Senate panel probes Pakistan's energy crisis

PRL urged to prioritise jobs for Balochistan residents

KARACHI:

The Senate Standing Committee on Petroleum has directed the Sui Southern Gas Company (SSGC) to submit a detailed report on available gas supplies and overall demand, while reviewing delays in new connections, low gas pressure and operational challenges facing Pakistan's energy sector.

The committee met at SSGC headquarters on Wednesday to discuss gas supply, refinery operations and geological survey activities, particularly in Balochistan, according to a press release issued by the Press Information Department (PID).

The meeting was attended by senators Umar Farooq, Quratul Ain Marri, Abdul Wasay, Rana Mahmoodul Hassan, Sardar Al-Haj Muhammad Umar Gorgage, Jam Saifullah Khan and Manzoor Ahmed. Special Secretary Energy Mirza Nasiruddin Mahmood, the SSGC managing director, senior Pakistan Refinery Limited (PRL) officials and the director general of the Geological Survey of Pakistan (GSP) were also present.

The SSGC managing director briefed the committee on delays in providing gas connections in Qila Mubarak Town, Quetta, and the reasons behind low gas pressure in the company's southern region.

The committee directed the company to furnish a comprehensive report detailing available gas supplies and overall demand. It also sought details of the Inland Freight Equalisation Margin (IFEM), particularly outstanding recoveries.

Reviewing PRL's operational difficulties, the committee was informed that the refinery was established in 1962 and its technology was originally designed primarily to process Iranian crude oil.

Officials said the refinery suffered financial losses between 2011 and 2018 following a decline in furnace oil demand. It shifted towards producing petroleum, oil and lubricants (POL) products in 2018, but the transition reduced its production capacity.

The refinery, with an installed capacity of approximately 38,000 barrels per day, is taking measures to address its losses but continues to face operational constraints, including a shortage of manpower.

The committee directed PRL to create employment opportunities for local residents of Balochistan and ensure recruitment in accordance with the province's allocated quota.

The GSP briefed the committee on its geological mapping programme, stating that survey and mapping activities were under way across approximately 19,200 square kilometres.