Implementing Iran-Pak Gas Project To Blossom Both Economies : Min.

Chabahar, March 12, IRNA – Petroleum Minister Rostam Qassemi said here Monday, implementing the Iran-Pakistan gas pipeline will lead to blossoming of both courtiersˈ economy, greater security and higher living standards for Iranian and Pakistani border region dwellers. Rostam Qassemi who was speaking at the ground breaking of the Iran-Pakistan natural gas transfer pipeline at the border region zero point of Chabahar reiterated, ˈDespite the sabotage efforts made by the enemies of the Iranian and the Pakistani nations this ultra-national project is nearing its final stages by grace of God and relying also on the strong will of the two countriesˈ statesmen.ˈ He noted that ˈToday is a historical day that would not be forgotten by the Iranian and Pakistani nations, adding, ˈKeeping in mind the establishment of a joint consortium among the Iranian and Pakistani companies we hope the implementation of this pipeline, too, would come sooner than scheduled.ˈ The petroleum minister pointed out that 85% of the world energy is comprised of oil and gas today and Iran is benefited from these God-given blessings, reiterated, ˈI hope with the completion of this giant project in addition to Pakistan that would be the rest of the regional nations, too, would be able to take advantage of this God-given energy by connecting their pipelines to it. Qassemi said that this pipeline from the Iranian city of Iranshahr in the south of Iranˈs Sistan-o-Balouchestan province to Chabahar zero point border has three safeguarding posts and three sending and receiving stations, adding, ˈThere are totally 180 inter-sections and the path paving operations of the project would include transferring 18 million square meters of soil. The idea was conceived by a young Pakistani civil engineer Malik Aftab Ahmed Khan in mid 1950s, when an article of his was published by the Military College of Engineering, Risalpur. The article Persian Pipeline also mentioned the method for its protection along the hostile territory by establishing mini battalion-size cantonments along its proposed route through Baluchistan/Sind. The project was conceptualized in 1989 by Rajendra K. Pachauri in partnership with Ali Shams Ardekani, former Deputy Foreign Minister of Iran. Pachauri proposed the plan to both Iranian and Indian governments. The government of Iran responded positively to the proposal. At the 2012 annual conference of the International Association of Energy Economics, Ardekani backed Pachauriˈs proposal. Timeline-discussions between the governments of Iran and Pakistan started in 1994. A preliminary agreement was signed in 1995. This agreement foresaw construction of a pipeline from South Pars gas field to Karachi in Pakistan. Later Iran made a proposal to extend the pipeline from Pakistan into India. In February 1999, a preliminary agreement between Iran and India was signed. In 2004 the project was revived after the UNDPˈs report Peace and Prosperity Gas Pipelines by Gulfaraz Ahmed was published in December 2003. The report highlighted benefits of the pipeline to Pakistan, India and Iran. In February 2007, India and Pakistan agreed 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. In April 2008, Iran expressed interest in the Peopleˈs Republic of Chinaˈs participation in the project. In August 2010, Iran invited Bangladesh to join the project. In 2009, India withdrew from the project over pricing and security issues, and after signing a civilian nuclear deal with the United States in 2008. However, in March 2010 India called on Pakistan and Iran for trilateral talks to be held in May 2010 in Tehran. On 30 January 2013, the Pakistanˈs federal government approved a deal with Iran for laying the Pakistanˈs segment of a pipeline. On 27 February 2013, the construction of the Pakistani section was inaugurated. According with Javad Owji, managing director of the National Iranian Gas Company, the pipeline in Pakistan is expected to be constructed in 22 months with the participation of Iran. On 11 March 2013 Pakistan president Asif Ali Zardari and Iran President Mahmoud Ahmadinejad officially inaugurated the peace pipeline. The pipeline is complete on the Iranian side but the final part of the gas pipeline still needs to build on the Pakistani side. The gas pipeline is intended to help Pakistan meets its energy needs as there is regular power cuts and gas shortages is effecting, the population and businesses in Pakistan. Gas will be exported to Pakistan in 2014 when the pipeline is complete on both sides./end