APEC wants quick implementation of Asia Gas Grid<\/p>\n
JAKARTA (JP): The Asia Pacific Economic Cooperation's (APEC)
\nPartnership for Equitable Growth (PEG) and the Indonesian Chamber
\nof Commerce and Industry (Kadin) have called on Asian countries,
\nespecially China and Indonesia, to realize the plan of developing
\na gas pipeline network connecting all Asian countries.<\/p>\n
PEG chief executive officer Shafiq Sit Abdullah said PEG
\nsupported \"the call by Kadin to speed up the implementation of
\nthe Asia Gas Grid\", citing the benefits to be reaped by Asian
\ncountries, especially Indonesia and China, from the gas pipeline.<\/p>\n
\"Proper implementation of the Asia Gas Grid ... will no doubt
\nlift Indonesia out of its current predicament and alleviate the
\nfinancial burden of millions of Indonesians still hurting from
\nthe economic crisis,\" Shafiq said in a statement.<\/p>\n
The gas grid would also benefit China, \"which is in need of
\ncleaner forms of energy to stave off a pollution crisis by 2005\".<\/p>\n
PEG was formed in 1998, with its headquarters in Kuala Lumpur,
\nas a non-profit organization to promote public-private
\ninitiatives within APEC.<\/p>\n
The Trans Asia Gas Grid, spanning from the Natuna Alpha D
\nblock in the East Natuna section of the South China Sea to the
\nmain coastal cities of China, was first suggested by PEG in 1998
\nand was welcomed by APEC leaders at their summit meeting in Kuala
\nLumpur.<\/p>\n
The Natuna Alpha D block, which is operated by American oil
\nand gas company ExxonMobil, is believed to contain about 45
\ntrillion cubic feet of gas.<\/p>\n
\"Significantly, the rich resource of Natuna Alpha D remains
\nstuck in the ground at a time when Indonesia needs revenue and
\nfunding to recover economically. It is calculated that the sale
\nof gas from Natuna through this pipeline alone would bring in
\napproximately US$30 billion to $35 billion over the next 30 years
\nfor Indonesia,\" Shafiq said.<\/p>\n
During the IIOGE conference, Kadin chairman Aburizal Bakrie
\nproposed to speed up the development of the gas grid.<\/p>\n
\"Pipeline gas ... is a simpler delivery system and provides a
\ncompetitive delivered price with a shorter time to market
\ncompared with LNG (liquefied natural gas),<\/p>\n
\"One should not overlook this advantage and what it means to
\nIndonesia,\" Aburizal said.<\/p>\n
Shafiq said Indonesia and China, together with PEG, should
\nwork hand in hand to propose the giant pipeline project as a high
\npriority item in the forthcoming APEC leaders meeting in Brunei
\nin November.<\/p>\n
He noted, however, that APEC approval was not necessary for
\nthe project as long as Indonesia and China were ready to
\nimplement it.<\/p>\n
\"This Asia Gas Grid does not necessarily need the approval of
\nAPEC per se. It could well be primarily a bilateral arrangement
\nbetween China and Indonesia,\" he said.<\/p>\n
Wang of WPC told The Jakarta Post that China \"is interested in
\nthe ambitious project\".<\/p>\n
He noted, however, that Indonesia should compete with other
\ngas producers, including Russia.<\/p>\n
But Shafiq said that commercially the Trans Asia Gas Grid
\nwould be more competitive than the Trans Siberia Gas Grid due to
\nthat fact the former would be shorter than the latter and the
\nformer would yield higher returns and greater spinoffs. (bkm\/jsk)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/apec-wants-quick-implementation-of-asia-gas-grid-1447893297",
"image": ""
},
"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
}