Meeting of APEC Energy Ministers
Vision into Reality"
San Diego, United States, May 12, 2000
Energy Ministers met for the fourth time in San Diego, California,
May 12, 2000, to discuss regional energy cooperation and the
role of energy in meeting APEC・s goals in the 21st Century.
to APEC Economic Leaders:
the theme of ：Turning Vision into Reality； Ministers committed
to the implementation of energy initiatives on a voluntary
basis, taking into consideration the different stages of development
of APEC member economies, endorsed a new implementation strategy,
and agreed to send the following message to APEC Economic
We, APEC Energy Ministers, meeting on the eve of the new millennium,
convey our conviction to make the best effort for the simultaneous
pursuit of economic growth, energy security and environmental
protection, recognizing that energy is central to maintaining
the region・s economic recovery, building the region・s economic
and social future, strengthening the marketplace, and promoting
clean and sustainable development.
Over the past few years we have endorsed energy policy and
regulatory initiatives that provide sound guidance for sustaining
the momentum for reform, creating the conditions under which
private capital can flow and energy can contribute to the
betterment of peoples・ lives, and increasing energy security
by creating conditions for providing adequate supplies at
We have endorsed technology cooperation initiatives that provide
benefits to all citizens, give a human face to development,
provide new options for the clean development and use of energy,
and contribute to energy security by diversifying the energy
mix, improving energy efficiency, deploying new and renewable
energy technology, reducing costs, facilitating energy business
and trade, and mitigating damages on energy infrastructure
after natural disasters, according to each economy・s particular
We believe that the time is right to focus on how to implement
our initiatives because (1) many of our economies are undergoing
energy sector reform and stand to benefit from the shared
experiences of other economies in coping with the transition
to a more open, competitive markets and (2) rising demand
and resulting dependence on oil supplies from outside the
region have made
energy security a major concern in many of our economies.
We are also responding to your directions to translate vision
into action and to pay more attention to implementation and
We commit to implement the Framework for the Integration of
Women in APEC, which is a significant step to enhance the
ability of women to contribute to and benefit from prosperity
of the region.
We noted the existence of disparities in terms of technical
skills, human resources development and business sector capabilities
within APEC Economies. We hereby believe that in all our endeavors
we must strive to ensure that the disparities among the developed
and developing economies should be narrowed in our effort
to turn vision into reality.
We hereby commit to the implementation of our energy initiatives
and to better integration of trade and investment liberalization
and facilitation goals with mutually supportive economic and
technical cooperation goals.
We also commit to a new implementation strategy, which features
a program of implementation facilitation to member economies
as requested on a voluntary basis and a system of self-reporting
on progress in implementation by member economies to you through
the Energy Working Group and the APEC system.
Our implementation commitment and strategy cover the following
initiatives which progress and fulfil our directions from
the Third APEC Energy Ministers' Meeting:
non-binding energy policy principles that recognize the
need for a common frame of reference and to work together
to give impetus to energy policy reform;
policy dialogue among member economies on issues such as
energy security, energy infrastructure, energy market reform,
energy efficiency and energy and the environment;
Pacific Energy Research Centre (APERC・s) Energy Demand
and Supply Outlook, which examines energy trends in the
APEC region over the 15 year period from 1995 to 2010, greatly
fostering member economies・ understanding of energy issues
and future energy supply and demand trends;
Manual of Best Practice Principles for Independent Power
Producers and a Natural Gas Initiative, developed in close
cooperation with the business community, that recommends
non-binding policy principles and best practices for improving
investor and member economy confidence and reducing the
risks and costs of financing energy infrastructure development;
Environmentally Sound Energy Infrastructure in APEC initiative
that recommends non-binding principles and best practice
principles for incorporating good environmental practices
into the development of power projects, and is now being
broadened to encompass other aspects of energy infrastructure
voluntary pledge and review energy efficiency initiative
for improving industrial competitiveness, reducing the environmental
impacts of energy production, delivery, and use, and producing
general policy framework for cooperation on energy standards,
including support for inclusion of energy efficiency with
the mutual recognition agreements being developed in the
APEC region, and establishment of the position of an APEC
Energy Efficiency Test Procedures Coordinator to facilitate
the implementation of a product-by product approach to the
greater alignment of energy performance test procedures;
technology cooperation programs in energy efficiency and
conservation, renewable energy technology, and clean fossil
cooperation with the Energy Working Group Business Network
and the Energy Regulators・ Forum;
initiation of information sharing on oil markets, which
will foster member economies・ understanding of oil supply
and demand trends and contribute to the enhancement of oil
security; timely and accurate data on oil supplies, demand,
and inventories can assist the goal of achieving a more
transparent, secure, and less volatile oil marketplace;
cooperation with the APERC, generously hosted and supported
by Japan, on analyses and studies related to energy policy
response cooperation initiative to mitigate damages on energy
infrastructure after natural disasters, including earthquakes;
initiative to advance cooperation in the development and
deployment of new and renewable energy technology, especially
in developing economies, and to hold an APEC private sector
renewable energy forum to promote private sector involvement
in the identification and implementation of collaborative
efforts under this initiative;
program to identify best practices for energy services consisting
of a series of workshops throughout the region that will
provide education on the nature and benefits of energy services
and identify appropriate government policies and practices.
