Utility Tokyo Gas Co. Ltd. has joined forces with 14 other Japanese city gas end-users to form an alliance dedicated to buying and promoting carbon-neutral liquefied natural gas (LNG). 

The Carbon Neutral LNG Buyers Alliance plans to promote awareness for decarbonized cargoes, which, unlike traditional shipments, offsets emissions with credit purchases that fund worldwide environmental and renewable energy projects. Tokyo Gas spearheaded the alliance’s formation. The group also plans to push investment institutions to evaluate carbon-neutral LNG and promote its use throughout Japan.

Japan is the world’s largest LNG importer. The country took in nearly 77 million tons of the super-chilled fuel in 2019, or more than 20% of all global imports, according to the International Group of Liquefied Natural Gas Importers. 

The alliance said its efforts would also aid in Japan’s goal of achieving carbon neutrality by 2050, which was announced late last year. Members include Isuzu Motors Ltd., Sakai Chemical Industry Co. Ltd. and Toshiba Corp. 

The announcement is the latest in a series across the global gas industry aimed at appeasing rising demand for cleaner energy products as governments and industries look to curb their environmental footprints. In the LNG sector, supply contracts, cargo deliveries and new liquefaction plants are all being geared toward the energy transition. 

Tokyo Gas began importing carbon-neutral LNG in 2019 and became the first company in Japan to supply customers with the differentiated product.