3 Micronesia Services and Supply
Most large infrastructure and utilities services are supported by either FSM or state governments. Services such as electricity supply, fuel supply, roads, ports and airports are all government owned and managed although private contractor manage some of the services such as Stevedoring and freight handling
Other than in the state capitals few retail and business services exist. All goods are imported into FSM except for tuna and coconut products. The retail and business sector relies on the import of goods from China, Taiwan, Korea and the United States.
The retail sector consists on several multi sectored supermarkets providing items from food, clothing kitchenware, white goods, sport goods office supplies and hardware. There are two main locally owned super markets Ace Hardware and Shigato.
There is a total reliance on imported goods. Goods are relatively expensive and small local convenience stores are scattered throughout the communities for small items for daily use.
Small entrepreneurs operate niche services and stores based on importing of goods ranging from computers, clothing, stationary supplies boat motors to beer to engine oil.
3.1 Micronesia Fuel
Fuel Overview
Fuel supplies throughout FSM are provided by Vital Group through FSM Petroleum Company (FSMPC) a state owned private company. FSMPC provide Bulk Storage and distribution throughout the 4 state capitals and a small number of outer islands.
The FSMPC is currently the largest supplier of energy lifeline products and services in the Federated States of Micronesia and Nauru The product mix is diesel 53% Gasoline 35% Kerosene /Jet Ai 10% 2% lubricants with a turnover of approximately 300,000 barrels per year ( source: Vital CEO)
FSMPC owns, operates and leases a significant number of assets and infrastructure across Micronesia, and have an ongoing comprehensive Asset Rehabilitation Program across their various operating sites. Vital specialises in the management of fuel and aviation facilities, and improving them to international standards.
Bulk fuel supplies come directly from Guam and Singapore and are shipped directly into the 4 main sea ports Pohnpei, Chuuk, Yap and Kosrae, by tanker.
Petrol (Mogas), Diesel and Jet A1 are the only fuels supplied in bulk by FSMPC to the islands. Diesel is also used in the production of electricity through generators thus creating the single biggest customer for the fuel throughout the country. The transport sector remains the largest consumer.
Petrol (Mogas) is primarily used for the retail market however Diesel (APO) is in largest demand.
Contingency stocks as indicated by Vital group CEO are generally 60 days average consumption.
Stock is delivered monthly to Pohnpei and Yap, bi-monthly to Chuuk and every 3 months to Koserae.
Restocking time from supplier is approx.14 days if surge stocks are required.
Each state capital has a bulk storage facility.
|
FSM PC Depot Pohnpei |
 |
|---|---|
|
FSM PC Depot Chuuk |
 |
|
FSM PC Depot Yap |
 |
|
FSM PC Depot Kosrae |
 |
For more information on government and fuel provider contact details, please see the following links:
4.1 Micronesia Government Contact List
4.7 Micronesia Fuel Providers Contact List
Fuel Pricing
Fuel pricing is unregulated and large variations of 25-30% occur in the retail petrol market. As with other commodities State taxes apply.
However FSMPC operates a pricing policy framework adopted in 2009, which provides a framework to stabilise domestic prices against international volatility. Prices are benchmarked against island neighbours’ pump prices.
Wholesale prices are given to major customers which are generally limited to state governments for Electricity Supply and use in Public works and with commercial operators such as United Airlines. The wholesale prices at least for National users such as United Airlines are constant throughout FSM
Pricing of fuels increase the greater the distance from Guam. Fuel in Kosrae may be 20% higher than the other states.
Fuel is taxed across FSM
Existing capacity meets current needs and can be increased to meet a demand from the humanitarian community if required.
(local currency is USD - $) |
|
|---|---|
|
Petrol |
$1.58 |
|
Diesel |
$1.60 |
|
Paraffin |
N/A |
|
Jet A-1 |
$1.64 |
Seasonal Variations
|
Seasonal Variations |
|
|---|---|
|
Are there national priorities in the availability of fuel? (i.e. are there restrictions or priorities for the provision of fuel such as to the military?) |
Diesel generated electricity supply is the priority on each main island in each state |
|
Is there a rationing system? |
No |
|
Is fuel to lower income / vulnerable groups subsidized? |
No |
|
Can the local industry expand fuel supply to meet humanitarian needs? |
Yes |
|
Is it possible for a humanitarian organization to directly contract a reputable supplier / distributor to provide its fuel needs? |
Yes |
Fuel Transportation
FSM operates small fleets of several tankers in each of the states. 8-15,000Lt tankers for deliveries in each state from the bulk stores. Deliveries are to the retail stations operated by Vital and well as to government and commercial customers. The fleet is regularly serviced and updated.
Fleet
- 8 x Tanker Pohnpei
- 4 x Tanker Yap state
- 4 x Chuuk State
- 2 x Kosrae
Standards, Quality and Testing
FSM PC undertakes fuel sampling at the bulk delivery at discharge. Basic test are undertaken locally by FSMPC. There are however no comprehensive testing laboratories in FSM and fuel samples are sent to Guam for testing by SGS
|
Industry Control Measures |
|
|---|---|
|
Do tanks have adequate protection against water mixing with the fuel? |
Yes. Water is not used for bulk tank fuel discharge |
|
Are there filters in the system which monitor where fuel is loaded into aircraft? |
No |
|
Is there adequate epoxy coating of tanks on trucks? |
Yes |
|
Is there a presence of suitable firefighting equipment? |
Yes |
|
Standards Authority |
|
|---|---|
|
Is there a national or regional standards authority? |
No Standards and quality tests are internal to FSMPC to international standards |
|
If yes, please identify the appropriate national and/or regional authority. |
NA |
|
If yes, are the standards adequate/properly enforced? |
Yes via SGS Guam |
|
Testing Laboratories |
|
|---|---|
|
Are there national testing laboratories? |
No. Fuel Testing is done on site at the Bulk depots. Flash point tests is undertaken at discharge from vessel. Sample tests are shipped to SGS in Guam for quality measurement |
|
Fuel Quality Testing Laboratory |
|
|---|---|
|
Company |
SGS |
|
Name |
|
|
Address |
810 West Marine Corps Drive, Hagatna, Guam, 96910, Guam |
|
Telephone and Fax |
|
|
Contact |
https://www.sgs-guam.com/en/contact |
|
Standards Used |
|
Disclaimer: Inclusion of company information in the LCA does not imply any business relationship between the supplier and WFP / Logistics Cluster, and is used solely as a determinant of services, and capacities.
