April 11, 2019: The country can save $1 billion per annum, once its oil import is replaced by Liquefied Natural Gas (LNG), which is significantly cheaper in the international
market, suggested a spokesman for the All Pakistan CNG Association (APCNGA), Ghiyas Paracha, here on Thursday.
He said the country was passing through tough economic situation, needed prudent approach and efficient alternatives to reduce its import bill.
“Replacing oil with LNG as the major source of fuel for country's transport and power sectors can make the major difference not only in terms of fuel cost, but also for environment in general,” he said.
According to the APCNGA official 400 mmcfd increase in the import of LNG may not only help save one billion dollars, but could be as good as planting four million trees to improve the environment.
“LNG, which is 44 percent cheaper than petrol may not only help achieve much required cut in import bill, but also streamline energy mix and provide much relief to the masses,” said Ghiyas Abdullah Paracha.
While appreciating the government's efforts to tackle environment-related challenges, he said fumes discharged by petrol and diesel run vehicles were major contributors to environmental hazards.
Suggestion to shift transport sector to compressed natural gas (CNG) and many of the oil run power plants, he said will require the country to import 400mmcfd of gas, equivalent to 156,00000mmbtu, will cost national exchequer US $1256million while the same volume of petrol which is almost five billion litres costs US $2275million.
Ghiyas Paracha reiterated that improved LNG import will help the government save US $5billion in five years with positive impact on the country's productive capacities in total besides improving employment rates.