Bernard D. Cole - Sea Lanes and Pipelines: Energy Security in Asia

Much has been written about the evolving energy situation in the world, a situation that affects practically all contentious international situations in the world. In Asia, energy resources and demands are vital issues to Russia, Japan, the Koreas, China, the nations of Southeast Asia, and those of the subcontinent. Central Asia promises to be a future energy breadbasket, while Africa is looming large in that respect.

With the increasing prominence of energy supply and demand come issues of energy security. The availability and affordability of energy resources have hitherto been concentrated in Southwestern Asia and the Middle East, long distances from the primary customers in East Asia. These distances are traversed by seagoing tankers steaming over sea lines of communications (SLOCs).

These sea lines offer much risk of interruption from many different sources. Negating these threats and securing the SLOCs is a traditional naval mission, one that has in recent history been carried out by the U.S. Navy. The United States is increasingly absorbed in the global war on terror, however, and its navy is shrinking in size, just as China grows in power and the issue of energy security grows in importance. Hence, most Asian nations are expanding and modernizing their naval forces, led by Japan, South Korea, China, and India.

This book addresses energy security from these two perspectives: the increasing importance of energy security to the nations of Asia, and the regional drive to develop the naval power to ensure that security.

The author relied heavily on government, industry, and press reports, as well as on interviews with Asian and U.S. civilian officials, naval officers, and energy industry representatives. Conclusions are based on multiple sources in most cases and wherever possible.

Civilian, military, and industry officials who discussed energy and naval issues with the author are not named, to protect their anonymity. I owe a great debt to the colleagues, scholars, and experts who read all or parts of this manuscript. At the risk of unintentionally omitting some of them, I must in particular note the assistance of Dr. William Hill, Dr. Philip Saunders, and Ms. Susan Sherwood of the National Defense University. Dr. Sarah Mikel and her wonderful staff at the University's superb library were untiring in their assistance. Dr. Paul H.B. Godwin, despite his emeritus status, continues to serve as my academic sea daddy, while retired Rear Admiral Eric McVadon surveyed the manuscript with his unsurpassed editorial eye. Valuable advice was also offered by two former students, Colonel William Barnett, USA, and Mr. Stephen Schwartz, as well as by Mr.. Dr. Cynthia Watson provided invaluable advice and friendship.

I alone of course bear the responsibility for any errors of omission or commission. Furthermore, this manuscript reflects my personal views and not those of the National Defense University or any other agency of the U.S. Government.

AAW

Anti-Aircraft Warfare

ADB

Asia Development Bank

AFP

Agence France Presse

AMW

Amphibious Warfare

APEC

Asia-Pacific Economic Conversation

ARF

ASEAN Regional Forum

ASEAN

Association of Southeast Asian Nations

ASROC

Anti-Submarine (Torpedo) Rocket

ASUW

Anti-Surface Warfare

ASW

Anti-Submarine Warfare

Bbbl

Billion Barrels

Bbl

Barrel

Bcf

Billion Cubic Feet

BSP

Brunei Shell Petroleum

BTM

Billion Ton Miles

BTU

British Thermal Unit

CLCS

UN Commission on the Limits of the Continental Shelf

CNOOC

China National Offshore Oil Corporation

CS

Continental Shelf

CSI

Container Security Initiative

CSIST

Chung Shan Institute of Science and Technology

CTAP

Counter-Terrorism Action Plan

CTTF

Counter-Terrorism Task Force

CZ

Contiguous Zone

DOA

UN Division on Ocean Affairs and the Law of the Sea

DWT

Dead Weight Tons

EEZ

Exclusive Economic Zone

EW

Electronic Warfare

EWG

Energy Working Group

FAO

UN Food and Agricultural Organization

FPCC

Formosa Petrochemical Company

FTA

Free Trade Agreement

GCC

Gulf Cooperation Council

GDP

Gross Domestic Product

Grafimar

Geographic Information System

GTCL

Gas Transmission Company Ltd.

