ESG considerations in the use of LNG

An important elephant in the room in CO2 comparative emissions, between LNG and pipeline gas, needs to be factored into consideration for both countries’ and companies, in their ESG assessment. Some estimates place the liquification, marine transportation, and regasification of LNG, as having 10 times more CO2 emissions than regular pipeline gas. This is predominantly due to the high energy required in the compression and transformation from natural gas, into its liquid state.

COP27 Climate considerations, and the reluctance to accept what is happening around us, is no joke. By refusing the heel of the Russian boot on our throat in avoiding use of Russian natural gas, we are contributing to a significant increase in CO2 emission, for the same energy output level… LNG and natural gas produce the same CO2 once burnt, but the additional CO2 emissions required in the transformation from natural gas into LNG, has to be considered at the political and strategic level.

#esg #transformation #transportation #gas #pipeline #naturalgas #energy


Author: Damian Merciar

Damian Merciar is Managing Director of Merciar Business Consulting,, a niche business economics consultancy founded in 1998. He has over twenty years experience in the areas of commercial Business Strategy. He is experienced in the transition environments of nationalized to private sector state utilities and the senior practice of commercial management, advisorial consultancy, and implementation. He has carried out policy advisory work for government ministries and been an adviser to institutional bodies proposing changes to government. He holds an MSc Economics from the University of Surrey’s leading Economics department and an MBA from the University of Kent. Also attending the leading University in the Middle East, studying International Relations and Language, for which he won a competitive international scholarship, and has a BA (Hons) in Economic History and Political Economy from the University of Portsmouth. He is currently based in London.

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