KUALA LUMPUR: Gas and liquefied natural gas (LNG) are well-positioned to meet the global aspiration for affordable, secure and sustainable energy.
They are capable of addressing the intermittency issues of renewables play, Petroliam Nasional Bhd (Petronas) president and chief executive officer Tengku Muhammad Taufik said.
He said while fossil fuel was expected to experience a decline in demand in the short-term due to the pandemic, renewables were the only source that posted a growth in demand.
Tengku Taufik said this was part of the the emerging trend brought about by the accelerated pace of energy transition that has seen a greater focus on energy from clean and sustainable sources.
"As the push for low-carbon agendas to support the energy transition is becoming more widespread and pervasive, governments and industry players alike are responding with strategies to fulfill this aspiration.
"While science tell us that we need to reduce emission to limit climate change, the same science does not tell us exactly which path to take – nor did it say there is only one clear path to take. I believe everyone in this forum agrees that gas and LNG play an important role," he said at the 7th International Energy Forum-International Gas Union (IEF-IGU) Ministerial Gas Forum here today.
Tengku Taufik said gas remained on a rising trend of favourable growth outlook.
"We still believe that we are heading to a market which will consume 720 million tonne per annum (MTPA) by that time. The demand will be spurred by emerging markets particularly from Asia. Cheaper gas and LNG are the fuel of choice for many to embrace this energy transition," he added.
Meanwhile, Tengku Taufik said the new energy landscape had called for greater collaborations between producers, consumers and governments to ensure the ecosystem they create where gas is the preferred fuel of choice benefits all stakeholders.
"I believe strong and forward-looking energy policies combined with government support and intervention are the most pivotal key influencing factors for a conducive ecosystem that promotes cleaner energy solutions.
"In Malaysia, supportive policies by the government to liberalise the gas market continues to bear fruit with market-based pricing and third-party access being introduced to spur a more competitive gas marketplace in the country.
"As Malaysia's national oil company, we continue to work closely with policymakers and authorities in shaping the ongoing National Energy Policy and Natural Gas Roadmap that will ensure alignment of policy objectives to address the energy trilemma and grow the significance of cleaner energy use in the country," he said.