Abstract

East Asia is one of the three main economic blocks in the world. Association of Southeast Asian Nations (ASEAN) countries – as New Industrial Economies (NIEs) – and China – as an emerging power – are promoting regional integration. The paper examines energy development and cooperation, an important component of economic collaboration, in this region. The paper outlines the energy products in eight ASEAN countries, presents the details of energy exploration and production in them, analyzes the South China Sea issue, and details the energy cooperation between those countries and China. Based on these factors, the author then suggests that ASEAN countries and China should continue their energy cooperation on the one hand, and on the other set up a multi-lateral framework (South China Sea Energy Development Organization, SEDO) to tackle South China Sea disputes. By doing so, energy resources under the sea will be converted from being the source of disputes to becoming a positive factor for East Asian integration. The paper also argues that China, as a major power in the region, has a special responsibility in helping smaller neighbouring countries. As far as the field of energy cooperation is concerned, China, besides making profitable energy investments in ASEAN countries, should increase official development assistance (ODA) to help develop energy resources in countries that lack hydrocarbon resources.