In February 2009 Russia launched two initiatives to supply energy to countries east of its borders. The inaugural project of the newly diversified energy market, described as “the first significant outflow of Russian energy to Asia” by the chief strategist of a major investment bank in Moscow, will ship 50 145,000-cubic-meter tankers of super-cooled gas to Japan, South Korea and potentially North America. Russia's President Dmitry A. Medvedev stated that the project, Sakhalin-2, would be able to supply 5% of the global demand for liquefied natural gas once at full capacity next year, and he also asserted that the outflow “strengthens Russia's position as a major energy-market participant.” The $22 billion project is based on the Pacific Russian island of Sakhalin. Around 65% of the liquefied natural gas produced at the plant will be imported by Japan. The launch of Sakhalin-2 represents the end of Europe serving as the only foreign consumer of Russia's natural gas. Currently, all existing Russian gas export pipelines supply Europe.
The second initiative is a $25 billion oil-for-loans deal between Russia and China. Under the agreement, Russia will supply China with 30 million tons of crude oil from Siberia for over 20 years. In return, China will issue loans to Russia's state controlled oil pipeline monopoly, Transneft, and Russian state-controlled oil group, Rosneft. It is expected that construction of the first branch across Siberia to a Pacific hub will be completed this year, with a spur also expected to be built to China.
Demonstrating Russia's intent to become a major global gas and oil supplier, immediately following the announcement of its energy products flowing into Asia, President Medvedev stated that his country must strengthen its cooperation with the Organization of the Petroleum Exporting Countries (OPEC) and the club of top gas exporters—“We must cooperate more closely.”
Newly inaugurated U.S. President Barack Obama moved in quickly to undo measures on drilling harmful to the environment instituted by former President George W. Bush. President Obama ordered the Environmental Protection Authority (EPA) to reconsider its decision denying California permission to set standards controlling the level of greenhouse-gas emissions from motor vehicles. If the EPA were to grant California the license to establish its own standards, 13 other states would be eligible to follow suit. The Obama Administration signaled that it would push for tougher rules reducing mercury emissions from power plants by abandoning a legal appeal initiated by the Bush Administration which sought lax mercury emission rules. Obama also is withdrawing 77 oil and gas drilling leases, totaling 103,225 acres near national parks, which were offered by former President Bush. In late February 2009, the President announced his Administration's intention to develop an offshore energy plan that includes renewable resources. The plan will grant states and the federal government more time to study and assess future offshore energy planning.
Stating that “a new energy economy is going to be part of what creates the millions of new jobs that we need,” President Obama says he expects 460,000 jobs to be created or saved in the renewable-energy and energy-related sectors as part of the recently approved U.S. economic stimulus plan. Around $8 billion of the plan is budgeted for renewable power and electricity-related spending. Additionally, $16 billion in tax credits will be assigned directly to green-energy development.