République Algérienne Démocratique et Populaire
Ministère de l'Énergie et des Mines 

 2^nd Conference of Energy Ministers of Africa and Latin America

(AFROLAC)

Address by HE Dr Chakib Khelil,

Minister of Energy and Mines, Algeria.

Inaugural ceremony,

2^nd April, 2008, Cancun, Mexico.

His Excellency President,

Honorable Ministers and Ambassadors,

Honorable Representatives of International Organizations,

Honorable Guests,

Ladies and Gentlemen,

It is an honor and a privilege for me to address this 2^nd Conference of Energy Ministers of Africa, Latin America and the Caribbean.

On Behalf of His Excellency President Abdelaziz Bouteflika, may I express my sincere thanks to HE President Felipe Calderon Hinojosa and the Mexican Government for having accepted to host this important Conference.

May I take this opportunity to stress the quality of the preparation of this international event, reflecting efforts and commitment of the Mexican ministry of energy and the authorities of the city of Cancun and for which they deserve our congratulation.

Allow me also to express my appreciation and sincere thanks to all those who have joined us here, from Africa, Latin America and the Caribbean, to take part to this important conference.

This illustrates, if need be, that the efforts made to organize the first AFROLAC conference in February 2004 in Algiers and this 2^nd Conference have not been in vain, and that a real will exists in Africa and Latin America and the Caribbean to energize relations between our two continents.

Excellencies,

Ladies and gentlemen,

As many of you recall, at the 1^st AFROLAC held four years ago in Algiers, we had set several objectives.  We wanted to establish bridges to insure transfer of expertise and experience; we wanted to make AFROLAC an efficient framework for energy cooperation.

Among the many challenges we face today, energy security emerges as one of high priority.

Our countries are well aware of the serious deficits regarding access to commercial energies and other resources that are vital for any economic and social development.

Energy dependency of some of our countries recommends a diversification of our supply sources, but also a more efficient use.

Thus, I would like, as an introduction to this session devoted to “Energy Challenges and opportunities in Africa, Latin America and Caribbean: Opening access to energy and energy security”, by recalling what is at stake before our countries which could indicate some avenues for thought during our deliberations.

The other challenge we have to meet concerns human resource qualification, which comes before of all development challenges.

It is highly important that this issue is addressed in a realistic way, while setting priorities, in order to make a useful contribution towards a steady development of hydrocarbons, based on the qualification our human resource potential.

Environmental degradation, one of the direct consequences of energy utilization, constitutes also a major concern and we consider that fighting this phenomenon represents a common challenge.

Algeria has been at the forefront for the creation of a “multinational company for fighting marine pollution by hydrocarbons” and we are glad of the favorable echoes this initiative received in Africa, and elsewhere.

Excellencies,

Ladies and gentlemen,

Despite the similarities and complementarities that exist between Africa and Latin America, energy trade and cooperation remain limited, when compared to the possibilities, potentials and needs of each of our continents.

In Africa, as in Latin America, there is a maturing awareness of the important role that energy could have in promoting economic growth and social development.

This awareness should translate into concrete actions to harness energy potentials and organize cooperation to foster economic development at the national, regional and intercontinental levels.

This meeting, the first (?) of its kind at the scale of Africa and Latin America, constitutes an adequate framework to set the basis for a wide cooperation in the field of energy, commensurate to the considerable energy resources that each of our continents is endowed with.

We need first to debate energy situations in Africa and Latin America, in order to highlight similarities and complementarities and identify the main challenges.

A particular attention will necessarily be given to aspects related to regional energy integration and to the crucial issue of financing the development of energy sector. The question of technology transfers is also of high importance to expand of the energy resource base and to optimize of its utilization.

One of the tasks of our conference is to shed light on our strengths (or assets) and to discuss ways and means to value them in a sustainable development perspective.

Discussions could focus on identifying the most promising spaces for cooperation; in particular those which offer opportunities for our companies to invest, while capitalizing their experiences and know how.

Excellencies,

Ladies and gentlemen,

For Algeria, energy cooperation is a tangible reality. It is growing steadily, whether at bilateral level with various African countries, or the regional and intercontinental levels.

We shall not spare any effort to speed the regional energy integration process. Algeria enjoys a valuable experience in promoting energy projects abroad, be it in emerging countries, like in Africa and Latin America, or in the industrialized world.

Sonatrach’s participation in the development of oil and a gas fields in Peru illustrates our willingness to promote South-South cooperation and confirms the aptitude of the company to join other operators in distant regions and to take the required risks to be present besides our partners of the southern hemisphere.

We have been promoting as well large scale energy projects that will enhance not only the regional energy integration of African countries, but also connect through dedicated infrastructure, our continent to European markets.

The first project is the Tran-Saharan gas pipeline (TSGP) starting from Southern Nigeria to Algerian coast on the Mediterranean.

This gas line will, along its route, supply populations in other countries like Niger, Burkina Faso and Mali. Among its many positive impacts, this project will contribute to environmental protection, first by eliminating in the producing country, the currently flared gas with its greenhouse effects and second by reducing the use of biomass from wood and thus deforestation.

Excellencies,

Ladies and gentlemen,

The Similarities and complementarities between our two continents give a solid ground for the initiative to create AFROLAC.

This new grouping constitutes an excellent framework for exchange of views and dialogue in order to initiate collective responses to the common challenges of energy security, human resource development, environmental protection and others.

The African Energy Commission or “AFREC” headquartered in Algiers, and the Energy Organization of Latin America or “OLADE” are the instruments to promote cooperation between the two continents.

These regional organizations constitute a valuable asset for our objective to consolidate and widen our cooperation.

Algeria has celebrated on the 1èth of February 2008, together with the African Union and all African countries, the official launching of AFREC.

Through the erection of AFREC, which has similar objectives to those of OLADE, Africa has got an efficient tool with the capacity to promote energy cooperation at the continental level and to consolidate thus the efforts towards regional and intra regional energy integration.

The decades old experience of OLADE will be valuable for African countries that face in most cases similar challenges to those of Latin American countries.

Learning through of experiences of both parties could be extended to cover the field of management and restructuring in the energy sector, to education and training. The promotion and development of joint energy projects and crossed investments between the two continents are concrete steps of our cooperation.

Excellencies,

Ladies and gentlemen,

Today conference will be, I am confident, an ideal opportunity to define the necessary foundations for a broad and effective energy cooperation towards the objectives of the Millennium Declaration (?) and the expectations of our populations.

As an African country, member of OLADE, Algeria will not spare any effort in order to promote and implement new formulas for cooperation between our two regions.

Before concluding, I would like to reiterate to the Mexican authorities, and in particular to His Excellency President, Minister Georgina KESSEL and all those who have been involved in the organization of this major conference, our deep gratitude for the quality of the work done and their hospitality.

Thank you for your kind attention.