Islamabad, Pakistan: Pakistan is suffering with sever energy crisis. The government has decided to continue the supply of power and fertiliser sectors because of which the gas supply of domestic and industrial sectors will be controlled in winter.
The decision was made by the Cabinet Committee on Energy (CCoE) during a meeting on Thursday which was chaired by Federal Minister for Planning and Development Asad Umar.
The CCOE decided supply of gas to “dedicated” consumers, including power and fertiliser plants, would remain stable, The News International reported.
The total availability of gas from domestic resources stands at 3,300 mmcfd, while with the import of RLNG, there is another 1,000 mmcfd gas coming into the system, the publication reported, citing official sources.
There is a maximum gas supply available in the range of 4,300 mmcfd against the average demand of 6,500 to 7,000 mmcfd. In the severe winter season, this demand goes up to 8,000 mmcfd.
Pakistan is on the verge of a massive shortage of gas and rationing due to depleting local gas reserves and the failure of the Imran Khan government to procure a sufficient quantity of LNG.
On November 1, energy minister Hammad Azhar had informed that the government has arranged 11 LNG cargoes for the month of November.
LNG trading companies have backed out of an agreement made with PLL to provide two cargoes for November for mammoth monetary gains of up to 200 per cent profit in the international spot market.
Pakistan’s cost of energy production has increased following an increase in fuel prices.
Almost two-thirds of the country’s electricity generation is based on fossil fuels, as per The Tribune.
The rise in crude oil prices have hit the highest in the last three years – USD 86 per barrel.
The energy crisis is worsening due to the rising cost of the LNG.