AsianOil: Pakistan seeks unrealistic answer in TAPI to acute energy crisis

Pakistan is one of the countries that has most acutely felt the global energy crisis. The country’s ageing power grid and significant reliance on hydropower mean that rolling blackouts and heating shortages are problems that date back years. But its problems have been far more acute over the past year, amid major droughts combined with soaring LNG prices.

Islamabad embraced LNG a decade ago as a means of supplying then-cheap and readily available energy that could help wean the country off from dirtier sources such as fuel oil, and built two floating regasification and storage terminals (FSRUs). But while that strategy benefited Pakistan for years and will do so again, the current high price of gas has made the fuel largely unaffordable, because the country also decided to rely significantly on spot purchases from the market.

With its currently limited finances, Pakistan simply cannot afford the super-chilled fuel.

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