the crisis in next three days and held a meeting here on Wednesday chaired by secretary petroleum and attended by representatives of refineries, oil marketing companies and oil companies’ advisory council.
In the meeting, according to the official part of the meeting, said that refineries had proposed that the government should run the efficient furnace oil-based power plants on merit so that 10,000-12000 tones per day furnace oil from local refineries could be lifted and if the power division did not show willingness, there would be no refinery in Pakistan to lift the local crude oil. Resultantly, the oil wells would be closed down and the gas from the wells would also be disconnected. Secretary petroleum told the participants of the meeting that he would take up the issue with Power Division for running the efficient power plants based on furnace oil.
“PSO’s top man in the meeting also said that 6 ships carrying furnace oil had been arranged for the remaining days of the current month and next whole month of December. Out of six, one cargo has been staying in deep sea for the last 12 days and demurrages of $1,80,000 have so far piled up, which PSO will have to pay. “We are unable to unload the ship staying in deep sea because of non-availability of any room in our storages.”
To a question, the official said that PSO lifted 30 percent of furnace oil products by the local refineries and 70 percent by other OMCs. Now OMCs are also unable to lift the local furnace oil as its consumption in the power plants have now plummeted to zero.
The official said that Pakistan imports 70 percent furnace oil and 30 percent is produced from the local refineries. Refineries have suggested that government should not import furnace oil and lift the local fuel for running the furnace oil-based power plants. To a question, the official said that the existing six cargoes of furnace oil which PSO has already arranged will be consumed by the power plants and no more furnace oil will be imported.