Factors influencing the natural gas price in Malaysia / Dian Shafiqa Fatanah

Natural gas is a vitally important source of energy for all sectors of the economy in Malaysia. There are several factors that influence supply and demand, such as storage of natural gas, seasonality, whether, production disruptions, and oil prices. The purpose of this study is to determine the main factor that influences the price of the natural gas in Malaysia. Furthermore, it is also conduct in order to identify the relationships between the independent variables (storage capacity, production disruptions, and oil price) and the dependent variables (natural gas price).

This study is using exploratory and descriptive research design. Moreover, the study is also use secondary data instead of primary data. There are two types of analysis in SPSS program that had been used in the study to analyze the data which is correlation and regression. In addition, this studies also using Microsoft Excel to calculate the data (to convert the natural gas price, storage capacity, production disruption, and oil price into percentage).

Throughout the study, oil prices have been validated as the most dominant factor that influences the natural gas prices. In addition, the oil prices have a positive relationship with the natural gas prices. From the overall findings, it can be concludes that the oil prices are the factors that most influence the price of the natural gas in Malaysia.