2013 Energy Security Workshop
Asia’s Uncertain LNG Future
The National Bureau of Asian Research (NBR) hosted its ninth annual Energy Security Workshop, “Asia’s Uncertain LNG Future,” on June 21, 2013, in Washington, D.C.
Asia hopes that liquefied natural gas (LNG) will become a key component of its future energy security strategies as the region seeks to meet its energy and environmental goals. However, there is enormous uncertainty about the extent to which Asia can rely on LNG to meet its future needs. Australian supplies are being threatened by huge cost pressures; U.S. and Canadian supplies are facing domestic policy constraints; and Gulf supplies are subject to geopolitical uncertainty. The demand picture is also deeply uncertain: China is trying to determine the role of LNG in its energy policy, while examining related questions about its potential shale gas supplies; Japan’s energy future remains unclear as policy debates continue about the use of nuclear power; and South Korea is seeking potential gas supplies from Russian pipelines, which may decrease its need for LNG. The future of Asia’s high-price, oil-linked LNG contracting structure is also under pressure.
How the United States and Asia address these challenges will determine the future of LNG as a critical dimension of Asia’s energy security and will have significant geopolitical implications.
With these concerns in mind, the 2013 Energy Security Workshop examined:
- Why Asia’s gas demand has been rising so dramatically, and why LNG pricing and supply security have become a greater challenge
- LNG demand dynamics in the Asia-Pacific, and how Asia’s major consumers are responding to and shaping both market and policy challenges
- Asia’s major supply uncertainties and geopolitical risks, including questions about U.S. and Australian exports and how domestic politics are shaping Russian energy policies
- The impact of the shale gas revolution in North America on the future of U.S. strategic commitments in the Middle East and the implications for Asia's energy security
Strategies for enhancing U.S. energy security and strategic engagement in the Asia-Pacific
Asian Development Bank
University of Leicester
The National Bureau of Asian Research; University of California–San Diego
Peter Hughes Energy Advisory Limited
University of California–Davis
Asian Development Bank
The Paulson Institute
Center for Strategic and International Studies
IHS Consulting Asia
Global Energy Strategies
Background on NBR's Energy Security Program
Now in its ninth year, NBR’s Energy Security Program convenes top energy and geopolitical experts from industry, research, and policy for an assessment of the developments taking place in Asian energy markets and their implications for geopolitics.
To inform and strengthen the public policy dialogue, experts share insights and recommendations through a number of channels, including an invitation-only spring workshop, NBR’s annual Energy Security Report, and a public launch event in the fall.
At the 2012 Energy Security Workshop, Nikos Tsafos (PFC Energy), Charles Ebinger (Brookings), Michihiro Kishimoto (Japan Oil, Gas, and Metals National Corporation), and Tomoko Hosoe (FACTS Global Energy) discuss the market outlook for LNG in Asia.