Gas is the cheapest source for the power generation : Shahid Khaqan Abbasi

Lahore : Federal Minister for Petroleum and Natural Resources Shahid Khaqan Abbasi has said that the world has entered into a golden age of gas which has emerged as the most import fuel and Pakistan’s future is also linked to the gas.

Now gas is the cheapest source for the power generation overtaking hydel power therefore dozens of countries are converting their power plants on gas, he said.

Talking to President FPCCI Abdul Rauf Alam, he said that quick import of gas from Iran and Turkmenistan is not possible while local production has remained stagnant since last fifteen years therefore we decided to import gas.

Shahid Khaqan Abbasi informed that the number of LNG terminals and regasification plants is being increased to tame energy crisis, adding that hydel power is costing three time more than gas-based power production under the current oil prices.

He said that only two countries Pakistan and Somalia are using RON 87 grade petrol while we continue to import world’s dirtiest diesel but situation will change from January 2017 as well will start importing diesel of Euro 2 standard.

The minister said that Kuwait is a major oil producing country which is using imported LNG for production of electricity while Pakistan is producing 8000 megawatt of electricity from fuel.

At the occasion, President FPCCI Abdul Rauf Alam said that deregulation of CNG prices is a very wise decision of the government which will revive CNG industry.

CNG business can become viable when the price difference with petrol is twenty percent minimum, he said adding that CNG is being sold in litres and kilograms across Pakistan needing standardisation.

We unconditionally support the initiatives of the government to increase the percentage of gas in the national energy mix, said Alam.