Japan's energy troubles


Read Hisane Masaki's excellent overview of Japan's energy troubles at Asia Times Online: Japan covets Russian gas, hot air


Resource-poor Japan’s drive for natural gas, as well as oil, has shifted to high gear, as the world’s second-largest economy is increasingly concerned about its medium- and long-term energy security amid spikes in prices and intensifying global competition, fueled by China’s increasing needs, for hydrocarbon resources.

For Japan, which imports almost all of its oil and natural gas, ensuring stable supplies is a matter of life or death. Japan remains by far the world’s largest importer of LNG, buying about 40% of global imports.

However, as Indonesia's domestic consumption of LNG goes up, Japan is being forced to reduce its imports...

(Image from Osaka Gas Wakuwaku Gas Land - an educational flash website, explaining among other things climate change, acid rain, and ozon layer destruction - with cute drawings, needless to say)

Comments

Pandabonium said…
Very interesting article. And Japan lost out on Iranian gas by deferring to the USA and not going ahead with a planned development of gas fields there. I wonder how much they now regret that decision since the allegations against Iran have proved spurious.

It is possible that energy problems will push Japan toward engaging it's immediate neighbors more and moving away from it's alliance with the US - over a long time period of course.
10:40 pm, February 15, 2008
Anonymous said…
The new Korean president - we call him 2MB - seems eager to have better ties with Japan.

As for China.. Hm. If the immediate neighbors could avoid sudden outbursts of emotion, they could perhaps quickly move towards a common policy on a number of issues, including energy.
11:24 pm, February 15, 2008
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