by Staff Writers
Tokyo (AFP) Oct 10, 2012
Japan and India on Wednesday launched a joint research project into pricing structures in LNG markets, the Japanese government said, amid complaints that energy-hungry Asia is paying above the odds.
Japan is the world's top importer of liquefied natural gas. Asian buyers pay far more than those in North America because the price is index-linked to oil on the continent.
Under the present pricing structures in LNG markets, the price in North America is determined on the basis of supply and demand.
Japan's industry minister Yukio Edano and Montek Singh Ahluwalia, deputy chairman of India's Planning Commission, signed the agreement on joint research in Tokyo.
Resource-poor Japan is on the hunt for cheaper energy, a situation worsened by the shuttering of all but two of its nuclear reactors amid public distrust following tsunami-sparked meltdowns at Fukushima.
India's expanding economy is also hungry for more energy.
LNG is gas that is temporarily liquefied for easier storage and transportation.
The United States has increased its production of shale gas, a natural gas trapped in flakes of sedimentary rock. This has pushed down the price for natural gas in North America and is raising interest around the world.
Powering The World in the 21st Century at Energy-Daily.com
|The content herein, unless otherwise known to be public domain, are Copyright 1995-2014 - Space Media Network. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA Portal Reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. Advertising does not imply endorsement,agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. Privacy Statement|