The increasing demand for gas in Pakistan has forced the government to get the re-gasification capacity of the two private liquefied natural gas (LNG) terminals in Karachi increased to 1,500 million cubic feet of gas per day (mmcfd) from 1,200 mmcfd to ensure uninterrupted supply to domestic consumers on priority.
The situation may worsen in the upcoming winter, especially in Punjab, if agreements with the terminals are not signed for the purpose.
“At present, the Sui Southern Gas Company (SSGC) is providing 150 mmcfd to K-Electric. The company is utilising another 150 mmcfd to meet the demands of other sectors, which is leading to low supply of re-gasified liquefied natural gas (RLNG) to Punjab from 1,200 mmcfd to 900 mmcfd,” an official source in the petroleum ministry said.
“If this situation persists and the re-gasification capacity of the existing two LNG terminals is not increased from 1,200 mmcfd to 1,500 mmcfd on time, the situation will be very disturbing, especially for domestic consumers, in the upcoming winter,” he warned.
The country’s total indigenous gas production is approximately 3,000 mmcfd at present that includes over 2,600 mmcfd from Sui (Baloc¬histan) and parts of Sindh. Since Khyber Pakhtunkhwa’s local gas production ranges from 300mmcfd to 400mmcfd, the country is importing 1,200 mmcfd of LNG to meet the demands of Punjab, which generally remains in trouble owing to gas shortage.
When the demand for gas increases manifold across the country in winters, Punjab fares the worst as its total demand jumps to 2,300 mmcfd or so. Similarly, Sindh has also been experiencing shortages for the last couple of years due to a decline in indigenous gas exploration and consumption.
“Under the constitution, the province with indigenous gas reserves, exploration and production has the first right to use and meet its demand and then supply the rest to other provinces that have no such arrangements. So, the gas producing provinces of Balochistan, Sindh and KP first meet their demand and then provide the rest to Punjab,” the official explained.
The official said if Punjab did not get the full supply of 1,200 mmcfd of RLNG and around 1,300 mmcfd of indigenous gas, it would not be able to fully meet the demand of domestic consumers in the upcoming winter.
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