SEA gas demand to more than double to 350 bcm by 2050

This is driven by the power generation sector due to the electricity demand.

Natural gas demand in Southeast Asia is expected to more than double to 350 billion cubic metres by 2050 mainly driven by the power generation sector, according to the Gas Exporting Countries Forum (GECF).

GECF Secretary-General Mohamed Haem said that power generation will boost the demand for natural gas in Southeast Asia as electricity generation demand will almost triple due to urbanisation, rising income, and cooling requirements.

“The continuing development of  LNG-to-power supply chains and interconnectivity will be key factors, facilitating the lure of LNG into the region that will bridge the widening gap between gas production and growing demand,” he said at a keynote speech at the Escalating the Role of Gas in Energy Transition event.

Hamel added that natural gas “offers the balanced solution” in the world’s bid to achieve sustainable development goals under the United Nations 2030 Agenda and the Paris Agreement.

Natural gas, which global energy mix share is expected to jump to 27% from 23% by 2050, also plays a key role in meeting growing energy needs and contributing to air quality improvement, as well as climate change mitigation.

Upstream investment requirement for natural gas, meanwhile, amounts to $7.5t, Hamel said, citing figures from the GECF Global Gas Outlook 2050, adding that the forum expects nearly 75% of global gas output in 2050 will come from new projects.

“The growing global needs for natural gas can only be met if investments are made in a timely manner. To this end, the GECF calls for policy support, stability and predictability,” he said.

Energy carrier technologies such as hydrogen or decarbonise gas like carbon capture, utilisation, and storage need policy push as well as “the transfer of experience and best practices to help the developing world,” Hamel said.