Please note: WFP / Logistics Cluster maintain complete impartiality and are not in a position to endorse, comment on any company's suitability as a reputable service provider.
3.2 Micronesia Transporters
There are no dedicated road transport companies in FSM
Only the main state capitals have any significant length of road. In the outer islands few vehicle roads exist. The main transport mode is interisland by sea transport.
On Each main state island there are 1-2 retail wholesale super market outlets who have small 2-3 mt trucks and in each state the Department of Transport and Public works have trucks predominantly for road construction. Very few large rigid deck vehicle exist and there are no flat deck articulated vehicles/semi trainers.
CTSI Logistics who operate in each state providing transport, handling and delivery for freight services from the ports and airports have a small fleet 2-4 vehicles in each state. Vehicles are 2-4 MT trucks
Each state Seaport owns or operates container chassis trailers which could be used on an adhoc basis. There is however a major limitation on the numbers of prime mover/tractors available to tow the trailers with only 1-2 in each state.
Pick ups and small 2 mt trucks are the most common cargo vehicle used and are plentiful. Generally these consist of 1 MT pickups and 2 MT 2wd flat deck trucks.
For more information on transport company contact details, please see the following link: 4.8 Micronesia Transporter Contact List
|
Ace Hardware Transport Capacity Summary |
|||
|---|---|---|---|
|
Regions Covered |
Paohnpei, Chuuk, Yap, Kosrae |
||
|
|
Number of Vehicles |
Capacity per Vehicle (MT) |
Comments / Condition of Vehicles |
|
1MT Vans |
6 |
1 |
Serviceable |
|
Total Capacity |
|
6 |
|
|
CTSI Capacity Summary |
|||
|---|---|---|---|
|
Regions Covered |
Pohnpei, Chuuk, Yap and Kosrae |
||
|
|
Number of Vehicles |
Capacity per Vehicle (MT) |
Comments / Condition of Vehicles |
|
2 MT Trucks |
2-4 in each state |
2 |
Serviceable |
|
15MT Trucks |
|
15 |
Serviceable |
|
Total Capacity |
|
42 |
|
|
Public Works Department Transport Capacity Summary |
|||
|---|---|---|---|
|
Regions Covered |
Pohnpei, Chuuk, Yap, Kosrae |
||
|
|
Number of Vehicles |
Capacity per Vehicle (MT) |
Comments / Condition of Vehicles |
|
2 MT trucks |
2-4 in each state |
2 |
Serviceable |
|
8-15 MT Trucks |
1 |
15 |
Serviceable |
|
Total Capacity |
|
112 |
|
|
TRANSCO (Stevedores)Transport Capacity Summary |
|||
|---|---|---|---|
|
Regions Covered |
Chuuk |
||
|
|
Number of Vehicles |
Capacity per Vehicle (MT) |
Comments / Condition of Vehicles |
|
prime movers |
1 |
- |
Serviceable |
|
Container chassis trailers |
6 |
25 |
Serviceable |
|
Total Capacity |
|
|
|
|
Federated Shipping Company (Stevedores)Transport Capacity Summary |
|||
|---|---|---|---|
|
Regions Covered |
Pohnpei |
||
|
|
Number of Vehicles |
Capacity per Vehicle (MT) |
Comments / Condition of Vehicles |
|
Prime movers |
3 |
- |
Serviceable |
|
Container chassis trailers |
24 17 |
25 (20') 40 (40') |
Serviceable |
|
Total Capacity |
|
|
|
|
WAAP (Stevedores)Transport Capacity Summary |
|||
|---|---|---|---|
|
Regions Covered |
Yap |
||
|
|
Number of Vehicles |
Capacity per Vehicle (MT) |
Comments / Condition of Vehicles |
|
Prime movers |
1 |
- |
Serviceable |
|
Container chassis trailers |
10 |
25 |
Serviceable |
|
Total Capacity |
|
|
|
|
KTSO (Stevedores)Transport Capacity Summary |
|||
|---|---|---|---|
|
Regions Covered |
Kosrae |
||
|
|
Number of Vehicles |
Capacity per Vehicle (MT) |
Comments / Condition of Vehicles |
|
prime movers |
2 |
- |
Serviceable |
|
Container chassis trailers |
6 |
25 |
Serviceable (4 owned by Matson Shipping 2 privately owned) |
|
Total Capacity |
|
|
|
|
|
|
|
Typical 2-4MT Truck 2WD CTSI Kosrae |
Typical 4MT rigid unloading Chuuk Port |
|
|
|
|
Prime mover Chuuk Port |
Prime mover WAAP Yap Port |
|
Container Chassis belonging to Matson Kosrae |
Container Chassis Yap Port |
Disclaimer: Inclusion of company information in the LCA does not imply any business relationship between the supplier and WFP / Logistics Cluster, and is used solely as a determinant of services, and capacities.
Please note: WFP / Logistics Cluster maintain complete impartiality and are not in a position to endorse, comment on any company's
3.3 Micronesia Manual Labour
Federated States of Micronesia implements an unofficial legislative version of the 1997 Code, which updated by the Office of the Legislative Counsel of the Congress of the Federated States of Micronesia in 2001. Title 51 . LABOR Chapter 1. Protection of Resident Workers and Title 52 PUBLIC EMPLOYMENT Chapter 1. Public Service System specifies salary rates for Micronesian citizens.
There are no unions present.
Please refer to the web address below for further information
http://fsmsupremecourt.org/WebSite/fsm/code/index.htm
|
Labour Rate(s) Overview based on |
|
|---|---|
|
|
Cost Rate as of September 2022 |
|
Daily General Worker (Unskilled casual labour) |
$1.00 to 1-50/hr |
|
Daily General Worker (Semi-skilled labour) |
$2.00-$4.00/hr |
|
Skilled Worker |
$6-10/hr |
3.4 Micronesia Telecommunications
FSM Telecommunications (FSMTC) is the main provider of telecom services throughout the FSM with approximately 80% national coverage. It is a public corporation. It operates under a government mandate to provide uniform services throughout FSM.
There have been 3 new entrants to the market in the past 3 years Iboom (Yap) and Kacific (FSM) both providing broadband satellite internet only and CPOC (Chuuk) which is government run and aims to provide mobile and internet once it is fully operational. Kacific is a wholesale business selling to telecommunications operators, internet service providers, governments and other service providers.
