Japanese companies form carbon-neutral LNG buyers alliance

A total of 15 Japanese companies have come together to form a carbon-neutral liquefied natural gas (CNL) buyers alliance.

The alliance was established together by Tokyo Gas as an importer and supplier of carbon-neutral LNG, and the remaining companies as buyers.

The aim of the alliance is to spread the use of CNL, Tokyo Gas said in its statement on Tuesday.

Choosing carbon-neutral energy is an important solution that will contribute toward tackling climate change and the sustainable development goals, as well as directly lead to ESG management.

The companies participating in the alliance will work to increase the recognition of CNL in society and carry out initiatives to improve its evaluation by investment institutions and establish its position within the various systems in Japan with the aim of contributing toward Japan’s achievement of a carbon-neutral society by 2050, the statement reads.

Tokyo Gas further noted that CNL is a type of LNG that offsets greenhouse gases, which are generated in the process, from extraction to the burning of natural gas, and that carries a carbon credit (carbon offsetting). Thus, it is deemed to be carbon neutral on a global scale even when burned.

Tokyo Gas began importing CNL in 2019 and became the first company in Japan to supply it to customers as carbon neutral city gas.