Singapore among those granted observer seat on Arctic governing council

Alister Doyle PlanetArk 16 May 13;

The Arctic Council agreed on Wednesday to admit emerging powers China and India as observers, reflecting growing global interest in the trade and energy potential of the planet's Far North.

The organization, which coordinates Arctic policy, is gaining clout as sea ice thaws to open up new trade routes and intensify competition for oil and gas - estimated at 15 percent and 30 percent respectively of undiscovered reserves.

China has been active in the polar region, becoming one of the biggest mining investors in Greenland and agreeing a free trade deal with Iceland. Shorter shipping routes across the Arctic Ocean would save its companies time and money.

The council groups the United States, Russia, Canada and Nordic nations. Observer status gives countries the right to listen in on meetings and propose and finance policies.

China, Japan, India, South Korea, Singapore and Italy were granted observer status.

"Despite the varied interests we have heard today from the permanent participants, there is nothing that should unite us quite like our concern for both the promise and challenges of the northernmost reaches of the Earth," U.S. Secretary of State John Kerry told the meeting in Sweden's northern town of Kiruna.

Canada, which will chair the council for the next two years, said the time had come to realize the "tremendous potential and opportunities" in the Arctic, which has rich reserves of gold, tin, lead, nickel and copper.

"This development must be done in a responsible and an environmentally sustainable manner so that the land, the water and the animals ... are not negatively impacted," Canadian Health Minister Leona Aglukkaq told reporters by phone from Kiruna.

Indigenous groups have expressed concern the number of observers could dilute their voice as their traditional cultures are threatened by a possible influx of oil and mining projects.

A Chinese shipping firm is planning the country's first commercial voyage through a shortcut across the Arctic Ocean to the United States and Europe in 2013, saving time and money. The distance from Shanghai to Hamburg is 2,800 nautical miles shorter via the Arctic than via the Suez Canal.

The council ruled the Europe Union could observe meetings until a final decision on its status was taken.

Diplomats said Canada and other Arctic states objected to an EU ban on imported seal products. Indigenous groups say they depend on the seal trade.

Aglukkaq said she would hold talks with the EU in a bid to find a compromise on the seals issue but gave no details.

WORLD'S BIGGEST DEPOSITS OF RARE EARTHS

China already has mining links with Greenland and trade ties with Iceland. Greenland may have the world's biggest deposits of rare earths, used in smart phones and green technology.

"The entry of countries like China not only reflects how the Arctic has become a region of global interest, it also shows how the Arctic Council has become the main body of Arctic governance," said Damien Degeorges, founder of the Arctic Policy and Economic Forum.

The council also adopted an agreement to coordinate a response to potential spills that could result from increasing oil and gas exploration, including joint training exercises to deal with major accidents.

The meeting also heard about the threat to the region's biodiversity. Summer temperatures are warmer than at any time in the past 2,000 years, threatening animals and plants, according to an Arctic Biodiversity Assessment report given to ministers.

"Decisive action taken now can help sustain vast, relatively undisturbed ecosystems of tundra, mountains, fresh water and seas and the valuable services they provide," it said.

(Additional reporting by Alister Doyle, Alistair Scrutton and David Ljunggren; Editing by Janet Lawrence and Cynthia Osterman)

Singapore gets permanent observer status
It gains platform to participate in body that shapes future policies in icy north
Esther Teo Straits Times 16 May 13;

SINGAPORE has been granted permanent observer status in the Arctic Council, giving it a platform to participate in a body that shapes future policies in the icy northern region.

Four other Asian countries - China, India, Japan and South Korea - were also admitted as observers yesterday to the council, along with Italy.

Reacting to the news of Singapore's new status, Prime Minister Lee Hsien Loong said in a statement: "I would like to thank the Arctic Council states for admitting Singapore as an observer.

"Singapore is not situated in the Arctic, but developments there - whether the melting of the ice cap or opening of new sea routes - will have important implications for Singapore as a low- lying island and international seaport," he said. "We look forward to contributing to the work of the Arctic Council."