SIM cards can be purchased from FSMTC outlets in the main centres of each of the main Islands and prepay cards are available at most shops and hotels throughout the FSM. Network provides 4G
For more information on telecoms contacts, please see the following link: 4.11 Micronesia Additional Services Contact List
|
Telephone Services |
|
|---|---|
|
Is there an existing landline telephone network? |
Yes Main Islands Only |
|
Does it allow international calls? |
Yes |
|
Number and Length of Downtime Periods (on average) |
0 |
|
Mobile Phone Providers |
|
|
Approximate Percentage of National Coverage |
80% |
Telecommunication Regulation
Administration of the Rules and regulations regarding telecommunications is the responsibility of the Telecommunications Regulations Authority (TRA). The regulations in place now regarding reference to the importation and licensing of humanitarian communications equipment: VSAT, HF, VHF, Thurayas, etc is that “as long as the equipment is FCC approved, there should not be any issue in importing such equipment” (TRA Legal & Regulatory Officer).
|
Regulations on Usage and Import |
||
|---|---|---|
|
Regulations in Place? |
Regulating Authority |
|
|
Satellite |
Yes |
Telecommunications Regulations Authority (TRA). |
|
HF Radio |
Yes |
Telecommunications Regulations Authority (TRA). |
|
UHF/VHF/HF Radio: Handheld, Base and Mobile |
Yes |
Telecommunications Regulations Authority (TRA). |
|
UHF/VHF Repeaters |
Yes |
Telecommunications Regulations Authority (TRA). |
|
GPS |
Yes |
Telecommunications Regulations Authority (TRA). |
|
VSAT |
Yes |
Telecommunications Regulations Authority (TRA). |
|
Individual Network Operator Licenses Required |
||
|
Individual Operating licenses are issued to operators that are offering both communication services and that own communication networks/infrastructure in the FSM. Another type of operating license issued is referred to as a Class License. This type of license is issued to operators that are only offering communication services through other licensees as reseller in the FSM and do not own any networks. |
||
|
Frequency Licenses Required |
||
|
The only frequency license the TRA issues is for Mobile Spectrum. Other frequencies/spectrum such as maritime, radio broadcasting etc are still being handled by the Department of TC&I (Ministry of Communications). |
||
Existing Humanitarian Telecoms Systems
UNDP have a further planned project with DECEM where they are installing VHF and HF radios for DECEM, DCOs and municipalities in Pohnpei, Chuuk and Yap. Current coverage is Pohnpei central area.
|
Existing UN Telecommunication Systems |
||
|---|---|---|
|
UNDP |
WFP |
|
|
VHF Frequencies |
Tx :156.025–157.425
MHz |
VHF and HF radios in Pohnpei, Chuuk and Yap, the coverage is state centres and to some outer islands.
|
|
HF Frequencies |
Receive:
0.5–29.9999MHz, |
|
|
Locations of Repeaters |
|
|
|
VSAT |
|
|
Internet Service Providers (ISPs)
All 4 main Islands are connected to the undersea fibre optic cable and FSMTC provides mobile Internet through its 4G network. Connectivity and reliability are good and business packages are readily available.
|
Internet Service Providers |
||
|---|---|---|
|
Are there ISPs available? |
Yes |
|
|
If yes, are they privately or government owned? |
Yes Private |
|
|
Dial-up only? |
No |
|
|
Approximate Rates (local currency and USD - $) |
Dial-up |
N/A |
|
Broadband |
$15/MB/month |
|
|
Max Leasable ‘Dedicated’ Bandwidth |
1GB |
|
Mobile Network Operators (MNOs)
FSM Telecommunications, the only National provider has the following (approximate) coverages.
Main Islands 80%
Outer Islands 20%
They are targeting 100% within 5 years
For information on MNOs please visit the GSM Association website.
|
Company |
Number of Agent Outlets by Area |
Network Strength by Area |
Contracted for Humanitarian or
Government |
Services Offered |
|---|---|---|---|---|
|
FSM Telecommunications |
Branches in each State capital and recharge cards available in shops and hotels throughout FSM |
Very strong in urban areas main islands. Weaker in rural areas and outer islands |
No |
N/A |
3.5 Micronesia Food and Additional Suppliers
Micronesia is the 187th of 226 export economies in the world In 2220, Micronesia exported $122m ($118m of this being fish products) and imported $132M, (spread over a broad range of products, 50% of which came from the USA) resulting in a negative trade balance of $4M. (down from$142m In 2015) (Source Observatory of Economic Complexity)
Many traditional foods including fish and coconut, taro and breadfruit products as well as pork and chicken are grown at the community level. However there is a large reliance on imported foods. Food is retailed through 4 main supermarkets in the retail space and provide a small wholesaling function attached to their main retail form of business. These supermarkets Ace, A-One Mart, Palm Terrace and Yoshis are the main food importers into the country. They can, along with other local entrepreneurs import additional food stocks and other items as required.
There is no food processing industry in FSM.
The supermarket and hardware stores, given the diversity of products they import and the existing connections they have, will be able to import a wide range of goods for humanitarian response however supplies of bulk food will need to be imported to meet additional humanitarian requirements.
All other goods from computers and white goods, vehicles, plant and equipment and all spare parts are imported.
Re-supply from the USA is 3-4 weeks for shipping and from Japan, Australia and NZ it is 5-6 weeks but actual delivery will generally be much longer due to current global supply chain delays.
The type and quality of goods will need to be monitored closely as lower quality, cheaper goods are generally what is imported and stocked throughout retail outlets.
Generic country information can be located from sources that are regularly maintained and reflect current facts and figures. For a general overview of country data related to the service and supply sectors, please consult the following sources:
The Observatory of Economic Complexity – MIT (OEC): https://oec.world/en/profile/country/fsm
Disclaimer: Inclusion of company information in the LCA does not imply any business relationship between the supplier and WFP / Logistics Cluster, and is used solely as a determinant of services, and capacities.
Please note: WFP / Logistics Cluster maintain complete impartiality and are not in a position to endorse, comment on any company's suitability as a reputable service provider.
3.5.1 Micronesia Food Suppliers
Overview
Other than fish and coconut products (and very limited chicken, pork and traditional vegetables such as taro and breadfruit at local community market level) FSM imports all food goods Food is retailed through 4 main supermarkets in the retail space and provide small wholesaling function attached to their main retail form of business. These super markets Palm Terrace, A One mart, Ace and Yoshies are the main food importers into the country. There are also small grocery retailers in Pohnpei and less so in other states. They can, along with other local entrepreneurs import additional food stocks if required. There is no food processing industry in FSM.
