Ocean Accounting for Maritime Transport- Solomon Islands Pilot

Inception Report

14 November 2025

Global Ocean Accounts Partnership Secretariat

Centre for Sustainable Development Reform, University of New South Wales




Table of Contents

1. Project Overview

1.1 Project Scope

2. Methodology

2.1 Accounting Framework and Standards Compliance

2.2 Asset Classification and Vessel Typology

2.3 Valuation Methodology: Depreciated Replacement Cost

2.4 Relationship Between Maritime Asset Account and Maritime Workforce and Skills Account

2.5 Data Collection Strategy

3. Mentoring Plan

3.1 Purpose and Approach

3.2 Mentoring Roles and Responsibilities

3.3 Thematic Learning Pathways

3.4 Knowledge Product Development

3.5 Timeline

4. Stakeholder Assessment




Project Overview

The Solomon Islands' economic and social development is fundamentally dependent on maritime connectivity. As the nation pursues the aspirations outlined in its Maritime Development and Resilience Strategy 2024–2030, a call for "safe, resilient, green, clean, digital, gender-just maritime transport" reflects recognition of the sector's strategic importance. This pilot ocean account supports these ambitions by establishing rigorous, internationally standardised baselines for maritime sector measurement and monitoring.

The Solomon Islands is undertaking this pilot as a practical entry point to ocean accounting—an approach that systematically integrates economic, environmental and social data to support evidence-based governance and strategic investment planning. The pilot will produce two interconnected accounts: a National Shipping Asset Account documenting the physical and economic characteristics of the commercial shipping fleet, and a Maritime Workforce and Skills Account providing baseline data on maritime employment, skills, and training patterns. Complementing these technical outputs will be a spatial data dashboard enabling interactive exploration of maritime service patterns and fleet characteristics, alongside policy-relevant analysis grounded in international statistical standards.

This initiative aligns with broader regional commitments under the 2050 Strategy for the Blue Pacific Continent and the Framework for Resilient Development in the Pacific (FRDP), whilst establishing methodological foundations for future expansion to additional maritime sectors (fishing, tourism), port infrastructure, and ecosystem dimensions of ocean accounting. The ocean accounts will establish rigorous baselines to support national maritime sector planning, climate finance proposals, and future ocean accounting expansion.

Specific objectives:

Project Scope

The pilot ocean account will document Solomon Islands' commercial maritime sector as a produced asset, capturing or estimating the active shipping fleet and associated maritime employment across all vessel scales, operational contexts, and ownership arrangements. The account establishes a baseline as at 31 December 2025, the reference date for the pilot, enabling periodic updates and multi-year trend analysis in subsequent iterations to track fleet modernisation progress, employment patterns, and maritime sector development over time.

The shipping fleet is defined as all commercial vessels engaged in maritime transport services throughout Solomon Islands. This encompasses internal trade and passenger mobility via domestic inter-island services that connect the nation's dispersed island communities, as well as provincial freight and passenger operations and international regional services connecting Solomon Islands to neighbouring Pacific nations and global trade routes. The account baseline comprises large commercial vessels registered with the Solomon Islands Maritime Authority (SIMA)—those exceeding the mandatory registry threshold of 10 metres. Beyond this registered baseline, and where required, coverage will extend to provincial and smaller commercial vessels through targeted operator surveys and field consultations.

Where complete enumeration of smaller vessels is not feasible within project constraints, the account will employ sampling and estimation methods to provide defensible population estimates compatible with national accounting standards, and provide recommendations for comprehensive estimates in the future. This multi-scale approach recognises that Solomon Islands' maritime connectivity depends critically on smaller regional services often underrepresented in formal registries, despite their essential role in provincial development and community access.

Phase 1 concentrates on shipping assets and maritime employment directly associated with commercial vessel operations. However, the account structure is intentionally designed as a foundation module, with classification systems, data fields, and technical architecture explicitly configured to accommodate future expansion. This modular architecture positions the maritime pilot as the entry point to comprehensive ocean governance capacity rather than an isolated statistical exercise.

Methodology

The pilot will produce two complementary accounts documenting Solomon Islands' maritime sector.

  1. National Shipping Asset Account will document the commercial shipping fleet as a produced, non-financial fixed asset using System of Environmental-Economic Accounting Central Framework (SEEA-CF) provides the classification framework and the physical measurement protocols and System of National Accounts (SNA) capital stock valuation conventions. Where quantitative data exists, the account will capture a complete vessel inventory including registration details, physical characteristics (tonnage, age, engine specifications), ownership and operational status, and service types. Capital stock will be valued using the Depreciated Replacement Cost (DRC) methodology, with fleet indicators showing age distribution, tonnage by service type, and estimated capital renewal requirements. Data quality assessments will document coverage rates, confidence levels, and recommendations for strengthening future iterations.
  2. Maritime Workforce and Skills Account will document employment patterns, income, training, and skills gaps to inform workforce development and maritime education investment planning. The account will establish employment baselines by vessel type, occupational role, contract type, and residency status, income and compensation patterns aggregated by role and vessel category, and training and certification coverage rates with identified skills gaps. All employment data will be aggregated to protect individual privacy and comply with confidentiality protocols.

