Japan Proposes Asian IEA to Strengthen Regional Energy Security
Prime Minister Sanae Takaichi plans to propose creating an Asian version of the International Energy Agency at a Manila summit on Tuesday, informed sources told The Japan Times.
Through this framework, Japan aims to strengthen Asia’s energy supply chains after Middle East turmoil exposed vulnerabilities. Takaichi will present the plan at a meeting of the 11-member Asia Zero Emission Community, known as AZEC.
Japan will play a role in establishing the new framework while the Jakarta-based Economic Research Institute for ASEAN and East Asia serves as the secretariat. The institute investigates and researches regional energy security issues.
The new regional framework will help member nations share expertise on oil stockpiling and make rules on releasing and sharing oil reserves during emergencies. It will work alongside a new Tokyo base being set up by the Paris-based International Energy Agency.
The International Energy Agency was established in 1974 following the first oil crisis and requires member countries to hold oil stockpiles equivalent to 90 days of consumption. In response to Middle East tensions, agency members jointly released oil reserves on a large scale in and after March, but no ASEAN member nations participated in the concerted initiative.
Japan relies on ASEAN countries for the supply of oil-based products such as surgical gloves. In April, Japan announced the launch of the Partnership on Wide Energy and Resources Resilience Asia, which is designed to help make the region’s supply chains resilient.
Takaichi is also expected to propose using idled oil storage tanks in Japan during the AZEC summit. In particular, Tokyo intends to explore partnering on a Manila-spearheaded plan to build a collective Southeast Asian petroleum reserve network, alongside setting up a system that grants regional states priority purchasing rights during crises.
Aside from Japan and the Philippines, the remaining members of AZEC include Australia, Brunei, Cambodia, Indonesia, Laos, Malaysia, Singapore, Thailand and Vietnam.