Home »Business and Economy » Pakistan » Good management prescribed to end gas crisis
President of Federation of Pakistan Chambers of Commerce and Industry (FPCCI) Engr Daroo Khan Achakzai emphasised the need for good management and proper distribution to end the gas crisis. "Installation of illegal compressors and rampant theft resulted in huge transmission and distribution losses of natural gas in Pakistan which is estimated 13-15 percent of total consumption," he said.

FPCCI president expressed concern over gas crisis in Pakistan citing that a large number of factories in Punjab and Sindh had suspended their production activities due to gas shortage. He apprehended that the situation could lead to failure in achieving the exports target US$ 40 billion in FY19.

He said that power sector is the largest consumer of gas followed by domestic and fertiliser sector and the current demand-supply gap has reached 2,500-3000 mmcfd because local production of gas depleted to less than 4,000 mmcfd. He said this huge gap not only affected the industrial sector production but also created problems for the domestic sector.

Daroo Khan said Pakistan meets its 18-20 percent of its total requirement through RLNG. He said natural gas indigenous supplies contributes 38 percent in total primary energy supply mix of Pakistan while this is just 6.5 percent in Indian energy mix supply whereas India largely uses hydel, coal and oil for energy production and large portion of its natural gas is used for industrial production.

He noted that Sindh is the major producer and consumer of natural gas but doesn't get its complete share. He said it produces 56 percent of total gas supply (including RNLG) but uses 43 percent while Punjab produces just 3 percent and uses 47 percent, KP province produces 12 percent and uses 7 percent and Balochistan produces 13 percent and consumes 2 percent.

Copyright Business Recorder, 2019


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