Indonesia May Issue LNG Import Licenses Amid Shortfall

Indonesia may issue LNG import licenses as the country is expected to face a shortfall of around ten LNG cargoes this year amid rising domestic natural gas demand, declining supplies and existing export commitments, analysts and market sources told S&P Commodity Insights.

• "If the plan is approved, import licenses will be issued to allow LNG imports," a source said.
• For 2024, we see a gap of about 10 cargoes which our gas supply may not be able to cover," the sources added.
• S&P Global forecasts a constant growth in Indonesia’s power consumption, expecting 333.63 TWh of demand in 2024, up 14.4 TWh from 2023 and 105.08 TWh from ten years ago.
• Indonesia exported 16.22mn tons of LNG in 2023, equivalent to 4.78% of the world's total LNG exports, S&P Global data showed.
• Indonesia is planning to produce around 250 LNG cargoes this year, compared with 213 in 2023, of which it plans to export 167-170 cargoes.