China needs CNY 220 bn to develop gas industry by 2020

Mar 09, 2004 01:00 AM

China will need 220 bn yuan ($ 1 = CNY 8.28) to develop its natural gas industry by 2020, an official with the National Development and Reform Commission said.
Addressing the eighth International Conference on Northeast Asian Natural Gas and Pipelines held in Shanghai, Bai Rongchun, director of the NDRC's Energy Bureau, said the CNY 220 bn would be used to build 50,000 km of pipelines, LNG terminals and LNG transportation facilities.

By 2020, the country would need 200 bn cm of natural gas, two-thirds of which would be used in power generation and for home heating and cooking in residential areas, 80 bn cm more than the potential domestic supply.
Therefore, China was planning to import gas via pipeline from Russia, Uzbekistan, Turkmenistan and Kazakhstan, while importing LNG for coastal areas, said Bai.

The government is formulating a long-term plan to better explore and utilize natural gas to speed up national energy development, he said.
Meanwhile, it would improve regulations and laws and set up an open and fair environment for both domestic and overseas investors, he added.

Source: Dow Jones