New Delhi, India
The 5th IEF-IGU Ministerial Gas Forum will take place in New Delhi, India on 6 December 2016 back-to-back with PETROTECH 2016.
The main theme of the Forum will be "Gas for Growth; improving economic prosperity and living standards". The Government of India will host this prestigious biennial Ministerial Forum, which is also supported by GAIL (India) Limited and the Natural Gas Society of India.
The International Energy Forum (IEF) and the International Gas Union (IGU) have set up this important dialogue platform amongst Ministers, CEOs and experts, aiming to better understand the current state of play in the global gas industry and how the gas sector can contribute to sustainable growth and secure energy future. Changes in global gas supply and demand will continue to impact expectations regarding the urban environment and transport sector and influence the distribution of modern energy services and manufacturing processes around the world. As these trends will have important implications for energy policy and international cooperation, and as a member of both organisations, India is honoured to support this Ministerial dialogue by convening the 5th IEF-IGU Ministerial Gas Forum in New Delhi.
Participation in this event is by invitation only. For further details and to express interest in this event please contact Ms Lina Murad of the IEF: email@example.com
Inaugural Address by HE Venkaiah Naidu, Union Minister of Urban Development, Housing and Urban Poverty Alleviation and Information & Broadcasting
Keynote Speech on "Perspectives on Gas Markets" by HE Mohammed Bin Saleh Al-Sada, Minister of Energy and Industry, Qatar
Setting the scene: Dr Daniel Yergin, Vice Chairman, IHS Markit, Author of The Quest and The Prize (session moderator)
The use of gas for power generation, industrial use, heating and transport has increased as a consequence of technological advances, lower prices, and a growing interest in reducing pollution and greenhouse gas emissions. Natural gas has become one of the preferred options for enabling access to modern energy services to support public health, economic development and to provide back-up in support of power generation with intermittent renewable energy sources. How the interaction between gas, renewable energies, nuclear and other fossil fuels is managed depends on country specific conditions and policy choices. Yet the contribution that gas makes in advancing economic diversification, sustainable growth, public health and lower emissions goals is widely acknowledged. How does gas combine best with other energy technologies in the policy design of individual producer and consumer countries and across regions?
Open roundtable discussion followed by an interactive survey
Opening Remarks: HE SM Hossein Adeli, Secretary General, Gas Exporting Countries Forum (GECF)
Setting the Scene: Dr Fereidun Fesharaki, Founder and Chairman of FGE (session moderator)
New gas supply, a slow-down in economic growth and the effect of lower oil prices and competition from other energy sources have further decreased price differentials between spot and oil indexed price mechanisms. As a result, natural gas prices have converged among European, Asian and North American markets. These developments impact gas market integration, including dynamics between pipeline imports and LNG trade at regional and international levels. On the supply side, the export potential from some key gas producers is increasingly being constrained by rising domestic demand. Present price signals and subsidy reforms may further amplify this trend. On the demand side, European and Asian growth markets have experienced a period with high gas import prices and increasingly complex supply dynamics. This stimulated investment in alternative sources including coal, renewables and nuclear. How will supply and demand respond to these changing market conditions and affect regional gas trade? How are pricing barriers and infrastructure needs addressed to connect LNG facilities with power plants, and other inland off-takers, to accelerate gas market growth in India and Asian markets?
Open roundtable discussion followed by an interactive survey
Setting the Scene: Nobuo Tanaka, former IEA Executive Director (session moderator)
New realities give rise to new questions. These concern the impact of current policy and price signals on gas sector investment. Major pipeline and LNG capacity is entering the market after a period of sustained upstream investment aimed at diversifying existing markets and developing new ones. The projected abundance, on one hand, sharpens focus on investment in downstream infrastructure and policies to facilitate gas market penetration where the expansion of gas consumption enables economic diversification, and makes rapid demographic growth and urbanization more sustainable. On the other hand, perceptions and realities of greater gas supply availability differ. Obstacles and opportunities depend on producer-consumer market characteristics and contract terms or policy relations across regions.
Open roundtable discussion followed by an interactive survey
Details of the previous IEF-IGU Ministerial Gas Forums can be found below.
The 14th Regional JODI Training Workshop organised by the IEF with the support of other JODI Partners (APEC, GECF, IEA, OPEC, and UNSD) was held in Moscow from 9-11 November 2016. The workshop, hosted by the Institute for Energy and Finance of the Russian Federation, was for the benefit of statistical officers in charge of hydrocarbon data collection at national administrations from East European, Central Asian and MENA countries.
