As demand for clean fuels continues to rise, Taiwan is ready to expand its infrastructure to cope with the expected increase in liquefied natural gas (LNG) imports.

Local LNG demand is expected to increase from 18.61 million tons / year in 2018 to 30 million tons / year. Local industry officials have proposed plans to build up to seven new LNG receiving stations on the island.

The two LNG receiving stations currently in operation are in Kaohsiung and Taichung. Taiwan will build a third LNG receiving station, which will be located in Taoyuan, northwestern Taiwan, or will begin operation in early 2023. It is expected that its initial receiving capacity will be 1 million tons per year. According to Reuters news, the first phase of the LNG project has a receiving capacity of 3 million tons per year and will be used by Taipower.

Taiwan plans to import 10 million tons of liquefied natural gas per year by 2027, and Taiwan's PetroChina will continue to expand its existing receiving stations in southern Taiwan. CNPC Taiwan is currently the only LNG importer in Taiwan and has signed long-term procurement contracts with Australia, Qatar, Papua New Guinea and Malaysia. In order to diversify the sources of natural gas, in 2018, PetroChina Taiwan and the American Cheniere Energy Company signed a 25-year agreement, which will take effect in 2021.

PetroChina Taiwan is also considering the possibility of signing an LNG purchase agreement with Russia's Sakhalin Island, as the island's geographical location is very convenient for buyers.