15:54 19-12-2014
MAIN Russian
About us On-line subscription
KazakhstanTajikistanUzbekistanKyrgyzstanTurkmenistanWorld
POLITICSBUSINESSINCIDENTSSOCIETYCULTURESPORTANALYSISSCIENCE
Japanese lawmakers to lobby Abe for Russian gas pipeline

Bishkek (AKIpress) - Japanese lawmakers are reviving efforts for a 600 billion yen ($5.9 billion) natural gas pipeline from Russia, which last week signed a supply deal with China, to cut energy costs after the Fukushima nuclear disaster, Bloomberg said.

A group of 33 lawmakers is backing the 1,350-kilometer (839 miles) pipeline between Russia’s Sakhalin Island and Japan’s Ibaraki prefecture, northeast of Tokyo, Naokazu Takemoto, the secretary general of the group, said in an interview on May 23. He plans to propose the project to Prime Minister Shinzo Abe as early as June so it’s on the agenda when Russian President Vladimir Putin visits in autumn, he said.

The shutdown of Japan’s nuclear reactors after the 2011 Fukushima disaster has spurred renewed interest in the Russia-Japan pipeline link, which has been discussed for more than a decade, Takemoto said. The effort also highlights Russia’s expanding role as a energy supplier to Asia after the country signed a $400 billion deal last week to sell China 38 billion cubic meters of gas annually for 30 years.

Japan spent a record 7 trillion yen last year on liquefied natural gas imports, more than double the cost three years ago, according to the Ministry of Finance. The country could lower its energy bill by getting gas directly by pipeline rather than more-expensive LNG, which is shipped by tankers, Takemoto said.

“Building an LNG plant requires a lot of money and makes the per unit cost of gas very expensive,” said Takemoto, who serves in the House of Representatives as a member of the ruling Liberal Democratic Party. “Japan would be better off” buying gas via pipeline, he said.

The Russia-China accord for gas supplies by pipeline from eastern Siberia was probably reached at a price of $10.50 to $11 per million British thermal units, Bank of America Corp. said in a report yesterday. That compares with a current spot price of $13.30 for liquefied natural gas cargoes delivered to Northeast Asia. Spot LNG prices are at a 19-month low after falling from a record of $19.70 in February, according to data compiled by Bloomberg from New York-based Energy Intelligence Group.

While Japan could buy Russian gas at a cheaper price similar to the China deal if the pipeline is built, Russia would also benefit from the project, said Osamu Fujisawa, a Tokyo-based independent energy economist.

“Russia wants to extend its market,” Fujisawa said in a phone interview today. “It made a deal with China, and Japan is the next target. Then, Russia doesn’t have to rely on Europe,” which is trying to reduce dependence on the country’s gas supplies amid the crisis in Ukraine, he said.


Twitterfacebookprint
11:38 28.05.2014
LATEST NEWS
15:33 First Vice PM offers Kyrgyz farmers to take advantage of weakening ruble15:28 Turkey, Kazakhstan to build thermal power plant15:08 Peoples' Assembly of Kyrgyzstan celebrates 20 years15:01 Foreign trade turnover of Tajikistan makes up $4.8 billion in 2014 - authorities14:59 Farmers of Kyrgyzstan receive agricultural machinery14:50 Pakistani military strikes targets in northwest following school massacre, dozens of militants dead14:45 Government increases number of citizens eligible to form a political party 12 times14:44 HRW: Uzbek government should free everyone imprisoned on politically motivated charges under its Constitution Day amnesty14:37 Coalition of human rights: World Bank should investigate whether bank projects contributing to forced labor in Uzbekistan14:20 Tajikistani Amonatbonk signs new loan accord with China Development Bank14:03 Former head of Amanbank's branch detained for 10-mln-som embezzlement13:51 Illegal donations to political parties to be confiscated13:38 SDPK faction approves amendments to law prohibiting creation of parliamentary groups13:36 Turkmenistan increases electricity tariffs more than twice13:25 Prime Minister threatens to fire leaderships of public regulators preventing business development13:20 Video surveillance cameras to be installed along Bishkek-Osh road13:19 Asia stocks boast biggest rise in 15 months, BOJ brightens13:04 Government reviews budgetary law principles for Safe City project implementation13:00 Civil Aviation Agency studies flight safety of Kyrgyz airlines with representatives of European Commission12:44 Exchange offices should operate within banking system – Union of Banks
Astana
-8° C
Ashgabat
+11° C
Bishkek
+4° C
Dushanbe
+4° C
Tashkent
+6° C
exchange rates
 
71.02
57.60
9.31
0.97
224.34
182.05
29.30
3.01
6.47
5.24
0.84
0.09
2984.62
2409.67
388.81
45.20
3.51
2.85
0.46
0.05

© AKIpress News Agency - 2001-2014
Use of the AKIpress.com materials must be accompanied by a hyperlink to www.akipress.com
Our address:
Moskovskaya str. 189, Bishkek, the Kyrgyz Republic
e-mail: english@akipress.org, akipressenglish@gmail.com;
Tel/Fax: +996(312)90-07-75