Petroleum Minister Ali Pervez Malik says refinery modernisation, crude sourcing and bonded schemes will help reduce energy-sector vulnerabilities.
The government has decided to accelerate Pakistan refinery upgrades as part of efforts to strengthen the country’s energy security and reduce dependence on costly imported crude. Federal Minister for Petroleum Ali Pervez Malik said the initiative was being pursued under the direction of Prime Minister Shehbaz Sharif.
Speaking to the media alongside Federal Minister for Information and Broadcasting Attaullah Tarar on Wednesday, Malik said he would visit refineries in Karachi next week with his team. The visit will focus on discussions with refinery operators regarding modernisation plans and future cooperation.
The petroleum minister also appreciated the contribution of refinery operators and said the government was determined to address long-standing weaknesses in the domestic refining sector.
Limited Crude Processing Capacity
Malik highlighted that some Pakistani refineries currently have limited capability to process sour and heavier crude oil. As a result, the country has to import more expensive crude that can be processed by existing facilities.
According to the minister, this situation contributes to higher production costs for petroleum products, ultimately placing additional pressure on consumers through increased petrol and diesel prices.
He said the government intends to make significant progress on refinery modernisation in the coming days, describing the initiative as a long-overdue step for Pakistan’s energy sector.
Focus on Crude Supply and Bonded Schemes
Alongside refinery upgrades, the government plans to operationalise bonded schemes and establish arrangements to obtain crude oil from friendly countries for domestic consumption.
These measures are expected to improve the availability of suitable crude for local refineries while supporting more efficient utilisation of domestic refining capacity.
The minister said the combined measures could help address structural weaknesses in Pakistan’s energy system and reduce vulnerabilities that have persisted for decades.
Long-Term Energy Security
Malik stressed that the government wants to ensure that available opportunities translate into tangible benefits for the public. The planned refinery investments, improved crude sourcing and related policy measures are expected to contribute to a more resilient energy sector.
The upcoming Karachi refinery visits are likely to provide further clarity on the government’s roadmap for modernisation and the steps required to move the long-delayed upgrades forward.