Islamabad: The government has announced a reduction in LNG imports to reduce costs in the energy sector and control financial pressure, while the volume of gas circular debt has reached about Rs 1,500 billion.
Additional Secretary Petroleum Zafar Abbas told the media that in view of the situation in the global market, two LNG cargoes have been transferred from Qatar per month and three from an Italian energy company, after which seven LNG cargoes will now come to Pakistan per month, which was ten earlier.
On this occasion, Federal Minister Ali Pervez Malik said that the gas circular debt is mainly owed to three state-owned gas production companies, while the flow of debt has been completely stopped except for late payment surcharges.
He further said that consultation with the industry has been completed for the upgrade of oil refineries so that fuel production at the local level can be improved.
According to energy experts, reducing LNG imports will ease pressure on the foreign exchange, but refinery upgrade and accelerating local production are essential to meet the needs of the industrial and power sectors.
