislama, English and French.

Agriculture is the main source of economy for the country alongside fishing, tourism and offshore financial services. The government is shifting to tighter tax arrangements to bring tourism to more limelight. New Zealand and Australia provides considerable foreign aid.

Vanuatu is highly dependent on imported fuels to meet its overall energy requirements as there is no known oil or gas resources. A lion's share of power generation is from imported fuel apart from hydro power, biomass, geothermal, wave, wind and solar energy resources. Solar energy resources have been mostly used for home lighting system and it has a high potential in Vanuatu, indicating average insolation of up to 6 kWh/m2/day.

The electricity supply in Vanuatu is mainly governed by two private player utilities which supply the four concession areas. Union Electrique du Vanuatu (UNELCO) services Port Vila, Malekula and Tanna. Vanuatu Utilities and Infrastructure Ltd (VUI) began operating in the Luganville concession area in January 2011.

The government has come up with the National Energy Roadmap which aims to provide 100% electricity access and 100% production by renewable energy resources by 2030. 71% of Vanuatu’s electricity generation comes from fossil fuels, compared to only 29% from renewable energy sources (solar, wind, biofuels and hydropower).