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On March 30, 2010, Prof. Samer Shehata from Georgetown University gave a research seminar for the Program on Arab Reform and Democracy at CDDRL titled The Regional Dimensions of Authoritarianism in the Arab World.  Prof. Shehata’s talk was in response to the research puzzle, as he called it, of the persistence of authoritarian politics at the regional level in the Arab world. He argued that the subject that has received most attention in political science is the question of authoritarianism and absence of democracy. The question of why there are no democracies has offered a number of possible reasons including: the qualities and consequences of oil and rentier politics; absent or weak civil societies in the Arab world; social class-based explanations; the issue of political liberalization instead of democratization; external factors such as US support for authoritarian regimes, which he argued has not decreased since the end of the Cold War; regional conflicts like Palestine/Israel and the Gulf wars; institutions of authoritarianism including how elections, parliaments and single parties work; Islamist politics creating deep divisions among opposition groups; and patronage, clientelism and the (absence of) social contract.

Prof. Shehata then proceeded to say that there has been some positive development in the approach to democracy in the Arab world, but that there remains insufficient attention to the regional dimensions of authoritarianism. He argued that the Arab world is authoritarian not just on the state level, but also on the regional level. As International Relations specialists have spoken about the existence of an Arab regional system, the institutional dimension of this system, such as the Arab League, needs to be studied.

He stated that there are three mechanisms of the reproduction of authoritarianism on the regional level: authoritarian learning, authoritarian cooperation, and regional organizations. Cases of authoritarian learning take both direct and indirect forms where certain regimes “learn” from one another. He gave the example of constitutional amendments that allow elections but that give the illusion of competition, where electoral outcomes are similar. In Tunisia, for example, Ben Ali “learned” from the Algerian experience by not allowing Islamists an electoral opening.

Authoritarian cooperation, he went to argue, occurs mainly regarding security matters. He gave the example of certain activists not being to allowed certain countries in the Arab world (like the Tunisian Moncif Marzouki, who was not allowed into Lebanon). Such “cooperation” widens the scope of authoritarianism beyond the borders of individual states.

Prof. Shehata’s ended with a discussion of the third mechanism, regional organizations. He talked about institutionalized cooperation within the Arab League and the GCC, calling the Arab League a “club for authoritarian regimes” that is not committed to democracy. An example of this in action is the Arab League accords on security and anti-terrorism which have ended up extending authoritarian rules across the Arab world. Another example is the Arab media charter that was put in place in February 2008, and which limits internet and media freedom. Prof. Shehata acknowledged that further research needs to be done on those three mechanisms and the floor was then opened to questions from the audience.

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The state-owned company Oil and Natural Gas Corporation Limited (ONGC) is India's largest company devoted to exploration and production (E&P). This paper attempts to unpack the dynamic of the government-ONGC relationship. Focusing specifically on how government ownership and control has influenced ONGC's performance and strategy, this paper makes four main arguments.

First, ONGC exists, just as with national oil companies in many other countries, because of a legacy of suspicion about outsiders.  It performed well when it was tasked with things that were not that difficult and when it had help for the more difficult ventures, such as frontier E&P and development.

Second, ONGC has run into trouble as it matured, and the roots of its troubles are mainly in its interactions with the GoI and secondarily in its management.

Third, a slew of reforms instituted since the mid 1990s have fundamentally changed the landscape of the E&P sector in India and the dynamic of government-ONGC relationship. Targeted at improving corporate governance, enhancing competition in E&P, and eliminating price controls, those reforms have had a mixed impact on ONGC's performance and strategy. They also highlight the difficulties the government has had in encouraging higher efficiencies in ONGC and the oil and gas sector.

Fourth, given the deep interconnects of the oil and gas sector with India's political economy, fixing the oil and gas sector essentially entails fixing the larger political economy within which the sector is embedded.

