Japan PM to Propose Three Energy Security Principles at G7 Summit

Japan’s Prime Minister Sanae Takaichi will propose three principles to strengthen energy security at the G7 summit in France next week, as reported by Kyodo News on Thursday, citing various government sources. The initiative will be presented in a session on energy and economic security. The measures proposed by Japan aim to maintain free and transparent energy trade, expand strategic oil reserves, and strengthen cooperation between oil-producing and oil-consuming countries, the Japanese news agency’s report added. Under the first principle, Japan will call for the protection of major maritime routes, the rejection of opaque export restrictions, and opposition to transit charges imposed on shipping through international straits. The expansion of strategic oil reserves is intended to assist countries in meeting the International Energy Agency (IEA) requirements for oil reserves equivalent to at least 90 days of net imports, Kyodo reported. Japan will also encourage the development of alternative sea transport routes should crucial locations, such as the Strait of Hormuz, become impassable. Escalating tensions surrounding Iran have led to the closure of the Strait of Hormuz, a key supply route for oil and liquefied natural gas from the Persian Gulf states to global markets. This has also affected the production and export levels of oil from countries in the region. As a result of the closure of this sea lane, most countries experience a sharp spike in fuel and industrial product prices.