The Next South China Sea Crisis: China vs. Indonesia?

The Next South China Sea Crisis: China vs. Indonesia?

05/23/14

Jack Greig

South China Sea, Indonesia

It could happen.

A recent Foreign Policy article argued that China’s deployment of a billion-dollar offshore oil rig into maritime territory claimed by both Vietnam and China represents a potentially dangerous escalation of tensions in the South China Sea—one signaling China’s determination to exploit energy resources that lie under disputed waters.

Over the past two decades, China has gone from being a net energy exporter to a net energy importer. Forecasts in the 2013 IEA World Energy Outlook show Chinese demand will account for 31% of global net energy demand growth between 2011 and 2035. Its energy demand in 2035 will be double that of the United States and triple that of the European Union. And China’s growing appetite for energy resources will be increasingly backed by its growing naval power—meaning it’ll have options to push the strategic envelope in the South China Sea in order to enhance its own future energy security.

The seabed around the Natuna Islands is gas-rich and falls partly within the boundaries of China’s so-called nine-dash line in the South China Sea. But it’s also a part of Indonesia’s maritime Exclusive Economic Zone (EEZ). Indonesia has asserted on a number occasions that there’s no dispute with China around the EEZ because China’s audacious claim has no basis in international law. But Beijing has simply refused to respond consistently or clearly to Jakarta’s multiple requests for clarification.

Read full articlehttp://nationalinterest.org/blog/the-buzz/the-next-south-china-sea-crisis-china-vs-indonesia-10522