While 2022 gas market saw a lot of noise due to the invasion of Ukraine and resulting cut in Russian supplies to world leading to concerns that perhaps the world would not have enough natural gas, 2023 was more a year of rebalancing. The markets have recovered to some extent albeit the fear of volatility in demand, supplies and prices, still linger. Some experts are of the opinion that given the big climate goals countries have set for themselves world over, a shift away from natural gas (given it is a fossil fuel) is certain and accordingly gas could see slower growth in coming years and the world transitions to alternate clean forms of energy. On the other hand, optimists or gas advocates are still hopeful of its return with large LNG liquefaction and regasification capacities being added or in pipeline which will only increase the trading capabilities and therefore, the gas consumption. Indeed, even if there is a transition towards cleaner energy, natural gas which can be implemented at scale could be the cheapest and lowest-carbon supporting candidate. With the right regulatory and infrastructural changes, natural gas can play a key role in decarbonising power supply in the coming decades, supporting the accelerated rollout of intermittent renewables through affordable and reliable grid balancing. It is growing its usage in transport sector as well - both for road transport as well as a marine fuel.
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