Opportunities and Challenges for Liquefied Natural Gas (LNG)
New Horizons in Environmental and Energy Law series
Policy makers around the globe continue to grapple with issues related to energy security, energy affordability, and an expected increase in demand for all energy sources. At the same time, concerns about global climate change and reducing greenhouse gas emissions remain in focus as the world struggles to define the path to a sustainable energy future. Regarding it as an abundant, affordable, and clean-burning fuel, many countries around the world are increasingly looking to natural gas to play a key role in powering the future. The prospects for natural gas are so promising that the International Energy Agency (IEA) has suggested that the 21st century could be the “Golden Age of Gas” with demand for natural gas projected to increase by more than 50 percent from 2010 levels and account for over 25 percent of the world’s energy supply mix by 2035. Along with the increased demand for natural gas comes a corresponding increase in international trade in natural gas, with most of the increased trade expected to be in the form of liquefied natural gas or LNG. LNG is natural gas that has been cooled to approximately _161 °C, at which point it condenses to a liquid that can then be shipped via LNG tanker anywhere in the world.