10
introduction & welcome
introduction & welcome
Maximising Mexico’s energy
potential requires a new era
of energy reform
Message from the
Premier of Queensland
Campbell Newman, Premier of Queensland
Enrique Peña Nieto, President of Mexico
“The focus of this G20 summit on energy security comes at a crucial
time. The past several years have seen a significant shift in the
global energy paradigm. The rise of China, India, and other rapidly
developing nations, has increased the energy demand projected for
the next two decades. Meeting this demand will require not only the
ongoing stability of current energy supplies, but also exploiting new
energy sources.
Fortunately, the discovery of new shale
gas and oil reserves, as well as the
development of alternative energy
sources and technologies, offers a
promising future for energy security.
Consequently, countries need to look
within their own borders for real, and
practical energy solutions as well as
strengthen international cooperation
and investment.
In Mexico, we are
about to embark
on a journey that,
hopefully, will
yield greater energy
supplies for both
domestic use
and export
In Mexico, we are about to embark on a
journey that, hopefully, will yield greater
energy supplies for both domestic use
and export. In order to fully tap our
energy potential, we need to be open for
international technology and financing.
Otherwise, our ability to achieve energy
security will be undermined.
My proposal to
reform the energy
sector maintains
the state’s control
of the oil industry
and the nation’s
hydrocarbon
reserves
To this end, I am pledged to modernise
Mexico’s oil company, Petróleos
Mexicanos (PEMEX), to find new ways
to take advantage of the country’s
enormous energy potential. While I
do not intend to privatise PEMEX, I do
believe that a reform is needed to allow
private investment - both national and
foreign - in this important segment of
the Mexican economy. New partnerships
in this arena cannot be understated.
My proposal to reform the energy sector
maintains the state’s control of the oil
industry and the nation’s hydrocarbon
reserves. Nevertheless, it provides the
government oil company the powers and
legal authority to engage in strategic
public-private alliances. If PEMEX
wants to help Mexico achieve energy
security and position itself as a growing
energy exporter, it requires significant
investment in new technologies, which
can only be attained through increased
private sector partnerships.
On top of large deep-water oil reserves
and a tremendous potential in renewable
energy, Mexico holds one of the largest
shale gas reserves in the world. For
that reason, new technologies, new
partnerships and new investments to
help us better exploit these resources,
must be welcomed. Indeed, many actors
in the private sector have developed a
profound know-how in difficult-to-extract
energy. Thus, we seek to cultivate close
partnerships with such actors, allowing
us to achieve our common goals.
…we can usher in
a new era of energy
independence and
security…
By doubling down on development and
international cooperation, we can usher
in a new era of energy independence
and security for Mexico and for the
industrialised world. I hope that this
summit will yield productive talks toward
this goal.”
On behalf of the people and government of Queensland, I extend the
warmest welcome to delegates to the 2014 G20 Summit to be held
in the State’s capital, Brisbane. We equally welcome the summit of
the G20 Finance Ministers, which will be held in the beautiful tropical
city of Calms. I am delighted that Queensland has been chosen as the
destination for these important summit meetings.
The Australian economy is expected to
be the best performing major advanced
economy in the world in the next two
years, the International Monetary Fund
predicted in April, 2012.
Queensland’s economy is expected to
grow by 4% in the current financial year
to June 30 2013, and to continue to grow
at a rate of 4% for four years thereafter.
That would restore Queensland to the
position of top economic performer
among the Australian states. The
Queensland Government will do all in its
power to ensure that occurs.
The State’s prosperity is based on four
pillars - agriculture, resources, tourism
and construction.
Agricultural and resources exports are
major contributors to our economic
health and have been for many years.
Gross state product exceeds $250 billion
in the financial year to June 30 2011, and
merchandise exports contributed roughly
20% of that total.
Resources exports are the most important
by value, accounting for more than half
the total.
The State is about to benefit from a
new industry, an LNG export industry
based on abundant reserves of coal
seam methane gas. Three LNG projects
are under construction at the central
Queensland port of Gladstone, involving
a total investment of $58.9 billion. First
shipments are scheduled for 2014. A
fourth project is undergoing
approvals processes.
The Australian
economy is expected
to be the best
performing major
advanced economy
in the world in the
next two years
Boosted by these projects, business
investment in the State rose by 56% in
the year to March 30 2012. At that time,
projects under construction were valued
at about $102 billion, while investments
worth a further $59 billion were being
considered.
This great resources industry has
spawned an internationally renowned
mining services and technology sector
whose products and services are to be
found in mines and processing plants
throughout the world.
The Queensland agriculture industry
accounts for nearly one-quarter of
our exports. Major commodities are
beef, su