Japan will propose the creation of a global gas stock in order to prevent possible energy shortages in the future and to ensure market stability.
Japan plans to propose a global stockpile of natural gas, similar to the emergency reserve in the oil sector, to help prevent future shortages and stabilize prices.
According to knowledgeable sources, the government will propose establishing a gas storage framework for International Energy Agency (IEA) member states. The source said the proposal will be announced at a conference in Tokyo on Tuesday.
Japan aims to include its gas stock proposal on the agenda of an IEA ministerial meeting in February.
The IEA currently requires member states such as the US and Japan to have an emergency oil reserve equivalent to at least 90 days’ net imports in emergencies, and Japan’s proposal aims to establish a similar strategy for gas.
Russia’s invasion of Ukraine last year upset gas markets around the world, causing record high prices and triggering concerns about the safety of fuel supply.
At the G-7 summit earlier this year, Japan and Germany pressed for language that left the door open for public investment in gas.
Although the European Union member states already have natural gas storage targets, a global framework has not been established yet.
On the other hand, it is considered that it will be difficult for Asian countries such as Japan and South Korea to store LNG for a long time, which usually keep the fuel in the form of liquefied natural gas that evaporates over time.