identification of further initiatives to advance our common
goal of sustainable development.
Principles in Our Initiatives
Our initiatives embody a number of primary principles to guide
and assist the development of our individual and collective
common understanding on regional energy issues and future
energy supply and demand trends;
regulatory, institutional and procedural regimes with no
impediments to trade and investment in energy infrastructure,
products and services;
efficient and competitive markets for energy services and
products, both within and among economies;
Energy pricing principles and practices of member economies
which: (a) reflect the economic cost of supplying and using
energy across the full cycle of energy assets and infrastructure:
and (b) have regard to environmental impacts;
transparent and predictable policy, regulatory, environmental
and administrative regimes in the energy sectors of member
in the development of domestic and intra-regional energy
infrastructure and energy trading networks;
development through the harmonization of economic development,
energy security and the environmental impacts of energy
production and use;
supply diversification (including renewable energy) and
improved energy efficiency.
We commit to an implementation strategy which features:
program of implementation facilitation under which invited
teams will visit economies to share experiences on our initiatives
and agreed principles;
system of voluntary, annual self reports on implementation
progress by member economies that will be forwarded to Economic
Leaders through the Energy Working Group and the APEC system;
agreed and consistent reporting framework to be developed
by the Energy Working Group that each economy may use.
A detailed description of the implementation strategy is attached.
Ministers welcomed the opportunity to meet and discuss recent
developments in the energy sector and the opportunity afforded
by this meeting to give direction to the future of the work
of the Energy Working Group. Ministers recognized that clean
and sustainable energy policies are likely to remain of paramount
importance in the years to come as growing populations, economic
development, new technologies, and rapidly changing circumstances
present new challenges and opportunities. They directed the
Energy Working Group to chart the progress in the implementation
of the initiatives mentioned above and to report back to them
at the next Ministers・ meeting on the effectiveness of the
new implementation strategy.
Strategy for APEC・s Energy Program
integrate APEC・s broad and active energy program and make
it more effective.
demonstrate to Economic Leaders the leading role of energy
in maintaining economic recovery, continuing the momentum
for reform, and building a clean and sustainable future
in the region.
strengthen APEC・s ability to simultaneously pursue economic
growth, energy security and environmental protection (Economic
Leaders・ 3E・s initiative).
respond to Economic Leaders・ direction to pay more attention
to implementation and concrete results, to translate vision
into action, and to deliver on commitments.
respond to Economic Leaders・ direction to actively involve
the business community.
more closely integrate trade and investment liberalization
and facilitation (TILF) and economic and technical cooperation
(EcoTech) activities and initiatives, in recognition of
their close and mutually supportive linkages.
respond to the great energy security concern of many of
our economies by implementing strategies that strengthen
energy markets, improve energy efficiency, increase the
use of renewable energy, mobilize private capital, promote
investment in clean energy sources and production systems
and diversify our energy supply.
