Pakistan Considers Direct LNG Imports by Power Producers Amid Supply Disruptions

The Pakistani government is considering allowing power producers to directly import liquefied natural gas (LNG) using idle capacity at existing terminals, as the country struggles with gas shortages and electricity outages.

The Petroleum Division has proposed amendments to the existing policy framework to allocate unutilised LNG terminal capacity to power plants for their own consumption.

This move comes amid increased pressure on gas supplies following disruptions to LNG shipments through the Strait of Hormuz due to the US-Iran conflict, which has forced Pakistan LNG Limited (PLL) to arrange spot cargoes at significantly higher prices.