Indonesia calls for regional energy cooperation

Indonesia on Sunday floated a vision for greater energy cooperation among Southeast Asian countries and beyond, saying the region needed to join forces to cope with spiraling consumption, it was reported on Monday.

President Susilo Bambang Yudhoyono said joint efforts could capitalize on the different strengths of Association of Southeast Asian Nations (ASEAN) members, including major fossil fuel producers Indonesia, Malaysia and Brunei.

Indonesia's plan realizes "that some of us are oil producing countries and others have capital to be shared in building refineries, in trading, in many things, including in developing bioenergy," he said as quoted by AFP.

Susilo told an ASEAN business forum that as well as bilateral initiatives within the region, Asia-Pacific nations could also consider forging alliances with other regions like the Middle East.

"We are thinking of that kind of approach and direction," he added.

The Indonesian leader warned that fuel consumption would continue to spiral in the years to come, underlining the need for greater regional cooperation.

"In my own view the consumption of oil will be increasing dramatically in the decades to come in East Asia," he said.

"China and India, they will be the biggest consumers of oil."

In Indonesia, which produces, oil, gas and coal, "our domestic consumption is also rising dramatically, in transportation and industries also."

The issue of energy cooperation is looming on the agenda of the ASEAN summit, which will be held here Monday and Tuesday.

Susilo said ASEAN had already agreed to work towards boosting joint efforts over energy.

"We have agreed within ASEAN to have a more effective energy cooperation," he said, citing ongoing plans to produce a Southeast Asian electricity grid. (*)