Abstract

About 30 years ago, the Japanese government decided to import LNG from other countries. Since then, the LNG trade in Asia has been growing rapidly. Electric utilities in Japan have cooperated with the major gas companies to construct LNG receiving terminals and to import LNG from foreign countries. In China, the government is planning to construct the country's first LNG terminal in Shenzhen, a municipality across the border from Hong Kong. The development of LNG projects will help overcome the problem of the security of supply of natural gas in South China. While mainland China can provide land and labour for the construction of LNG terminals, Hong Kong can provide capital and a market. China and Hong Kong can learn from Japanese experiences of introducing LNG for power generation, gas production and other non-utility uses.

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