Pakistan is preparing a major investment to strengthen its liquefied petroleum gas (LPG) infrastructure and meet rising energy demand.
The government has proposed investing around $1 billion over the next three to five years. The plan covers new import terminals, storage facilities, cylinders, filling plants and transportation networks.
Officials have submitted the proposals to the federal cabinet for consideration as part of wider reforms in the LPG sector.
New LPG Terminal Planned at Port Qasim
Pakistan currently operates two LPG import terminals at Port Qasim, each with storage capacity of approximately 6,500 metric tons.
However, these facilities can handle vessels of up to 10,000 deadweight tons. This limits the country’s ability to receive larger international shipments.
The government has proposed allocating land and berth facilities for a new terminal with a planned capacity of 40,000 metric tons.
The first phase would provide storage capacity of 10,000 to 12,000 metric tons.
Plans to Accommodate Larger LPG Ships
The existing LPG jetty has a 10-metre draft, which restricts the size of vessels it can accommodate.
Therefore, officials have proposed a feasibility study to examine two options. These include dredging the approach channel or developing a new jetty for larger gas carriers.
The proposals also highlight the need for refrigerated storage facilities and pipelines connecting import terminals.
Rising Demand Drives Infrastructure Plans
Pakistan’s annual LPG demand stands at around 2.4 million metric tons. However, domestic production cannot meet the country’s total requirements.
As a result, Pakistan relies on imports to bridge the supply gap. Officials expect demand to grow further in the coming years.
The proposed investment aims to improve import capacity, strengthen storage facilities and make LPG supplies more reliable. The cabinet’s consideration will determine the next steps for the planned infrastructure expansion.
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