Both accounts will include comprehensive data quality assessments, metadata documentation, and explicit flagging of uncertainty and confidence levels to ensure transparency about data limitations and enable informed use by policy makers and development partners. The pilot acknowledges that maritime data in Solomon Islands may be incomplete and scattered across multiple sources.

Maritime Asset Accounts

Accounting Framework and Standards Compliance

The pilot integrates two complementary international statistical frameworks as the authoritative methodological foundation: the System of Environmental-Economic Accounting Central Framework (SEEA-CF) and the System of National Accounts 2025 (SNA 2025). This integrated approach ensures the account reflects national planning needs whilst meeting international statistical standards and enables maritime sector data to integrate seamlessly with Solomon Islands' official national accounts.

This multi-standard approach is implemented through an integrated account structure that simultaneously satisfies SEEA-CF physical measurement, SNA capital stock conventions, and Ocean Accounts framework design principles. The account tables will present comparable data to international best practice (notably New Zealand's maritime asset accounts and Australian ocean accounting), enabling regional benchmarking and demonstrating Solomon Islands as a leader in maritime data governance.

Asset Classification and Vessel Typology

Within SEEA-CF’s framework for produced fixed asset classification, vessels are further subdivided using a simplified functional typology developed specifically for Solomon Islands' commercial fleet composition. This functional typology maintains interoperability with international industry classification standards (ISIC Rev.4, IMO classification systems), and enables granular analysis of fleet composition and service patterns.

Functional vessel classification:

Each vessel receives a unique identifier (Vessel ID) enabling consistent tracking across registries, survey databases, and future integration with customs, port authority, and safety inspection systems.

Asset life assumptions will be adapted from standard depreciation conventions used by Statistics New Zealand and OECD guidelines, tailored for Pacific island contexts. Specific asset life ranges for vessel categories will be confirmed following consultation with SIMA and review of comparative international maritime asset accounting practices. These assumptions will account for tropical operating conditions, maintenance practices, and service intensity typical of Pacific island shipping, which may differ from temperate-climate depreciation profiles.

Maritime Workforce and Skills Account

The Maritime Workforce and Skills Account establishes baseline employment data, income patterns, skills gaps, and training coverage for Solomon Islands' maritime transport sector. The account framework integrates System of National Accounts (SNA 2025) labour accounting standards with maritime-specific skill classification systems to produce internationally comparable employment statistics that align with national labour force surveys and development planning priorities.

Accounting Framework and Standards Compliance

Maritime employment roles are classified using a simplified maritime occupational typology developed specifically for Solomon Islands' fleet composition, whilst maintaining interoperability with international labour classification standards. Each maritime occupational role is linked to:

This classification enables maritime employment to integrate with Solomon Islands' national labour statistics and allows international benchmarking of maritime workforce characteristics.

Valuation Methodology

Depreciated Replacement Cost

Capital stock valuations will employ the Depreciated Replacement Cost (DRC) method, the valuation standard endorsed by SNA (2025) for produced assets when historical investment data are unavailable. This approach represents the practical application of SNA 2025 capital stock measurement conventions (described in Section 2.1) to the SEEA-CF-classified maritime vessels. The DRC method is consistent with SEEA-CF's asset classification framework and SNA 2025's valuation standards, and has been successfully applied in comparable island nation maritime asset accounts (notably New Zealand).

Under the SNA-endorsed DRC method, each vessel based on the cost to acquire a new vessel of equivalent specifications in the current regional market, then adjusted downwards to reflect the vessel's age and condition - the depreciation process aligned with SEEA-CF's approach to measuring produced asset consumption

Replacement cost benchmarks will be obtained from industry sources including Lloyd's Register, maritime brokers, and comparable vessel sales in the Pacific region, specified by vessel type, size category (gross tonnage), and age cohort. Depreciation adjustments will account for physical deterioration (wear and tear), technological obsolescence (declining value due to newer technology), regulatory changes (new safety/environmental standards), and estimated remaining service life, adapted to reflect tropical operating conditions and maintenance practices specific to Pacific island contexts.

The detailed technical specifications of SNA-endorsed DRC calculation methodology, including specific depreciation curves (adapted for Pacific contexts), discount rates, and formulas for deriving gross capital stock, net capital stock, and consumption of fixed capital measures, will be fully documented in the technical annex accompanying the draft account (due December 2025). These specifications will reflect both international SNA standards and adaptations specific to Solomon Islands’ maritime environment and operational context.

