TOKYO: Japan’s industry ministry held a meeting with senior energy industry officials Monday to prepare for the possibility of the supply-demand balance becoming tight for liquefied natural gas during winter.

Participants reaffirmed that electricity and city gas firms will supply each other with LNG if needed amid growing concerns over stable procurement of LNG, used as a fuel for thermal power generation and as a material for city gas, following Russia’s invasion of Ukraine, which started in February.

“Competition is fierce globally for LNG, for which demand is growing,” Kyushu Electric Power Co. President Kazuhiro Ikebe, who also serves as chairman of the Federation of Electric Power Companies of Japan, told the meeting.

Osaka Gas Co. Chairman Takehiro Honjo, also Japan Gas Association chairman, expressed eagerness to “promote cooperation among LNG users for the stable supply of electricity and gas.”

In case of tight supplies, electricity and gas companies will set up a regional council and provide LNG to each other. If the regional mutual support system is not enough to meet demand, a similar cooperation framework will be created on a national level to ensure stable LNG supplies.

JIJI Press