Pakistan’s gas sector circular debt reached Rs3.631 trillion by June 30, 2026, an increase of Rs344 billion over the previous year, according to figures presented by the Petroleum Division to the National Assembly.
The data show that outstanding circular debt in the sector stood at Rs3.288 trillion on June 30, 2025, underscoring the persistent financial strain on the country’s energy chain despite efforts to address payment delays and structural challenges.
Surcharges Account for Nearly Half of Liabilities
Of the total gas-sector circular debt, Rs1.783 trillion relates to surcharges imposed on delayed payments, the information submitted to parliament showed. The figures highlight how accumulated liabilities and late payments can disrupt the flow of funds among companies and other participants in the supply chain.
Reserve Figures Also Disclosed
Alongside the debt disclosure, the Petroleum Division presented data on the country’s hydrocarbon resources:
- Recoverable gas reserves were reported at 68,803 billion cubic feet (BCF), with 48,140 BCF listed under gas production-related figures.
- Recoverable crude oil reserves were put at 1,378 million barrels, while production-related data covered 1,102 million barrels.
The disclosures were made during a National Assembly session as part of a broader overview of Pakistan’s petroleum resources and the financial position of the gas sector.
Commercial Viability Unclear
The growing circular debt remains a significant concern for Pakistan’s energy industry, while the reserve figures offer an overview of domestic hydrocarbon resources. However, the data presented do not specify how much of the reported reserves can be commercially produced under current technical and economic conditions.
