Asian officials concerned that they pay too much for oil from the volatile Middle East sought ways yesterday to cushion the blow of price shocks, saying contingency plans such as fuel stockpiles could increase their energy security.
Oil prices that recently peaked at US$42 per barrel on the New York futures market are bad news for consumers, and energy ministers from around Southeast Asia and across the Pacific Rim were meeting here yesterday and today to ponder long-term solutions.
Prices have dipped by several dollars a barrel since OPEC said last week it would pump more, although it remains unclear how much extra crude might actually go onto the market. Crude oil futures for July delivery plunged by 3.6 percent on Tuesday in New York, settling at US$37.28 per barrel -- the lowest since April but still uncomfortably high for many consumers.
Asian energy leaders say one solution to the region's dependence on imports could be more stockpiles and the use of alternative energy sources.
Unstable energy supplies and swinging prices could stop developing Asian nations from hanging onto recent economic gains, Philippine Energy Secretary Vincent Perez told ministers from the 10-nation Association of Southeast Asian Nations.
"In particular, the instability in the price of oil not only threatens energy security, but the security of a nation as a whole as consumers become restless contending with the rising price of commodities," Perez said.
The ASEAN nations were to discuss the problem later yesterday with dialogue partners from top Asian economies: China, Japan and South Korea. Energy officials planned to endorse the idea of more stockpiling, with Japan and South Korea providing technical assistance to their neighbors, according to a draft statement.
Energy officials from the 21-member APEC forum meet today and planned a statement warning that terror attacks or natural disasters could strike oil supply systems as well as ports, pipelines and other energy facilities.
The APEC members, including the US, intend to set up "emergency mechanisms and contingency plans," but there were few specifics on achieving this, according to a draft statement.
APEC members want better diversified sources of energy, including more open dealings in liquified natural gas -- a market now dominated by long-term contracts that provide little flexibility and leave consumers with few options to buy extra gas on short notice, the draft said.
In his National Day Rally speech on Sunday, Singaporean Prime Minister Lawrence Wong (黃循財) quoted the Taiwanese song One Small Umbrella (一支小雨傘) to describe his nation’s situation. Wong’s use of such a song shows Singapore’s familiarity with Taiwan’s culture and is a perfect reflection of exchanges between the two nations, Representative to Singapore Tung Chen-yuan (童振源) said yesterday in a post on Facebook. Wong quoted the song, saying: “As the rain gets heavier, I will take care of you, and you,” in Mandarin, using it as a metaphor for Singaporeans coming together to face challenges. Other Singaporean politicians have also used Taiwanese songs
NORTHERN STRIKE: Taiwanese military personnel have been training ‘in strategic and tactical battle operations’ in Michigan, a former US diplomat said More than 500 Taiwanese troops participated in this year’s Northern Strike military exercise held at Lake Michigan by the US, a Pentagon-run news outlet reported yesterday. The Michigan National Guard-sponsored drill involved 7,500 military personnel from 36 nations and territories around the world, the Stars and Stripes said. This year’s edition of Northern Strike, which concluded on Sunday, simulated a war in the Indo-Pacific region in a departure from its traditional European focus, it said. The change indicated a greater shift in the US armed forces’ attention to a potential conflict in Asia, it added. Citing a briefing by a Michigan National Guard senior
CHIPMAKING INVESTMENT: J.W. Kuo told legislators that Department of Investment Review approval would be needed were Washington to seek a TSMC board seat Minister of Economic Affairs J.W. Kuo (郭智輝) yesterday said he received information about a possible US government investment in Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) and an assessment of the possible effect on the firm requires further discussion. If the US were to invest in TSMC, the plan would need to be reviewed by the Department of Investment Review, Kuo told reporters ahead of a hearing of the legislature’s Economics Committee. Kuo’s remarks came after US Secretary of Commerce Howard Lutnick on Tuesday said that the US government is looking into the federal government taking equity stakes in computer chip manufacturers that
CLAMPING DOWN: At the preliminary stage on Jan. 1 next year, only core personnel of the military, the civil service and public schools would be subject to inspections Regular checks are to be conducted from next year to clamp down on military personnel, civil servants and public-school teachers with Chinese citizenship or Chinese household registration, the Mainland Affairs Council (MAC) said yesterday. Article 9-1 of the Act Governing Relations Between the People of the Taiwan Area and the Mainland Area (臺灣地區與大陸地區人民關係條例) stipulates that Taiwanese who obtain Chinese household registration or a Chinese passport would be deprived of their Taiwanese citizenship and lose their right to work in the military, public service or public schools, it said. To identify and prevent the illegal employment of holders of Chinese ID cards or
RSS