More than 35 delegates took part in the workshop which was designed to raise awareness and build better understanding of the Joint Organisations Data Initiative (JODI), and to improve submissions from these key regions. Host country participation included delegates from the Ministry of Energy, Russian Energy Agency, and Federal State Statistics Service, ROSTAT.
The workshop took the form of hands-on training sessions which are a key element in the drive to encourage and facilitate experience-sharing among countries, and open exchange with the partner organisations that provides the feedback that is so important to the ongoing development of the Initiative.
In addition to the regular presentations made by experts from the JODI partner organisations, Dr H Ghanimi Fard, Head of Petroleum Studies Department of OPEC delivered a special presentation on OPEC’s use of JODI data in its market forecasting work. Delegates also had the opportunity to participate in a valuable session of the concurrent Exploration, Production, Processing 2016 conference "Scenarios, forecasts and statistics for global and regional energy development".
JODI Partners will follow-up on action items and commitments made by countries that participated in the workshop to help ensure ongoing improvement of the quality and timeliness of data JODI submissions from this key region.
For further details about this workshop and other JODI events please go to www.jodidata.org.
The IEF Secretary General delivered a key note address in the Fourth International Forum on Exploration, Production and Processing (EPP 2016) in Moscow, Russia. Dr Sun’s address followed an opening speech delivered by HE Kiril Molodtsov, Deputy Minister of Energy (Russia) in the first session of the conference "Global Energy market and Regional Integration Processes" hosted by the Ministry of Energy of the Russian Federation and the Institute of Energy and Finance.
IEF Senior Energy Analyst, Christof van Agt also participated in the conference, delivering a presentation and participating as a panellist in the session "Scenario, forecasts and statistics for global and regional development" on the first day and on energy governance on the second day in the opening session of the second day "Russia and Iran: Towards Sustainable Development of World Energy".
Secretary General, Sun also used the opportunity to cement existing relationships and build new ones by participating in various bilateral meetings including with the Minister of Energy of the Russian Federation HE Alexander Novak, the Chairman of the Board of Directors of Gazprom and Special Representative of the Russian Federation to the Gas Exporting Countries Forum, Mr Victor Zubkov, and senior representatives of the Analytical Centre of the Government of Russia, the Russian Energy Agency, the Institute of Energy and Finance and Academia.
Riyadh, Saudi Arabia
The World Energy Outlook – An IEF Lecture by Mr Adam Sieminski, Administrator of the Energy Information Administration (EIA) of the United States.
On Monday 31 October 2016 Mr Adam Sieminski, Administrator of the Energy Information Administration (EIA) of the United States visited IEF Headquarters in Riyadh for a bilateral meeting with IEF Secretary General, Dr Sun Xiansheng. Mr Siemiski also delivered an IEF Lecture on the EIA’s World Energy Outlook to a full-house of the diplomatic corps and business community of Riyadh.
The EIA is responsible for collecting, analysing, and disseminating independent and impartial energy information to promote sound policy-making, efficient markets, and public understanding of energy and its interaction with the economy and the environment. EIA provides a wide range of information and data products covering energy production, stocks, demand, imports, exports, and prices. EIA also prepares analyses and special reports on topics of current interest.
Fuad AlZayer, Coordinator of Energy Data Transparency at the International Energy Forum participated in the International Public Relations Association-Gulf Chapter (IPRA-GCC) 2016 Conference "Image challenges in the energy industry" held in Dubai from October 25-27.
The Conference attended by more than 500 corporate communications experts from the GCC region, with background in organisations including CNBC, BBC, LinkedIn, Wall Street Journal, Saudi Aramco, SABIC and other major entities. This highly interactive conference provided an excellent opportunity to learn about and share experiences on a broad spectrum of subjects including effective corporate communications, Gulf region in international media, changing face of communications, talent and innovation, crisis management, impact of new media on PR, and challenges in the energy industry.
The IEF took part in a panel entitled Image Challenges in The Energy Industry. Mr AlZayer and other panellists talked about the energy industry and how to overcome some of the challenges to its image. Mr AlZayer explained the potential for dialogue under the neutral banner of the IEF and Energy Data Transparency under JODI not only to help improve understanding among stakeholders, but as a means of improving trust and the image of the industry.