All supermarkets sell dairy, meat products, rice, sugar, oils. Cereals and pulses are imported in a much more limited way however they are available.
For more information on food supplier contact details, please see the following link: 4.10 Micronesia Supplier Contact List
Retail Sector
The primary retail sector is by way of four local supermarkets located in main centres who are direct importers of their products and compete with each other. There are many small owner operated convenience stores throughout the urban areas. There are no global retailers.
|
Types of Retailers Available |
|
|---|---|
|
Type of Retailer |
Rank (1-5) |
|
Supermarket – concentrates mainly in supplying a range of food, beverage, cleaning and sanitation products; have significant purchasing power; are often part of national/regional/global chains. |
2 |
|
Convenience Store/Mini Market – medium sized shop; offers a more limited range of products than supermarkets; usually has good/stable purchasing power; may be part of chain or cooperative. |
1 |
|
Permanent shop with strong supply capacity – individually/family owned store; usually offers fewer commodities and a limited selection of brands; good storage and reliable supply options. |
3 |
|
Permanent shop with limited supply capacity – individually/family owned store; offers fewer commodities and a limited selection of brands; limited storage and unstable supply options. |
5 |
|
Mobile Shop/Market Stand – individually/family owned store; usually offers fewer commodities and a limited selection of brands; may be found at outdoor markets, camps or unstable environments. |
4 |
Wholesale
Ace (Leo Store), Palm Terrace, Yoshies, A-One Super Mart, Ace Office Supply, INS are local suppliers and stock similar or the same items. They are well established and stable businesses Wholesale suppliers are by and large the same retail supermarket companies as listed in the retail section. All and have been established between 9-20 years ACE since 1942
|
Supplier Overview |
|
|---|---|
|
Company Name |
Ace ( Leo Store) Palm Terrace Yoshies A-One SuperMart Ace Office Supplies INS |
|
Address |
Kolonia, Pohnpei |
|
Does the supplier have its own production / manufacturing capacity?
|
No |
|
Does the supplier have its own retail capacity?
|
Yes supplies direct to public |
|
Does the supplier have its own transport capacity? |
Yes limited |
|
Does the supplier have its own storage facilities? |
Yes but small |
|
Approximate Turnover in MT
|
NA |
|
Payment Methods Accepted |
Cash at retail level |
|
Other Comments or Key Information |
|
|
Primary Goods / Commodities Available |
||
|---|---|---|
|
Commodities by Type** (SITC Rev 4 Division Code - Title) |
Comments |
|
|
00 - Live animals (other than fish, crustaceans, molluscs, etc.) |
None |
Communities have chickens and pigs for local consumption |
|
01 - Meat and meat preparations |
Primarily chicken and pork. Processed meats such as sausages. Canned spam, processed ham and bacon. |
|
|
02 - Dairy products and birds’ eggs |
milk, yogurt, butter, cheese, eggs |
|
|
03 - Fish (not marine mammals), crustaceans, molluscs… |
fish (chilled or frozen), fish (salted or in brine), fish liver and roes |
Fish locally caught Tuna and Mahi Mahi |
|
04 - Cereals and cereal preparations |
Predominantly rice, flour and pasta |
Imported |
|
05 - Vegetables and fruit |
vegetables, fruit and nuts, jams/jellies, fruit juice |
Tropical Fruit and fresh salad vegetables are grown locally as is traditional food such as taro and breadfruit. Citrus fruit apples and other vegetables are mostly imported. |
|
06 - Sugars, sugar preparations and honey |
Processed sugars, processed honey, fruit/nuts preserved by sugar |
|
|
07 - Coffee, tea, cocoa, spices and manufactures thereof |
coffee, cocoa, chocolate, tea, mate, pepper |
Pepper is grown locally |
|
09 - Miscellaneous edible products and preparations |
ready-to-eat foods, margarine, sauces, soups/ |
There is a large range of processed food available in supermarkets |
|
41 - Animal oils and fats |
There is a limited supply of animal fats |
|
|
42/43 - Fixed vegetable fats and oils, crude, refined or fractionated |
olive oil and vegetable oil |
|
**For non-FOOD products please see section 3.5.2 Additional Suppliers, and for FUEL/PETROLEUM products please see section 3.1 Fuel.
Disclaimer: Inclusion of company information in the LCA does not imply any business relationship between the supplier and WFP / Logistics Cluster, and is used solely as a determinant of services, and capacities.
Please note: WFP / Logistics Cluster maintain complete impartiality and are not in a position to endorse, comment on any company's suitability as a reputable service provider.
3.5.2 Micronesia Additional Suppliers
Overview
Wholesale suppliers are very limited and whilst there is a very full range of hardware supplies available they do not carry extensive stock.
Local business with the ability to import hardware and goods, as in those types of goods required for humanitarian assistance i.e. tents, water pumps, pipes, water tanks, computer / IT equipment, office furniture will be the main hardware suppliers. The primary business with the capacity to undertake this is ACE Hardware who have the biggest and most extensive network in each state.
However more importantly no goods are manufactured in FSM and all goods are imported. As such, volumes required, depending on the degree of humanitarian event occurring are unlikely to be in stock. Re-supply from Guam or Hawaii as the origin ports using the regular shipping schedule will mean a minimum two week delay before arrival of stock arriving by sea. Shipping times from mainland USA is 3–4 weeks, Japan is 5 weeks. In reality delivery will be much longer however due to current global supply chain delays.
