Independent Power Producers Forum
“Update on Pan Asian Energy Development”
A Presentation from
Independent Power Producers Forum (IPPF)
At e8-GEF-UNDESA-UNESCAP
“ Financing Sustainable Electrification”
South & South-East Asia Dialogues
Bangkok, Thailand, September 8-10, 2009
By
Joel B. Laykin
Secretary General
IPP’s a definition
Brief
History
IPPF’s
about.
Role – How it all came
Our Members - 1
Aggreko
 Aon
 AEI Asia Ltd
 Asian Power
Solutions
 Black & Veatch
 Caterpillar Asia

Chevron International
 City Power
 CLP Power
 CRA International
 Cormetech Inc.
 Diaz, Reus, Rolff &
Targ

Our Members - 2
1
DLA Piper
 EESCO P2E2 HK
 Emerson Process
 ExxonMobil Energy
 Gibson, Dunn &
Crutcher
 Golden Concord
 Indra Systems

Laykin
Communications
 Litamos International
 Marsh
 Marubeni Asia
 Mayer Brown JSM
 Nemron Energy
 O’Melveny & Myers

Our Members - 3
PB Power
 PennWell Inc
 PetroVietnam
 Pinsent Masons
 PUFFA Ltd
 RSW Inc.

Solvina International
 R.W. Beck Int’l
 Simmons & Simmons
 Vista International
 WestLB AG
 Worley Parsons

Independent Power Producers Forum
“Update on Pan Asian Energy
Development”
Presentation
at e8-GEF_UNDESA-UNESCAP
Financing Sustainable Electrification
South & South-East Asia Dialogues
Bangkok, Thailand
September 8th – 10th, 2009
1. Energy Values…The Challenge
(Basic Questions)
 How
to change the behavior of seven
billion people?
 How to deliver the “good life” without
ending life on this planet?
 How to turn “Being Green” into being
profitable
2. Redefining GHG
 CDM
vrs APP plus Kyoto plus Bali, plus
COP-15
 Who’s
trading what and where?
 “Carbon”
Currency
as the New International
3. The ABCD’s of Energy
A.
B.
C.
D.
Supply of Energy
Demand for Energy
Sources of Fuels
Uses of Fuels
4. Changing Concerns
– Some Solutions from East Asia
Metropolitan Asia leads the way with the
convergence of capital, technology and official
commitment
 Hong Kong, Singapore and (supposedly)
Shanghai are key facilitators for every possible
element, company, sector in the power
generation industry in Asia (?)
 Fuel supplies, transportation, improved
regulators

5. Marketplace Sophistication
 Negatives
 Positives
– the UNOCAL Debacle
- Future Gen
- PRC’s economy of scale
6. The “Gold Rush”
 Fools
 Over
-1
rush in where angels fear to tread
eighty companies
 Western
“model” didn’t work. PRC simply
wasn’t ready ….. ..or willing

Divide and conquer
7. The “Gold Rush”
-2
 The
exodus float out on a sea of red-ink
and “Rome is burning back home”
 Exceptions
the course”
 “Last
to the rule, a select few “stay
man standing”------ Colin Tam
(Nov, 2004)
8. Because …it’s there!
 Why
 If
why why do they do it?
you are a global player with no
substantial presence in Asia by 2020, you
are not a global player any more.
9. Some Interesting Quotes - 1
“
Stateside power companies dare not
look overseas because the analysts will
punish them”……John Easton (Mar 2004)
 “And,
why should they? There is so much
low-hanging fruit to keep them busy in the
USA”……Bill Ruccius (Dec 2007)
10. Some More Interesting Quotes
-2

Expectation – “Everyone thought that the repeal
of “PUHCA” would unleash a new tidal wave of
power investment into Asia”…...Thomas
Bispham (Jun 2008)

Predictions – Perhaps in a generation, the big
U.S. investors, might return ……Robert Bestani
(Feb 2006)
11. The PUHCA Paradox
 1935-2005,
seventy years of commercial
handcuffs
 A good
 A bad
-1
thing in 1935
thing by 1985
12. The PUHCA Paradox
-2
 Long
delayed M & A “feeding frenzy…..in
slow motion
– “Within a decade, the approx
200 U.S. IPPs will be reduced to about
60-70 with a half dozen 1200 lbs Gorillas
ready to grow overseas”…..Joel Laykin
(Mar 2008)
 Prediction
13. The Asian Way

China and India reach out, HK, Singapore, KL,
BKK, Tokyo and the Gulf reach in

The 1200 lbs gorillas will have to frolic in Africa
or South America

Asian players snapping up low and middle –
hanging fruit
14. Some more Over-Arching
Issues and Quotes

“The most important bilateral relationship in the
world relationship in the world today is that of
the USA and the PRC”……Secretary James
Baker III (Sept 2007)

“Energy security is the only thing people really
do something about”…..Bill Overholt (Oct 2009)
Independent Power Producers Forum
Thank You !
Contact Information:
Email: group@laykinhk.com
Tel: 852-2894 8105
Fax: 852-25775817
Website:www.ippfpowerasia.com