promote the implementation of the fourteen non-binding energy
policy principles and other agreed initiatives.
integrate the Framework for the Integration of Women in
will be assisted by two major programs: (1) a program of
implementation facilitation, as requested on a voluntary
basis by member economies; and (2) a system of self-reporting
on a voluntary basis by members economies that measures
progress in implementation. It is recognized that the strategy
may evolve along with the development of APEC・s energy
program and initiatives. At a minimum, the strategy will
be re-evaluated after 3 years.
of our economies are considering and undergoing energy sector
reform and stand to benefit from the shared experiences
of other economies. The comprehensive implementation strategy
therefore features shared experiences and assistance for
developing the capacities of our economies to cope with
the transition to more open, competitive markets.
APEC Energy Working Group will establish a program under
which, as invited by member economies, implementation facilitation
teams visit economies to share experiences on our initiatives.
Team members are drawn from the Energy Working Group (EWG),
the EWG・s Expert Groups, the EWG Business Network, the
Energy Regulators・ Forum, other designated experts and
the EWG Secretariat.
for an implementation facilitation team visit are made by
member economies to the Chair of the Energy Working Group.
Requests should detail as much as possible what the host
economy expects to gain from the visit.
response to the invitation, the Chair of the Energy Working
Group requests that an implementation facilitation team
be formed that is appropriate to the needs of the host economy.
recognition of the close linkages between trade and investment
issues and technology issues and the broad nature of the
APEC energy program, host economies are encouraged to consider
trade and investment requirements as well as technology
requirements in offering invitations. For instance, a host
economy may request that an implementation facilitation
team focus on the best practice and policy recommendations
of the Natural Gas Initiative, with their implications for
policy and regulatory reform and related technology issues.
Alternatively, the host economy may choose to focus on only
trade and investment issues or only on technology issues.
facilitation team visits are planned on an ad hoc basis
to ensure that visits meet the needs of volunteer host economies
and that the best practices, principles and experiences
are presented in a context relevant to the host economy.
The preparations for the visit include interactions between
the team and the host economy to ensure that the visit team
is well prepared and focused and that the needs of the host
economy are met.
implementation facilitation teams are encouraged to emphasize
format and substantive focus for the visit is determined
by the host economy; however, emphasis is placed on open
and free dialogue between business and government participants,
such as are available in a workshop or seminar.
membership of the team is deliberately kept to a minimum
(approximately 5-7); however, aware of the objective of
building capacity as well as advising governments, host
economies are encouraged to open local participation as
widely as possible to public and private participants.
report of the results of the visit is prepared by both the
visiting team and the host economy and made available to
the Energy Working Group Chair. These reports should include
a summary of topics discussed and conclusions drawn. The
host economies are encouraged to identify in their reports
expected follow-on activities resulting from the visit,
as well as the need for possible additional team visits
on more specific topics.
and Measuring Implementation
may measure progress in the implementation of energy initiatives
endorsed by Ministers by a system of voluntary, annual self-reports
that will be forwarded to Economic Leaders through Energy
Working Group and the APEC system.
self-report is prepared within the context of the fourteen
non-binding energy policy principles and the other agreed
self-report specifically includes progress on the implementation
of and issues relating to initiatives on: (1) independent
power producers, natural gas and environmentally sound energy
infrastructure; and (2) energy efficiency, including the
voluntary pledge and review and the harmonization of performance
testing standards. The report may also include progress
on and issues relating to the implementation of other principles
to which Ministers have agreed, such as on energy security,
and to programs on energy technology. The report will be
expanded as Ministers endorse other initiatives.
self-reports should stress short, medium and long term issues
and goals related to each initiative and should include,
initially, self-identified indicators and benchmarks of
Energy Working Group will give priority to developing an
agreed and consistent reporting framework that each economy
annual self-reports are made to the Energy Working Group
at its September/October meeting, as the basis for a general
discussion of implementation progress and issues by the
Energy Working Group. The Chair of the Energy Working Group
prepares a summary of implementation progress and issues
and forwards it along with the individual self-reports to
APEC Economic Leaders through the APEC system.