Petroleum Minister Seeks Data on Captive Consumers Shifted to Grid

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ISLAMABAD: Federal Minister for Petroleum Ali Pervaiz Malik has requested detailed data from Power Minister Sardar Awais Ahmad Khan Leghari regarding captive power consumers who have shifted from gas-based generation to the national electricity grid.
Sources in the Petroleum Division of Pakistan told Business Recorder that the data is required to prepare recommendations for the International Monetary Fund (IMF) concerning the captive power levy imposed on industrial gas consumers.
According to officials, the Petroleum Division’s team had earlier requested power uptake data for captive power plants (CPPs) that were encouraged to move to grid electricity following the introduction of the levy. However, the information — covering the period since February 2025 — has yet to be provided.
The petroleum minister has now formally requested the Power Division of Pakistan to share customer-wise data on industries that have transitioned from gas or re-gasified liquefied natural gas (RLNG) to the grid in order to finalize the necessary documentation for discussions with the IMF.
Earlier correspondence sent to the Petroleum Division referred to a reconciliation exercise conducted by Sui Northern Gas Pipelines Limited and Sui Southern Gas Company in coordination with power distribution companies and K-Electric.
The exercise assessed the use of gas and RLNG by captive power plants against their sanctioned electricity load, and revealed that most captive power plants already had grid connectivity along with the required sanctioned load capacity.
To verify the transition from gas-based captive generation to grid electricity, the Power Division has been requested to provide detailed plant-wise data, including the utilization of sanctioned or newly approved loads by each captive power plant with the respective distribution companies and K-Electric.
The Petroleum Division has also sought information on the incremental electricity sales revenue generated as a result of these captive consumers shifting to the grid.
Officials say the data will help the government evaluate the impact of the captive power levy and strengthen its case in ongoing discussions with the IMF regarding reforms in Pakistan’s energy sector.

Story by Mushtaq Ghumman

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