The council, formed in 1996, groups the eight Arctic nations - the United States, Russia, Canada, Iceland, Denmark, Finland, Norway and Sweden. Observer status gives countries the right to listen in on meetings and propose and finance policies.

The body addresses issues faced by Arctic governments and inhabitants of the region. It is gaining clout as sea ice thaws in the face of global warming to open up new trade routes and intensify competition for oil and gas - estimated at 15 per cent and 30 per cent respectively of undiscovered reserves.

The announcement was made at the Eighth Ministerial Meeting of the Arctic Council held in Sweden's northernmost city of Kiruna yesterday and is seen as a victory for Singapore which has been lobbying for the place for 11/2 years.

The Ministry of Foreign Affairs (MFA) noted in a statement yesterday that Singapore submitted its application for observer status in December 2011. Singapore's special envoy for Arctic Affairs Kemal Siddique is also in Sweden.

The MFA noted that the work of the Arctic Council includes issues such as sustainable development and environmental protection of the Arctic region. The council also disseminates information, encourages education, and promotes interest in the Arctic.

China has been active in the polar region, becoming one of the biggest mining investors in Greenland and agreeing to a free trade deal with Iceland, Reuters reported.

The council yesterday also ruled that the Europe Union could observe meetings until a final decision on its status was taken. EU members France, Germany, Spain and Britain have observer status.

Diplomats said Canada and other Arctic states objected to an EU ban on imported seal products. Indigenous groups say they depend on the seal trade, Reuters said.

Russia has long been sceptical of letting in the EU as an observer, arguing it has representation through its members Sweden, Finland and Denmark.

US Secretary of State John Kerry told the meeting: "Despite the varied interests we have heard today from the permanent participants, there is nothing that should unite us quite like our concern for both the promise and challenges of the northernmost reaches of the Earth."

'Singapore is now an ocean state'
M. Nirmala Straits Times 16 May 13;

SINGAPORE'S admission into the Arctic Council as a permanent observer is a significant move tied to the city's future existence and continued economic prosperity.

This means that Singapore can now attend the council meetings and gain insights into the significant changes in the region that will have an impact on the country. For instance, Singapore is concerned about fast-melting polar ice, which can erode the island-state's position as one of the world's busiest ports.

Celebrating the news, a jubilant Singapore team of diplomats and officials from the Ministry of Foreign Affairs was getting ready the champagne glasses when this reporter rang them.

Speaking to The Straits Times from Sweden, Singapore's Special Envoy for Arctic Affairs Kemal Siddique said: "Singapore is now an ocean state with an important maritime sector."

Getting the observer status in the council will also mark a significant change in the way the world sees Singapore: not just as a maritime nation, but a country with a part to play in protecting the world's ocean resources.

The Arctic now holds 30 per cent of the world's undiscovered gas and 13 per cent of oil.

A toehold in the Arctic will also give a leg up to Singapore businesses seeking opportunities in the North. PSA International can offer its expertise in running major port facilities to the Arctic which is seeing a shipping boom.

Keppel Singmarine, whose ice breakers are already cracking ice blocks in the Arctic, is now working on oil rigs which can work in freezing temperatures.

Singapore will also have faster access to Arctic data on the rising sea levels caused by the melting polar ice. It can then swiftly change its policies to prevent coastal flooding in Singapore.

The melting ice in the Arctic also endangers its spot as one of the world's busiest ports.

A new shipping route in the North is being carved out, cutting the travel time needed for ships to sail from Europe to Asia by half.

Singapore can also play a greater role in helping countries govern the oceans in a peaceful way.

Ambassador-At-Large Tommy Koh chaired the the United Nations Convention on the Law of the Sea about 30 years ago.

This work was a historic milestone as it provided the framework for the global governance of the world's oceans and seas. This law will now play an even more important role as the world's coastal population grows and man harvests more ocean resources.