The long-term growth of liquefied natural gas demand in Asia has effectively reached an end following recent geopolitical conflicts, according to the authors of the newly released report. They argue that the previous justification for gas as a bridge to cleaner energy has been fundamentally undermined by the volatility and security risks associated with imported fossil fuels.
“The prospects for LNG demand growth in Asia are over,” the report states. “The bull case for LNG was that it would be Asia’s transition fuel: cleaner than coal, available at scale, and secure. That thesis is now much weaker.”
In the past, many experts believed that natural gas was the best intermediate step for Asian countries moving away from coal because it was considered reliable and relatively clean. However, the report explains that this idea has collapsed because gas is now seen as too risky and expensive compared to renewable energy like solar power. Instead of being a safe bet, relying on imported gas is now viewed as a financial burden that leaves countries vulnerable to sudden price spikes and supply cuts during international crises.
The report “The energy security fall-out: from fossil fuel fragility to electric independence” was published by the energy think tank Ember on March 18, 2026. It was prepared by a team of authors led by Daan Walter, Sam Butler-Sloss, and Dave Jones.
