East Asia Summit to sign pact to promote biofuels

CEBU — Leaders of Japan, Australia, New Zealand arrived here yesterday to join China, South Korea, India and the 10 members of the Association of Southeast Asian Nations (ASEAN) for the 2nd East Asia Summit which will be held today to approve measures to promote energy security and develop renewable sources of power like biofuels.

The 16 leaders will sign the very first substantive agreement to come out of the summit — the Cebu Declaration on East Asian Energy Security to address rising oil prices.

The plan aims to help countries reduce their dependence on conventional fuel through intensified energy efficiency programs, expansion of renewable energy systems and biofuel production and utilization.

Last year in Malaysia, the leaders who attended the first East Asia Summit only agreed to continue their meetings as a new venue for cooperation.

Aside from agreement on energy security, the leaders are expected to discuss the establishment of free trade by 2015 on biofuels through mechanisms such as reduction or elimination of tariff and non-tariff barriers and harmonized standards on biofuels and engines and motor vehicles using biofuels.

Draft documents showed the 16 nations would also see how they will adopt common standards for biofuels, increase capacity and reduce costs of renewable and alternative energy through innovative financing schemes.

Other key messages expected were: ensuring availability of stable energy supply through investments in regional energy infrastructure such as the ASEAN Power Grid and the Trans ASEAN Gas Pipeline; encouraging oil-rich countries to recycle petro-dollars and windfall profits for equity investments and long-term, low interest loan for oil-importing nations and developing countries; and exploring possible modes of fuel stockpiling through multi-country and/or regional arrangements.

The leaders will also tackle cooperation on education, finance, combating avian influenza and natural disaster mitigation.

The 16 leaders are expected to call for the resumption of the World Trade Organization’s talks in Doha as soon as possible and call on members to achieve an ambitious outcome that will deliver new commercial opportunities in agriculture, industrials and services.

Malaysian Prime Minister Abdullah Badawi said leaders would also discuss ways to improve cooperation versus terrorism and call on North Korea to abandon its nuclear weapons program and tests.