For more information on suppliers’ contact details, please see the following link: 4.10 Micronesia Additional Suppliers Contact List
|
Supplier Overview |
|
|---|---|
|
Company Name |
Ace Office Supplies and Hardware |
|
Address |
Nett Cir Island Road, Pohnpei, Federated States of Micronesia |
|
Does the supplier have its own production / manufacturing capacity? |
No |
|
Does the supplier have its own retail capacity? |
Yes |
|
Does the supplier have its own transport capacity? |
Yes |
|
Does the supplier have its own storage facilities? |
Yes |
|
Approximate turnover in USD - $
|
NA |
|
Payment Methods Accepted |
Cash at retail level |
|
Other Comments or Key Information |
Also present in a reduced capacity in Yap and Chuuk |
|
Primary Goods / Commodities Available |
||
|---|---|---|
|
Commodities by Type** (SITC Rev 4 Division Code - Title) |
Comments |
|
|
24/27 - Crude materials, inedible, except fuel |
Fuel wood, crude fertilizers, sand/stone/gravel |
Sand and gravel obtained locally from quarry |
|
51 to 59 - Chemical and related products |
chlorine, pharmaceuticals, soaps, plastic tubes/pipes, chemical fertilizers |
All imported |
|
61 to 69 - Manufactured goods classified chiefly by material |
Rubber tyres, wood pallets, textiles, cement, iron/steel pipe fittings, copper wire, plastic water tanks. Tools large range |
All imported |
|
71 to 79 - Machinery and transport equipment |
Engine/machine parts, generators, sewing machines, pumps, telecoms equipment, vehicles |
All imported. Specific vehicle parts need to imported on a case by case basis as only limited parts are available |
|
81 to 89 - Miscellaneous manufactured articles |
Lighting fixtures, furniture, clothing, medical/surgical instruments |
All imported |
|
91/93/96/97 - Commodities not classified elsewhere |
Computers and IT equipment, Paints and other decorating products |
|
| Supplier Overview | |
|---|---|
|
Company Name |
Micro Computers |
|
Address |
Kaselehlie St, Kolonia, Pohnpei, Federated States of Micronesia Lagoon Road Majuro |
|
Does the supplier have its own production / manufacturing capacity? |
No |
|
Does the supplier have its own retail capacity? |
Yes |
|
Does the supplier have its own transport capacity? |
No |
|
Does the supplier have its own storage facilities? |
No |
|
Approximate turnover in USD - $
|
NA |
|
Payment Methods Accepted |
Cash at retail level |
|
Other Comments or Key Information |
Supplies computers and printers and offers repair service |
| Supplier Overview | |
|---|---|
|
Company Name |
True Value Hardware |
|
Address |
Kolonia, Pohnpei, Federated States of Micronesia |
|
Does the supplier have its own production / manufacturing capacity? |
No |
|
Does the supplier have its own retail capacity? |
Yes |
|
Does the supplier have its own transport capacity? |
Yes |
|
Does the supplier have its own storage facilities? |
Yes |
|
Approximate turnover in USD - $
|
NA |
|
Payment Methods Accepted |
Cash at retail level |
|
Other Comments or Key Information |
|
| Primary Goods / Commodities Available | ||
|---|---|---|
|
Commodities by Type** (SITC Rev 4 Division Code - Title) |
Comments | |
|
24/27 - Crude materials, inedible, except fuel |
Fuel wood, crude fertilizers, sand/stone/gravel |
Sand and gravel obtained locally from quarry |
|
51 to 59 - Chemical and related products |
chlorine, pharmaceuticals, soaps, plastic tubes/pipes, chemical fertilizers |
All imported |
|
61 to 69 - Manufactured goods classified chiefly by material |
Rubber tyres, wood pallets, textiles, cement, iron/steel pipe fittings, copper wire, plastic water tanks. Tools |
All imported |
|
71 to 79 - Machinery and transport equipment |
Engine/machine parts, generators, sewing machines, pumps, telecoms equipment, vehicles |
All imported. Specific vehicle parts need to imported on a case by case basis as only limited parts are available |
|
81 to 89 - Miscellaneous manufactured articles |
Lighting fixtures, furniture, clothing, medical/surgical instruments |
All imported |
|
91/93/96/97 - Commodities not classified elsewhere |
Paints and other decorating products |
All imported |
| Supplier Overview | |
|---|---|
|
Company Name |
Pohnpei Hardware |
|
Address |
Kolonia, Pohnpei, Federated States of Micronesia |
|
Does the supplier have its own production / manufacturing capacity? |
No |
|
Does the supplier have its own retail capacity? |
Yes |
|
Does the supplier have its own transport capacity? |
Yes |
|
Does the supplier have its own storage facilities? |
Yes |
|
Approximate turnover in USD - $
|
NA |
|
Payment Methods Accepted |
Cash at retail level |
| Primary Goods / Commodities Available | ||
|---|---|---|
|
Commodities by Type** (SITC Rev 4 Division Code - Title) |
Comments | |
|
24/27 - Crude materials, inedible, except fuel |
Fuel wood, crude fertilizers, sand/stone/gravel |
Sand and gravel obtained locally from quarry |
|
51 to 59 - Chemical and related products |
chlorine, pharmaceuticals, soaps, plastic tubes/pipes, chemical fertilizers |
All imported |
|
61 to 69 - Manufactured goods classified chiefly by material |
Rubber tyres, wood pallets, textiles, cement, iron/steel pipe fittings, copper wire, plastic water tanks. Tools |
All imported |
|
71 to 79 - Machinery and transport equipment |
Engine/machine parts, generators, sewing machines, pumps, telecoms equipment, vehicles |
All imported. Specific vehicle parts need to imported on a case by case basis as only limited parts are available |
|
81 to 89 - Miscellaneous manufactured articles |
Lighting fixtures, furniture, clothing, medical/surgical instruments |
All imported |
|
91/93/96/97 - Commodities not classified elsewhere |
Paints and other decorating products |
All imported |
| Supplier OVerview | |
|---|---|
|
Company Name |
ACE Office supplies and Hardware |
|
Address |
Nett Cir Island Road Pohnpei |
|
Does the supplier have its own production / manufacturing capacity? |
No |
|
Does the supplier have its own retail capacity? |
Yes |
|
Does the supplier have its own transport capacity? |
Yes |
|
Does the supplier have its own storage facilities? |
Yes |
|
Approximate turnover in USD - $
|
NA |
|
Payment Methods Accepted |
Cash at retail level |
**For FOOD products please see section 3.5.1 Food Suppliers, and for FUEL/PETROLEUM products please see section 3.1 Fuel.
Disclaimer: Inclusion of company information in the LCA does not imply any business relationship between the supplier and WFP / Logistics Cluster, and is used solely as a determinant of services, and capacities.
Please note: WFP / Logistics Cluster maintain complete impartiality and are not in a position to endorse, comment on any company's suitability as a reputable service provider.
3.6 Micronesia Additional Services
Overview
Due to the small population in FSM service provision is basic with only a small number of companies specialising in each sector. Most businesses have been long established and operate reliably and successfully. Whilst most services an agency would require are available in Pohnpei there is little capacity for surge demand and services are limited in the other island states and generally non existent in the outer islands.
