Japan Proposes To Set Up Global Emergency Reserve For Natural Gas

By Anshula Mandaokar , 16 August, 2023

Japan is one of the biggest importers of energy commodities, and the country suggests setting up a global emergency reserve for natural gas like the emergency reserve for oil requirements by the International Energy Agency (IEA) to control any future shortages and hikes in the prices of resources.

According to reliable sources, Japan is expected to put forward the idea of global emergency gas stock at a natural gas conference in Tokyo in July 2023. The European Union has a collective target to have gas storage sites to 90 percent by November 1st of every year after some geopolitical issues. Japan's proposal for an emergency reserve of natural gas is very similar to the IEA emergency oil stocks. Japan is the founding member of the IEA, among other countries, and is hopeful about the new proposal of the emergency reserve for natural gas to boost the security of the gas, as the sources said.

If the IEA implements the proposal to set up the global natural gas stock reserve, it will enhance the organization's significance in gas security. Along with this, the preparedness will always be there to supply in an emergency without disruptions. Japan also suggests that IEA collaborate with other nations for a clean Liquified Natural Gas (LNG) value chain to attain net-zero and gas security assurance in coming years.