Guillermo R' Balce, D' Sc'

1
Beyond Barriers of Energy Cooperation in
Northeast Asia Links to Southeast Asia

• By
• Guillermo R. Balce, D. Sc.
• ASEAN Centre for Energy

For presentation at the International Seminar on
Northeast Asia Energy Cooperation 18 October
2002 Seoul, Korea
2
Introduction

• Energy cooperation among neighboring countries is
  motivated primarily by common concerns. In
  Southeast Asia, the common concerns are oil
  security and energy market access. These two
  factors cement the bond between net oil importing
  countries and net oil exporting countries in the
  ASEAN towards creating regional energy
  programmes. Two major energy infrastructure
  programmes have commenced in 1999 upon the
  mandate of the ASEAN Heads of Government under
  the ASEAN Vision 2020 issued in 1997. These
  programmes are the Trans-ASEAN Gas Pipeline
  (TAGP) and the ASEAN Power Grid (APG).
• It is most likely that oil security and energy
  market access are also common to Northeast Asian
  countries. Therefore, energy cooperation could
  as well focus on gas pipeline and power grid.

3
Map of ASEAN Power Grid
ASEAN POWER GRID
4
Development of ASEAN Cooperation for APG
ASEAN POWER GRID
Completion of APG Master Plan by AIMSWG (
projected 2003 )
2nd Meeting of the Trans-Borneo Power Grid
Interconnection (June 2002) 1st Meeting on Trans
Borneo Power interconnection (August, 2001)
Establishment of AIMS WG under HAPUA ( May,
2000 ) Policy Statement on Regional Power Trade
endorsed by GMS Ministers ( January, 2000)
2000
Power Trade Strategy for GMS by WB ( 1999 )
GMS Integrated Transmission System Study by MRC (
1996 )
1990
( 1985 ) P. Malaysia Singapore Interconnection
Commissioned
P. Malaysia Thailand Interconnection
Commissioned (1981)
(1982) HAPUA Electricity Interconnection Program
Commencement
Establishment of HAPUA (1981)
1980
(1978) ThailandMalaysiaSingapore Power Exchange
Agreement
1970
( 1966 ) Lao PDR Thailand Power Exchange
Agreement
1960
5
Link with Northeast Asia
ASEAN POWER GRID

Participation of Yunnan Province of China in GMS
Power Interconnection and Trade Programme
Greater Mekong Sub-Region Interconnection Plan
6
Map of TAGP
TRANS-ASEAN GAS PIPELINE
7
Development of ASEAN Cooperation for TAGP
TRANS-ASEAN GAS PIPELINE

• 1988-1990 ASEAN Council on Petroleums (ASCOPE)
  study on the Potential of Natural Gas
  Pipeline Connection in the ASEAN Region
• 1993-1996 Master plan on Natural Gas
  Development and Utilisation in the ASEAN Region
  under the ASEAN-EC Energy Management Training
  and Research Centre (AEEMTRC) conducted by
  European Companies SNAM, Gaz de France and
  Trans Energ
• 1 July 1996 Master plan Report endorsed by the
  14th ASEAN Ministers of Energy Meeting
• 15 Dec 1997 ASEAN Vision 2020
• 16 Dec 1998 Hanoi Plan of Action
• Early 1999 ASEAN Council on Petroleum (ASCOPE)
  created the Trans- ASEAN Gas Pipeline Task Force
  (TAGP-TF) led by Malaysia
• 1 July 1999 ASEAN Plan of Action for Energy
  Cooperation 1999-2004
• 14 Feb 2001 ASCOPE TAGP-TF completed a new
  masterplan on Trans- ASEAN Gas Pipeline and
  proposed an ASEAN MOU on TAGP
• 5 July 2002 20th AMEM signed ASEAN MOU on TAGP

8
Gas pipeline interconnection plan with Southern
China
TRANS-ASEAN GAS PIPELINE
9
Indonesias Integrated Gas Transmission Plan
TRANS-ASEAN GAS PIPELINE
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Towards NE Asia SE Asia Cooperation
Current Institutional Linkages

• GMS Power Trade Agreement
• ASEAN 3
• ASEAN Japan
• ASEAN Korea
• APEC
• IEA
• Kyoto Protocol
• Others including bilateral arrangements

11
Oil Trade Flows
Energy Security Concern between NE Asia SE Asia
Chokepoints for Oil Gas Trade Flow
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Conclusion
Beyond the barriers, energy security and market
access concerns are bonding elements for NE Asia
energy cooperation as well as between NE Asia and
SE Asia.
13
Thank You

• ASEAN Centre for Energy, 2002