Amsterdam, The Netherlands
The IEF Secretary General, Dr Sun Xiansheng delivered an opening presentation at the IGU-KVGN Diplomatic Gas Forum on "Energy Transition: The role of natural gas in the energy future", alongside key officials from the Dutch energy scene, international gas industry and the IEA. The IGU-KVGN Diplomatic Gas Forum took place on 20 October 2016 in Amsterdam. Next to IGU-KVGN members, the meeting also included ambassadors, and other high-level representatives from diplomatic missions in The Hague. The IEF also took part in workshops on the "Dutch Natural Gas Industry", and on the "Gas Industry’s Commitment to Managing the Methane Challenge" that were held prior to the Forum.
Dr Sun Xiansheng provided an overview of global energy market trends, and debriefed participants on the outcomes of the 15th International Energy Ministerial Forum held on 26-28 September in Algiers, Algeria. In respect of natural gas market trends, Dr Sun noted that producers and consumers have different views on the role of natural gas in future energy matrices. Producers, on one hand, see gas demand grow by 2.4% yearly, taking a share of 28% of global energy demand by 2040, larger than all other energies. Consumers, on the other hand, see gas demand grow slower reaching 24%-23% of global energy demand, depending on scenarios, notwithstanding the historic opportunities for natural gas to deliver on globally agreed transition goals. New and more diverse resources are coming on stream, including through a wider deployment of unconventional drilling, and LNG technologies. In combination with a slow-down in economic growth, this has led to a significant fall in natural gas prices and a reduction in investment that may erode gas market security over the longer term.
Dr Sun highlighted the importance of the collaborative work on gas market transparency in the Joint Organisations Data Initiative (JODI) that IEF coordinates together with JODI-Partner Organisations (APEC, Eurostat, GECF, IEA, OLADE, OPEC, and UNSD), and the need for enhanced dialogue between government and industry stakeholders to ensure that natural gas lives up to its potential to improve energy market security, and helps to fulfil an orderly energy transition that enables more sustainable economic growth. New visions on a healthy energy future focus on energy efficiency and clean fossil fuel, as well as renewable energy technologies that may lead to a significant increase in gas demand in growth economies over the next decades. Dr Sun highlighted that the 5th IEF-IGU Ministerial Gas Forum will be hosted by the Minister of Petroleum and Natural Gas of India, H.E. D Dharmendra Pradhan on 6 December 2016 in New Delhi, India, under the theme "Gas for Growth: Improving Economic Prosperity and Living Standards" to foster further dialogue on the opportunities and risk in future gas market development.
Mr Gertjan Lankhorst, CEO of the Dutch natural gas wholesaler GasTerra, noted that natural gas is viewed differently in Europe than in other regions that look at it more positively. A new narrative on the role of gas headlined by "Gas by Design" may help to enhance public acceptance of natural gas and allow for system integration among varied energies at a decentralised level. He expressed the preference that the EU works towards a single target expressed in a meaningful CO2 price, rather than energy efficiency, renewable or other goals. This to ensure natural gas plays its role where more sustainable sources are not yet available, and delivers the largest contribution to society.
Dr Bernard Bot, Meines Holla & Partners and Former Minister of Foreign Affairs of the Netherlands, looked back to the future observing that in respect of transition in general, little of what was predicted has materialised in practice, while many modern day marvels we live with today were not foreseen in the past. Focusing on energy transition, Dr Bot pointed at the need for a better assessment of the economic rationale of new approaches and technologies, such as the import of biomass from across the world, against others that are pursued less vigorously, such as Carbon Capture Use and Storage. Dr Bot believed that, for instance, CO2 can play a bigger role in the fertiliser industry. He also cautioned that while a low carbon energy future is a beautiful vista that we should strive towards, we should remain realistic and keep all options open.
Mr Tim Gould, Head of Division, World Energy Outlook at the IEA, noted that new LNG projects mainly from the United States and Australia are set to soon be delivered into an already well supplied market. While Mr Gould noted that the EU gas market outlook implied less and more sporadic use, more globally integrated markets are set to deliver long-term gains by providing a broader platform for gas security in Europe. However, as the system evolves over time certain securities such as for instance those provided by fuel switching capacity, and national supply resilience are likely to fall away.
