State-run Chinese oil and gas company China National Petroleum Corporation (CNPC) forecasts that the four Shaanxi-Beijing gas pipelines will supply 44.7 bcm in 2018, which will be 15.9% more than in 2017.
To cope with the increasing domestic demand for natural gas, new compressor stations are slated for commissioning so that the maximum transport capacity of the fourth pipeline will go up from the current 44 mcm/d (16 bcm/year) to 60.7 mcm/d (22 bcm/year) in May 2019 and 85.7 mcm/d (over 31 bcm/year) in October 2019. By then, the pipelines are expected to provide approximately 60% of Beijing's natural gas consumption requirements.
Chinese authorities are gradually replacing coal with gas as the primary energy source and according to the Beijing Pipeline Company, the daily demand for natural gas is expected to jump from 110 mcm/d (40 bcm/year) in 2018 to 130 mcm/d (47 bcm/year) in 2019.
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