Power crisis feared across country in end of June

ISLAMABAD, (June 21, 2021): Pakistan may face another severe power crisis due to shortage of Re-gasified Liquefied Natural Gas (RLNG), furnace oil and water from June 29 to July 5, 2021, it was learnt. This shortage may trigger power crisis across the country.

Though the Cabinet Committee on Energy (CCoE) has not approved a proposal on withdrawal of Engro’s LNG terminal for dry-docking, the concerned organisation has not booked required cargoes of LNG for one week, forcing decision makers to spend sleepiness nights, Business Recorder reported quoting the reliable sources.

The National Power Control Centre (NPCC) had requested Sui Northern Gas Pipeline Company Limited (SNGPL)/ Petroleum Division to supply 900 MMCFD RLNG in July 2021. However, only 300 MMCFD RLNG has been pledged to be made available but still no confirmation has been made from the gas utility, which implies that even the supply of 300 MMCFD – one third of demand – is still not ensured report said.

The sources said stocks of furnace oil are also not sufficient as per requirement to run furnace-oil fired power plants. The sources said the country is expected to face shortfall of 3,000MW from June 29, to July 5, 2021, due to the fuel crisis, which implies massive load-shedding will be witnessed across the country.

The government has already faced severe criticism due to massive load shedding during the first week of the current month. National Electric Power Regulatory Authority (Nepra) summoned top officials of Discos and K-Electric and grilled them for load shedding.

The government, sources said, may stop or curtail natural gas supply to the industry, fertiliser sector and CNG sector and divert it to the power sector, but final decision has not been taken in this regard.

On June 2, 2021, NPCC officials who attended Nepra hearing on FCA for April 2021 argued that LNG was not available for plants as per the agreed schedule due to which expensive plants were operated. They also claimed that SNGPL does not supply LNG at the time of peak demand. For June, SNGPL has not met LNG demand.