ISLAMABAD: Prime Minister Shehbaz Sharif has underscored the importance of modernizing Pakistan’s oil refineries, saying that upgrading existing refining infrastructure is critical to strengthening the country’s energy security, reducing dependence on imported fuels, and ensuring the production of cleaner, environmentally friendly petroleum products.
Chairing a meeting of the Cabinet Committee on Energy on Tuesday, the Prime Minister approved proposed amendments to the Pakistan Oil Refining Policy 2023 for brownfield refineries. The revised policy is designed to encourage investment in refinery upgrades, enhance domestic refining capacity, and facilitate the production of Euro-5 compliant petrol and diesel, in line with international environmental standards.
Officials briefed the committee that upgrading existing refineries would significantly improve production efficiency while reducing the output of furnace oil and other low-value petroleum products. The transition to Euro-4 and Euro-5 fuels will help Pakistan meet its environmental commitments, curb air pollution, and provide consumers with higher-quality fuels.
Prime Minister Shehbaz Sharif directed the introduction of reforms within the Oil and Gas Regulatory Authority (OGRA) to improve regulatory performance, strengthen market competition, enhance transparency, and attract greater investment in the energy sector.
Emphasizing the need for swift implementation, the Prime Minister instructed all relevant ministries and institutions to ensure the timely execution of the revised policy, warning that delays or negligence would not be tolerated. He also directed authorities to maintain close coordination with industry stakeholders to accelerate the reform process.
Reaffirming the government’s commitment to sustainable energy sector reforms, the Prime Minister said Pakistan would continue promoting modern technologies and creating an investment-friendly environment for both local and international investors.
To attract foreign investment, he directed the Petroleum Division to organize investment roadshows in Qatar, Saudi Arabia, and other Gulf countries to showcase opportunities under the amended Pakistan Oil Refining Policy for brownfield refinery projects.
The Prime Minister also commended Petroleum Minister Ali Pervaiz Malik and his team for their work in finalizing the policy amendments. Additionally, he instructed the relevant authorities to enhance Pakistan’s strategic petroleum reserves to strengthen the country’s energy resilience.
The meeting reviewed progress on refinery modernization, broader energy sector reforms, and implementation of the revised refining policy. It was attended by Federal Ministers Ahad Khan Cheema, Muhammad Aurangzeb, Ali Pervaiz Malik, and Ahsan Iqbal, along with senior government officials and federal secretaries.
