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PM Modi pitches for early implementation of TAPI project

Mr. Modi said he conveyed to Mr. Berdimukhamedov that multiple options including the possibility of land-sea route through Iran for the pipeline should be explored.

My understanding is that TAPI was originally an alternative to IPI pipeline. The undersea pipeline makes more strategic sense for India. But India's future energy needs may require multiple channels. Relying too much on one source is also risky, and Middle-east is also a very volatile region. If some party like US can stand as a guarantor and provide soft financing for this deal, it will be viable. Afghanistan and Pakistan can gain transit fees. It will help in the stability of the region.
 
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My understanding is that TAPI was originally an alternative to IPI pipeline. The undersea pipeline makes more strategic sense for India. But India's future energy needs may require multiple channels. Relying too much on one source is also risky, and Middle-east is also a very volatile region. If some party like US can stand as a guarantor and provide soft financing for this deal, it will be viable. Afghanistan and Pakistan can gain transit fees. It will help in the stability of the region.

The US has promoted the TAPI pipeline since the 1990s. When the Taliban was governing Afghanistan, two consortia vied for the right to take on the project, one led by Unocal (an American firm) and the other by Bridas (an Argentinean firm). The US government supported the Unocal consortium. US negotiators participated in the Six-plus-Two conferences (the six countries bordering Afghanistan plus the US and Russia) from 1997 to 2001. The aim was to convince the Taliban to form a government of national unity.

The planned TAPI pipeline offers benefits to all four participating countries and would promote cooperation. For Turkmenistan, it would provide revenue and diversification of export routes. For Pakistan and India, it would address energy deficits. In Afghanistan, it would provide revenue for development and gas for industrial enterprises. The potential for export to other countries through the Pakistani port of Gwadar is a further advantage. TAPI is consistent with the US declared policy of linking Central and South Asia and diversifying export routes for Turkmen gas. For a number of countries, TAPI could provide business opportunities in construction and operation of the pipeline.
 
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The US has promoted the TAPI pipeline since the 1990s. When the Taliban was governing Afghanistan, two consortia vied for the right to take on the project, one led by Unocal (an American firm) and the other by Bridas (an Argentinean firm). The US government supported the Unocal consortium. US negotiators participated in the Six-plus-Two conferences (the six countries bordering Afghanistan plus the US and Russia) from 1997 to 2001. The aim was to convince the Taliban to form a government of national unity.

The planned TAPI pipeline offers benefits to all four participating countries and would promote cooperation. For Turkmenistan, it would provide revenue and diversification of export routes. For Pakistan and India, it would address energy deficits. In Afghanistan, it would provide revenue for development and gas for industrial enterprises. The potential for export to other countries through the Pakistani port of Gwadar is a further advantage. TAPI is consistent with the US declared policy of linking Central and South Asia and diversifying export routes for Turkmen gas. For a number of countries, TAPI could provide business opportunities in construction and operation of the pipeline.

I agree with all that. However with India joining SCO, TAPI deal looks unlikely. Which is why that land-sea route through Iran is being looked into. Turkmenistan can join in. TAPI can only be looked into if the US government stands as a guarantor (very unstable region) and if it is cost effective. Otherwise even, the energy market is in a glut, there is no lack of options.
 
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I agree with all that. However with India joining SCO, TAPI deal looks unlikely. Which is why that land-sea route through Iran is being looked into. Turkmenistan can join in. TAPI can only be looked into if the US government stands as a guarantor (very unstable region) and if it is cost effective. Otherwise even, the energy market is in a glut, there is no lack of options.

Prime Minister Modi Government is pushing for TAPI and the work is going to begin this year

"Committed to deepening India-Turkmenistan ties. #TAPI construction to begin this year. President Berdymuhamedov to EAM @SushmaSwaraj," a Ministry of External Affairs tweet said.

The Turkmenistan-Afghanistan-Pakistan-India (TAPI) gas project is an over 1,800 km pipeline with design capacity to supply 3.2 billion cubic feet of natural gas per annum from Turkmenistan to Afghanistan, Pakistan and India. It is expected to be operational by 2018.
 
