Significant natural gas infrastructure investment in developing countries is estimated at between $35 and $55 billion per year, according to a recent Global Gas Report released on Monday.
The report published by International Gas Union and The Boston Consulting Group says natural gas is expected to grow from the current 22 percent to over 24 percent of the global energy mix by 2035.
In addition, "more than 90 percent of projected global gas consumption growth to 2040 is likely to come from cities," the report says.
The report highlights that the strong increases in gas demand in 2017, increasing market liquidity and availability, in addition to the growing LNG market would continue strong growth provided the industry focuses on three core levers - cost competitiveness, security of supply and sustainability.
Meanwhile, preliminary data suggested that in 2017, global gas consumption experienced its strongest growth in over a decade at 3.7 percent year-over year – more than double the average growth rate of the five years earlier.
This year’s report includes a special feature on the role and opportunities for gas in cities to combat air pollution, green gas house (GHG) emissions and to focus on heat intensity and scalability.
"The report calls for collaboration and conversation across the entire gas value chain, policymakers, and other key stakeholders, to properly recognize and address the opportunities – and challenges – facing the industry," the report stated.
By Gulsen Cagatay