GWOT

Global War on Terrorism

HP

Horsepower

ICBM

Inter-Continental Ballistic Missile

ICC

International Chamber of Commerce

ICPO

International Criminal and Police Organization

IGTS

Integrated Gas Transportation System

IHO

International Hydrographic Organization

ILO

International Labor Organization

IMB

International Maritime Bureau

IMO

International Maritime Organization

INTERPOL

International Police Organization

ISA

International Seabed Authority

ISPS

International Ship and Port Security

ITLS

International Tribunal for the Law of the Sea

ITS

Integrated Transmission System

JDA

Malaysia-Thailand Joint Development Area

JI

Jemaah Islamiya

JMSDF

Japanese Maritime Self-Defense Force

KCG

Republic of Korea Coast Guard

Km

Kilometer

KNOC

Korea National Oil Corporation

KOGAS

Korea Gas Company

Kt

Knots

LCM

Landing Craft Mechanized

LCU

Landing Craft Utility

LNG

Liquefied Natural Gas

LPD

Landing Platform Dock

LSD

Landing Ship Dock

LST

Landing Ship Tank

MANPADS

Man-Portable Air Defense System

MBTU

Million Btus

Mcf

Million Cubic Feet

MILF

Moro Islamic Liberation Front

MIW

Mine Warfare

Mmbbl

Million Barrels

MSEG

Maritime Security Experts Group

NATO

North Atlantic Treaty Organization

NIDS

National Institute for Defense Studies

NKN

North Korean Navy

Nm

Nautical Mile

OPEC

Organization of Petroleum Exporting Countries

OPIC

Overseas Petroleum Investment Corporation

PETROBANGLA

Bangladesh Oil, Gas, and Mineral Corporation

PGU

Peninsular Gas Utilization

PK

PetroKazakhstan

PLA

People's Liberation Army

PLAAF

People's Liberation Army-Air Force

PLAN

People's Liberation Army-Navy

PRC

People's Republic of China

PSI

Proliferation Security Initiative

ReCAAP

Regional Cooperation Agreement on Combating Piracy and Armed Robbery Against Ships in Asia

RMAS

Regional Movement Alert System

RMSI

Regional Maritime Security Initiative

ROC

Republic of China

SAARC

South Asian Association for Regional Cooperation

SAR

Special Administrative Region or Sea and Air Search and Rescue

SEANFZ

Southeast Asia Nuclear Weapons Free Zone

SEATO

Southeast Asia Treaty Organization

SELB

Strategic Energy Land Bridge

SLOC

Sea Line of Communication

SOLAS

International Convention for the Safety of Life At Sea

SOM

Senior Officials Meeting

SSM

Anti-Surface Ship Missile

SSR

Soviet Socialist Republic

STAR

Secure Trade in the APEC Region

Su

Sukoi

TAPI

Turkmenistan-Afghanistan-Pakistan-India Pipeline

Tcf

Trillion Cubic Feet

TCG

Taiwan Coast Guard

TPTWG

Transportation Working Group

UAE

United Arab Emirates

UN

United Nations

UNCLOS

United Nations Convention on the Law of the Sea

VSP

Vietsovpetro

VSTOL

Vertical/Short Takeoff and Landing

WCO

World Customs Organization

WMD

Weapons of Mass Destruction

This book is about energy and the freedom of the seas, which is very much an international responsibility. That freedom is required to ensure law and order at sea with free and safe movement of shipping, and nations able to pursue their maritime interests and mange their resources in a manner which is agreed and accepted by other nations.

Specifically, it investigates the military aspects of energy security in maritime Asia. This vast area includes the world's second and third largest consumers of energy, China and Japan, and depends on very long sea lines of communication for commerce, especially energy imports. The Asian landmass also includes many of the world's most prolific energy producers, including Russia and the countries of Southwest and Central Asia. Comparing transport costs for China supports the fact that no form of transporting oil is more important than the sea: the cost per barrel per 1,000 kilometers (.62 statute miles) is $.163 by tanker, $.793 by pipeline, and $7.19 by train.