Why QUAD must tackle energy security challenges to prevent shipment disruptions

Published on May 23, 2022 09:05 PM IST

QUAD countries have energy security challenges, though they do not rely on any one nation’s energy supplies. According to the Think Tank Lowe Institute, a quad energy strategy should be ordered immediately. As belligerent China presses its claims in the region, energy shipments can be disrupted. More than 30% of the world’s crude oil passes through the South China Sea, including about 90% of Japan’s crude oil imports. Japan consumes one-fifth of the global LNG supply and one-third of it relies on LNG. In 2019, Australia imports 65% of its petroleum products, mostly from East and SE Asia. Australia has shut down almost all beach treatment facilities and relies on imports for major defense purposes. One of QUAD’s objectives is to combat climate change by promoting green energy production. However, China owns the bulk of the solar energy supply chain and dominates the ‘green metals’ market. ‘Green metals’ such as copper and lithium are needed to electrify industry and transport. China is home to about one-tenth of the world’s rare earth elements and about 80% of global REE mining and processing.

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