A Sustainable Solution for Pakistan’s Energy Policy -

By Musawir Qureshi
The recent decision by the Government of Pakistan to double the storage capacity of petroleum products appears to be a positive step, especially at a time when global conditions are uncertain and energy supply serves as the backbone of any country’s economy. However, if this decision is examined in depth, it is clearly a temporary solution and cannot replace a permanent and sustainable strategy.
Pakistan currently imports a large portion of its petroleum requirements. Fluctuations in global market prices, possible disruptions in maritime routes, and regional political tensions continuously threaten our energy security. In such circumstances, increasing storage capacity may provide short-term relief, but the reality is that whether reserves last fifteen days, one month, or even two months, they will eventually run out. After that, the same imports, the same expenses, and the same risks will once again confront us.
What is truly needed is a permanent solution that not only reduces import costs but also ensures a continuous and secure supply of energy. In this context, the proposal to lay a petroleum pipeline from Iran emerges as a highly important and practical option. If international sanctions on Iran are eased or lifted in the future, it could become a golden opportunity for Pakistan to immediately focus on pipeline projects for the direct supply of petroleum and gas from Iran.
There are numerous advantages to transporting petroleum products through pipelines. The first major benefit is that it reduces the need for large-scale storage. If a central depot is established in every district and oil is delivered there through pipelines, the supply system at the local level can become more stable and efficient. From these depots, distribution to petrol stations can be carried out more easily and at a lower cost.
The second major advantage would be cost reduction. At present, Pakistan relies on oil tankers, port facilities, and thousands of transport vehicles for petroleum imports. Each of these stages increases expenses and also introduces risks such as accidents, theft, and delays. Through pipelines, many of these additional stages can be eliminated, resulting in reduced costs as well as time savings.
Another important aspect is the reduction of smuggling. In Pakistan’s border regions, petrol and diesel smuggling has long been a persistent issue, causing billions of rupees in annual losses to the national treasury. If a direct and regulated pipeline-based supply system is established, opportunities for illegal smuggling can be significantly reduced. Experts believe that the financial savings achieved by controlling smuggling even within a single year could help offset the cost of a major pipeline project.
Furthermore, pipeline systems are considered more secure compared to maritime transport in the event of blockades or disruptions at sea. Countries that rely heavily on sea routes remain vulnerable to geopolitical risks, whereas land-based pipelines provide a continuous and reliable source of supply. This is why many developed nations prefer pipeline networks to meet their energy needs.
However, this project also comes with certain challenges that cannot be ignored. The biggest challenge involves international sanctions and diplomatic matters. Any energy cooperation with Iran would require careful consideration of global regulations and regional political dynamics. In addition, the initial investment would be a major challenge, as laying pipelines requires billions of dollars and demands long-term planning, transparency, and strong financial discipline.
Security concerns are also important. In certain regions of Pakistan, law and order situations and risks of sabotage could pose threats to large pipeline projects. Therefore, it is essential to develop a strong security framework to protect national assets from potential damage.
The essence of this discussion is that increasing petroleum reserves is a necessary but temporary step, whereas pipeline projects offer a long-term and sustainable solution. Pakistan should adopt both strategies in a balanced manner—enhancing storage capacity to meet short-term needs while making serious progress on regional energy projects for long-term stability.
If Pakistan makes timely and wise decisions, promotes regional cooperation, and invests in alternative energy sources, it can not only overcome the energy crisis but also provide a strong foundation for the national economy. The need of the hour is to move beyond temporary measures and formulate an energy policy that is secure, stable, and reliable for future generations.