Australian Minister for Resources Madeleine King has said that more investment is needed in Australia's gas industry to ensure future supply for Australia and its allies, as concerns grow in Japan about the challenges of ensuring stable gas supplies as Canberra adapts its energy policy.
Speaking to Kyodo News in a phone interview Wednesday, King said that Australian liquefied natural gas is an essential component in maintaining Japan's energy security, and welcomed input from the country's government and its industry in planning Australia's gas policies to ensure stable regional energy supplies.
Japan imports more than 40 percent of its LNG from Australia. However, following a domestic shortage of LNG last year and Russia's war on Ukraine, changes to Australia's energy policies to secure domestic gas supply and reduce greenhouse gas emissions have stoked concern that exports to Japan could be restricted.
King stressed that Australia takes into account the energy needs of its international partners and that the measures have not reduced supply in any way.
"Part of our role in maintaining peace and security in our region is to provide that energy security to our long-standing and like-minded partners like Japan, and also to South Korea and to Singapore," King said.
The minister also anticipated that under a new partnership agreement signed last year, Australia and Japan will identify joint projects in areas such as critical minerals and rare earths "in the near future."
Australia considered restricting LNG exports last year amid a predicted shortfall in domestic supplies but chose not to after an agreement was reached with local gas producers.
Concerns were sparked once again in July after a law came into force in Australia requiring new LNG facilities to be carbon neutral, while facilities already in operation were required to lower their carbon emissions by 4.9 percent a year until 2030, when reduction requirements will increase further.
