Peninsular Malaysia's LNG demand was quite weak in 2016, falling by 28% from the previous year. The market consumed 1.0 mmtpa of LNG in 2016 (~17 standard LNG cargoes), compared to 1.7 mmtpa and 1.4 mmtpa in 2014 and 2015, respectively. This was driven by several factors. Gas demand from the power sector declined in 2016, following the start-up of large scale coal plants in Janamanjung and Tanjung Bin. At the same time, new gas supply from the North Malay Basin development and MTJDA's B17 started supplying the market. Will this weak demand improve going forward?