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WASHINGTON, April 2 /-USNewswire/ -- The world's largest consumers of natural gas, including the United States and countries in Europe and Asia, must take decisive action to prevent leading gas exporters from creating a so-called "gas OPEC," warned U.S. Rep. Ileana Ros-Lehtinen (R-FL) today in a letter to Secretary of State Condoleezza Rice.
The letter to Rice comes in advance of an April meeting in Doha, Qatar, of senior officials from Iran, Russia, Venezuela, Algeria, Qatar and other natural gas producers. Published reports suggest that an agreement to form a cartel may be announced at the Gas Exporting Countries Forum which begins April 9th.
On January 29th, Iranian Supreme Leader Ayatollah Khameinei proposed that Russia and Iran cooperate to establish a cartel for natural gas. Russian President Vladimir Putin has expressed interest, as has Venezuelan strongman Hugo Chavez, among others.
Iran's leaders have made clear their interest in using this new tool for political purposes, a goal with which Chavez enthusiastically agrees and regards as an expansion of his ongoing effort to establish a similar cartel in Latin America.
"The creation of this cartel would pose a major and long-term threat to the world's energy supply," said Ros-Lehtinen, Ranking Republican on the House Foreign Affairs Committee. "We must vigorously oppose the establishment of this global extortion racket."
The U.S. is largely self-sufficient in natural gas, but its imports are projected to rapidly increase over the next few years. Europe already reliant on Russia for almost half of its needs, will even be increasingly vulnerable over the next decade. Japan, South Korea, and other U.S. allies are heavily dependent on imported natural gas, while countries such as China and India are projected to rapidly increase their consumption.
In the letter to Rice, Ros-Lehtinen suggested that the United States:
-- Develop a joint strategy with its allies to vigorously oppose the
creation of a cartel;
-- Underscore to Qatar, the host of the April meeting, that the United
States cannot be expected to assist countries that are simultaneously
participating in efforts that undermine U.S. security and also
challenge its government to take a leading role in opposing the
creation of any cartel;
-- Make clear to the Russian government that the United States would
regard the establishment of a cartel as an unfriendly act that would
negatively impact cooperation in other areas;
-- Focus increased attention on assisting countries in Central Asia, for
example, to develop pipelines and other infrastructure that would free
them from reliance on Russia, Iran, or others for their gas exports.
