APEC states worried over long-term energy supplies Agence France-Presse
November 14, 2006
HANOI -- Securing long-term energy has become a growing concern for Asia Pacific leaders gathering for a summit in Vietnam, with calls to diversify from oil and cut overall consumption, officials said Tuesday.
Senior officials laying the ground for the weekend's Asia Pacific Economic Cooperation (APEC) summit agreed to send initiatives aimed at ensuring stable energy supplies to their leaders for discussion.
They said volatile oil prices and environmental concerns were driving the search for cheaper and cleaner fuel sources, observers who attended Monday's preparatory discussions said.
APEC's 21 economies, stretching across the Pacific from Chile to China, aim to achieve a free and open energy market as well as an efficient regulatory framework.
There is also a need to promote clean energy and develop other sources such as biofuels, nuclear and natural gas.
An Australian delegate said Canberra would make securing long-term energy supplies one of the key issues when it hosts next year's summit.
Official US figures show that by 2030, global energy consumption will rise by more than 70 percent, driven mainly by Asian economies including China and India.
China has announced a string of energy deals as it scours the globe, including Africa, for fresh reserves to power its booming economy and supply a growing middle class snapping up energy-consuming appliances.
India's energy needs are also growing. The country has clinched a historic civilian nuclear energy deal with the United States and is increasingly looking at renewable sources of power.
A survey released on Monday by the regional think-thank Pacific Economic Cooperation Council (PECC) showed 84 percent of respondents identified energy security as "the greatest single issue of concern."
Energy security implies countries securing adequate supplies at reasonable prices. Its meaning has also extended to reducing wastage through efficiency and conservation measures.
"Despite some surplus economies such as Russia, Canada, Brunei and Malaysia, the... region runs a huge oil deficit most of which is imported from the Middle East," the PECC survey said.
"While the region's economic performance has continued in the face of the oil price increases of the past three years, the tight markets have resulted in competitive efforts to secure longer-term contracts for both oil and natural gas."
PECC, an observer at APEC, said energy supply concerns should be addressed through cooperation and coordinating national policies.
Oil price volatility has seen seesaw prices that hovered near $59 a barrel in Asian trade Tuesday after puncturing $78 a barrel to reach an all-time record high in September.
