Australia’s offshore asylum processing system has once again come under criticism after a new report revealed that many asylum seekers living on the Pacific island nation of Nauru are struggling to afford sufficient food and access clean drinking water, despite the Australian government spending millions of dollars annually for each individual transferred there. The findings have reignited concerns over the humanitarian impact and financial cost of Canberra’s long-standing offshore detention policy.
According to a survey conducted by the Asylum Seeker Resource Centre (ASRC), nearly all of the asylum seekers interviewed said the government allowance they receive is inadequate to cover basic daily necessities. Those awaiting the outcome of their refugee claims currently receive an allowance of A$260 every fortnight, which is expected to cover food, drinking water, toiletries, communication expenses and other essential needs. However, respondents said the amount falls well short of meeting the high cost of living on Nauru, where the majority of food items are imported and prices frequently fluctuate because of supply disruptions.
The report noted that fresh vegetables are significantly more expensive than in Australia, while staple items such as rice have recently become scarce following shipping delays. Some asylum seekers reported skipping meals regularly to stretch their limited allowance, while others attempted to supplement their food supply through fishing or growing fruits. Those efforts, however, were reportedly undermined by theft of fishing equipment and crops, leaving many with few alternatives.
The survey also highlighted concerns over access to safe drinking water. Nauru has no natural rivers or freshwater lakes and relies largely on rainwater harvesting and desalination. More than four out of five respondents said they did not have reliable access to clean drinking water, with some claiming that water storage facilities had not been adequately maintained for years, forcing residents to boil water before consumption.
The latest findings stand in stark contrast to the Australian government’s expenditure on offshore processing. Official budget documents indicate that Australia allocated approximately A$971.6 million towards offshore management of unauthorised maritime arrivals during the 2025-26 financial year. Based on the relatively small number of asylum seekers currently on Nauru, the expenditure translates to more than A$9 million per person annually. The funding includes substantial contracts for the operation of the offshore processing centre and healthcare services.
Around 100 asylum seekers remain on Nauru after attempting to reach Australia by boat. Under Australia’s offshore processing policy, individuals arriving by sea without valid visas are not eligible for permanent resettlement in Australia, even if they are eventually recognised as refugees. Those granted refugee status must instead await resettlement opportunities in third countries, leaving many in prolonged uncertainty. During this period, they are prohibited from working, making them entirely dependent on the government stipend for survival.
Human rights advocates argue that the latest evidence demonstrates serious shortcomings in the offshore processing system. The ASRC described the situation as one in which even basic standards of safety and human dignity are not being met, warning that prolonged uncertainty, food insecurity and poor living conditions are taking a significant toll on the physical and mental health of asylum seekers.
Responding to the criticism, an Australian Home Affairs spokesperson maintained that refugee status determinations are the responsibility of the Nauruan government. The spokesperson said financial allowances are reviewed periodically in line with local living costs and are intended to support self-sufficiency while asylum seekers live within the community. Australian authorities also stated that individuals transferred under regional processing arrangements are treated with dignity and in accordance with human rights standards.
The debate over Australia’s offshore processing framework has persisted for years, with supporters arguing it deters dangerous maritime journeys while critics contend that the policy imposes severe humanitarian costs. The latest report has once again raised questions over whether the significant public expenditure on offshore detention is translating into acceptable living conditions for those awaiting protection, with advocacy groups urging reforms to ensure access to adequate food, clean water and other essential services for asylum seekers stranded on Nauru.
