This report was prepared by ESMAP Strategy and Programs Division. The objective of this assessment are to eveluate the energy position of the Solomon Islands, especially its energy resources and development options, and to suggest priority policies and actions that might be taken in the sector by the Government and external donors. The present report follows an energy assessment completed in 1983 (Report No. 4404-SOL). Although the structure of the energy sector is basically the same as when the first assessment was carried out, the present evaluation is a selfcontained review of the basic issues and options as seen nearly a decade later. With respect to the recommendations made in the first assessment, some have been c rried out, some have not, and some initiatives have been taken that were not foreseen or proposed at that time.