Substitution possibilities of energy and non-energy factors in Pakistan: A trans-log production function approach

Pakistan meets nearly one-third of its energy needs through imported resources i.e. coal, oil and Liquefied Natural Gas (LNG). Despite significant investments in infrastructure (especially power generation projects), continues to be insecure. This study attempts analyze the substitution possibilities within sources, between non-energy factors by using a trans-log production function. The results show positive labor-energy capital-energy which means improved skills knowhow could result conservation. Moreover, gas will highly encouraging as such address issue heavy import bill.