The Iran–Pakistan–India gas pipeline, also known as the IPI pipeline or the Peace pipeline, is a proposed 2,775-kilometre (1,724 mi)[citation needed] pipeline to deliver natural gas from Iran to Pakistan and India. In April 2008 Iran expressed interest in the People's Republic of China's participation in the project.[1] The project is expected to greatly benefit India and Pakistan, which do not have sufficient natural gas to meet their rapidly increasing domestic demand for energy.[citation needed] India is predicted to require 146 billion cubic meters (bcm) of gas per annum by 2025, up from 33 bcm per annum in 2005.[citation needed]
In September 2009, the Mehr news agency reported a Pakistani diplomat as saying "India definitely quitted the IPI (India-Pakistan-Iran) gas pipeline deal,[2] in favor of Indo-US civilian nuclear agreement for energy security.[3] Iranian officials however said India is yet to make an official declaration.[4]
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History
The project was conceptualized in 1989 by Rajendra K. Pachauri in partnership with Ali Shams Ardekani, former Deputy Foreign Minister of Iran. Dr Pachauri proposed the plan to both Iranian and Indian governments in 1990. The Government of Iran responded positively to the proposal. At the annual conference of the International Association of Energy Economics, 1990, Dr Ardekani backed Dr Pachauri's proposal.[citation needed]
The deal reached a setback on July 16, 2006, when Iran demanded a price of US$7.20 per million British thermal unit (US$6.80/GJ) of gas against India's offer of US$4.20 per million British thermal unit ($4.00/GJ). The Indian spokesperson stated that the price offered by Iran was more than 50% above the prevailing market price in India.[5] India and Pakistan finally agreed in February 2007 to pay Iran US$4.93 per million British thermal units (US$4.67/GJ) but some details relating to price adjustment remained open to further negotiation.[6] The long-stalled talks made a breakthrough in April 2008 when Iranian President Mahmoud Ahmadinejad made whistle-stop visits to Pakistan and India.[7]
India, Asia’s third-largest economy, can produce only half the gas it needs to generate electricity, causing blackouts and curbing economic growth.[8] The Indian government has called for trilateral talks on the project in July 2008. The 2008 Pakistani general election has created a new Petroleum ministry in Pakistan which would be invited for the talks.[9]
Route
The pipeline is proposed to start from Asalouyeh and stretch over 1100 kilometres through Iran. In Pakistan, it will pass through Baluchistan and Sind.[10]
Technical description
The pipeline will be supplied from the South Pars field. The initial capacity of the pipeline will be 22 bcm of natural gas per annum, which is expected to be raised later to 55 bcm.[11] It is expected to cost US$7.5 billion.[7]
See also
References
- ^ "Ahmadinehjad Would Welcome Chinese Role In Gas Pipeline". Downstream Today. 2008-04-28. http://www.downstreamtoday.com/News/Articles/200804/Ahmadinejad_Would_Welcome_Chinese_Role_I_10460.aspx. Retrieved 2008-05-10.
- ^ [1]
- ^ [2]
- ^ [3]
- ^ "Iran rejects Indian price for tripartite gas pipeline". The Hindustan Times. 2006-07-16. http://www.hindustantimes.com/StoryPage/StoryPage.aspx?id=9fd6c349-c4f6-48e6-825d-fd1782638ef8&ParentID=9c222620-7c82-40e6-a6bd-5a965f6d5807&&Headline=Iran+rejects+Indian+gas+price+offer. Retrieved 2008-05-10.
- ^ "Peace Pipeline Contract Soon, Gas Flow by 2011". Iran Daily. 2007-07-01. http://iran-daily.com/1386/2880/html/economy.htm#s238905. Retrieved 2008-05-10.
- ^ a b "IPI Implementation Nearing 'Final Stage' - Pakistani Official". Downstream Today. 2008-05-08. http://www.downstreamtoday.com/News/Articles/200805/IPI_Implementation_Nearing_Final_Stage__10718.aspx. Retrieved 2008-05-10.
- ^ http://www.iran-daily.com/1387/3294/html/economy.htm
- ^ Mehdudia, Sujay (June 24, 2008). "Trilateral talks on pipeline likely next month". www.thehindu.com. http://www.thehindu.com/2008/06/24/stories/2008062450300100.htm. Retrieved 2008-06-24.
- ^ "India, Pakistan Agree Over Gas Pipeline Tariffs". Iran Daily. 2007-06-30. http://iran-daily.com/1386/2879/html/national.htm#s238560. Retrieved 2008-05-10.
- ^ Bappa Majumdar, Nidhi Verma (2008-04-29). "Iranian president tries to seal India pipeline". Reuters. http://uk.reuters.com/article/latestCrisis/idUKISL26015020080429. Retrieved 2008-05-10.
External links
- IPI gas pipeline, RIP
- Iran to India Natural Gas Pipeline: Implications for Conflict Resolution & Regionalism in India, Iran, and Pakistan, by Shamila N. Chaudhary
- Iran-Pak-India Gas Pipeline: Implications & Prospects, by Sohaib Shahid
- The Political Economy of the Iran-Pakistan-India Gas Pipeline, by Ali Mostashari, Iran Analysis Quarterly Vol. 4 No.1 Page 22-34
- The 'Peace Pipeline' and its implications on International Diplomatic Policy and the War on Terror, October 2007
- Iran-Pakistan-India Pipeline: A View from Washington by Gal Luft, June 15, 2007.
- Iran-Pakistan pipeline: Iran’s new lifeline by Gal Luft, May 29, 2009.
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