Published: July 22, 2023 7:10 am
Author: RT
Tokyo will suggest the idea to the International Energy Agency, the outlet has said
Japan is planning to create a global strategic natural gas reserve to guard against energy crunches such as the one that hit the EU and its allies last year, Bloomberg reported this week.
Tokyo’s plan will be presented to the International Energy Agency (IEA) and involves a so-called strategic buffer similar to an emergency oil reserve, the outlet said, citing people familiar with the matter.
The IEA already requires member nations such as the US and Japan to have a strategic stockpile of oil equivalent to at least 90 days of net imports in case of emergency, Bloomberg said. Tokyo will reportedly suggest including its gas reserve proposal on the agenda for an IEA ministerial meeting in February.
Japan’s global gas buffer idea comes as the import-dependent nation ramps up efforts to ensure it has enough fuel amid soaring energy prices and intensifying competition on the LNG market.
READ MORE: Japan exempts Russian energy projects from sanctions
The energy-poor country is heavily dependent on external supplies. Tokyo has been reluctant to sanction the Russian energy sector, and has repeatedly noted its importance for Japanese energy security. Japan received an exemption from the Western price cap on Russian oil imports, which saw supplies from the Far Eastern Sakhalin-2 oil and gas project excluded. Japan has also kept its stakes in joint energy projects in Russia.
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