Iran-Pakistan Gas Pipeline (IPP) News & Updates.

[queerbait]

The deal of gas price and transit was given from iranians, you were to buy gas from Iran not Pakistan, this is not any business opportunity for Pakistan. We don't even want india to join the pipeline, but india lost interest due to US pressure, this pipeline was happening with or without india, the only reason was that no bank or international financial Institute was willing to loan or give finances because they don't deal with countries under sanctions (iran).

I will not be so naive to say that U.S pressure didn't influence our decision,because it did.But the only definitive excuse for us to back off was pakistan and the security of the gas pipeline which passes through it.You see indian government is as corrupt as pakistani government, but its maintained by coailation. Thats why any move by india to cow under U.S demands will get them hell from left parties, opposition and hell half of U.P.A allies also including parties which provide outside support like samajwadi party.

 

[T90TankGuy]

haha what a joke! india was the first to bow down under pressure from USA and backed off from IP pipeline, lost interest after US pressure.

Refer to post number 6 , he explains it well

 

[A.Rafay]

Refer to post number 6 , he explains it well

The real reason is US pressure, The fake reasons given by india Transit fee, safe passage are to cover up their embarrassment.

 

[Abu Zolfiqar]

there was always back and forth tussle over pricing mechanism; i was under the impression that it had been solved but apparently it hasnt

and of course politics are at play too....if sanctions and threats against our financial institutions didn't exist maybe there'd have been a better chance of this going through.

i dont think its an issue of funding the pipeline itself.....it isn't THAT expensive to do

whatever it is we do, it should be in our national interests.....if we had a cohesive plan and all institutions were on the same page regarding internal security, then we'd be able to have investment in our shale gas sector which thus far is untapped b/c of lack of infrastructure and know-how

 

[Abu Zolfiqar]

by the way -- Iran itself is facing some natural gas shortages of its own....hence the uncertainty on pricing

not an issue of supply...South Pars field is among the worlds largest. That is confirmed (unlike the Daultabad field in Turkmanistan -- which West/NATO was trying to push Pak to move towards TAPI)

In Iran vis a vis I-P -- its an issue of capacity

 

[MilSpec]

very unfortunate for pakistan... Hopefully they can work on some kind of resolution for iranian gas pipeline....

 

[Kompromat]

@Capt.Popeye

Ofcourse, Iran has the option to opt out but would have to pay penalties, write off the 900km pipe they have built already and it would have to forget about the business it hopes to get from Gwadar.

 

[Peaceful Civilian]

Does any one know the price of the gas Zardari negotiated with his god fathers in Iran?

I heard in a talk show,
In Pakistani currency, 15-20 Rs per unit, So, Final price for household 22-30 Rs per unit .

 

[Kompromat]

DUBAI/KARACHI: Iran will probably give up on a multi-billion-dollar pipeline project to supply gas to Pakistan, Iran’s oil minister was quoted as saying by the semi-official Fars news agency on Wednesday.

“The contract for supplying gas to Pakistan is likely to be annulled,” Iranian Oil Minister Bijan Namdar Zanganeh told reporters on the sidelines of a gas forum in Tehran on Wednesday.

Zanganeh did not state any further details in this regard.

Iran has almost completed the pipeline to the Pakistan border, but Pakistan has made little progress on laying its leg of the long-planned pipeline, largely due to a lack of funds for the costly project and US pressure to drop it.

Earlier this week, Pakistani Foreign Ministry Spokesman Aizaz Chaudhry reiterated Islamabad’s resolve to pursue the project.

“It (IP) should be seen in the context of acute energy crisis that we have in our country,” said the Pakistani official, adding that his government is pursuing the case to accelerate the implementation process of the project.

However, a report released last week by the Islamabad-based Sustainable Development Policy Institute (SDPI) says the contract with Iran would bring an economic disaster in Pakistan as the gas sold will likely be several times more expensive than the domestic gas currently used.

Early in October, Pakistani Petroleum and Natural Resources Minister Shahid Khaqan Abbasi asked Iran to finance $2 billion in the construction of Pakistan’s side of the IP gas pipeline project. The Pakistani petroleum minister said preparatory work was complete, but they had asked Iran to provide $2 billion for the construction work.

Finance Minister Ishaq Dar asked his Iranian counterpart Ali Tayyebnia at a meeting in Washington this month to “look into the possibility of constructing the Iran-Pakistan pipeline on Pakistani side as well” because international sanctions were preventing Pakistan from raising finances on its own, according to a statement issued by the Pakistan Embassy in Washington.

Last month, Pakistani Prime Minister Nawaz Sharif told the Wall Street Journal that he would proceed with the pipeline plan despite the US objections.

http://dawn.com/news/1052939/iran-likely-to-drop-pakistan-gas-pipeline-project-oil-minister

 

[Abu Zolfiqar]

Contradictions as usual

Sharif govt hasn't learned from the previous (disastrous) one

They never learn

 

[A1Kaid]

I have proved right that this pipeline will never happen and pakistan can't go against the US of A.

It's the financial cost of the pipeline, not US pressure, otherwise Pakistan would drop the project altogether.

 

[A1Kaid]

Contradictions as usual

Sharif govt hasn't learned from the previous (disastrous) one

They never learn

Government should impose immediate tax on the population, and allocate funds for this, unless people want to continue with load-shedding they better cough up the money.

 

[Capt.Popeye]

Ofcourse, Iran has the option to opt out but would have to pay penalties, write off the 900km pipe they have built already and it would have to forget about the business it hopes to get from Gwadar.

First take a good hard look at the Contract before assuming any talk of "penalties". There are some surprises in store there too.

Now; about the pipeline that Iran has constructed (on its soil), that is not a waste at all. That pipeline can be connected down to Chah Bahar as well. Who gains from that? Iran of course.
Gwadar is hardly on Iran's mind.

The real issue is that Pakistan does not have the money to construct its own segment of the pipeline nor is it able to raise the finances from any other source to do so. Hence it now even has to ask Iran to pay for it. Do you think that Iran is out to offer a 'free lunch'?
So there is little scope that Pakistan has to re-negotiate the price formula.

Finally there are the usual overtones of the historical "Shia-Sunni rivalry" (and Iran-Saudi rivalry) that is inter-woven in to this issue.
Actually Pakistan is well meshed into a "Catch-22" situation now.

 

[Side-Winder]

PM shb ka Visit to US successful to nahi rha?

 

[AHMED85]

Indian intervention in project was one of delayed cause now this will provide some supportive hand to eliminating all remote failures...