Arctic Council Admits China as Observer
The Arctic Council have admitted China and India to the Council as observers which reflects the growing global interest in the trade and energy potential of the northern part of the planet. The council coordinates Arctic policy and has gain clout as sea ice begins to thaw and opens up a new trade route and intensifying competition for gas and oil.
The world’s undiscovered reserves have been estimated to have a 15 percent oil reserve and 30 percent gas respectively. China has been active with its exploration in the polar region and is fast becoming one of the largest mining investors in Greenland and has agreed on a free trade deal with Iceland. Companies will save time and money as shorter shipping routes open across the Arctic Ocean. The council consists of countries such as the United States, Canada, Russia and Nordic nations.
An observer status is given to countries will give them the right to listen in meeting, propose ideas and financing policies. As of the moment China, India, Japan, Italy and South Korea have observer status.