Govt considers allowing private firms to directly import LNG: report
KARACHI: Pakistan is considering allowing power plants and other private companies to directly import liquefied natural gas (LNG) as it seeks to shore up energy supplies without adding to the strain on state finances, a person familiar with the matter said on Wednesday. According to a Bloomberg report, two of the country’s LNG import terminals have remained largely idle since March, when the…
Pakistan is contemplating a policy shift that could allow private firms to directly import liquefied natural gas (LNG), according to a report by Bloomberg. This move aims to bolster energy supplies without overburdening state finances, a person familiar with the matter revealed on Wednesday. The conflict in the Middle East has severely disrupted LNG shipments from Pakistan's primary supplier, Qatar, leading to two LNG import terminals remaining idle since March.
The existing regulations restrict non-state-owned entities from procuring cargoes from the spot market, with the Energy Ministry's petroleum division proposing a proposal to auction unused terminal capacity and permit private entities to import LNG directly. Pakistan GasPort Ltd, operating one of the terminals, has been advocating for non-state-owned companies to be permitted to import LNG.
The country is grappling with frequent power outages and fuel shortages due to the near-closure of the Strait of Hormuz, which has sharply reduced LNG deliveries. While Pakistan has been relying on spot market purchases to replace lost Qatari gas flows, prices have surged to more than double their pre-war levels, straining government finances.
Written by urgent.news from Business Recorder's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
This story
This is one outlet's version. Read the fullest account.