Professor Dr Coby van der Linde, Director of the Clingendael International Energy Programme remarked that policymakers and the wider public may well perceive advocacy for natural gas as the cleanest of the fossil fuels as a negative message. She recommended that new more positive approaches should be found for natural gas to remain part of the energy future. This could be achieved through sharpening focus on the role of electrons rather than molecules, and government support for efforts to present natural gas in a more positive light. Dialogue on energy transition and the entry of new energy sources, should go hand in hand with an assessment on the exit of existing energy technologies as well.
Riyadh, Saudi Arabia
IEF Secretary General, Dr Sun Xiansheng was honoured to receive Mr Suleiman Jasir Al-Herbish Director-General of the OPEC Fund for International Development (OFID) at IEF Headquarters in Riyadh on 16 October 2016. During the course of a bilateral meeting with the IEF SG, Mr Al-Herbish discussed prospective collaboration with the IEF in the context of previous and ongoing joint efforts regarding energy access and the alleviation of energy poverty. Most recently at the IEF15 Ministerial in Algiers, OFID played a key role in the development and organisation of a Roundtable on "Sustainable energy access: a critical factor for human development", for which the Fund also contributed an insightful Ministerial background document.
Later the same day, Director-General Al-Herbish delivered an IEF lecture on OFID’s Strategy Towards Universal Energy Access to a distinguished audience of diplomats, and representatives from the energy, finance and industrial sectors, and IEF Secretary General, Dr Sun delivered a brief outline of the proceedings and outcome of the IEF15 Ministerial recently held in Algiers.
Mr Suleiman Jasir Al-Herbish, a Saudi national, has been the Director-General and Chief Executive Officer of the OPEC Fund for International Development (OFID) since November 2003. He has been especially vocal on the issue of energy poverty alleviation, a cause he has championed tirelessly at the highest level and one that forms the central pillar of OFID’s strategic plan.
The OPEC Fund for International Development (OFID) is the development finance institution established by the Member States of OPEC in 1976 as a collective channel of aid to the developing countries. OFID works in cooperation with developing country partners and the international donor community to stimulate economic growth and alleviate poverty in all disadvantaged regions of the world. It does this by providing financing to build essential infrastructure, strengthen social services delivery and promote productivity, competitiveness and trade. OFID’s work is people-centered, focusing on projects that meet basic needs - such as food, energy, clean water and sanitation, healthcare and education - with the aim of encouraging self-reliance and inspiring hope for the future.
A statement by Director-General Al-Herbish based on the topic of his lecture is available for download below.
IEF Secretary General, Dr Sun Xiansheng joined ministers, captains of industry and senior officials in the 23rd World Energy Congress (WEC) that took place on 9-13 October 2016 in Istanbul. As well as taking part in the high-level plenary discussions, Dr Sun moderated one of the key panel discussions on China’s Energy Outlook to 2060 with Dr Kang Yanbing, Director, Energy Sustainability Center, Energy Research Institute (ERI), Beijing, Dr Jianyu Zhang, Managing Director, China Program, Environmental Defense Fund (EDF), Beijing, and Mr Leslie Maasdorp, Vice President and Chief Financial Officer, New Development Bank (NDB), Shanghai as panellists.
Key questions addressed by the panel focused on what China's energy landscape will look like in 2060, whether there is a change or a refocus of China's energy ambitions, and the key drivers and uncertainties that shall determine China's future energy mix. The panel also focused on the role that China can be expected to play in global energy governance in the coming decades to help achieve trade and resource objectives.
Dr Sun highlighted the 3+3 challenges that the world must meet. On a global level these relate to 1) economic growth and development, 2) climate change, and 3) transition towards greater sustainability. Viewed through the prism of the energy sector these require increased dialogue among governments and private sector stakeholders, to 1) moderate and respond to energy market fluctuations, 2) reduce energy sector emissions and local pollutions, and, 3) achieve universal access to sustainable energies.
Dr Kang Yanbing provided important insights into energy transition in China. He noted that despite the recent slow-down, China still faces rapid economic growth, as the fact that every two years rural-urban migration amounts to the same number of persons as about the total population of Australia, close to 24 million, illustrates. While coal still is the mainstay of the Chinese energy mix, China is also the world leader in renewable energy deployment accounting for 40% of global investment and a key player in global energy transition as the world's second largest economy. Dr Yanbing further noted that China's energy transition will be driven by diversification, decarbonisation, electrification and decentralisation. Low carbon energy consumption in China, will in large part depend on adequate policies and price mechanisms for which international dialogue and cooperation is key.
