Apia, SAMOA — (December 22, 2025) After more than a year of waiting for compensation following the sinking of the New Zealand Navy vessel HMNZS Manawanui off the southern coast of Upolu, Prime Minister Laaulialemalietoa Leuatea Polataivao Schmidt has confirmed that the New Zealand Government’s 10 million tala compensation payment will be disbursed directly to affected individuals and businesses in the districts of Siumu and Safata.
The compensation payment from the New Zealand government to the Samoa government of SAT$10 million, about NZD$6 million, was made as far back as May this year.
Speaking to local media last Friday, the Prime Minister explained that while the Cabinet Special Committee had recommended direct distribution, he has instructed the committee to conduct a final round of consultations with the villages concerned before submitting its definitive decision and recommendation.
The Prime Minister stressed that the allocation must be fair and proportionate to the verified impact on each household and business, and that strict accountability measures will be applied to prevent duplication of payments.
The compensation payments will be guided by the latest census data from Siumu district and the villages of Safata 1 and Safata 2 districts, which were among the hardest hit by the loss of food sources, fisheries, marine resources, and tourism businesses such as surfing and marine operations. These communities bore the brunt of the economic and livelihood impact following the incident.
Last month, representatives from Safata 2 met with the Minister of Finance to request that their district be allowed to manage its own share of the funds and oversee the distribution process.
However, Prime Minister Laaulialemalietoa Leuatea Polataivao Schmidt has made clear that the government will retain responsibility for administering the compensation, ensuring that the process remains centralized, accountable, and consistent across all affected districts.
The HMNZS Manawanui crashed into the Tafitoala reef on October 06, 2024, a week before the start of the Commonwealth Heads of Governments meeting in Apia. It spilled diesel and rubbish into the surrounding water and eventually sank into the reef, where it remains today.
Residents of Tafitoala, who witnessed the Navy vessel crash and burn less than two kilometres from their homes, told Radio New Zealand that the disaster has devastated the sea resources they depend on for both food and income. Seasonal fish such as igaga and lupo, along with sea cucumbers, prized as a delicacy, have become scarce, leaving families struggling to sustain themselves. Many households that once sold seafood at roadside stalls along the coast say their livelihoods have been severely disrupted.
COMPENSATION FOR SUNKEN NZ NAVY VESSEL
Letters released by New Zealand’s Minister of Foreign Affairs, Winston Peters, confirm that the $10 million tala (approximately NZ$6 million dollars) compensation package was originally proposed by Samoa’s Ministry of Foreign Affairs and formally endorsed by then Prime Minister Fiamē Naomi Mata’afa.
The New Zealand Government announced the NZ$6 million/SAT$10 million compensation on October 06, 2025, marking the first anniversary of the sinking of the Navy vessel HMNZS Manawanui off the southern coast of Upolu.
The official correspondence further states that “the Government of Samoa will not seek further payment from New Zealand,” emphasizing that the agreed settlement is final.
However, Radio New Zealand has reported that several matai from the districts of Siumu and Safata believe the compensation offered by the New Zealand Government is insufficient to cover the scale of damage caused by the sinking of HMNZS Manawanui.
Atanoa Tusi Fa’afetai, a chief from the village of Maninoa in the district of Si’umu who is an engineer by profession, stated that if the HMNZS Manawanui wreckage remained on the reef, then the New Zealand government would need to contribute more.
"If they cannot remove the vessel, they have to compensate for the vessel’s displacement here in our ocean, and also the fishery loss," Atanoa argued. “People depend on consuming the fish and marine life… [and] tourism losses. Those are the things that New Zealand has to look into for the liability of what’s been happening.”
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