Pakistan mulling COVID-19-like measures to cut fuel consumption

The Pakistan government is considering measures to conserve fuel consumption similar to those adopted during the coronavirus pandemic to ensure stability in supplies, the finance minister said as conflict in the Middle East disrupts supply chain.

Muhammad Aurangzeb said there was no risk of fuel shortage in Pakistan as the country currently has sufficient diesel and petrol stocks to last 28 days.

“We will fully utilize domestic oil and gas reserves,” he said, adding that there was no shortage of petroleum products in the country. However, he urged the public to adopt energy-saving practices as a precaution.

The prime minister has established a special committee to monitor petroleum products, the minister said. The committee is working on a daily basis and will make key decisions immediately if needed.

The minister said petroleum reserves were secured until the end of March and that authorities would regulate fuel supplies to maintain stability. Additional measures aimed at conserving energy are also under consideration.

“If regional tensions persist, we will take necessary steps to manage any potential impact,” he said.

Officials said pre-emptive imports in recent months helped build surplus reserves of petrol and diesel. Stocks were maintained above 25 days in January and increased to 28 days in February to cushion against possible supply disruptions.

However, two crude oil shipments destined for Pakistan have been delayed due to the closure of the Strait of Hormuz, a strategic 33-kilometer (21-mile) waterway through which about one-fifth of global oil supplies pass.

Officials said other scheduled imports were expected to arrive as planned and stressed that existing inventories were sufficient to meet domestic demand, with no immediate risk of shortages.

Earlier, the Petroleum Division instructed the Oil and Gas Regulatory Authority to ensure adequate availability of crude and refined products and to closely monitor imports of petrol, diesel and liquefied petroleum gas in light of the evolving security situation in the Gulf region.