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Program on Energy and Sustainable Development Working Paper #91
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Varun Rai
Varun Rai
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Mark Thurber met with Wood Mackenzie, a leading oil and gas research and consultancy company based in Edinburgh, Scotland. During this visit Mark gave a presentation on conclusions drawn from PESD research on national oil companies, engaging in a fruitful dialogue on the subject with Wood Mackenzie experts.
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"Not a single one of the 23 countries that derive most of their export earnings from oil and gas is a democracy today," wrote CDDRL Director Larry Diamond in an an article for the Journal of Democracy, Why Are There No Arab Democracies? In these countries, the state is "large, centralized, and repressive," he notes. Diamond comments in Newsweek about Iraq's prospects for escaping the oil curse.
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Associate Director Mark Thurber discussed two related threads of PESD research on "State Choices in Hydrocarbon Administration."  The first part of the talk, based on a paper which Mark co-authored with PESD affiliated researchers David Hults and Patrick Heller, focused on how countries design institutions for administering their oil sectors.  It suggested that countries with certain institutional deficits may be better off not separating commercial functions from policy and regulatory ones in oil, even though the separation of functions approach (as pioneered by Norway) is generally considered "best practice" in oil sector administration. 

The second part of Mark's talk described statistical analysis he is performing to quantitatively test the hypothesis advanced by PESD consulting professor Pete Nolan that private oil companies will preferentially operate at "frontiers," for which state-controlled oil companies cannot adequately manage risks for their host governments.  Patterns of company operatorship of exploration wells in the 1970s and 1980s, derived from data from oil and gas research and consultancy company Wood Mackenzie, suggest that this hypothesis indeed was statistically supported for frontier exploration in deep water.

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Mark C. Thurber is Associate Director of the Program on Energy and Sustainable Development (PESD) at Stanford University, where he studies and teaches about energy and environmental markets and policy. Dr. Thurber has written and edited books and articles on topics including global fossil fuel markets, climate policy, integration of renewable energy into electricity markets, and provision of energy services to low-income populations.

Dr. Thurber co-edited and contributed to Oil and Governance: State-owned Enterprises and the World Energy Supply  (Cambridge University Press, 2012) and The Global Coal Market: Supplying the Major Fuel for Emerging Economies (Cambridge University Press, 2015). He is the author of Coal (Polity Press, 2019) about why coal has thus far remained the preeminent fuel for electricity generation around the world despite its negative impacts on local air quality and the global climate.

Dr. Thurber teaches a course on energy markets and policy at Stanford, in which he runs a game-based simulation of electricity, carbon, and renewable energy markets. With Dr. Frank Wolak, he also conducts game-based workshops for policymakers and regulators. These workshops explore timely policy topics including how to ensure resource adequacy in a world with very high shares of renewable energy generation.

Dr. Thurber has previous experience working in high-tech industry. From 2003-2005, he was an engineering manager at a plant in Guadalajara, México that manufactured hard disk drive heads. He holds a Ph.D. from Stanford University and a B.S.E. from Princeton University.

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PESD Assistant Director Mark Thurber will be presenting a paper on oil governance at the International Studies Association 51st annual convention, "Theory vs. Policy?  Connecting Scholars and Practitioners."

In the paper, which is entitled "The Limits of Institutional Design in Oil Sector Governance: Exporting the ‘Norwegian Model,'" Mark and his co-authors (PESD affiliated researchers David Hults and Patrick Heller) draw examples from PESD's larger study of national oil companies to argue that separating policy, regulatory, and commercial functions in oil administration works well in Norway but is not the best prescription for all oil-producing countries.  As the premiere annual event of the ISA, which is the most widely known and respected scholarly association in the field of international studies, the conference in New Orleans attracts participants from around the world.

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Encina Hall East, Rm E412
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new_mct_headshot_from_jeremy_cropped2.jpg
PhD

Mark C. Thurber is Associate Director of the Program on Energy and Sustainable Development (PESD) at Stanford University, where he studies and teaches about energy and environmental markets and policy. Dr. Thurber has written and edited books and articles on topics including global fossil fuel markets, climate policy, integration of renewable energy into electricity markets, and provision of energy services to low-income populations.

Dr. Thurber co-edited and contributed to Oil and Governance: State-owned Enterprises and the World Energy Supply  (Cambridge University Press, 2012) and The Global Coal Market: Supplying the Major Fuel for Emerging Economies (Cambridge University Press, 2015). He is the author of Coal (Polity Press, 2019) about why coal has thus far remained the preeminent fuel for electricity generation around the world despite its negative impacts on local air quality and the global climate.

