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Tokyo aims to start LNG imports from US in 2016

TOKYO, June 22 (KUNA) -- The Japanese government plans to hold talks with its US counterpart, hoping to begin importing liquefied natural gas (LNG) from the US in 2016, a major business daily here reported Friday.
The move is aimed at diversifying Japan's sources of fuel imports to lower the cost of thermal power generation amid an ongoing power shortage, the Nikkei Shimbun said.
The Ministry of Economy, Trade and Industry plans to present these targets at discussions with various ministries on June 27, and the plan to import US gas will be included in the government's revised Basic Energy Plan to be compiled in August, the newspaper said.
The government also hopes to begin importing LNG from the US for household use, starting in 2014.
Japan, the world's biggest LNG importer, has seen a rapid increase in LNG imports as it was forced to make up for lost nuclear power following the accident in March last year at the Fukushima Daiichi nuclear power plant. Japan recorded its first full-year trade deficit in 31 years in 2011, due in part to rising LNG imports.
Japan's energy policy is now focused on reducing LNG procurement costs, as the county has so far relied on more expensive sources of the fuel than those available in the US. (end) mk.hs KUNA 220938 Jun 12NNNN