TOP STORY: SKK Migas chief arrested for alleged bribery
Corruption Eradication Commission (KPK) investigators arrested Upstream Oil and Gas regulatory special task force (SKK Migas) head Rudi Rubiandini at his house on in Jakarta, on Tuesday night for allegedly accepting bribes totaling U$700,000 on two separate occasions from a foreign company.
ASEAN
ASEAN unites on South China Sea The Herald Sun 14 Aug 2013
Southeast Asian nations have vowed unity in pressing China to accept a binding code of conduct for handling disputes in the South China Sea, the Thai foreign ministry says. Competing claims to the sea have for decades stirred tension in the region and the waterway, believed to sit atop vast deposits of oil and natural gas, has long been seen as one of Asia's potential military flashpoints. Foreign ministers from the 10-member Association of Southeast Asian Nations (ASEAN) agreed "to speak in one voice" while seeking an "early conclusion of a code of conduct", a foreign ministry spokesman told AFP on Wednesday.
Northeast Asia LNG Prices Fall on Reduced Spot Demand, WGI Says Bloomberg Businessweek 14 Aug 2013
Liquefied natural gas for Northeast Asia declined this week on reduced summer demand for spot cargoes, according to Energy Intelligence Group. Supplies of the power-station fuel for delivery over the next four to eight weeks dropped to $15.60 per million British thermal units from $16.05 in the period ended Aug. 5, the New York-based research company said on the website of its World Gas Intelligence publication. The price in Southwest Europe gas was unchanged from last week at $11.90.
Indonesia
Despite Arrest, Business as Usual for SKKMigas The Jakarta Globe 14 Aug 2013
Oil and gas industry activities will continue as usual despite the arrest of SKKMigas head Rudi Rubiandini. “Oil and gas activities must not be disrupted,” SKKMigas secretary Gde Pradnyana told reporters in Jakarta. Pradnyana said SKKMigas, Indonesia’s upstream oil and gas regulator, is working with the Ministry of Energy and Mineral Resources to keep operations running smoothly. Johanes Widjonarko, the deputy chief of SKKMigas, is currently on his way home from Tokyo, Japan, to assume control.
Pertamina Suspends Sumatra Pipeline Operations for Six Months After Oil Theft The Jakarta Globe 12 Aug 2013
Indonesia’s state-owned oil and gas firm Pertamina will suspend operations at its new Tempino-Plaju pipeline in Sumatra just one week after its opening amid reports that rampant oil theft has already cost the company Rp 17.5 billion ($1.7 million) in losses. “We will suspend operations until all of the illegal refineries stop operating,” Pertamina president director Karen Agustiawan said in Jakarta on Monday. “It may take up to six months.” Oil theft targeting the old Tempino-Plaju pipeline has been a problem since 2008 and has cost Pertamina hundreds of billions of rupiah in losses. Last year alone, illegal tapping of the pipeline cost the company Rp 500 billion.
Pertamina Leans on Govt To Let It Hike LPG Prices The Jakarta Globe 12 Aug 2013
State energy firm Pertamina says it has curbed its investment in the liquefied petroleum gas market because of a government refusal to let it increase the price of the unsubsidized version of the product. Pertamina loses Rp 5 trillion ($485 million) a year from producing and selling unsubsidized LPG, according to Hanung Budya, the company’s marketing and commerce director. Hanung said the funds could have been used to finance the company’s expansion, including a overseas acquisitions to allow it to rival international oil companies such as Malaysia’s Petronas.
Share of coal set aside for local consumption set to rise by fifth next year Coal Guru 5 Aug 2013
The Energy and Mineral Resources Ministry announced that the share of local coal output earmarked for domestic consumption will surge by more than a fifth to 25.9% of total estimated production next year. The government projects that domestic coal consumption in 2014 will stand at 95.55 million tonnes with state electricity supplier Perusahaan Listrik Negara receiving the highest allocation of 57.4 million tonnes followed by independent power producers with 19.91 million tonnes and the cement industry with 9.8 million tonnes. This year’s proportion set aside under the domestic market obligation stands at 20.3% of national production.