Dr. Thurber teaches a course on energy markets and policy at Stanford, in which he runs a game-based simulation of electricity, carbon, and renewable energy markets. With Dr. Frank Wolak, he also conducts game-based workshops for policymakers and regulators. These workshops explore timely policy topics including how to ensure resource adequacy in a world with very high shares of renewable energy generation.

Dr. Thurber has previous experience working in high-tech industry. From 2003-2005, he was an engineering manager at a plant in Guadalajara, México that manufactured hard disk drive heads. He holds a Ph.D. from Stanford University and a B.S.E. from Princeton University.

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PESD Associate Director Mark C. Thurber presented a paper entitled 'The Limits of Institutional Design in Oil Sector Governance: Exporting the "Norwegian Model"' at the 2010 Annual Convention of the International Studies Association (ISA) in New Orleans on February 18th. 

The paper, co-authored with PESD affiliated researchers David Hults and Patrick Heller, draws on PESD's larger study of national oil companies to conclude that the approach to petroleum administration that has worked for Norway is not always a wise strategy for countries with less developed institutional and human capacity.

As the premiere annual event of the ISA, which is the most widely known and respected scholarly association in the field of international studies, the conference in New Orleans attracts participants from around the world.

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Daniel C. Sneider
Daniel C. Sneider
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Since the Democratic Party of Japan came to power in August 2009, upsetting fifty years of conservative rule, U.S.-Japan relations have been on rocky ground. It would seem that the DPJ is upending decades old policies, hewing its own path with the United States, China, and the Asia-Pacific region. As Shorenstein APARC Director for Research Daniel Sneider notes, Japan’s new tack not only has caught the United States flat-footed, but also has other countries in the Asia-Pacific worried. Most importantly, Tokyo seems to be making uncharacteristically friendly overtures to Beijing. But it would be wrong to assume that Sino-Japan relations are really much improved. From oil and gas rights in the East China Sea to China’s military modernization there are still plenty of points of contention. Moreover, the much-contested issue of U.S. marines stationed on Okinawa remains the biggest deterrent to North Korean aggression and Chinese expansion – two fears not far from Tokyo’s mind. This is not to say U.S.-Japan relations will return to the status quo, but that the interlocutors are likely to recall the reason for such a persistent alliance.

The dramatic end to Japan's half-century of conservative rule in a late August election led almost immediately to a public spat with the United States. An inward-looking Japan that had reflexively followed the American lead suddenly was no longer an obedient ally.

At a time when the US was trying to woo a recalcitrant China to become a "strategic partner", Japan's insistence on reopening an agreement over US military bases seemed to upset the regional balance. But there are recent signs of a concerted effort on both sides to put underlying strategic interests back in the forefront, propelled in part by the recent eruption of frictions between China and the US.

The row began with the newly elected Prime Minister Yukio Hatoyama's call for more "equal" relations with the US, his advocacy of an East Asian Community à la the EU, and his focus on repairing ties with China. Put together, some saw a nascent urge to abandon the post-war security alliance. A senior State Department official went so far as to tell the Washington Post in late October that the "the United States had ‘grown comfortable' thinking about Japan as a constant in US relations in Asia. It no longer is, he said, adding that ‘the hardest thing right now is not China, it's Japan.'"

The trigger was growing frustration over the Hatoyama government's handling of the relocation of the US Marine air base at Futenma on Okinawa. The Democratic Party of Japan (DPJ) consistently opposed the deal to relocate the base elsewhere within Okinawa, expressing sympathy for the disproportionate burden of the US military presence in Japan born by Okinawans. American officials were loathe to reopen an agreement that had taken years to negotiate and believed the Japanese government exaggerated its domestic political constraints.

At the same time, Japan seems eager to hew its own course with China, to improve relations and begin to build the foundation for a new Asian community. If one is to believe US officials, alarm bells have been ringing among their allies and others in Asia over the rift with Japan. The talk of building a regional organization that might exclude the US made Singapore, Australia, South Korea, the Philippines and even Vietnam worried that this would only aid Chinese ambitions.

