The government has warned of an impending gas crisis in the nation due to a dramatic reduction in gas supplies and a gradually growing imbalance between demand and supply.
With each passing year, Pakistan’s gas reserves are declining by roughly 10 per cent annually in past years, according to DAWN.
Officials from the Public Accounts Committee (PAC) gathered to discuss the Petroleum Division’s annual report for 2019–20.
We cannot purchase the gas, according to Petroleum Secretary Ali Raza Bhatti, who spoke to PAC about the state of the market. Since the start of the war in Ukraine, gas prices have risen everywhere. Gas prices had increased by about 4% at the time.
According to Bhatti, Pakistan is considering purchasing gas from other nations as the prime minister just visited Qatar and held a private meeting where a request for extra cargoes was on the agenda.
Nevertheless, the government is currently thinking about importing gas from friendly nations. Previously, the nation got its gas from Qatar, but now it wants to get supplies from other friendly countries to make up for the deficit.
According to him, domestic consumers use the majority of the gas in Pakistan’s system, which is extensively subsidised by the government.
Qatar is the most dependable provider, it should be noted. According to the petroleum secretary, Qatar has continued to provide Pakistan with LNG at a rate of $15 per million British thermal units (mmBtu), down from the $60 per mmBtu it was previously charging from other nations, despite the market’s rising demand.
Sui Northern was also asked to provide information on defaulters in the Gas Infrastructure Development System by the PAC, which was led by Noor Alam Khan.
The committee instructed gas firms to take payment from late payers within seven days, and the government to cut off the defaulters’ connections right away.