Relationship Between Maritime Asset Account and Maritime Workforce and Skills Account

The two accounts are complementary but analytically distinct. The National Shipping Asset Account measures maritime transport capacity (fleet characteristics, age, capital stock); the Maritime Workforce and Skills Account measures maritime transport labour (employment, skills, income). Together, they enable analysis of:

This dual-account approach provides the government with a comprehensive evidence base for maritime transport planning, investment prioritization, and policy development.

Data Collection Strategy

The pilot employs a multifaceted data collection approach balancing comprehensiveness with feasibility, recognising that no single source provides complete coverage of Solomon Islands' commercial fleet.

The Maritime Workforce and Skills Account employs a multi-source data collection approach, recognizing that maritime employment data in Solomon Islands are scattered across multiple organizations with varying data quality and coverage:

SIMA registry data enable estimation of qualified seafarer population available for employment and comparison with actual employment numbers to identify skills gaps and training pipeline effectiveness.

These data enable assessment of whether maritime education produces workforce skills aligned with sector employment demands.

Mentoring Plan

Purpose and Approach

The mentoring plan establishes intensive, practice-based professional development for two embedded professionals, enabling them to build technical expertise and practical skills through active engagement in ocean account compilation, spatial data systems, workforce analysis, and policy translation.

This pilot concentrates on four priority thematic areas, selected based on project context and mentees' professional learning interests. Mentees learn by working on real pilot data, supported by expert mentoring, with the goal of building their professional capability.

This focused scope ensures mentees develop robust technical understanding and practical competence in core functions whilst remaining connected to the broader Ocean Accounts framework and GOAP network for future professional opportunities and learning.

Mentoring Roles and Responsibilities

Name Role
Maree Rabaua Mentee
Liz Hollaway Mentorship supervisor
Ben Milligan Technical Mentor (National Shipping Asset Account) and Technical Mentor (Maritime Workforce and Skills Account)
Mitch Lyons Technical Mentor (Dashboard)
Edoardo Santiago Technical Mentor (Maritime Decarbonisation)
Cheryl Joy Fernandez-Abila Technical Mentor (Maritime Workforce and Skills Account)

Thematic Learning Pathways

Each mentee will develop technical knowledge in assigned thematic areas through a combination of structured training, hands-on work on real account data, and guided knowledge documentation. The four thematic pathways are:

Maritime Asset Accounting and Valuation

The National Shipping Asset Account is the pilot's anchor deliverable. It is important to understand how SEEA/SNA frameworks translate into practical asset registers, how vessel valuation works in Pacific contexts, and how to interpret account findings for government planning.

Learning Outcomes: Mentee will be able to:

Learning Activities:

Maritime Employment, Workforce and Skills

The Maritime Workforce and Skills Account establishes baselines for maritime employment, identifies skills gaps, and makes the case for maritime education investment.

Learning Outcomes: Mentee will be able to:

Learning Activities:

Spatial Data Systems and Decision Support Dashboards

The spatial dashboard transforms account data into visual, interactive tools for maritime planning. This will aid understand dashboard functionality, data integration protocols, and how geospatial systems communicate data to diverse users.

Learning Outcomes: Mentees will be able to:

Learning Activities:

Policy Translation and Government Engagement

Technical accounts only create value if findings reach decision-makers and influence policy. It is important to learn to translate complex data into concise, actionable policy briefings and facilitate government workshops.

Learning Outcomes: Mentees will be able to:

Learning Activities:

Knowledge Product Development

Mentees will be actively included in knowledge product development throughout the project. This includes:

Timeline

Phase 1: Onboarding (November 2025, as soon as possible)

Phase 2: Active Execution (December 2025 –January 2026)

Phase 3: Independence and Leadership (February 2026 and beyond)

These opportunities enable mentees to build professional profiles, contribute to global knowledge commons, and establish themselves as emerging experts in ocean accounting within their regions.

Communication Plan

Weekly Check-Ins with Mentors (1 hour, date/time TBC)

Bi-Weekly Strategic Calls (1.5 hours, date/time TBC)

Ad-Hoc Support

Stakeholder Assessment

Successful ocean accounting requires engagement across government, maritime industry, and development partners who hold critical data, make policy decisions, and support capacity building. This assessment identifies key stakeholders for collaborative data collection, feedback, and policy translation throughout the 16-week pilot.

Primary Stakeholders

Government

Maritime Industry

Regional Partners

Engagement Strategy

Phase 1: Stakeholder Outreach (December 2025)

Phase 2: Collaborative Data Collection (December- January)

Phase 3: Results Dissemination (January 2026 onwards)