Thailand seeking energy ties with Indonesia, Russia
Thursday, October 23 2003 - 02:08 AM WIB
The alliances are part of a broader agreement signed at the APEC summit meeting to foster partnerships among the 21 member economies of the Asia Pacific Economic Cooperation group.
On discussions with Indonesia, Thai Energy Minister Prommin Lertsuridej said in Bangkok both Thailand and Indonesia agreed on forging ahead in bilateral energy cooperation, especially in the ASEAN power grid and ASEAN pipeline system.
Indonesian officials said the country badly needed foreign investors in electricity production from coal that is abundant in Indonesia.
One possibility is for the Electricity Generating Authority of Thailand (EGAT) to explore investment opportunities in Indonesia in electricity production. The agency could ultimately sell electricity not only to Indonesia but also to the southern part of Malaysia where power supplies are inadequate.
Prommin said he had also held talks with Vladimir Karastin, Russia's deputy minister of economic development and trade, about bilateral energy cooperation.
Russia is a major center for energy activities. Some 40% of its export revenue comes from energy-related products.
It also has largest natural gas reserves and second-largest coal deposits in the world as well as the eighth largest oil reserves.
Prommin said Russia saw great potential in the energy market in Asia where natural gas and oil pipelines would be laid from Russia to China. In the future, Asian countries are not going to have to rely on the Middle East for oil but instead will turn to Russia.
Specifically, Russia has expressed interest to be involved in the trans-peninsular landbridge project in the southern part of Thailand while Thailand would like to be more active in petroleum exploration and development in Russia.
Recently, the EGAT announced plans to develop coalmines in Russia in line with its policy to work on upstream projects. (*)