China’s move toward gas market reform

BOSTON CONSULTING GROUP | In December 2019, Russia’s Gazprom opened the “Power of Siberia” pipeline to China, to significant media and industry interest. The 8,100-kilometer-long pipeline has been a substantial undertaking and will significantly impact China’s gas market, providing up to 10% of China’s entire gas supply by 2022.


Equally important, though less high profile, was Beijing’s announcement during the same month of its long-awaited decision to create a holding company to own and manage the country’s oil and gas transmission and distribution infrastructure. This announcement is an important indicator that while the journey to natural gas market reform in China has been long and slow, progress is accelerating.


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