Issue 3

SCO Energy Cooperation: Outcomes, Challenges and Solutions

NIE Xinwei, ZHANG Jixing

  Energy is one of the key areas of economic cooperation among SCO countries. In recent years, energy cooperation of the SCO has been continuously expanded, the cooperation mechanism gradually established, and infrastructure connectivity and trade significantly enhanced. Under the influence of the Ukrainian crisis and intensification of geopolitical games, the environment of energy cooperation among SCO countries has become increasingly complex, and tensions between producing countries are intensifying in regards to market expansion and pipeline diversification. Based on the energy endowment and energy consumption situation, China needs to follow the new trend in the global energy sector where the global demand is driving the global supply eastward. It should make good use of both domestic and foreign resources as well as both Chinese and overseas markets to promote the connectivity of cross-border oil and gas pipelines on the basis of consolidating and upgrading traditional energy cooperation. Meanwhile, China should actively guide and promote the building of SCO energy governance mechanism, and focus on deepening cooperation with SCO countries in green transformation, new energy development and utilization, and science and technology innovation of the energy sector, so as to promote the development of regional economy.For details, please refer to Overseas Investment & Export Credits, Issue 2, 2023, pages 44-48.