Asian states must focus more on oil security<\/p>\n
KUALA LUMPUR (Reuter): Asian countries, where demand for
\nenergy is soaring, need to pay more attention to the security of
\ntheir supplies, a senior International Energy Agency (IEA)
\nofficial said yesterday.<\/p>\n
\"Given the rapid oil consumption growth and high dependence on
\nMiddle Eastern oil in Asian economies, the Agency believes that
\nsecurity consciousness should be promoted and shared among Asian
\neconomies to enhance global energy security,\" Tatsuo Matsuda told
\nan oil conference.<\/p>\n
Matsuda, director of oil matters at the IEA, said oil demand
\nin East Asia was expected to increase around 4 percent a year and
\nwould top 10 million barrels per day (bpd) by 2010.<\/p>\n
China alone will need to import more than two million bpd of
\noil in 2010, he said. China's customs data shows it imported
\n440,000 bpd in 1996.<\/p>\n
\"Countries in the region currently import around 40 percent of
\ntheir oil consumption. This figure is expected to grow to 65
\npercent in 2010, the bulk of it coming from the Middle East,\"
\nMatsuda said.<\/p>\n
Matsuda said energy security was not only about collective
\naction in an emergency and reducing dependence on oil through
\nconservation and finding alternative sources.<\/p>\n
\"Energy security is seen in a wider perspective as relating to
\nenergy markets in general and as being closely linked to
\nenvironmental sensitivity,\" he said.<\/p>\n
\"Efficient markets, based on free and open trade, a secure
\nframework for investment and undistorted pricing are also
\nconsidered essential elements of energy security,\" he said.<\/p>\n
Matsuda said the IEA was ready to support initiatives by Asian
\neconomies in energy security.<\/p>\n
Asia's big demand has created a \"need for closer international
\ncooperation in the areas of information exchange and sharing of
\nexperiences in various fields, including stockholding and
\nstockdraw policy,\" he said.<\/p>\n
In a communique following a meeting in May, the IEA said
\n\"spare crude oil production capacity in non-IEA countries is now
\nlower than before the Gulf crisis or during the 1980s\".<\/p>\n
\"And there continues to be uncertainty over the extent to
\nwhich such capacity would be available in an emergency.\"<\/p>\n
The IEA was founded in 1974 in response to the first oil
\ncrisis with a resolve to be better prepared for any futures oil
\nshocks.<\/p>\n
Analysts estimate current Asian refinery capacity at around 18
\nmillion barrels per day.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/asian-states-must-focus-more-on-oil-security-1447893297",
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