Enhancing ASEAN's Connectivity

2. Current State of ASEAN Infrastructure

2 Current State of aSean InfraStruCture Nguyen The Phuong Introduction With a population of nearly 600 million and a combined Gross Domes­ tic Product (GDP) of US$1.5 trillion, ASEAN is one of the world’s most diverse and dynamic regional organizations. Currently, ASEAN’s priority is to build a people­centric ASEAN Community by 2015. If ASEAN can achieve its objective, its centrality could be more effectively promoted in the evolving regional architecture. One of the critical factors for an effective ASEAN community is the enhancement of connectivity within ASEAN. Connectivity does not only mean elimi­ nating tariffs, but also removing non­tariff barriers, reducing obstacles to investment, and easing restrictions on trade in services. It also means binding ASEAN members through necessary physical infrastructure. This will bring people, goods, services, and capital closer together in accordance with the ASEAN Charter. 10 Nguyen The Phuong Infrastructure can be categorized into hard and soft infrastructure. The former refers to main physical structures or facilities that support the society and economy, such as transport (e.g., ports, roads, railways); energy (e.g., electricity generation, electrical grids, gas and oil pipelines); telecommunications (e.g., telephone and Internet). The latter refers to non­tangibles supporting the development and operation of hard infrastructure, such as policy, regulatory, and institutional frameworks; governance mechanisms; systems, procedures and so on. This chapter is an overview of the current state of ASEAN infrastruc­ ture. The sectors covered in this chapter include: (1) transport, (2) ICT, and (3) energy. The chapter also provides a compilation of existing infrastructure development programmes for reference. Current State of aSean Infrastructures 1. Transport Infrastructure Development (a) Strategies Having an integrated transport system in ASEAN is always an import­ ant goal of the ASEAN cooperation in the transportation sector. This is crucial for realization of the ASEAN Free Trade Area (AFTA) and for ASEAN to integrate with the global arena. To achieve this objective, a series of action plans have been adopted. These are: the Successor Plan of Action in Transport 1999–2004, the ASEAN Transport Action Plan (ATAP) 2005–2010 and the ASEAN Strategic Transport Plan (ASTP) 2011–2015. The ASTP identifies strategic actions that have to be implemented during 2011–12 in order to support the realization of the ASEAN Economic Community (AEC) by 2015. It also supports the new priorities identified under the Master Plan on ASEAN Connectivity. The ASTP is developed on the ATAP and on a comprehensive assessment of the current transport situation in ASEAN. The ASTP is also formulated to reflect other ongoing developments in the world such as a changing economic landscape, mainly due to the emergence of new economic powers such as China and India, and growing global concerns over the environment, climate change, and safety and security. It also seeks to identify the long­term vision of ASEAN transport cooperation beyond 2015. Current State of ASEAN Infrastructure 11 Till 2010, under the ATAP, forty­eight actions covering the four sub­ sectors of air transport (ten actions), land transport (thirteen actions), maritime transport (fourteen actions), and transport facilitation (eleven actions) have been implemented. Out of this, three have been com­ pleted, forty­two are at various stages of implementation, and three are in the preparation stage. The ongoing actions will be carried over to the ASTP 2011–2015, as they are still highly relevant for the next five years and beyond. (b) Progress and Challenges Land Transport ASEAN cooperation in roads and rail aims to establish efficient, inte­ grated, safe, and environmentally sustainable regional land transport corridors linking all ASEAN member states and countries beyond. There are two flagship land transport infrastructure projects within ASEAN, namely the ASEAN Highway Network (AHN) and the Singapore–Kunming Rail Link (SKRL). Road Infrastructure The ASEAN Transport Ministers (ATM) adopted a plan to develop the AHN with the following time­frame at its fifth meeting in Hanoi, Vietnam in September 1999: • Stage 1: Network configuration and designation of national routes to be completed by 2000. • Stage 2: Installation of road signs at all designated routes, upgrading of all designated routes to at least Class III standards, construction of all missing links, and commencing operation of all cross­border points by 2004. • Stage 3: All designated routes to be upgraded to at least Class I standards and the upgrading of low traffic volume non­arterial routes to Class II standards by the year 2020. The AHN is an...