The Asia Pacific Foundation of Canada and The National Bureau of Asian Research today released a report that provides policy recommendations to enhance trans-Pacific cooperation while also addressing environmental challenges.
The 2013 Summit Report is based on findings of the Pacific Energy Summit, which took place in Vancouver in April 2013. The Summit was co-hosted by The National Bureau of Asian Research and the Asia Pacific Foundation of Canada and brought together 170 participants from energy industry, government and research, representing 15 countries across the region.
How can we forge a stronger consensus on moving forward with what the markets and investment patterns tell us makes sense: meeting Asia's energy needs with cleaner fossil fuels and cleaner energy, asks Mikkal Herberg, Research Director, National Bureau of Asian Research; Senior Lecturer, University of California-San Diego
Asia's Growing Energy Demand
- The Asian Development Bank (ADB) anticipates that developing Asia's GDP will more than quadruple from 2010 to 2035 without radical changes to its energy mix, Asia's carbon dioxide emissions will double to 20 billion tonnes in the same period.
- By 2035, Asia will consume 56% of the world's total energy, up from 34% in 2010, and become the world's largest energy consumer. If the region does not change consumption patterns, Asia will double its oil consumption, triple its natural gas use, and need 81% more coal by 2035, according to ADB. Given its limited fossil fuel resources, Asia is increasingly looking to North America for energy supplies.
- Competition to supply the Asian gas market is increasing. Canada and the United States must recognize that Asian markets now have more gas and oil supply options, including Mozambique, Qatar, and Australia. Canada and the United States must act quickly if they are to establish themselves as suppliers of choice.
- Canada and the United States have expertise in energy services and technology, including clean technology that they can market in Asia. In order to remain competitive, both countries must continue to support and foster innovation in the energy sector.
Canada has large oil and gas reserves, as well as technical experience. These assets give us the opportunity to drive forward on LNG.
But this opportunity won't last forever. 'Unless something happens relatively swiftly, the market will move on and buyers will find different sources', said Christopher Roberge, Asia Pacific Energy and Resources Tax Leader, Deloitte
- Canada and the United States should recognize the growing competition to supply Asian energy markets and act quickly if they are to establish themselves as suppliers of choice.
- Canada and the United States should support and foster innovation in the energy sector in order to be competitive, particularly in clean technology.
- Governments should commit to sustaining open markets and reducing protectionism and resource nationalism to foster more efficient and responsive energy markets.
- Governments should decrease subsidies for energy and limit other state interventions in the sector.
- Energy efficiency is the greatest untapped source of energy supply. Government and industry should support the adoption of higher standards for energy efficiency.
- Governments and companies wanting to acquire social license need to communicate with stakeholders and build positive relationships with the public by mitigating the environmental impacts of natural resource development and delivering benefits to local communities.
- Canada and the United States should strengthen cooperation on energy and climate policies to ensure that the model of market-led integration survives in the new energy era.
The full report provides a detailed overview and analysis of the Summit's main topics including Asia's growing energy demand, securing energy supplies through efficiency, LNG markets and pricing, and energy infrastructure
The Summit also produced five working papers:
- Energy Efficiency Policies in the Asia-Pacific: Can We Do Better?
- Implications of North American LNG Exports for Asia's Pricing Regime
- Forging a New Trans-Pacific Energy Trade: Opportunities and Challenges
- The U.S.-Canada Energy Relationship and the Growing Role for Asia
- Social License to Operate: How to Get It, and How to Keep It
The full report can be downloaded here.
The Changing International Energy Market will be a major issue discussed at GLOBE 2014, the next in the celebrated GLOBE Series Conferences on the business of the environment taking place in Vancouver Canada, March 26-28, 2014. Reserve your place now. Check here for more details