Indonesia Proposes “ASEAN Oil Storage Hub” to Strengthen Regional Energy Security
Indonesia has proposed the idea of establishing an “ASEAN Oil Storage Hub” to strengthen the region’s energy security.
The proposal was discussed during the 48th ASEAN Summit in Cebu, Philippines, where ASEAN leaders emphasized the importance of enhancing regional energy cooperation, including cross-border power interconnection, energy diversification, and strengthening regional energy security amid ongoing energy challenges.
The ASEAN oil storage project aims to establish a regional oil reserve to support Southeast Asian countries during energy crises or supply disruptions, while also improving the resilience of energy management among ASEAN member states.
At the same time, Indonesia is also planning to develop its own national oil storage facility in a special economic zone in Sumatra to increase the country’s energy reserves. The project is currently under a feasibility study, and the Indonesian government has affirmed that it will proceed with the plan even if Indonesia is not selected as the location for the ASEAN oil storage hub.