As the world is becoming more sustainable and the future mission is to go for technologies that can tackle carbon emissions, the energy market is becoming one of the crucial markets and the rise and fall of the economical price gets the market to alter the growth rate in the energy market.
In 2019, the growth of global natural gas consumption is averaged to 2% whereas in 2018 it was 5.3%. US and China are the leading players in the demand for natural gas. The demand recorded as 27 bcm and 24 bcm respectively but in Russia, the gas consumption drops to 10 bcm due to the unusually hot and cold days resulting in the largest decline for any country. However, the decline in consumption didn’t affect the gas production rate which grew by 132 bcm. Even Australia and China supported the growth and got strongly boosted as a supplier.
As the export side of natural gas increased over the year so was the import and Europe became the biggest importer for liquid natural gas in comparison to the Asian market. Among the European countries, the top three individual contributors were the UK, France, and Spain. Also, the inter-regional gas trade saw a rapid growth development with a double growth rate. The top three increases in exporting LNG are the US, Russia, and Australia where the top three importers in LNG are China, the United Kingdom, and France.
In my opinion, even though the world, and we as human beings would like to become part of the biggest change ever seen through sustainability but the reality does bite us too harshly. The economic growth somehow impacts and affects our exporting or importing capabilities concerning the rise or fall of economic growth. The price of LNG dropped sharply due to the overproduction in comparison to consumption leading to creating for more storage space. With the debacle of the pandemic in 2020, anyone can say that how volatile the market for natural gas can be?
Source:- BP Statistical Review of World Energy 2020