The recent launch of China’s national oil and gas pipeline company is a key step towards energy market reform, but still a long way from having any discernible impact on oil and gas markets.
While the National Oil & Gas Pipeline Network Group Co. announced on December 9 will comprise pipeline assets unbundled from the three state oil giants CNPC, Sinopec and the China National Offshore Oil Corp. or CNOOC, a tougher exercise lies ahead in formulating precise third-party access rules, appointment of the pipeline regulator and enforcement.
This is tricky because of the nature of China’s energy sector; the lack of a designated energy ministry means that
