Energy

During the year under review, ASEAN energy officials reviewed the mechanism for the implementation of its various action programmes in light of the new guidelines for economic cooperation under SEOM. As an initial effort in this direction, the 12th Meeting of the ASEAN Economic Ministers on Energy Cooperation (AEMEC), held at Bandar Seri Begawan on 2 April 1994, requested the ASEAN Secretariat to establish ad hoc working groups to review the 1991 Medium Term Program of action and to develop a two-year work plan on energy cooperation. These working groups are on coal, power utilities/authorities, new and renewable sources of energy, and energy conservation.

The ad hoc working groups have completed the formulation of a comprehensive medium-term programme of action and a two-year work plan on energy cooperation for consideration by the Senior Officials Meeting on Energy Cooperation (SOMEC) and subsequent approval of AEMEC. In addition. the working groups have also reviewed all ongoing projects and identified those that could be implemented under well- established inter- governmental agency networking arrangements and supported by national budget allocations. The meetings of the working groups have also enabled the ASEAN Secretariat to identify projects that would require the establishment of ad hoc bodies to assist it in their implementation. The ASEAN Secretariat is preparing its recommendations on the operationalization of the new Medium-Term Programme of Action for the consideration of SOMEC in June 1994 at Jakarta. The Special SOMEC considered the recommendations of the ASEAN Secretariat on the new medium-term action to be endorsed in the next AEMEC. The Special SOMEC requested the ASEAN Secretariat to provide the draft amendment of the Agreement to be circulated to Member Countries for their comments.

Recognizing the significance of energy and power development in sustaining the overall growth of the ASEAN economies, the 12th AEMEC Meeting agreed that concerted efforts in energy cooperation should be made in the field of power generation and utilization. In this regard, measures to realize the completion of the ASEAN Power Grid were laid out. Power development was also recommended as the energy theme for the upcoming ASEAN Summit in Thailand.

The 12th Meeting of AEMEC also directed SOMEC to review the Agreement on ASEAN Energy Cooperation and propose necessary amendments taking into account the changes in the policies and priorities of ASEAN economic cooperation. A preliminary discussion on the existing Agreement will be made during the Special SOMEC in June 1994. The Special SOMEC requested the ASEAN Secretariat to prepare the draft amendment of the Agreement to be circulated to Member Countries for comments.

The ASEAN-EC Energy Management, Training and Research Center (AEEMTRC) is the only ASEAN cooperation project in energy being implemented with funding support from a Dialogue Partner, the EU. AEEMTRC has successfully involved Member Countries in the implementation of research; information, management and training activities in the areas of energy efficiency, energy conservation, diversification of energy resources, and energy and environment. AEEMTRC has also continued to provide training to ASEAN energy researchers, policy makers and practitioners through its in-house studies, seminar-workshops and energy management training courses. On the whole, AEEMTRC has been able to provide Member Countries with a regional perspective for situating their national energy plans.

Using its own energy database, AEEMTRC has published useful reference materials such as the ASEAN Energy Review (Volume 3) and Energy in ASEAN Country Profiles) as part of energy information exchanges within and outside the region. With funding assistance from the EU, AEEMTRC has embarked on a strategic Master Plan on Natural Gas Development and Utilization in ASEAN. To strengthen information services to ASEAN Member Countries, AEEMTRC has also published Valorization of Energy Technology (VALENTE), a technological database on advanced energy technologies in the European Union.

In recognition of AEEMTRC's strategic role in ASEAN economic development, the 12th. Meeting of AEMEC strongly supported a second phase for the project. The EU has agreed to provide partial funding for Phase II. Meanwhile AEMEC has proposed the utilization of the ASEAN Fund as a source of ASEAN financial contribution to the project.

Significant progress has been achieved in the implementation of projects in coal, power utilities and new and renewable sources of energy. The projects have been implemented through inter- governmental agency networking arrangements and supported by national budget allocations.

Pursuant to the decision of the 12th Meeting of AEMEC that ASEAN should be more self- reliant in the implementation of futureASEAN cooperation programmes and that existing inter- governmental agency collaboration mechanisms be fully utilized, the ASEAN Secretariat has prepared an ASEAN Directory of Focal Points for Energy Cooperation. This Directory will not only facilitate information exchanges among Member Countries but will also enable the ASEAN Secretariat to effectively manage and coordinate project implementation.


Minerals

The ASEAN Experts Working Group Meeting on Minerals held at Bandung, Indonesia, in August 1993 approved the Framework of ASEAN Cooperation in Minerals which would focus on the development and utilization of industrial minerals in the face of growing demand in the region. The Experts Working Group, a subsidiary body of the dissolved Committee on Industry, Minerals and Energy (COIME), has also developed a programme of action for ASEAN cooperation on the development and utilization of industrial minerals, and a two-year work plan. Specifically, the objectives of the programme of action are to promote:

1. exploration and development of mineral resources in ASEAN Member Countries;
   
2. integration of mineral resources development with industries within ASEAN countries;
   
3. transfer of technology and expertise within ASEAN;
   
4. private sector participation and investment in industrial mineral production, and
   
5. production of industrial minerals and their finished products.

The ASEAN programme of action in minerals is being implemented by the ASEAN Regional Development Center for Mineral Resources (ARDCMR) in close collaboration with the ASEAN Secretariat. The Center had successfully carried out several workshops and training programmes during the past year. With the participation of the public and private sectors, the Center organized the ASEAN Minerals Legislation Meeting at Jakarta in November 1993 to share experiences in the implementation of policies and regulations related to mineral development in ASEAN. The Meeting compiled useful reference materials for potential investors interested in the exploration and exploitation of mineral resources in ASEAN Member Countries.