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Providing secure, reliable and competitive gas for domestic markets in the face of global demand for LNG

Ben Woodman — August 2010

Emerging Issue: Major economies throughout the world are becoming increasingly reliant on gas as a primary fuel source. Countries which have large gas reserves and can access global energy markets are benefiting from the booming demand for LNG. In contrast, domestic gas prices in these countries are rising steeply and becoming more volatile. Ensuring secure, reliable and competitive gas supply becomes a crucial challenge for industry participants and Governments in these countries.

What market arrangements will provide continued access to lucrative export LNG markets and concurrent secure, reliable and competitive gas for domestic consumption? In a world seeking free-trade arrangements between global trading partners, can this be done with reasonable equity?

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