This presentation, given by Associate Professor Tan Min of Kunming University of Science and Technology, was the second in session 28 of the Greater Mekong Forum on Water, Food and Energy that looked at the regional power trade cooperation in the Greater Mekong. As the Greater Mekong Sub-region (GMS) cooperation, it was well recognized that full scale regional electricity trade represents an unprecedented opportunity for economic and environmental benefits for individual countries and the entire Greater Mekong Sub-region. After decades of insignificant volumes of cross-country electricity trade, GMS countries have not reached a consensus on several important issues for building a regional power trade market. Recently, Yunnan Province has moved from power deficit to power surplus. The provincial government and the power companies are seeking ways to export excess electricity to the neighboring countries where power demands are high. This session was designed to discuss the potential and prospects of GMS regional power trading, the benefits and challenges of such a trade, and proposals for further cooperation from legal, economic and technical perspectives with the aim to promoting the trade.

1. Electric Power Cooperation In GMS
From The Perspective Of Energy Security
TAN Min
Dr. & Associate Prof.
Kunming University of Science and Technology, China

2. 1.Does Energy Security Have Different Dimensions?
Supply Security: Consumer Country/Import Country
Demand Security: Producing Country/Export Country
Transport Security: Consumer Country/Import Country
Producing Country/Export Country
Use Security: Consumer Country

3. 2.WhatAre The Dimensions Of Electric Power
Security?
Supply Security: Production<Demand
Demand Security: Production>Demand
Transport Security: City→Village Station→User
Use Security: Harmful to User?
Harmful to Environment?

4. 3.What Kind Of Electric Power Security Do GMS
Members Meet With?
Cambodia: Supply Security, Transport Security
Laos: Supply Security, Transport Security
Myanmar: Supply Security, Transport Security
Thailand: Supply Security, Transport Security
Vietnam: Supply Security, Transport Security
China(Yunnan & Guangxi): Demand Security

5. 4.How Will GMS Members Deal With Electric
Power Security They Meet With?
Solve By Themselves
Cooperate With Other Countries

6. 5.Which Countries Can GMS Members Choose To
Cooperate With When Facing Electric Power
Security?
Other GMS Members
Other Neighbor Countries

7. 6.WhatAre The Advantages Of GMS Members
Choosing To Cooperate With Other GMS
Members When Facing Electric Power Security?
Geographical Reason: Closer To The Distance
Institutional Reason: Common Rules Constraint

8. 7. What Can GMS Members Do When Dealing
With Electric Power Security By Cooperating
With Other GMS Members?
Trade: Buy or Sell
Investment: Import or Export

9. 8.What Institutional Constraints Exist Between Or
Among GMS Members Carrying Out Electric
Power Cooperation?
World Trade Organization: GATT, GATS, TRIMs, etc.
ASEAN-China Free Trade Area:
TIG Agreement, TIS Agreement, INVESTMENT Agreement, etc.
Greater Mekong Subregion Economic Cooperation:
IGA, RPTOA, MOU-1, MOU-2, etc.
Asian Infrastructure Investment Bank: $ 120 billion

10. 9.What RegulationsAre Bound The Electric Power
Cooperation Between Or Among GMS Members?
Trade Liberalization
Article 3 of TIG
Article 11 of GATT & Article 2 of TIG
Non-Discrimination
Article 1 of GATT & Article 2 of GATS
Article 3 of GATT & Article 17 of GATS
Article 2 of TIG & Article 19 of TIS
Promote Investment Liberalization
Article 2,4,5,10 of INVESTMENT Agreement
Fair and Impartial Investment Protection
Article 7,8,9,14 of INVESTMENT Agreement
Judicial Settlement of Disputes

11. 10.What Is The Role Of China In The Electric
Power Cooperation Between Or Among GMS
Members?
China’s Policy:
“Belt & Road” Initiative
China - ASEAN Investment Cooperation Fund: $ 10 Billion
Silk Road Fund: $ 40 Billion
Lancang–Mekong Cooperation Fund: $ 10 Billion (ing)
China’s Hope:
Supply Electric Power To Other GMS Members
Invest In Electric Power Sector Of Other GMS Members
Base On Business Conditions
Need Appropriate Protection