For more information on company contact details, please see the following link: 4.11 Micronesia Additional Services Contact List
Accommodation
There is a small but reasonable range of hotel accommodation in Pohnpei however the range becomes more limited in Chuuk Yap and Kosrae. Facilities are 2-4 stars and are generally clean and tidy and offer restaurant service. Security is ok.
While not extensive, in all the state capitals, apartments and houses can be rented on a monthly, 6 monthly or annual basis but availability is coming under increasing pressure as expat numbers increase and a significant influx of humanitarian agencies would be problematical.
Accommodation on the outer islands is significantly more limited. There are no hotels, guesthouses or rental accommodation.
Further information can be found at https://visit-micronesia.fm/
Electricity and Power
Electricity is diesel generated in all states by the states governments with fuel supplied by FSMPC and is a priority supply. Generated electricity is based on the US system and is 110 Volts. Unplanned outages are rare
Current estimates (Department of Resources & Development) indicate the following percentages of households having electricity Pohnpei 95%, Kosrae 98%, Yap 85%, Chuuk 30%.
State grids to not extend to outer islands. The European Union and Asian Development Bank have been assisting with funding for solar electricity supply units progressively to the outer islands. At State level an Energy Working Group reports to the National government to facilitate the ongoing solar power generation rollout to domestic users.
| Electricity and Power Summary Table | ||||
|---|---|---|---|---|
|
Production Unit (State) |
Type (Hydroelectric, Thermal, etc.) |
Installed Capacity (MW) |
Peak Load (MW) |
Current Production (MWh) |
|
Pohnpei |
Diesel generated |
11.09 |
6.4 |
31,294 |
|
Hydroelectric |
0.73 |
|
208 |
|
|
Kosrae |
Diesel generated |
2.75 |
1.2 |
6,790 |
|
Chuuk |
Diesel generated |
7.6 |
2.8 |
15,696 |
|
Yap |
Diesel generated |
7.4 |
1.8 |
8,130 |
| Wind generated | 083 | 978 | ||
| Total gallons of diesel used to generate elctricity FSM 2021 = 4,305,229 | ||||
(Source: FSM Department of Resources and Development)
Financial Service Providers
There are 2 financial service institutions in FSM, Bank of FSM, and Bank of Guam offer banking and credit services in all 4 state capitals.
Western Union and MoneyGram are available for money transfer services.
There are 3 or 4 CPA’s throughout the FSM but no international accountancy firms.
Bank of Guam
A public Company, it has been operating since 1972
|
Company Overview |
||
|---|---|---|
|
Company Name |
Bank of Guam ( Headquartered in Guam) |
|
|
Address |
Kolonia, Pohnpei, Federated States of Micronesia | |
|
|
Available? |
Comments |
|
Has IBAN, BIC, or SWIFT number? |
No |
|
|
Provides currency exchange? |
No |
|
|
Will initiate / receive wire transfers? |
Yes |
|
|
Provides Loan / Credit services? |
Yes |
|
|
Other Comments or Key Information |
Has ATM at the branch |
|
| Other Locations | ||
| Regions | Service Locations | |
| Chuuk |
Weno Branch plus ATM |
|
| Yap |
Kolonia Branch plus ATM |
|
| Kosrae |
Tofol Branch plus ATM |
|
FSM Development Bank (FSMDB)
FSMDB is a subcomponent unit of the National Government, the current shareholders are the National Government, Chuuk State Government and Kosrae State Government. It commenced operations in 1980
|
Company Overview |
||
|---|---|---|
|
Company Name |
FSM Development Bank |
|
|
Address |
X655+67J, Kolonia, Pohnpei, Micronesia | |
|
|
Available? |
Comments |
|
Has IBAN, BIC, or SWIFT number? |
No |
|
|
Provides currency exchange? |
No |
|
|
Will initiate / receive wire transfers? |
Yes |
|
|
Provides Loan / Credit services? |
Yes |
|
|
Other Comments or Key Information |
3 ATMs on Pohnpei |
|
| Other Locations | ||
|---|---|---|
| Regions | Service Locations | |
| Chuuk |
Weno Branch plus ATM |
|
| Yap |
Kolonia Branch plus ATM |
|
| Kosrae |
Tofol Branch plus ATM |
|
For more information on company contact details, please see the following link: 4.11 Micronesia Additional Services Contact List
Clearing and Forwarding Agents
In all states stevedore and terminal service operators provide clearance services.
However primarily the shipping companies and shipping agents offer forwarding and clearance services. Matson Shipping and Kyowa Shipping Lines both have offices and in all four states.
Construction, Material Handling & Power Generation Equipment
Construction, material handling & power generation equipment of any scale is not available to purchase in the FSM. Hand tools and small (up to 3 kVa) generators can be purchased from hardware stores in the main centres (it should be noted in the case of generators they are not stocked in large numbers and restocking will take up to a month shipping time however delays from manufacturers/ origin suppliers may be many months). In Pohnpei Ace Equipment rental can supply forklifts, cranes and ready-mix cement and a range of generators up to 100 kVa in very limited quantities. Restocking of these items in case of surge demand may take up to 6 months as a result of current Covid affected supply chain issues. These larger items of plant are not available in the other states.
Federated Shipping has handling equipment consisting on forklifts ranging from (3 – 28 MT in Pohnpei and at the smaller end of the range in other states) that could be used for a humanitarian action on an adhoc basis
Due to the large number of imported goods pallets are readily available.
Postal and Courier Services
Mail: As a government agency, the FSM Postal Services was established in 1983, primarily to provide and deliver the postal operations and services as well as to sell stamps and other philatelic products within the FSM and throughout the world. The FSM Postal Services is comprised of three major divisions which continue to carry out their related but different functions. In addition to deliver and expand the services to the FSM States and their outlying areas, there are four main Post Offices and several branches that have been established in those respective areas. The US Postal Service services FSM as a domestic destination. There are post offices in each state capital. The main office is Pohnpei. Mail is received by Asia Pacific Airlines Cargo and United Airlines service twice weekly to each state capital.
Couriers: USPS is handled by the FSM Postal Service, DHL, UPS and FedEx also have agents in each of the 4 states.
DHL http://www.dhl.com/en/gu/country_profile/service_point_locations_express.html
FedEx http://www.fedex.com/fm/contact/index.html
Printing and Publishing
There are limited numbers of printing and publishing services available in Pohnpei and Kosrae that also provide digital printing, screen printing copying, binding and laminating.
