Pakistan’s petroleum consumption rose 9.64 percent during 2016-17: OCAC

ISLAMABAD: A report released by the Oil Companies Advisory Council (OCAC) for the year 2016-17 revealed Pakistan’s petroleum productions consumption grew by 9.64 percent compared to 2015-16.

According to OCAC’s report, not only did this fuel a rise in import bill but also put pressure on Pakistan’s two ports FOTCO at Port Qasim and KPT Oil Piers at Keamari, reported Express Tribune.

Also, OCAC’s report stated the fuel consumption was expected to rise in lieu of increased activities due to China-Pakistan Economic Corridor (CPEC) in 2018.

But the report mentioned the downstream oil sector faced many challenges during 2016-17, although global oil prices remained steady, which helped Pakistan take advantage from the low price point.

But OCAC’s report added an increase in demand for transport fuels in lieu of lower global oil prices remained a major challenge.

Petroleum consumption during 2016-17 was recorded at 27 million tons, a rise of 9.64 percent compared to 2015-16. High-speed diesel and PMG posted a rise of 10 and 15 percent respectively compared to 2015-16.

Presuming a growth rate figure of 7 percent, OCAC stated Pakistan’s annual petroleum demand could reach around 55 million tons by 2030, from the projected demand of 29.6 million tons in 2018.

The report stated it was important to ensure the provision of quality petroleum products like Euro IV/V to the consumers.