Showing a major shift in the global oil and gas scenario, three consumer nations India, China and South Korea are set to co-host the International Energy Forum (IEF) in Delhi till April 12 and the event will be inaugurated by Prime Minister Narendra Modi on Wednesday.
The consumer nations are likely to raise issues regarding “Asian premium” and crude prices before the 92 participating countries, which include all the producer nations as well.
According to a recent report by the International Energy Agency (IEA), India and China are set to contribute nearly 50 per cent of the increase in global oil demand in the next five years. Despite being the major consumers, Asian countries were paying a price of up to $6 a barrel more than the US or European refiners to the West Asian producers. Though the issue was raised many times by India in global platforms, it still remains a concern. Global demand is expected to grow at an annual rate of 1.2 million barrels per day (mbd) till 2023, as the oil demand will reach 104.7 mb per day, up 6.9 mb per day from 2018.
This is the 16th edition of International Energy Forum Ministerial (IEF16). IEF16 is the largest gathering of Energy Ministers from across the globe, industry leaders and heads of key international organizations who will debate the future of global energy.
Among the global leaders who will be part of the meet include Khalid Al-Falih (Minister of Petroleum and Mineral Resources of Saudi Arabia), Suhail Mohamed Al Mazrouei (Minister of Energy and Industry, UAE) Bijan Namdar Zangeneh (Minister of Petroleum of Iran), Dr. Mohammed Bin Saleh Al-Sada (Minister of Energy and Industry of Qatar), Emmanuel Ibe Kachikwu (Minister of State for Petroleum Resources of Nigeria), Kosaburo Nishime (State Minister of Economy, Trade and Industry of Japan), Li Fanrong (Deputy Administrator of National Energy Administration of China), Pavel Sorokin (Deputy Minister of Energy of Russia), Mark Wesley Menezes (Under Secretary of Energy of the US) among others.
The meeting comes at a time when OPEC producer Saudi Arabia and non-OPEC Russia were working on a long-term pact for 20 years to extend controls over world crude supplies.
Apart from leaders of IEF, Fatih Birol, Executive Director of IEA, Mohammad Sanusi Barkindo, Secretary General of OPEC and heads and senior officials from international organizations like CNPC, Total, VOPAK and Exxon Mobil will also attend the event.
Its 72 member countries are signatories to the IEF Charter, which outlines the framework of the global energy dialogue through this inter-governmental arrangement. Apart from them, 20 countries are also participating in this meeting as special invitees.
Hosted by India and co-hosted by China and Korea, IEF16 aims to focus on how global shifts, transition policies and new technologies influence market stability and future investment in the energy sector. Dialogue among Ministers and industry leaders on how energy security and system resiliency will evolve along energy transition pathways, and meet global economic, demographic, and environmental challenges, will help secure an energy future that remains affordable, productive, sustainable and fair to all.