Meanwhile, the Obama administration itself was ardently wooing China. President Obama, on the eve of a trip in November, spoke of creating a "strategic partnership." In Beijing, the President avoided public finger wagging. Discussion of difficult issues such as human rights, Tibet and sanctions against Iran were conducted largely, if at all, behind closed doors.

Given their own pursuit of Chinese partnership, American officials could hardly object to Tokyo's efforts along the same lines. In public, they said this is not a zero sum game, that an easing of Sino-Japanese tensions could aid security and stability in the region for everyone. But some US officials soon saw evidence of Sino-Japanese collusion to push the US out of Asia. Privately they pointed to what was considered a telling moment following a trilateral summit of Chinese, Japanese and South Korean leaders in Tianjin in October. Talking to reporters after the meeting, Hatoyama had spoken about Japan's desire to lessen its "dependence" on the US. American officials considered Hatoyama's actions a gross display of obeisance to the Chinese.

Accusations that Japan was drifting into Chinese arms grew louder after DPJ Secretary General Ichiro Ozawa led a group of about 140 lawmakers on an adulatory visit to China in early December. Then Hatoyama and Ozawa raised hackles when they pushed for the Emperor to receive a visiting Chinese senior official, the heir apparent for leadership, Xi Jinping. However, these depictions of Tokyo lurching toward Beijing ignore the gradual evolution of Japanese policy and the deep-seated rivalry that persists.

Sino-Japanese relations reached a low point five years ago after anti-Japan demonstrations were apparently sanctioned by Chinese authorities. Unresolved wartime historical issues drove those outbursts, prompted by Prime Minister Junichiro Koizumi's visits to the Yasukuni shrine, which honors Japan's war dead. Disputes over oil and gas rights in the East China Sea threatened to explode. And China launched a campaign to block Japan's bid for permanent membership in the UN Security Council.

Japanese policymakers began to worry about the impact of these tensions on Japan's growing economic interdependence with China. They were critical of Koizumi's one-sided focus on the US-Japan security alliance.

"To weather the wild seas of the 21st century, Japan's diplomacy must have two elements: the Japan-US alliance and a Japan-China entente," wrote Makoto Iokibe, a defense specialist who now heads the Japanese Defense Academy, in the summer of 2006. "A combination of a gas field accord and a depoliticized Yasukuni issue would provide Japan and China with a clear view for the joint management of East Asia."

Beginning in late 2006, a succession of Japanese administrations has made concerted efforts to repair ties with Beijing and Seoul. Though the atmosphere with China has improved, substantive differences remain. In January, Japan's foreign minister warned that Tokyo would take action if China continued to violate a 2008 deal to develop oil and gas fields jointly. When Ozawa met the Chinese defense minister in December, he said the Japanese see China's military modernization as a threat. Ozawa suggested that if such fears were not eased, Japan might be prompted to undertake its own arms build up.

The Hatoyama government has also moved to upgrade ties, including security links, with Asian powers that share a fear of China, including India, Indonesia and South Korea. Ozawa stopped in Seoul after his visit to China where he apologized for Japan's colonial rule in Korea and pledged to push through legislation granting voting rights to Korean residents in Japan, an issue of great importance to Koreans and opposed by conservatives in Japan.

Recent events seem to have caused the US to reassess its handling of relations in Northeast Asia. There is growing evidence of an emboldened China that seems to interpret America's bid for a strategic embrace with the country as a sign of weakness. The authorities in Beijing took a tougher line toward internal dissent, openly clashed with the US at the climate change talks in Copenhagen, balked at cooperation on sanctions against Iran, and brushed off American protests over evidence of cyber attacks on Western firms.

After all this, America has begun to soften its tone toward Tokyo. Officials pledge patience as the new government looks for a solution to the base problem, while also mounting a public effort to convince Japan that the Marine presence in Okinawa is key to "deterrence" of North Korea and China. There is a renewed emphasis on broadening the security agenda to include other issues, from cyber security to climate change. Hatoyama, too, has emphasized that the Japan-US alliance remains "a cornerstone for Japan to enhance its cooperative relations with other Asian countries, including China."

Whether any real lessons have been learned in Tokyo or Washington remains to be seen. But perhaps the turn in Sino-US relations has reminded people in Tokyo and Washington that there remains a strategic purpose to the alliance.

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