Natural gas supply guaranteed
▶ Move part of environmentally friendly policy
Chinese authorities and leading energy companies are firmly treading on the path of clean energy in the long term, while guaranteeing a sufficient supply of natural gas amid the country’s transformation toward greater use of the environmentally friendly fuel.
There will be a balance between this winter’s supply and demand for natural gas, via pipeline transmission and shipments in the form of liquefied natural gas (LNG), thanks to preparations that were made early in 2018, industry analysts said.
Vice Premier Han Zheng said on Wednesday that building of systems involving natural gas production, supply, storage and sales should be accelerated and energy supply ability should also be strengthened, the Xinhua News Agency reported.
The National Development and Reform Commission (NDRC), China’s top economic planner, said in a statement Tuesday that reports claiming a natural gas supply shortage from Turkmenistan could drive up natural gas prices in China amounts to “hype.”
The reports are not accurate, an NDRC official said, according to the agency’s website.
The comments came after domestic news site jiemian.com reported on Tuesday that Turkmenistan’s stateowned energy major Natural Gas Konzern slashed natural gas supplies to its partner China National Petroleum Corp (CNPC).
The news raised concern about the security of China’s natural gas supply, especially during the winter when demand for the clean fuel is at its peak. Last winter, a gas shortage left some households in the freezing cold.
“It is highly unlikely for the country to experience another natural gas shortage in the winter of 2018,” Liu Guangbin, an analyst at sci99.com, a bulk commodity information website, told the Global Times.
Construction of natural gas storage tanks and better pipeline connections were undertaken early in 2018, so there is no need to worry about a supply shortage this winter, he noted.
Natural gas supplies in northern China have been generally stable since the heating season began on November 15, 2018, with daily supply staying at above 0.83 billion cubic meters, the NDRC official said.
“China is prepared and has the capacity to ensure winter natural gas supply, with underground gas storage from China’s three oil majors and LNG in storage tanks holding about 9 billion cubic meters of natural gas. Massive volumes of LNG are being shipped to Chinese ports,” the official added.