However, according to the global, non-commercial, non-political and non-governmental entity, it needs significant government and business inputs if the planned growth is to eventuate.

To IGU, all the relevant parties involved in LNG must assuage market uncertainties by providing enough flexibility in LNG contracts without sacrificing the fundamentals of the long term contract. Then, there has to be a global standard that will facilitate the interchangeability of LNG supplies, which in turn will enhance supply security and the further acceptance of LNG as a fuel of choice.

Furthermore, IGU believes that the relevant bodies should support the LNG industry by investing in re-gasification terminals to minimise potential bottlenecks in the supply chain, help cut down on the NIMBY (not in my backyard) environmental syndrome and formulate policy that will benefit and not be detrimental to the industry.

Lastly, the IGU acknowledges that, while its suggestions would lead to lower costs in the LNG chain, it feels that a structural increase in gas prices could not be ignored following current strong demand for LNG in North America, India, China and Europe.

The IGU made this pronouncement at its recent Executive Committee meeting held in Doha, Qatar on 26 March.