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Gas Regional Investment Plan of the South Region 2017
Spain
France
Portugal
2010
2011
2012
2013
2014
2015
0
30
20
15
10
5
25
35
10
6
t LNG
2010
2011
2012
2013
2014
2015
Spain
France
Portugal
0
20
15
10
5
25
10
6
t LNG
Figure 4.6:
Imports in South Region, 2010 – 2015, 10
6
t LNG (Source: GIIGNL 2010 – 2016 reports)
4.3 LNG imports in the
South Region
In its liquid form, natural gas can be easily transported
over large distances and re-exported towards the most
profitable markets. It therefore traditionally serves as a
connector between world gas markets and is highly
sensitive to variations in global demand and prices.
Over the past five years, the global LNG market has been profoundly affected by the
aftermath of the Fukushima nuclear catastrophe. Under the combined effect of high
demand for gas in Asia and the shutdown of Japanese and South Korean nuclear
power plants, a large portion of LNG shipments were redirected to Asia, which
represented 75% of world LNG imports in 2014. As a consequence, LNG deliveries
to Europe were halved (see figure 4.6).
In 2015, worldwide LNG trade amounted to 245 million tons, of which 13% was
consumed by the European Union, 44% going to the South Region. With LNG
demand in Asia stabilising due to a combination of factor such as slow economic
growth, energy efficiency, mild weather conditions and growing fuel substitution,
LNG has started making a come-back in the EU, a trend that should continue in the
coming years considering the new LNG liquefaction capacities going into production.