Laos
Laos Confirms 'Preparatory' Work on Controversial Dam Project Radio Free Asia 31 Jul 2013
Laos confirmed this week that it is clearing land for workers’ housing in advance of the controversial Don Sahong Dam project, but said that work on the dam itself has not begun. The hydroelectric project planned for the “4,000 Islands” area of Southeast Asia’s key artery the Mekong River is a joint venture of Malaysia’s Mega First Corporation Bhd, with an 80 percent share in the project, and the government of Laos holding the remaining equity.
Malaysia
Petronas to build LNG project in Canada The Malaysia Reserve 14 Aug 2013
Petroliam Nasional Bhd's (Petronas) subsidiary, Pacific Northwest LNG Ltd, will build two liquified natural gas (LNG) trains delivering 12 million tonnes per year for the national oil company’s LNG project in British Columbia, Canada. Slated for completion by 2019 at the latest, the US$20 billion (RM62.95 billion) investment costs for the project includes about US$5 billion for a pipeline to be built by TransCanada Corp to supply gas to the two LNG trains, Petronas VP of corporate strategic planning Md Arif Mahmood told reporters on the sidelines of the 17th Asian Oil and Gas Conference 2013 in Kuala Lumpur yesterday.
Myanmar
Transparency concerns led to energy minister swap Myanmar Times 4 Aug 2013
Concerns over the transparency of new oil and gas concessions were behind the downfall of former Minister for Energy U Than Htay and his deputy, U Htin Aung, sources say. U Than Htay was transferred to the Ministry of Rail Transportation by presidential order on July 25 and replaced by the railways minister, U Zeyar Aung. U Htin Aung was appointed Deputy Minister for Labour, Employment and Social Security and a replacement has not yet been announced. Several sources contacted last week said the changes were made because of a number of controversial decisions over the awarding of exploration licenses and production concessions.
Can Burma quench China’s thirst for energy? Asian Correspondent 6 Aug 2013
On July 28, China and Burma inaugurated an oil and gas pipeline which will transport gas from the Bay of Bengal to Yunnan, in south western China. The pipeline was built by China National Petroleum Corporation (CNPC) in cooperation with six companies from China, Burma, South Korea and India. Planners say it will be able to transport 22 million tons of oil and 12 billion cubic meters of natural gas to China each year. China Daily greeted the decision with fanfare: “trade and economic cooperation between China and Myanmar [Burma] have risen to a new level. The upcoming completion of the China-Myanmar oil and gas pipelines will significantly reduce the cost of China’s energy imports and bring benefits to people in Myanmar.”
Philippines
Eastern Petroleum plans $70m biomass plant in Butuan City, Philippines Energy Business Review 13 Aug 2013
Eastern Petroleum (EPC), a Philippine-based energy company, is planning to develop a $70m biomass facility in Butuan City through its subsidiary Caraga Renewable Power. The company is intending to commence construction of 20MW renewable plant in September 2013 with plans to complete it by 2015. The plant would use wood chips as feedstock.
Energy woes get attention PhilSTAR 12 Aug 2013
Energy Secretary Carlos Jericho L. Petilla has warned that the Luzon grid would require 600-700 megawatts of additional capacity each year in the next three years. If we don’t get the private sector to put up those plants, we are in serious trouble. Only the private sector can invest in power generation plants under EPIRA. That’s what I have been saying here for the longest time. Sec Petilla’s predecessor, now Cabinet Secretary Rene Almendras had been saying that too. Judging from the past, we only get excited when massive power outage has happened.
