Pakistan’s RLNG-based electricity generation fell to an eight-year low in FY26 as supply disruptions following the US-Iran war and higher spot LNG prices reduced the fuel’s role in the power mix.
The decline came as limited RLNG availability and rising international spot prices made gas-based power generation less financially attractive, forcing the country to rely more heavily on alternative energy sources, particularly coal.
With RLNG plants operating at lower levels, coal-based generation and other sources captured a larger share of Pakistan’s electricity production during FY26. The shift highlights the growing vulnerability of Pakistan’s power sector to geopolitical tensions and fluctuations in global LNG markets.
The disruption in RLNG supplies comes at a time when Pakistan remains heavily dependent on imported gas to meet electricity demand, making international energy shocks a key risk for power costs and energy security.
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