ASEAN urged to seek alternate energy

ASEAN urged to seek alternate energy

Agence France-Presse, Langkawi, Malaysia

The 10 member countries of the Association of Southeast Asian Nations (ASEAN) will have to intensify efforts to reduce their dependence on oil since the region will become a net energy importer by 2020, an expert said Tuesday.

Guillermo R. Balce, executive director of the Jakarta-based ASEAN Center for Energy, said that energy demand from ASEAN members outpaced their economic growth.

"In terms of energy demand, most countries experience five to eight percent growth in energy demand compared to average economic growth of four to five percent," he told reporters.

Balce on Monday presented a paper to some 120 ASEAN energy officials on the regional energy outlook.

The two-day meeting is held ahead of the ASEAN ministers meeting Thursday.

ASEAN energy officials would also meet their counterparts from China, Japan and South Korea on Wednesday to discuss on energy security.

ASEAN needs to move forward to greater dependence on renewable energy resources such as hydro, wind, solar and bio-mas to ensure energy security, he said.

Balce lamented that usage of such energy in the region was only 8.2 percent at present and that it had to increased to more than 12 percent in 2020.

"Most of the ASEAN countries are net energy importers. By 2020, we expect all the countries to be net importers, including Malaysia, Indonesia and Brunei," he said.

Currently, major importers are: Singapore, Thailand and Philippines. ASEAN imports 60 percent of its oil needs from the Middle East.

Balce warned that if ASEAN fails to meet its energy demand, then the economies can falter.

"We will face energy shortage. Industries will be affected. Cars will be queuing up to fill up their tanks. It will hamper growth," he said.

Balce said ASEAN must be on guard against any geo-political disability even though the recent Iraq war did not hurt the region.

"Of course we are very much concern about energy security and ASEAN is preparing for that," he said.

Balce said the trans-ASEAN gas pipeline project and the ASEAN power grid project were the regions' long-term plan to ensure energy security.

"We have to enhance energy infrastructure as a solution to ensure security. Of course we must speed up the program," he said.

Referring to the stalled Malaysia-Thailand gas pipeline, Balce said, ASEAN countries must address cross border relations as soon as possible.

ASEAN, he said had agreed at this meeting, to establish the "Regional Energy Policy and Planning," to look into ways to harmonize energy planning for the whole region.

Balce said an oil stockpile, that is pushed aggressively by Japan, was another option that ASEAN could consider.

"Oil stockpile is one of the options for energy security that is discussed in this forum," he said.

ASEAN groups Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam.