- With its growing urban settlement and large population, Pakistan faces a crisis in the supply of domestic energy needs. Despite the emphasis of Pakistan’s National Security Policy (NSP) on geoeconomics, the country’s economic activity cannot give optimum results until the energy needs are fully met.
- As the world actors vie for access to energy, energy diplomacy with foreign investors becomes increasingly significant. The 13th government in Iran has made energy diplomacy a high priority.
- Since OPEC’s founding in the early 1960s, Iran has been a significant producer, now ranked second with 4.1 million barrels per day (mbd) of output or 12–13 per cent of all OPEC production.
- According to the Oil & Gas Journal, Iran’s estimated proved natural gas reserves were 1,200 trillion cubic feet (Tcf) as of December 2020, second only to Russia.
- Given the ample capacity of Iran, Pakistan must work together with its western neighbour to make Iranian energy diplomacy and geoeconomics converge positively with Pakistan.