Ministers sound alarm as energy crunch looms amid spiralling fuel prices

Federal cabinet ministers warned on Tuesday of an energy shortfall affecting fuel supplies and power generation, though they said planning had prevented a worse outcome. Dawn reported that Energy Minister Sardar Awais Ahmad Khan Leghari and Climate Change Minister Musadik Malik said soaring oil prices were testing the government's ability to absorb the shock. Fuel prices rose by Rs4 and Rs6 on Tuesday night.

The National Steering Committee on Fuel Subsidy, chaired by Deputy PM Ishaq Dar, set a 24-hour deadline for clearing payments owed to fuel stations under the PM's scheme. The scheme, piloted in the capital, goes nationwide from midnight. Motorcyclists are eligible for five litres of discounted petrol each week, and car owners for 10 litres per 10-day period, with relief set at Rs100 per litre.

Leghari said 72 per cent of electricity generated in August 2026 came from domestic sources, with hydel contributing 38pc. Spot RLNG cargo prices reached $23.25 per MMBtu, and extra domestic gas helped avoid costly RLNG purchases that would otherwise have raised consumer tariffs by around Rs10.6bn. Ministers denied smart lockdown rumours, although sources told Dawn that the idea was discussed at a meeting between PM Shahbaz and Nawaz Sharif, which has not been officially confirmed.