Taxi Companies
There are multiple taxi companies operating around Pohnpei. Services in Chuuk are available around the town centre. Yap and Kosrae have a very limited service. Where available they are safe and reliable.
Taxis cost about USD 1.00 for a 1-3 Km ride and USD 4 for a 5-10 Km ride.
Vehicle & Equipment Maintenance/Workshops
The maintenance and repair services of vehicles and appliances are limited. All products and parts are imported, and there are typically no authorized service networks for those imported goods.
As for auto services, small local auto garages and body shops mainly provide unpredictable maintenance and repair services. Napa Auto Parts has provided maintenance and repair parts through its distribution channels in the four states. Second-hand parts are also used widely.
Most appliances, such as power generators, air conditioners and refrigerators, cannot be repaired onsite and must often be replaced with new ones. Some appliance wholesalers and specialized service providers offer less sophisticated maintenance and repair services with limited capacity. Some freelance technicians (habitually foreigners) also provide maintenance and repair services for some appliances.
Vehicle Rental
There are multiple vehicle rental companies throughout the state capitals it I also possible to rent a private taxi or vehicle for a mutually agreed amount for several days or a longer period.
Vehicle rental cost approx. USD $75.00 per day.
Disclaimer: Inclusion of company information in the LCA does not imply any business relationship between the supplier and WFP / Logistics Cluster, and is used solely as a determinant of services, and capacities.
Please note: WFP / Logistics Cluster maintain complete impartiality and are not in a position to endorse, comment on any company's suitability as a reputable service provider.
3.7 Micronesia Waste Management and Recycling Infrastructure Assessment
Overview
Waste management is proactively managed by the Government at State and National levels. Recycling programs have been implemented, monitored and reviewed. Service providers are a combination of Government and contracted private operators.
Generic country information can be located from sources which are regularly maintained and reflect current facts and figures. For a general overview of country data related to the service and supply sectors, please consult the following sources:
The Observatory of Economic Complexity – MIT (OEC): https://oec.world/en/profile/country/fsm
A very detailed and comprehensive document outlining Yap State’s Solid Waste Management Strategy 2018–2027 is available to view at: https://www.sprep.org/attachments/VirLib/FSM/yap-solid-waste-management-strategy-2018-2027.pdf
|
State |
Regulating Agency |
Implementing Agencies (Collection and Disposal) |
|---|---|---|
|
Chuuk |
1. Chuuk EPA 2. Department of Public Safety for enforcement of littering law |
Chuuk Department of Transportation, & Communication (Division of Public Works) |
|
Kosrae |
1. Kosrae Island Resource Management Authority (KIRMA) |
Department of Transportation & Infrastructure Kosrae Municipal Government |
|
Pohnpei |
1. Pohnpei EPA 2. Department of Public Safety for littering law enforcement |
Division of Transportation & Infrastructure (Disposal and collection contracted to Pohnpei Waste Management Services), Kolonia Town Municipal Government, Nett Municipal Government, Uh Municipal Government, and Sokehs Municipal Government,
Pohnpei Waste Management Services is contracted by Division of Transportation & Infrastructure to manage dumpsite. There is another Private Waste Company that collects and disposes waste from residential areas with a fee.
|
|
Yap |
1. Yap EPA
|
Department of Public Works & Transportation and Yap State Public Service Corporation, Island Paradise Metal Company, and Yap Environmental Waste Solutions |
LEGISLATIONS: Laws and Regulations relating to Waste Management in the FSM
|
State |
Laws and Regulations relating to Waste Management |
|---|---|
|
Yap |
- State Littering Law - Littering Offense - Junk Vehicles Offense - Title 18: Conservation and Environment - Environmental Quality Protection Act - Title 14: Enabling legislation creating YSPSC - Title 14: Junk Vehicles - Pesticide Regulations - POPs regulations - EIA Regulations - Regulations for the Environmental Clearance of Marine Vessels - Burning Regulations -Yap State Plastic Bag Regulations - Solid Waste Management Strategy - Environmental Impact Assessment, Earthmoving, Recycling (deposit and refund fee schedules) - YBSAP, Tourism Development Plan, State Economic Plan, SLM Project -Legislation to ban plastic shopping bag |
|
Chuuk |
- Recycling Law (aluminum cans) -never signed - Title 7, Chapter 9 (Municipal Taxing Power) - Title 21, Chapter 13 (Sanitation) - Title 22, Chapter 1 (Chuuk Environmental Protection Act) - Title 22, Chapter 3 (Littering) - Title 24, Chapter 11 (Public Lands and Condemnation) - Title 29, Chapter 5 (Environmental Improvement Tax) - Earth Moving Regulations, Environment Impact Assessment Regulations - Chuuk State Development Plan, Chuuk State Strategic Plan for Education, Chuuk State Biodiversity Strategy and Action Plan |
|
Pohnpei |
- Pohnpei State Law No 6L-66-06 provides for litter abatement and solid waste disposal, shipping container and motor vehicle waste disposal fee, and establishes Environmental Quality Fund and Litter Reward Fund |
|
Kosrae |
|
|
NATIONAL GOVERNMENT |
|
Service providers for waste collection and disposal
|
State |
Regulating Agency |
Implementing Agencies (Collection and Disposal) |
|---|---|---|
|
Chuuk |
1. Chuuk EPA 2. Department of Public Safety for enforcement of littering law |
Chuuk Department of Transportation, & Communication (Division of Public Works) |
|
Kosrae |
1. Kosrae Island Resource Management Authority (KIRMA) |
Department of Transportation & Infrastructure Kosrae Municipal Government |
|
Pohnpei |
1. Pohnpei EPA 2. Department of Public Safety for littering law enforcement |
Division of Transportation & Infrastructure (Disposal and collection contracted to Pohnpei Waste Management Services), Kolonia Town Municipal Government, Nett Municipal Government, Uh Municipal Government, and Sokehs Municipal Government, Pohnpei Waste Management Services is contracted by a Division of Transportation & Infrastructure to manage dumpsite. There is another Private Waste Company that collects and disposes waste from residential areas with a fee. |
|
Yap |
1. Yap EPA
|
Department of Public Works & Transportation and Yap State Public Service Corporation, Island Paradise Metal Company, and Yap Environmental Waste Solutions |
Recycling
In the FSM, Container Deposit Schemes (CDSs) for beverage containers are gaining ground. A CDS is a system whereby a small extra deposit is added on top of the retail price when eligible beverages are sold. The deposit is partly refunded when the empty beverage container is returned to a redemption center. The reason that CDSs are gaining ground in the FSM is that the products covered by this system are not manufactured in the states. They are all imported products, and thus it is relatively easy to charge a deposit at the time of import. Among collected containers, aluminum cans are regularly exported owing to their high resource value, which also contributes to material recycling. However, for other beverage containers (mainly plastic bottles), all the states are experiencing difficulties in securing export destinations due to the sluggish recycling market for plastics. (J-PRISM report)
Non-Hazardous Waste Disposal
Three states of the FSM, excluding Chuuk, have set up semi-aerobic landfills, or so-called Fukuoka-Method disposal sites, with the financial support of the Japanese government, and are properly disposing of waste discharged in the islands.
