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This report makes the point that in both Russia and China it is politics - and not market or commercial considerations - that largely drive energy relationships with each other and the outside world. For both countries, energy and energy security is regarded as a strategic asset and/or objective that are at risk from outside forces. Moreover, both countries are taking a statist - in Russia even patrimonial - approach to energy issues. Therefore cooperation between Russia and China will be difficult even though Russia wants to sell and China wants to buy. The conditions that each state has attached to their energy policies ironically preclude the kind of easy cooperation seen in other strategic and political issues between Moscow and Beijing. Thus in both Central and Northeast Asia, Russia has blocked Chinese efforts to realize its version of energy security, yet it has not been able to come up either with the resources or means for a coherent policy of supplying China with reliable quantities of energy that would lead China away from Middle Eastern and other producers. Given the political dimension in both states, the under-fulfilment of the potential for Russia to supply China will continue and continue as well to be a source of strain in their relationship.

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9781280563058

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