« normal domestic requirements » means the average daily domestic consumption of oil during the twelve (12) months immediately preceding the emergency; However, the reservation contained in this clause remains edifying, which states that « oil stocks, individually or jointly by ASEAN member States, must be carried out on a voluntary and commercial basis ». The « voluntary » provision, which, without exception, makes oil stocks an option rather than a provision to ensure security of supply in emergency situations, could expose ASEAN to potential new risks. Compared to the 1986 APSA, the New Deal contained the voluntary oil reserve as one of the medium- and long-term measures referred to in Article 3(3)(f). It would certainly be music to the ears of Japan and South Korea, which had long spoken out in favor of an ASEAN oil stockpile. In the past, there had been divisions within ASEAN on the issue of oil stocks. Therefore, the integration of oil stocks into the new APG represents an important regional effort to ensure energy security. The recent signing of the ASEAN Petroleum Security Agreement (APSA) at the ASEAN summit in Thailand from 26 February to 1 March marked a new stage in regional energy cooperation. The new CPA is an extension of the previous agreement of 1986 and aims to improve ASEAN`s energy security. This Agreement shall remain in force for a period of ten (ten) years, unless it is denounced earlier with the agreement of all ASEAN Member States. The expiration or termination of this Agreement shall not affect the rights and obligations of ASEAN Member States under this Agreement prior to the effective date of the expiration or termination of this Agreement.
ASEAN member States shall endeavour to take medium- and long-term measures, taking into account their own supply situation, obligations and dependence of ASEAN member States on oil, bearing in mind future threats and risks to the security of ASEAN oil supply, combined with the fact that some ASEAN Member States, which are now net oil exporters, will in the near future become highly dependent net importers of oil in the region, in particular the Middle East; (1) The governments of the ASEAN Member States agree to establish the ASEAN oil and/or petroleum products sharing system in periods/circumstances, both in the event of shortages and oversupply. 3. If the above quantity, added to other available supplies, is less than 80% of the normal domestic demand of the distressed country, ASEAN governments will endeavour to provide the country`s supply pool, if necessary, with 10% of the volume of any type of crude oil and/or petroleum products to which the oil exporting country is entitled. Any request for delivery intended to cover a need greater than 80% of normal needs is negotiated on a bilateral basis. All ASEAN Member States shall endeavour to provide the distressed ASEAN Member State with a total of 10% (10%) of the normal ASEAN national needs, on the basis of conditions to be negotiated between the appropriate parties in a spirit of assistance, and the relevant ASEAN Member States shall not be granted an unjustified advantage; Oil is a private commodity, while security is a public good. A sudden interruption in oil supplies during a period of economic recovery could have serious repercussions for ASEAN. Even if oil stocks are capital intensive, a mandatory regional stockpile would give each member an interest in ensuring regional energy security. This will better ensure that its benefits benefit everyone, including countries outside ASEAN. `emergency situation` means a situation in which an ASEAN Member State faces a critical shortage of oil supply due to natural disasters (such as earthquakes and tsunamis), plant explosions or war; Oil stocks on a « voluntary and commercial » basis are not new to ASEAN….