Electricity but not fuel

There could be several reasons why Pakistan may choose to import electricity from Iran but not petrol or fuel. One possible reason is that Pakistan has limited domestic resources of electricity and relies heavily on imported oil for its energy needs. Therefore, importing electricity from Iran, which has surplus electricity production, could be a more cost-effective and practical solution than importing petrol or fuel.

Another reason could be the geopolitical and economic relations between the two countries. Pakistan and Iran share a border and have historically had close political and economic ties. Iran is also a member of the ECO (Economic Cooperation Organization) along with Pakistan, and the two countries have signed various bilateral trade agreements to promote economic cooperation. In contrast, importing petrol or fuel from Iran could face sanctions and restrictions due to international sanctions imposed on Iran's oil industry.

It's important to note that the decision to import energy resources from another country involves various factors, such as cost, availability, quality, geopolitical relations, and environmental impact. Each country's energy policy is shaped by these factors, and the decision to import a particular energy resource depends on its unique circumstances and priorities.

It's important to understand that Pakistan faces an energy crisis, with a significant gap between electricity demand and supply. The country relies heavily on imported oil for its energy needs, with around 75% of its energy demand being met by imported oil. This heavy dependence on imported oil creates a burden on the country's foreign exchange reserves, as it has to spend a significant amount of money on importing oil.

On the other hand, Iran has surplus electricity production, with a total electricity generation capacity of around 85,000 MW, which is more than its domestic consumption. Iran has been exporting electricity to its neighboring countries, including Pakistan, to make use of its excess production capacity. Importing electricity from Iran could be a more cost-effective solution for Pakistan to meet its electricity demand compared to generating electricity domestically or importing fuel.

Moreover, Pakistan and Iran share a border and have traditionally had close political and economic ties. The two countries have signed various bilateral trade agreements, including the Iran-Pakistan gas pipeline project, which aims to transport natural gas from Iran to Pakistan. This project is seen as a significant step towards strengthening economic ties between the two countries.

However, the international sanctions imposed on Iran's oil industry could make it challenging for Pakistan to import petrol or fuel from Iran. The United States and other Western countries have imposed various economic sanctions on Iran to pressure it to abandon its nuclear program. These sanctions have severely impacted Iran's oil industry, making it difficult for the country to export oil and gas to other countries. As a result, importing petrol or fuel from Iran could face sanctions and restrictions, which may not be practical for Pakistan.

Importing electricity from Iran could be a more practical and cost-effective solution for Pakistan to meet its energy demand compared to importing petrol or fuel. The decision to import energy resources from another country involves various factors, including cost, availability, quality, geopolitical relations, and environmental impact. Each country's energy policy is shaped by these factors, and the decision to import a particular energy resource depends on its unique circumstances and priorities.