The Secretary of Petroleum informed the Senate Standing Committee on Petroleum that Pakistan may face a significant gas shortage following April 14 due to interruptions in LNG cargo supplies.
Currently, Pakistan possesses crude oil reserves enough for 11 days, diesel for 21 days, petrol for 27 days, LPG for nine days, and jet fuel (JP-1) for 14 days, as reported by the Secretary of Petroleum to the Senate Standing Committee on Petroleum on Monday, amid the ongoing conflicts in the Middle East.
The Senate Standing Committee on Petroleum convened under the leadership of Senator Manzoor Ahmed and received updates on the regional situation and its consequences on Pakistan’s energy supplies.
The Secretary of Petroleum indicated that nearly 70 percent of Pakistan’s petroleum products are imported from the Middle East.
However, the ongoing conflict has disrupted shipping routes and supply chains.
He informed the committee that the price of high-speed diesel has surged from $88 to $187, while petrol prices have escalated from $74 to $130.
Delivery of oil shipments faces delays amid Middle East conflict
Typically, oil shipments from Arab nations arrive in Pakistan within four to five days. However, cargoes routed through the Red Sea are now taking approximately 12 days.
Gas authorities also provided the committee with an overview of an emergency supply plan, indicating that the overall gas supply is anticipated to decrease from 683 mmcfd to 672 mmcfd.
To address shortages, the government is contemplating increasing gas supply for domestic consumers while curtailing supply to the commercial sector, process industries, and captive power plants.
The Secretary of Petroleum further informed the committee that the government has resolved to allocate a subsidy of Rs23 billion, derived from savings achieved through its austerity measures.
This subsidy will be made available to approximately 30 million owners of motorcycles and rickshaws, and it will be distributed to qualified beneficiaries utilising data from the Benazir Income Support Programme.
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