Mr Leslie Maasdorp focused on the reform of energy infrastructure investment by multilateral organisations, noting that reform of Bretton Woods institutions has been slow compared to the rapid pace of change provided by the rise of major growth economies and other global shifts. BRICs represent 25% of economic growth but have a voting right of only 12% in these institutions. China leads a major effort to adjust this imbalance and improve the productivity of multilateral lending institutions through the New Development Bank, to which membership is open to all UN members, and that already includes many OECD countries.
Dr Jianyu Zhang placed emphasis on China’s commitment to peak emissions by 2030 noting that the quality and level of this peak will be a key determinant for transition. While the most important objective is fostering balanced economic development to lift people out of poverty, reducing air pollution and increasing sustainability is key, as is illustrated by the successful efforts in respect of the desulphurisation of the power sector in China.
The heads and representatives of Joint Organisations Data Initiative (JODI) partners: Asia Pacific Economic Cooperation (APEC), the Statistical Office of the European Union (Eurostat), the Gas Exporting Countries Forum (GECF), the International Energy Agency (IEA), the International Energy Forum, (IEF), and the Organization of the Petroleum Exporting Countries (OPEC), met ahead of the IEF15 Ministerial in Algiers on 26 September to take stock of progress made since their last high-level meeting in Moscow (IEF14 2014). The JODI Partners were joined on this occasion by the Secretary General of the African Energy Commission (AFREC) who attended the Algiers meeting as an observer.
The JODI Partners HOD meeting takes place in association with the biennial IEF Ministerial meetings. It has the primary objective of helping determine and set forth an agreed path forward for JODI based on the outcome of consultations with the JODI data-user community throughout the year, and building on the aspirations of the Partners to deliver ongoing improvements to the Initiative.
The partners agreed on the importance of maintaining their focus on continuous improvement of the quality, reliability and timeliness of JODI data. They also discussed progress made towards further improving market data transparency by increasing the visibility and reach of JODI, and deliberated the need to utilise data redistribution agencies industry platforms as a key part of this effort.
For further details on the meeting please visit the JODI website www.jodidata.org.
The International Energy Forum (IEF) celebrated the 25th anniversary of the producer-consumer dialogue at the 15th Session of the IEF Ministerial Dialogue (IEF15) hosted by the Democratic People’s Republic of Algeria in Algiers on 26-28 September 2016.
The International Energy Forum (IEF) provides the world’s largest neutral platform for open and inclusive energy dialogue among and between the 72 IEF member governments and a multitude of IOC-NOC industry stakeholders. The IEF also facilitates dialogue among international organisations to help enhance policy cooperation and strengthen the governance of energy markets globally. At the forefront of this effort is the trilateral programme of work established between the IEF and the International Energy Agency (IEA) and the Organization of Petroleum Exporting Countries (OPEC).
Following a period of significant decline in energy prices and subsequent investment short-falls which have increased market turbulence and uncertainties in short and medium term energy outlooks, the over-arching theme chosen for the IEF15 Ministerial was “Global Energy Transition: an enhanced role for the dialogue”. The Energy Transition theme was chosen to act as a catalyst to help enable an orderly energy transition that works for all IEF stakeholders in recognition of the successful conclusion of the “UN Sustainable Development Agenda to 2030” and the “Paris Agreement” that look set to influence longer-term energy market developments.
Dialogue among IEF15 Delegations gathered in Algiers took place in 4 Plenary Sessions dedicated to:
And 2 Parallel Roundtables focused on sustainable energy access and the importance of technology in global energy security.
106 Official Delegations took part in the IEF15 Ministerial. Delegations from 51 IEF countries, of which 35 were represented by Ministers or Deputy Ministers, 15 International Organisations, of which 10 were represented at Head of Organisation level, 34 Major Energy Companies, of which 15 were represented by their CEO, and a multitude of senior officials filled the plenary room to its 1000 seat capacity at the opening of the Forum.
In addition to the structured informal dialogue sessions, delegations engaged in several hundred bilateral meetings and informal network opportunities provided under the umbrella of the IEF’s unique and neutral platform, graciously hosted on this occasion by IEF15 Host Country, Algeria.
H.E. Prof Sospeter Muhongo, Minister of Energy and Minerals, Tanzania (tbc)