NATIONAL 6 -(Spotlight Weekly)]

Power Packed Meet

A major US-sponsored meet on energy identifies potential areas for investment in the South Asian region

By KESHAB POUDEL

Us Ambassador Frank : Optimistic

Notwithstanding their potentials, South Asian countries are still reeling under the dire need of energy to accelerate their economic growth as they grope for investment in this sector. To tap the potential in this region, United States government sponsored a major regional Energy South Asia Conference in the capital from March 6 till 8, 2000.

One of the aims of the conference is to assist regional energy development and expand trade opportunities for US companies involved in the energy sector.

The three-day conference, among others, addressed the pressing energy needs in the face of expanding demands by promoting the development of key projects by US companies.

The conference, which is a curtain-raiser to the forthcoming visit by US President Bill Clinton to the region later this month, underlines the emerging South Asian market and the subsequent energy deficit.

The meeting was presented by the US Trade and Development Agency (TDA) and co-sponsored by the US Departments of Energy, Commerce and State, and the Agency for International Development. The energy meet was the first of its kind partcipated by top policy makers of all the seven countries of South Asia along with US ambassadors to these countries and other senior US officials and business groups.

"The seminar will help us to understand opportunities and challenges of South Asian energy market," said TDA director J. Joseph Grandmsaison, during the inaugural function.

Apart from US ambassadors to South Asian countries, the power meet was also participated by representatives from international lending institutions including the World Bank, the international Finance Corporation, the Export Import Bank, the Overseas Private Investment Corporation and Asian Development Bank. The seminars focussed its discussion on various projects and modalities.

"The regional energy meet will help US companies to identify areas for investment in the region," said T.J. Glauthier, Deputy Secretary and Chief Operating Officer at US Department of Energy.

At a time when countries like Nepal is sitting idle over the huge potential for hydro power generation, the question is how it will benefit from the future investment. But one of the positive outcome of the meet for Nepal could be that by hosting the regional gathering, Nepal will certainly come under the focus of the US government as well as likely investors.

The meet will also help Nepal to take stock of the approach of US and regional companies about their aspirations on the power development in Nepal.

"Nepal has already received US investment in the energy sector for example in Bhote Koshi and there are possibilities for future investment," said Ralph Frank, US ambassdor to Nepal.

As India remains the key player in the regional energy market, its energy policy will determine the future growth and development of energy in this region. "US business companies will invest in the sector, if there is an integrated regional approach for its development," said Joseph.

South Asian region not only has the potential for energy development, it in itself enjoys a presence of huge market. According to a survey, the total estimated installed value of all energy projects in the region is in the range of USD 10 to 15 billion and there are projects from almost every sub-sector of the energy industry.

In the three day discussion, over 30 newly-researched and bankable projects in the oil and gas processing and transmission, LNG expansion, refining, petro-chemicals, coal mining, power generation and engery related environmental sectors worth billions in export opportunities that are being developed in 7 South Asian countries -Bangladesh, Bhutan, India, Nepal, Maldives, Pakistan and Sri Lanka.