Introduction
In the context of the global energy market, the Asian continent represents a major opportunity for energy companies and investors alike, following the raft of deregulation initiatives in the Western markets of the US, EU and others.

Deregulation Asia
To date, Asia has made little actual progress towards a deregulated energy market, the notable exceptions being Japan and Singapore which have both commenced the process of electricity market deregulation. Other Asian countries – notably Thailand, Malaysia, Indonesia and the Philippines – have, to varying degrees, introduced legislation to pave the way for deregulated gas and electricity markets.
By Jeremy Wilcox.

China's Evolving Energy Markets
China's energy markets continue to transform through the mechanisms of government sector reform and restructuring, expanding investment by domestic and foreign energy companies, and the resulting transition toward competitive markets. The Chinese government continues to push through reform and industry restructuring measures in order to encourage the necessary investment needed to meet energy demand growth.

Singapore: Powers Ahead
Since 1st January 2003, Singapore has had a competitive wholesale electricity market providing the city-state with the first competitive electricity market in Asia. The market comprises a real-time spot market together with a procurement market for ancillary services.
By Jeremy Wilcox.

Looking Forward to Gas Trading in S.E Asia
The reform of the natural gas industry in the US and Western Europe has shown the tangible benefits that can be derived from deregulation and the introduction of natural gas trading. For both regions it has brought increased security of supply and significant reductions in the wholesale price of natural gas. The markets for natural gas in S.E. Asia are, however, at a significantly different stage in their evolution. They are still primarily dominated by vertically integrated state owned monopolies operating largely under long-term gas sales contracts. For natural gas producers this has stifled investment which, in turn, has restricted the efficient development and exploitation of their existing natural gas reserves causing consumers to suffer relatively high prices and concerns over security of supply.
By Russll Wells & Iain Elder, Clifford Chance.

The Traits of Singapore
Energy brokering in S.E. Asia is very different to that in Europe and the US. The size of the market, cultural differences and a lack of deregulation mean it has not, and is not, evolving in the same way as its western counterparts.
By Richard Frape.

Emissions Trading in Asia
With the European Union emissions trading scheme scheduled to start in 2005, and Japan gearing up towards Kyoto with environmental taxation and national schemes aimed at curbing climate change, demand for emission reductions from projects implemented under the Clean Development Mechanism (CDM) look set to increase dramatically. Asian countries are well situated to capture the lion’s share of this growing international market, offering low abatement costs, forecasts for high economic growth and stable investment environments.
By Lucy Mortimer, CO2e.

Novel Funding for Renewable Energy Developments
This article sets out the context for the incentivisation of renewable energy projects in Asia, and the schemes available for the project developer. The focus is on the risk profiles presented by such projects and the challenges of securing finance against these profiles. The potential benefits of novel approaches to reduce risk and increase the reliability of the project revenue stream are discussed using actual renewable energy case studies to describe the complexities of the risk and finance characteristics of such projects in Asia.
By Dr Thomas Frost, KPMG LLP (UK).

Japan’s Weather Forecast
The Japanese weather market has evolved through three distinct market phases since the first weather derivative transaction was executed in June 1999. First, the market was characterised by small lot transactions, followed by the entry of the energy sector into the weather market and, more recently, the introduction of Japan Weather Exchange. This evolutionary process has created the market structure seen today with players able to take advantage of weather market mechanisms. MS Akiko Yogo discusses the relevance of weather to the Asian energy market as well as its future prospects.
By Akiko Yogo.

A Unique Opportunity
Asia’s energy markets will provide significant opportunities as they are opened up through deregulation. Central to realising these opportunities will be the implementation of prudent trading and risk management programmes.
By Julian Sherbourne.

Enabling a Safer Energy Market & Taking the ASP Approach
Tom James assesses the impact of the Internet on Asia’s energy market & When an opportunity arises in a new market the choice is whether or not to participate in this new opportunity. Within the deregulating energy markets the stringent controls placed on ventures into new areas of risk mean that many companies need a solid risk monitoring mechanism in place prior to entry into any new business area. This, however, can often be the biggest risk of all. Delayed entry to a new market could potentially leave a company missing out on emerging business opportunities as the market deregulates.
By Daniel Shefras.