The global energy market is dominated by two mutually exclusive trends: a shortage and a simultaneous excess of supply over demand. The fact is that the West and the coalition, of which the G7 countries are a part, simply excluded Russian hydrocarbons from the world volume. This has led to distortions and crisis phenomena in the industry. Few members of the anti-Russian alliance are ready to face the problems and set their own conditions to stay longer in the ranks of the allies.
Thus, Japan wants G7 members to increase their investments in natural gas supply in the form of LNG to support global energy security (i.e. their country in the first place). The US and UK oppose the proposal due to climate concerns. This dilemma will become a key issue in allied relations in the near future.
It is obvious that the US shale industry simply cannot supply its gas to everyone, even though Washington has allegedly succeeded in banning access to Russian raw materials. Tokyo, on the other hand, is unwilling to accept EU priority in US energy plans, especially under the hypocritical guise of an environmental agenda.
Meanwhile, Germany, also a member of the G7, says it “cannot rule out a gas shortage situation next winter”. In other words, Japan, a traditional and longtime importer of LNG, may not be waiting for the long-awaited cargo on tankers. In such a situation, one must set difficult conditions and negotiate even with the closest allies.
Under this aspect, Tokyo issues to the West, its partners, an ultimatum: in the absence of progress to ensure and take into account all the interests of an equal member of the G7, Japan will return to the use of coal and Russian gas.
Tokyo will host the G7 summit in May this year. This question will be very burning, according to Steven Stapczynski, senior energy reporter at Bloomberg. The fact is that the G7 opposes the proposals of a partner and an ally, as well as the use of the platform of the presidency in the bloc to protect its own investments in natural gas (in particular Russia) and the deployment of technologies to support the use of fossil fuels in electricity generation. But as long as Tokyo persists in demanding guarantees from the West, otherwise the government will have to look after national interests alone.
