Abstract
This paper concentrates on the demand side of the natural gas markets. It discusses major issues influencing the penetration of natural gas in energy markets. First, a brief overview of the historical and future role of natural gas is presented. Next, the natural gas demand is discussed in conceptual terms. This is followed by projections of gas demand developed by the International Energy Agency, showing briefly the methodologies available and presenting an illustration of a method for projecting natural gas demand in Western Europe. Finally, the major factors that will influence natural gas penetration are assessed.
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