ISLAMABAD: The gas crisis is set to worsen in February as ENI, an LNG trading company, has backed out of the LNG cargo which was scheduled to arrive on February 6-7, 2023, a senior official of the Energy Ministry confirmed to The News.
The gas deficit will soar as imported LNG will reduce to 700 mmcfd as only five cargoes, at the price of 13.37 percent of Brent, and 2 cargoes, at 10.2 percent of Brent under GtG agreements with Qatar, would be available in February. There will be no LNG cargo from ENI at the cost of 12.14 percent in the month of February. And this will increase the gas crisis in the country.”
The top mandarins of Petroleum Division are perturbed over the development as people are already facing a gas crisis. In some pockets of the main cities of the country, gas has become a rare commodity even at the time of cooking and where it is available, there is little pressure.
The government under its gas load management plan promised gas supply to domestic consumers for cooking times in winter — three hours in the morning from 6 am to 9 am, two hours from 12 noon to 2 pm for lunch, and three hours from 6 pm to 9 pm for dinner. The ground realities speak otherwise.
Relevant authorities say the impact of ENI backing out will come in the shape of reduced supplies to the power sector and the projected supply of 325 mmcfd to the sector next month will not be available. The reliance on furnace oil-based electricity will increase and end consumers will get costly electricity. The captive power plants will be supplied gas at 50% and supply to fertiliser plants, CNG and local industry shall remain discontinued.
Earlier, the Petroleum Division had claimed that the ENI from January 2023 onward will not default but that is not the case.
When contacted, ENI spokesperson also confirmed the development, saying: “February delivery disruption is beyond the reasonable control of ENI and due to an event of Force Majeure. ENI does not benefit in any way from the situation.”
According to the senior official, ENI defaulted five times in 2022; it failed to provide LNG cargoes in the months of March, May, July, September, and November.
