40% of Japan's long-term LNG contracts may contain inflexible supply clauses by 2030, hindering energy transition plans.

Japan's liquefied natural gas (LNG) buyers face challenges with inflexible supply contracts due to destination clauses that restrict resale. This uncertainty hampers commitments to long-term agreements. Takashi Uchida, Chairman of the Japan Gas Association, urges the government to assist in negotiating more favorable terms. Currently, about 40% of Japan's long-term contracts may still include these clauses by 2030, complicating the nation’s energy transition plans.

October 01, 2024
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