Sewage disposal is by way of septic tanks.
Waste Disposal Company Assessment (Company managing a waste disposal facility).
|
Name of Company |
POHNPEI WASTE MANAGEMENT SERVICES |
|---|---|
|
Physical Address |
NETT, DEKEHTIK |
|
Contact Person |
ERNIE YAMAGUCHI |
|
Telephone Number |
320-5058 OR 320-7493 |
|
|
Company Profile
|
Does the company have an Environmental, Health and Safety certification (e.g. ISO 14001, ISO 45001 or equivalent) or self-certified management plan for facilities and personnel? (List all available) |
CERTFIED BY E. P. A |
|---|---|
|
Business License Validity Dates |
March 17 2023 |
|
Years of experience |
More than 10 years |
|
Company main business |
E.P.A , STATE T & I and NETT DISTRICT |
|
Facility is well maintained (roof/walls)? |
Yes |
|
Hazardous materials are processed and stored separately from non-hazardous waste? |
Yes |
|
Facility has adequate ventilation? |
Yes |
|
PPE provided to staff (hard hats, overalls, boots, etc.)? |
Hats, glove, boots, overall , uniform t-shirt |
|
Processing capacity (e.g. max tonnes/day or month)* |
MT/day and month (list capacity by type of waste, if relevant) |
|
Collection provided (Y/N) |
Yes |
|
Transport capacity constraints (geographical, volumes, frequency)? |
Two working dump trucks that are used to collect waste from residential and commercial bins. |
Non-Hazardous Waste
|
Type of Waste |
Accepted at facility? (Y/N) |
Restrictions if any |
Disposal method |
|---|---|---|---|
|
Packaging (flexible laminate plastics) |
Yes |
|
Landfill |
|
Packaging (HDPE Plastics) |
Yes |
|
Landfill |
|
Packaging (Styrofoam) |
Yes |
|
Landfill |
|
Packaging (Polypropylene) |
Yes |
|
Landfill |
|
Packaging (plastics/others - please specify) |
Yes |
|
Landfill |
|
Aluminum** |
Yes |
|
physical recycling |
|
Steel** |
Yes |
|
physical recycling |
|
Glass |
Yes |
|
Landfill |
|
Corrugated Cardboard |
Yes |
|
Landfill |
|
Packaging (paper) |
Yes |
|
Landfill, Incineration |
|
Pallets (wood) |
Yes |
|
Landfill |
|
Paper (office) |
Yes |
|
Landfill, Incineration |
|
Furniture |
Yes |
|
Landfill, |
|
Vehicle Spare Parts |
Yes |
|
physical recycling |
|
Styrofoam |
Yes |
|
Landfill |
Hazardous waste
|
Type of Waste |
Accepted at Facility? (Y/N)? |
Restrictions if any? |
Disposal Method |
|---|---|---|---|
|
IT Hardware (e.g. servers, routers, external drives, CPUs) |
Yes |
|
physical recycling |
|
Telecoms equipment (e.g. deskphones, radios, mobile phones) |
Yes |
|
physical recycling |
|
Computers (e.g. desktop computers, laptops, monitors, keyboards, others) |
Yes |
|
physical recycling |
|
Scanners, printers, copiers, toner cartridges |
Yes |
|
physical recycling |
|
Household appliances (e.g. air-conditioners, refrigerators, generators) |
Yes |
|
physical recycling |
|
Lighting equipment (light bulbs, switches, fluorescent lamps) |
Yes |
|
physical recycling |
|
Batteries of different types (e.g. lithium ion, lead acid) |
Yes |
|
Landfill, physical recycling |
|
Electrical and electronic equipment (e.g. cameras, smoke detectors) |
Yes |
|
Landfill , physical recycling |
|
Gym equipment (e.g. treadmills) |
Yes |
|
physical recycling |
|
Solar Photovoltaic equipment (e.g. PV panels, inverters) |
Yes |
|
Landfill, physical recycling |
|
Medical Waste (e.g. soiled medical items, used sharps, glasswear, etc.) |
Yes |
|
Landfill, |
Admin Waste
|
Type of Waste |
Accepted at Facility? (Y/N)? |
Restrictions if any? |
Disposal Method |
|---|---|---|---|
|
Used engine oil, lubricants |
Yes |
|
Filtered |
|
Tyres |
Yes |
|
Piled up and soed fo e |
|
Paints |
Yes |
|
Landfill |
|
Chemicals and Fertilizers |
Yes |
|
Landfill, |
|
General Medical waste (e.g., used masks, office use latex gloves w/o bodily fluids) |
Yes |
|
Landfill, Incineration, |
|
General Office Waste |
Yes |
|
Landfill, Incineration, |
|
Composting (food waste) |
Yes |
|
Landfill |
Notes and Definitions
*Please include mt or cbm of waste disposal capacity / day by waste type (if there are any restrictions)
**Please specify in the "restrictions" column the type of aluminum and steel accepted (i.e., cans, household steel/aluminum waste, industrial steel, scrap metals, etc.)
This tool is designed to collect company profile information in addition to the general landscape on waste disposal in country, please add a sheet for each company assessed for inclusion in the LCA.
For further supplier registration/prequalification, please use Recycling company assessment checklist_Haz and non-has waste.pdf
Disclaimer: Inclusion of company information in the LCA does not imply any business relationship between the supplier and WFP / Logistics Cluster, and is used solely as a determinant of services, and capacities.
Please note: WFP / Logistics Cluster maintain complete impartiality and are not in a position to endorse, comment on any company's suitability as a reputable service provider.