ISLAMABAD: Pakistan is in advanced negotiations with Qatar for the supply of at least four liquefied natural gas (LNG) cargoes, as the country grapples with an escalating electricity shortfall ahead of peak summer demand.
According to sources, the requested cargoes are expected to transit through the strategically critical Strait of Hormuz, where global energy shipments were disrupted last month heightened tensions in the Middle East. The crisis was triggered by the US-Israel strikes on Iran, followed by retaliatory actions from Iran targeting fuel infrastructure in Gulf states hosting U.S. assets.
In response to the evolving situation, Qatar had declared force majeure on its LNG contracts, including supplies to Pakistan, leading to a significant disruption in fuel imports. Several LNG cargoes were reportedly stranded near Hormuz, with estimates suggesting 25–30 shipments awaiting clearance.
Amid mounting criticism over early-season load shedding, Pakistan’s Power Division has urgently requested the Petroleum Division to arrange approximately 400 million cubic feet per day (mmcfd) of LNG to sustain electricity generation. The move aims to ensure uninterrupted supply for both national grid operations and the K-Electric network.
Officials warn that electricity demand is expected to surge beyond 28,000MW during peak summer months, while current supply remains significantly lower. LNG-fired power plants—particularly those in Punjab with a combined capacity of around 6,000MW—are considered vital for maintaining grid stability and meeting rising demand.
The Power Division has emphasized that any disruption in regasified LNG (RLNG) supply would force reliance on expensive alternatives such as high-speed diesel (HSD) and furnace oil. Generation costs using HSD, previously exceeding Rs45 per unit, are now estimated to have surged beyond Rs80 per unit amid volatile global oil prices.
Prime Minister Shehbaz Sharif recently concluded a diplomatic visit to Qatar as part of broader efforts to ease regional tensions and secure energy supplies. Technical teams from both countries remain actively engaged in finalizing the LNG arrangements.
Authorities stress that timely procurement of LNG cargoes will be critical to avoiding prolonged power outages, containing fuel cost adjustments, and ensuring stable electricity supply during the high-demand summer season.
Story by Khaleeq Kiani
