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KARACHI, March 11: Pakistan will have to import gas after six to seven years due to rising gap between the supply and demand.
This was stated by managing director, Sui Southern Gas Company Limited (SSGC), Mukhtar Ahmad in a meeting with the members of the Karachi Chamber of Commerce and Industry (KCCI) on Monday.
“There will be a gap between indigenous availability of gas and the pace of demand after six to seven years,” he said while highlighting options for Pakistan to import gas from Qatar, Iran and Turkmenistan.
The demand of gas, which was 2.7 billion cubic feet per day (bcfd), is set to rise up to 3.7 bcfd in 2005, followed by up to 3.7 bcfd in 2005, 4.2 bcfd up to 2010 and 4.6 bcfd up to 2015. As compared to this, the supply from various fields, which was 2.2 bcfd in 2000, will rise up to 3.1 bcfd in 2005, 3.4 bcfd in 2010 and 3.6 bcfd in 2015.
He said the gap between demand and supply will stand at 0.6 bcfd in 2005 as compared to 0.5 bcfd in 2000. The gap in 2010 will surge to 0.8 bcfd and up to one bcfd in 2015.
Mukhtar said the government is now reviewing terms and conditions with the producers of gas in order to enhance the gas production by increasing their drilling activity both in off-shore and on-shore areas.
He said the share of gas in primary energy mix can increase further from 47 per cent to 58 per cent if 800 mmcfd gas is imported by 2010.
The Petroleum Minister, Usman Aminuddin had already said at least one of the three proposed regional natural gas pipeline projects will become a reality as recent developments in the region, especially in Afghanistan, have made the viability of one of the projects.
The three projects are Iran-Pakistan-India Gas Pipeline Project (length 1,650 km), Qatar-Pakistan Gas Pipeline (1,600 km) and Turkmenistan-Pakistan Gas Pipeline (1,400 km).
On local issues, he said that the SSGC gives a discount of 7.5 per cent if consumers are ready to pay one year gas bill in advance.
SSGC is supplying 50 mmcfd of gas to captive power units on processing application of first come first served basis. A total of 12mmcfd of gas is being supplied to stations of compressed natural gas (CNG).
Senior General Manager, Commercial, M.H. Asif made a presentation on the SSGC.
Earlier, president A.Q. Khalil said that around 640 towns and villages are connected with gas and the number of consumers in cities has surged to over 1.6 million.
APP ADDS: The Managing Director of Sui Southern Gas Company (SSGC), said the company is planning to start the on-line collection of the gas bill, which will go a long way in saving the time of the consumers and enable them pay the bills conveniently.
He said SSGC is also working on a proposal to set up collection booths at the petrol pumps with a view to facilitate the general public for payment of the bills.
He said the SSGC is actively considering various proposals to offer different options to the industrial consumers including opening of letter of credit for 45 days, bank guarantee etc. The consumers with good track record for paying the bills in time, will also be given relaxations in regard to payment period and advance collection, he added.
He said that Pakistan has gas reserves to meet the existing demand for 22 years and saving US$ 3 billion per year.
