Issue 5 | JANUARY 2013
Call for diversification in a new energy landscape


Maria van der Hoeven, Executive Director, International Energy Agency (IEA)

"Despite the volume of gas consumption and trade, one fundamental thing is missing in this region: Trading hubs, where natural gas would be priced not in relation to oil but depending on regional supply and demand fundamentals. Japan imported LNG at $18/Mbtu this summer, compared to $3/Mbtu in the US, and $10 to $12 in Europe. This considerable price gap is raising questions in Europe and Asia about appropriate gas pricing. Europe is responding by developing gas-to-gas pricing on trading hubs, with some progress in the UK and on the continent. But Asia is lagging."

Martin Houston, Chief Operating Officer and
Executive Director of BG Group

"Despite the great optimism of LNG exports not only from potentially the US, but also Africa and Canada, we believe the world will remain supply-challenged. By 2025, we need to develop another 175 million tonnes of production beyond that which is currently in construction today."

Peter Schwartz, Senior Vice President, Global Government Relations and Strategic Planning,

"Only a few years ago, we believed natural gas and oil were in decline, coal was the big risk, lots of nuclear power and lots of renewables. And now this has been stood on its head. It’s now going to be lots of oil and gas, not much nuclear, slow down in renewables, and a real push back against coal. So it’s a completely different landscape that we saw five years ago than we see today. What troubles me, of course, is… this implies a much bigger change for climate change."


Masakazu Toyoda, Chairman and
Chief Executive Officer of The Institute of
Energy Economics of Japan (IEEJ)

"Energy can be categorised into four kinds in my view. Energy conservation, fossil fuels, renewable energy, and nuclear… No energy is perfect in terms of the "3Es + S", i.e. energy security, environment, economic efficiency, and S (which) means safety."

Jose Maria Figueres, President of the Carbon War Room and Former President of Costa Rica

"A low-carbon economy requires at least three things—governance, business, and capital to finance the transition. In terms of governance, leadership is required… "

Dato Peter Chin, Minister of Energy,
Green Technology and Water, Malaysia

"There is no one-size-fits-all solution… but we can adopt green technologies. This can provide us with a lot of solutions which we must go into. Although this is not a cure-all, if we practise it in a sustainable manner… if we really put our efforts into renewable energy, there is hope that we can replace fossil fuels one day."


Yoshiyuki Miyabe, Managing Director,
Member of the Board, Panasonic Corporation

"The residential and commercial sector takes up more than 50 percent of energy demand as compared to the industrial sector, of which cooling and heating systems consume the most energy. As such, while there are many initiatives to help the industry sector to achieve higher energy efficiency, I believe it is also of equal importance to focus on promoting energy efficiency and management to the residential and commercial sector."


Jo Yamagata, Deputy Director General,
Private Sector Operations Department,
Asian Development Bank (ADB)

"So far, almost all of the government strategy was prepared based on the assumption that (the) government will make the major investment and private sector will simply supplement. That assumption needs to be revised, to let the private sector lead the energy investment in the future, within the framework of the government."

Soulivong Daravong, Minister of Energy and Mines,

"Nowadays, environmental and social considerations have become international issues, written by NGOs and international stakeholders. The requirements of the banking committee are more and more stringent, making the project more and more expensive... Different tariff settings in different countries… are making the energy market difficult."


Ruth Cairnie, Executive Vice-President Strategy and Planning, Royal Dutch Shell

"We have already entered an era of volatile transitions… We expect 9 billion people by the middle of this century. We expect three of out of four people living in cities, which is an enormous growth. It’s going to be taken up very much in the new or fast-growing cities in the East. And that’s equivalent to building a new Singapore every month for the next 40 years… All these are leading to increased resource use… So by 2030, we need to provide 30 percent more water, 40 percent more energy and 50 percent more food, and mitigate CO2. And each of those is an enormous challenge in its own right. If you then add in all the inter-linkages, these are enormous challenges for governments, for policymakers to face."

Dr Toshijiko Fujii, Deputy Director General, Global Energy Policy, Agency for Natural Resources and Energy, Ministry of Economy, Trade and Industry (METI)

"There is no magic wand for anybody, only an accumulation of various initiatives that I believe will help and enable us to tackle the issues before us. In the process, I would like to stress the importance of good communication with stakeholders. What happened to Fukushima and what happened afterwards reminded us how important it is to have good communication with various stakeholders… it is crucial to have social support."

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