Japan proposes Asian energy agency
Prime Minister Sanae Takaichi plans to propose creating an Asian version of the International Energy Agency at a Manila summit on Tuesday.
Middle East turmoil exposed vulnerabilities in Asia’s energy supply chains, prompting the new initiative. Takaichi will present the proposal at the Asia Zero Emission Community summit, bringing together 11 member nations to target carbon neutrality, The Japan Times reported.
Japan will help establish the regional framework alongside the Economic Research Institute for ASEAN and East Asia. The Jakarta-based institute will act as the secretariat, researching regional energy security issues.
Sharing oil stockpiles in emergencies
New rules will govern how member nations release and share oil reserves during a crisis. The Paris-based International Energy Agency requires member countries to hold oil equivalent to 90 days of consumption, a standard established after the 1974 oil crisis.
Member countries jointly released large-scale oil reserves in March in response to Middle East tensions. No ASEAN member nations participated in that concerted initiative.
Japan relies on ASEAN nations for products like surgical gloves and launched the Powerr Asia partnership in April to build resilient supply chains. Takaichi will propose utilizing idled oil storage tanks inside Japan during the summit.
Philippines oil reserve cooperation
Japan will consider cooperating on a Philippines-led initiative to develop a joint oil reserve system for Southeast Asia. Officials aim to establish a mechanism allowing regional nations to buy oil on a priority basis during emergencies.
The AZEC member countries participating in the summit include Japan, the Philippines, Australia, Brunei, Cambodia, Indonesia, Laos, Malaysia, Singapore, Thailand, and Vietnam.
Regional energy questions
What nations belong to the new energy framework?
The 11 participating members of the Asia Zero Emission Community are Japan, the Philippines, Australia, Brunei, Cambodia, Indonesia, Laos, Malaysia, Singapore, Thailand, and Vietnam.
What role does the Jakarta institute play?
The Economic Research Institute for ASEAN and East Asia serves as the secretariat for the new framework, investigating and researching energy security issues across the region.
When does the summit take place?
Prime Minister Sanae Takaichi will present the energy proposal at the regional summit on Tuesday.