Understanding China's Energy Security in Central Asia.

Byline: Ahmad Bux Jamali

Central Asia possess a very pivotal position in Chinese energy security strategy. Soon after the collapse of Soviet Union, China started developing a very strong relationship with Central Asian Republics mainly focused on deepening cooperation in the fields of natural resources, oil and gas transportation and many major infrastructure and energy related projects. Such a relationship is highly interlinked with the strategic interests of not only China but the Central Asian Republics as well. For the Central Asian states, an expanding cooperation with Beijing especially in the oil and gas sector will help to get rid of Russia's dependence and the European consumer market.

It will further strengthen their voice in the global energy sector for gaining more economic benefits from China. The rapid development of Central Asia's energy infrastructure has made this region ready to fulfill its potential in delivering the growing energy needs of China. Therefore, it is no surprise that China has made this region a cornerstone of its energy security policy in order to diversify its import sources for avoiding the risks of over reliance on one single source of supplier. China, Russia and Central Asian states heavily depend on one another in energy as producers, transit and consumers. A powerful motive for China's stronger engagement in Central Asia is to satisfy its growing energy appetite.

China needs to import energy: Russia and Central Asia has no other option but to export to meet the demand of China. Chinese companies not only build infrastructure, trade and invest in Central Asian markets, but also, they are increasingly becoming regional energy investors, buyers, transporters and traders. China's dependency on imported energy has surged and is expected to grow at an increasing rate, despite the "new normal" growth of around 7 percent in the coming decades which is driven by an unprecedented industrialization, mobilization and urbanization process.

Firstly, China is engaged in the purchase of shares in enterprises for the extraction and processing of mineral resources, mainly oil and natural gas. Secondly, the construction of transport infrastructure, in particular railways and land logistics centers. For china, The massive import requirement is a reality today, over the time it likely to be so in the future and is further described below.

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