High electricity rates hobble Philippine bid for energy efficiency Eco-Business 8 Aug 2013
The high cost of power hobbles the country’s bid for energy efficiency, a private firm’s executive said. This is an indication that the Philippines still “has more things to do” to achieve energy efficiency, Schneider Electric Philippines President Philippe Reveilhac said. “If we compare [the Philippines] with more major countries, particularly in Europe, [which are mostly] energy efficient, there’s always a way to improve. The program they have been going through to reach the level of where they are, it’s something that the Philippines can implement very quickly [to become energy efficient as well].”
No End in Sight to the Energy Crisis That Plagues the Philippines Time 6 Aug 2013
For as long as she can remember, electricity has been a luxury to 39-year-old Candace Evangelista. Living in the Philippine capital of Manila, the small-business owner remembers the days when her parents would struggle to prepare food and get household chores done with a sporadic power supply. More than 20 years later, she faces the same tribulations. “Now that I am a mom myself — that’s when you really feel it, how inconvenient it can really be.” Preparing meals for her family is a tough job without electricity. Cleaning up afterward is another ordeal. Her business, a tutorial center for schoolchildren, suffers as well. In the summertime, it becomes a sauna when the power fails, so enrollment plummets. The center has a diesel-powered generator for use during scheduled outages or brownouts, but it’s becoming expensive to run.
Singapore
Two underwater sites to be studied for Singapore's power needs Eco-Business 12 Aug 2013
ome homes in Singapore could be powered by the sea in future - if scientists manage to prove that tidal turbines in nearby waters can help meet the country’s growing electricity needs. From next month, researchers from Nanyang Technological University (NTU) will survey two sites, one near St John’s Island and another near Pulau Sebarok.
Sembcorp to build largest energy-from-waste plant in Singapore recycling portal 8 Aug 2013
Sembcorp Industries has announced to increase its green energy generation capacity with its largest energy-from-waste plant in Singapore to date. The company will invest over S$ 250 million (€ 148 million) to build, own and operate a facility capable of producing 140 tonnes per hour of high-pressure process steam using industrial and commercial waste collected by Sembcorp’s solid waste management operations, the leading operator in Singapore. The development of this plant is in line with the company’s drive to offer the best and most competitive solutions to its customers, while helping them reduce their carbon footprint.
Thailand
Thailand plans to raise biodiesel output target to 7.3 mil liters/d by 2021 Platts 13 Aug 2013
Thailand is planning to revise upwards its biodiesel production target to 7.3 million liters/d by 2021, compared with an earlier target of 5.9 million liters/d, under its Alternative Energy Development Plan (2012-2021), a source at the Energy Policy & Planning Office told Platts Tuesday.
Schneider Electric to grow solar energy business in Kingdom The Nation 12 Aug 2013
Schneider Electric, a global specialist in energy management, says it is all set to expand its solar-energy business in Thailand. Schneider aims to deploy more than 100 megawatts of its systems to be operational in large solar power plants in the Kingdom this year alone, and targets two new potential areas - buildings and homes. According to a report from the Ministry of Energy's Alternative Energy Development and Efficiency Department, Thailand's geography is suitable for solar photovoltaic (PV) energy production because the solar irradiation is high in both its direct and diffuse components.
Thaioil awards new contracts for LAB project in Thailand Energy Business Review 7 Aug 2013
Oil refining company Thaioil has awarded new contracts for its linear alkyl benzene (LAB) project at its refinery in Sri-racha district, Chonburi province. A consortium between Hyundai Engineering, Hyundai E&C and LABIX won an engineering procurement and construction (EPC) contract, while the other contract was awarded to Bechtel for project management consulting services.
Vietnam
Vietnam's Energy Balance: A Key Focus at 15th VOGP on 12-13 September 2013 in Ho Chi Minh City San Francisco Chronicle 13 Aug 2013
Standing out as a key market for exporters, importers and manufacturers, Vietnam’s growth in global energy market has opened new avenues. CMT’s 15th VOGP 2013, being held on 12-13 Sept., 2013 in Ho Chi Minh City, examines the latest developments of the country’s oil and gas exploration and production activities as well as energy outlook and development plans in the country.