Oceania Tennis says financial restraints mean entering a team in both the Davis Cup and Federation Cup is simply not possible.
The regional body is considering dumping its Davis Cup side, after years of underachievement, and reintroducing a team for the Federation Cup.
Pacific Oceania have been active in the Davis Cup since 1995, but last entered a Fed Cup side a decade ago.
The men last year were relegated to Asia/Oceania Zone Group IV, the lowest possible level.
The vice president of Oceania Tennis Cyrille Mainguy says a lack of funds mean it's not possible to enter both a men's and women's team.
"At this stage no we are not earning a lot of money per year and 2013 will probably be a negative year for us. But the good thing that was announced at the OTF [AGM] by the president of Tennis Australia, Steve Healy, that the Australian Open will sponsor the OTF for our junior development of up to $50,000 a year. It has been announced but the deal has not yet [been] signed."
Cyrille Mainguy says if the Davis Cup team can earn promotion to Group 3 at the upcoming tie in Iran in June they will probably get to keep their place.
