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Fuel Demand in Pakistan's TRansport Sector

Malik, Afia (2018): Fuel Demand in Pakistan's TRansport Sector.

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Abstract

Road transport is playing a leading role in the economic activities of Pakistan. For net oil importers like Pakistan, an analysis of future fuel requirements is crucial given the uncertainties involved in fuel supply and price in the international market. The study estimate demand for petrol and diesel in the road transport of Pakistan for the period 1971-72 to 2016-17. Using these demand estimates, it forecasts demand for these two products up to 2024-25 under different scenarios of economic growth and petroleum product pricing. On average the study finds a growth of about 12.5 percent in the demand for petrol and about 9.6 percent in the demand for diesel in the road transport of Pakistan. Findings suggest careful planning to ensure sufficient supplies to meet future demand for petroleum products.

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