Pakistan possesses vast resources of natural gas and recent discoveries are enough to meet the country's growing needs for next 25 to 30 years at least. The country is well positioned to take advantage of the growing demand of gas by using Liquefied Natural Gas (LNG).
These views were shared by the foreign experts at third "Pakistan Oil, Gas and Energy Conference (POGEE) on the theme of "Global Energy Requirements; Innovating for Regional Development" organised by Pegasus Consultancy, here on Thursday.
With the gas demand in Pakistan forecast to increase significantly over the next decade and indigenous production unlikely to keep pace, Pakistan is currently considering various gas import options to meet this demand.
While several gas import proposals are being considered, the experts pointed out, the LNG imports would play a major role in improving Pakistan's energy security through the diversification of its sources of gas supply for its growing economy.
The country has vast resources of natural gas and recent discoveries of gas reservoirs, which are enough to meet its needs for at least next 25 to 30 years. Therefore, there is a huge potential to reduce dependence on imported oil and improve the balance of payments and encourage the substitution of natural gas for conventional liquid fuels, the experts added.
As far as LPG sector is concerned, they cautioned that if current regulations get hold, investment in the LPG sector of the country would start drying up particularly in production.
"Industry de-regulation in 2000 led to inward investment of about $150 million in the LPG sector and more steps in this regard would result in a further $200 million of inward investment," they said. Despite all the problems in the LPG market today caused by pricing anomalies, the stage has been set for a take off in this sector.
Pakistan is experiencing the beginning of an exciting and dynamic period in the growth of the LPG industry and this growth is a harbinger of a better and more productive and prosperous period in the country's energy sector.
Earlier, Adviser to the Sindh Chief Minister for Alternative Energy and Environment Noman Sehgal inaugurated the conference. He said provincial government was taking various steps to facilitate the investors in the oil and gas sector.
"Pakistan is the second largest country having deposits of minerals, oil and gas. The energy sector plays a vital role in the growth of GDP of any country. The federal government also encourages foreign investment in this sector," he added.