Pakistan’s petroleum consumption rose by 7.04% year-on-year during July–March FY 2025, reaching 13.17 million metric tonnes (MMT).
The growth was mainly driven by increased transport activity and strong overseas fuel demand, despite lower usage in the industrial and power sectors said the Pakistan Economic Survey 2024-25, presented by Finance Minister Muhammad Aurangzeb on Monday.
The transport sector remained the largest fuel consumer, using 80% of the total petroleum. Its consumption rose by 7.99%, from 9.76 MMT in the first nine months of FY 2024 to 10.54 MMT in the same period of FY 2025. This increase reflects more road travel, better trade movement, and higher commercial vehicle operations.
In contrast, the industrial sector saw a 7.35% drop in fuel usage, falling to 755.40 thousand metric tonnes (MT), compared to 815.32 thousand MT last year. The decline is linked to reduced production in energy-heavy industries and a possible shift towards cheaper energy sources like natural gas and renewables.
The power sector recorded a steep 77.68% fall in petroleum consumption, dropping to just 116.21 thousand MT. This marks a major shift as Pakistan increasingly relies on hydropower, Thar coal, nuclear energy, and imported LNG for electricity generation, cutting back on furnace oil.
Domestic consumption rose slightly by 7.34%, while fuel use in agriculture dipped 3.35%, likely due to better machinery and reduced seasonal needs. Government fuel usage went up by 3.27%.
The overseas sector—mainly fuel exports and bunker sales—saw a sharp 57.18% rise, from 948.03 thousand MT last year to 1.49 MMT in FY 2025. This growth is credited to higher maritime activity and more refueling at Pakistani ports.
On the import side, petroleum volumes rose 12.5% to 12.53 MMT, up from 11.14 MMT last year. However, the import bill remained steady at US$8.40 billion—slightly less than US$8.44 billion in FY 2024—thanks to lower global oil prices and better buying strategies.
Imports of Motor Spirit (MS) grew 11.3% to 3.98 MMT, though the value dropped 5.1% to US$3.04 billion due to favorable pricing. Notably, imports of High-Octane Blending Component (HOBC) surged over eight times—from 17.83 thousand MT to 144.44 thousand MT—with costs rising from US$16.25 million to US$108.40 million, showing strong demand for premium fuel in the local market.