Minister highlights salient features of planned ‘Energy City’ project

LAHORE: Federal Minister for Maritime Affairs Junaid Anwar has said that significant progress is being made on the government’s “Energy City” project, and that several oil-producing countries have shown interest in storing oil in Pakistan following recent regional tensions.

Speaking at the Lahore Chamber of Commerce and Industry (LCCI), he said under the project, private companies would lease land from the government to establish modern oil storage facilities where oil could be stored and re-exported on a duty-free basis.

Pakistan did not have sufficient capital to establish large-scale strategic reserves on its own, but the proposed model would not only attract investment but would also allow the stored reserves to be utilized to meet domestic requirements during difficult times, he added.

About his ministry’s performance, Junaid Anwar said that the Ministry of Maritime Affairs had implemented more than 100 reform measures, and that both Karachi Port Trust (KPT) and Port Qasim had achieved significant improvements in global rankings. KPT had moved from 99th to 69th position, while Port Qasim had improved to 56th position. Further, KPT had broken a record in its 138-year history during the current year, with profits reaching Rs18.8 billion.

Moreover, the minster said, three new vessels had been added to the PNSC fleet, increasing its overall capacity by 40 percent, with further expansion planned in the future. He added that the Ministry of Maritime Affairs had played a key role in ensuring there was no shortage of petroleum products in the country during the recent crisis. A vessel that was initially available at a charter cost of $14 million was secured for $0.8 million to ensure uninterrupted fuel imports.

The minister said during wartime conditions and logistical disruptions, port charges on transshipment cargo had been reduced by up to 50 percent, providing relief to the business community. After the launch of transshipment operations, Pakistani ports handled within 24 days a volume of cargo equivalent to what had previously been managed over an entire year, demonstrating the capacity and efficiency of the country’s ports.

Junaid Anwar further said, in addition to a floating LNG terminal, the technical study for a land-based LNG terminal had been completed, and the project was expected to attract an investment of $3 billion to $4 billion.

A $1.4 billion “Sea 2 Steel” shipbuilding project was also being launched at Port Qasim, while a multipurpose cargo terminal, an integrated oil terminal storage facility and new container terminals would also be established.

Speaking about Manora Shipyard, he said it was being revived so that ships would no longer have to be sent to Singapore or China for repairs and servicing.

Referring to the fisheries sector, he said fisheries exports had exceeded the target of $500 million and reached $568 million.

Addressing the gathering, LCCI President Faheem Ur RehmanSaigol said that despite having a coastline of nearly 1,000 kilometres and a strategically important geographical location, Pakistan had not yet fully benefited from the vast potential of the blue economy.

He emphasized the need to accelerate digitalization at ports.

He said that unnecessary delays in cargo clearance increased business costs and undermined global competitiveness.

Faheem Saigol said Pakistan paid approximately $5 billion annually in maritime freight to foreign operators.

He said that by strengthening the national shipping line, expanding its fleet and adding more container vessels, a significant portion of this valuable foreign exchange could be retained within the country.

Copyright Business Recorder, 2026