ISLAMABAD - Adnan Gilani has taken over the charge of chief executive officer of Pakistan Liquefied Natural Gas Limited (PLL).

Adnan Gilani was previously heading Prime Minister Delivery Unit (PMDU) and has now been tasked to lead the PLL. Although an official of the ministry told The Nation that Adnan Gilani has been appointed as a chief operating officer but the source insisted that he will perform the duties of CEO. The company will be comprising of around 40 people and will work in the procurement of liquefied natural gas (LNG). Initially Pakistan State Oil (PSO) was procuring LNG but it was an interim arrangement and now a state owned company will replace PSO, as an importer of LNG.

With the appointment of Adnan Gilani, Pakistan LNG Limited has become functional. Pakistan LNG Terminal Limited (PLTL) has already become functional as Azam Sufi has taken over charge as managing director (MD). Azam Sufi was working in America and was hired on a hefty package, the source said. To deal with terminals and transmission of LNG, PLTL was established, which is 100 percent owned by the government of Pakistan. Owing to Pakistan’s increased energy demand, reliance on the imported LNG is increasing, therefore, the government has established state-owned companies to undertake the procurement of LNG, oversee construction of LNG terminals and its transmission.

The local gas fields are depleting and the indigenous gas production has remained static at 4 BCFD for the last one decade while demand reaches 6 BCFD during winter. The country is facing around 2 BCFD gas deficit and looking at the increasing demand of the gas, it seems that in future even the residential consumers will need imported gas.

Besides imported LNG, the government is also working on gas pipeline projects including Turkmenistan-Afghanistan-Pakistan-India (TAPI) and Iran-Pakistan (IP). The government in collaboration with China is also working to set up LNG terminals at Gwadar port with a capacity of 1.2 BCFD.

For the transmission of imported LNG, from Karachi, the gas transportation capacity, Sui Southern Gas Company Limited (SSGC) and Sui Northern Gas Pipelines Limited (SNGPL) are laying 42-inch pipelines from Karachi to Lahore. Similarly to carry LNG from Gwadar another gas pipeline from Gwadar to Nawabshah is under consideration.

The government plans to replace oil based power plants with imported LNG and around 600MW RLNG–based electricity had been added to the national grid. Besides, three RLNG-based power projects of 3,600MW were in advanced stages and will be able to start adding energy to the system by summer 2017.