ICST supports government decision to establish two more LNG terminals

Islamabad Chamber of Small Traders (ICST) on Tuesday said business community fully supports the government decision to establish two more Liquefied Natural Gas (LNG) terminals with the help of private sector which will shrink the energy shortfall to manageable limits.

The two new terminals at Port Qasim will have the capacity to process 1.6 billion cubic meters of LNG per day which will be a great development for our energy-starved country, it said.

The credit of properly introducing and bringing this economical and clean fuel to Pakistan goes to Shahid Khaqan Abbasi for which we are highly grateful, said Patron Shahid Rasheed Butt.

He said that government should reconsider the decision to abandon LNG terminal project in Gwadar as this will be a great industrial hub in the future which will require uninterrupted energy supply.

According to the Constitution, the province producing gas has first right over gas; therefore, abandoning LNG project would mean that industry in Gwadar will use local gas which will deprive other provinces of the natural gas.

He said that import of LNG and construction of more terminals is beginning of regular gas supplies which will reduce the gap between supply and demand of the energy triggering economic growth.

This is a great step by the government which is transforming national energy landscape by starting to balance energy mix which is very heavily tilted towards oil, he said.

The business leader said that local industry is pinning high hopes on the government to tame energy crisis to trigger growth.

He said that government should also explore the construction of gas pipelines through the private sector, expedite work on the south-north pipeline, and expedite development of the new terminals as the existing terminal can only handle three million cubic meters of chilled gas per annum.

LNG prices are already down due to oversupply; therefore, a mechanism to buy fuel should be made more transparent.