A major trend in the global energy landscape today is the ongoing recalibration of supply chains, driven by shifting geopolitical dynamics. Nations are increasingly recognizing that energy security extends beyond basic supply and demand; it is intrinsically linked to political stability, international relations and economic resilience.
Recent conflicts near major oil and gas producers have exposed vulnerabilities in existing supply chains, prompting urgent reassessments of national energy strategies. The Strait of Hormuz, for example, through which 20% of global oil and a significant share of LNG flows, has once again become a flashpoint. Iranian threats to disrupt this 33-kilometre chokepoint sent freight rates soaring 55% month-on-month, disproportionately impacting price-sensitive South Asian economies such as Pakistan and Bangladesh. Though a temporary ceasefire has provided some relief, it underscores the need for diversified, resilient energy sources.
Liquefied natural gas (LNG) has emerged as a critical buffer in this new energy equation, offering both security and flexibility. It enables rapid response to supply shocks and supports energy transitions by displacing more carbon-intensive fuels like coal. In regions such as South Asia and South-East Asia, home to fast-growing populations and rising energy demands, LNG is playing an increasingly central role.
The United States leads global LNG exports, followed by Australia and Qatar, which together account for around 60% of the global supply. US capacity is set to reach 16.4 billion cubic feet per day by 2026, driven by expansions at Corpus Christi and Golden Pass.
Since 2019, the US has been responsible for over half of all global LNG liquefaction project FIDs (final investment decisions), with Qatar contributing nearly 20%.
In South Asia, LNG is gradually reducing coal dependency. India, with seven operational LNG terminals, expects demand to increase by 60% by 2030, driven largely by gas-fired power and the transportation sector. Thailand is expanding its LNG infrastructure to meet the needs of the power sector, while Bangladesh relies on floating storage and regasification units to increase capacity.
Pakistan’s energy story reflects LNG’s transformative potential. In response to severe power shortages in the early 2010s, the country developed LNG import terminals with a regasification capacity of 1.35 billion cubic feet per day. By 2023, Pakistan’s LNG imports reached 8.7 billion cubic metres (approximately 6.5 million metric tons), making up 42% of its energy mix.
However, recent economic challenges, lower demand and a growing off-grid renewable shift have led to a reduction in imports, with Pakistan delaying cargoes from Eni and QatarEnergy. Despite this, long-term growth is expected, especially if infrastructure is upgraded and contracts renegotiated. Projects like the Turkmenistan-Afghanistan-Pakistan-India (TAPI) pipeline could further support energy access, particularly in underserved regions.
Elsewhere in Asia, LNG continues to prove its value. In 2023, LNG supported 30% of Thailand’s electricity generation. In Indonesia and Vietnam, similar trends point to LNG’s importance in managing peak demand and integrating renewables.
Beyond supply security, LNG also supports decarbonization. Natural gas emits roughly half the CO₂ of coal per unit of energy. India aims to increase the share of gas in its energy mix from 6% in 2020 to 15% by 2030. Meanwhile, low-carbon technologies are enhancing LNG’s sustainability credentials. Australia’s Gorgon project captures over 4 million tons of CO₂ annually. In South Asia, Japan’s JOGMEC is partnering with regional stakeholders to pilot CCS (carbon capture and storage) in gas-fired plants. India’s Kakinada green hydrogen initiative also leverages LNG infrastructure to scale low-carbon fuels.
While long-term LNG demand is strong, short-term price volatility remains a concern. A potential global oversupply of 63 million tons by 2030 may stabilize prices, but 2025 could see further fluctuations due to limited supply additions and continued geopolitical risks. As such, investing in flexible infrastructure and long-term partnerships will be key for countries seeking energy security and climate resilience.
Gastech 2025, to be hosted in Milan in September, and Gastech 2026 in Thailand, will continue to serve as vital global platforms for the energy industry. It comes at a pivotal time for Asia, where energy demand is rising rapidly, and the need to balance affordability with sustainability is critical. As the centre of gravity shifts east, Gastech will spotlight Asia’s role as a proving ground for scalable, flexible solutions, from LNG and CCS to breakthrough technologies like direct air capture, unlocking new opportunities for global collaboration and investment.
The region’s rising demand, diverse markets and urgent energy needs make it a prime landscape for innovation, particularly in LNG and next-generation climate technologies. Gastech 2025 will bring global leaders together to set the stage, offering a critical forum for cross-regional dialogue on how different parts of the world are adapting, and collaborating, to meet shared challenges and seize emerging opportunities.
These themes were front and centre at the World Economic Forum’s Annual Meeting of the New Champions, recently held in Dalian, China. Often dubbed “Summer Davos”, the event brought together over 1,500 leaders from government, business and academia across 80 countries. The forum underscored Asia’s increasingly pivotal role in driving climate investment, deploying new technologies and reshaping global energy dynamics, affirming that the energy transition is no longer a Western-led agenda, but a truly global undertaking.
As platforms like Gastech and WEF continue to convene leaders from across sectors and regions, their role in fostering cross-border collaboration, policy alignment and innovation in energy becomes even more essential. LNG, while not a silver bullet, stands out as a strategic bridge fuel in this transition. Its flexibility, relatively lower carbon footprint and compatibility with technologies like CCS and hydrogen make it a key enabler of energy resilience and decarbonization, especially in fast-growing, energy-hungry regions.
Ultimately, as global tensions persist and energy systems face mounting pressures, nations must recalibrate with agility and foresight. Ensuring energy security while meeting sustainability goals demands coordinated investment, bold policy and shared ambition. The path forward is complex, but through collaboration, innovation and a commitment to resilience, the global energy community can turn today’s uncertainty into tomorrow’s opportunity.
Source: World Economic Forum