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Prime Minister Modi Government is pushing for TAPI and the work is going to begin this year

"Committed to deepening India-Turkmenistan ties. #TAPI construction to begin this year. President Berdymuhamedov to EAM @SushmaSwaraj," a Ministry of External Affairs tweet said.

The Turkmenistan-Afghanistan-Pakistan-India (TAPI) gas project is an over 1,800 km pipeline with design capacity to supply 3.2 billion cubic feet of natural gas per annum from Turkmenistan to Afghanistan, Pakistan and India. It is expected to be operational by 2018.

My reference is only with this particular quote in the Original Article:

Mr. Modi said he conveyed to Mr. Berdimukhamedov that multiple options including the possibility of land-sea route through Iran for the pipeline should be explored.

Which means there there may be other options. I do not profess to know about negotiations that occurred. But this being South Asia, I am sure there will be multiple roadblocks as usual. Geopolitics will affect business.
 
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With the present security situation in Pakistan and Afg,yeah its happening but only in your dreams.
 
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Ministry of Petroleum & Natural Gas
21-July, 2015 16:43 IST
Meeting of the Petroleum Minister Shri Dharmendra Pradhan with the Deputy Prime Minister of Turkmenistan

The Minister of State (I/C) for Petroleum & Natural Gas Shri Dharmendra Pradhan met the Deputy Prime Minister of Turkmenistan Mr. Baymurat Hojamuhammedov today. They followed up on the meeting held between the Hon’ble Prime Minister and the President of Turkmenistan during the Hon’ble Prime Minister’s visit to Turkmenistan on 10-11 July, 2015.

The two sides discussed various aspects of collaboration between the two countries in the field of hydrocarbons and agreed to work with greater commitment to enhance bilateral energy ties. They also agreed to explore further possibilities of Indian Companies participating in the Turkmen hydrocarbon sector and the opening of a Fertilizer and Petrochemical Plants in Turkmenistan. They reiterated their commitments towards the TAPI project and promised to work towards the early commencement of the project.

The Minister of State for Petroleum and Natural Gas (Independent Charge), Shri Dharmendra Pradhan meeting the Deputy Prime Minister for Oil and Gas of Turkmenistan, Mr. Baymyrat Hojamuhammedov, in New Delhi on July 21, 2015.
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TAPI. There is where the problem lies. The P part is unreliable. They might wake up in a bad mood one morning and shut the pipeline off. Very unpredictable state. If the pipeline goes undersea instead it would be much better.
 
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Ministry of Petroleum & Natural Gas
27-July, 2015 15:02 IST
Tapi Pipeline Projects

The Minister of State (I/C) for Petroleum & Natural Gas Shri Dharmendra Pradhan informed the Lok Sabha in a written reply today that the TAPI pipeline is proposed to be 1814 Kms long with a capacity of 90 MMSCMD at an estimated cost of approx USD 7.6 billion (Penspen Report of 2008).

Iran-Pakistan-India pipeline is proposed to be 2135 Kms long carrying 60MMSCMD of gas at a proposed cost of more than USD 7 billion.

TAPI pipeline will supply 38 MMSCMD gas and Iran-Pakistan-India pipeline will supply 30 MMSCMD gas to India.

No agreements have been signed with the participating countries for building up cooperation in oil fields.

No agreements till date has been signed by the Government with countries including Bangladesh, Myanmar, Russia, Iran and Nepal to construct oil and gas transnational pipeline projects.
 
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Not happening

Ministry of Petroleum & Natural Gas
05-August, 2015 15:34 IST
Petroleum Minister Shri Dharmendra Pradhan leading Indian delegation for 22nd Steering Committee Meeting of TAPI natural gas pipeline project

The Minister of State (I/C) for Petroleum & Natural Gas, Shri Dharmendra Pradhan left for Ashgabat today to attend the 22nd Steering Committee meeting of TAPI natural gas pipeline project.

The meeting is happening in the wake of the recent visit of Hon’ble Prime Minister to Turkmenistan during 10-11 July, 2015 followed by the visit of Deputy Prime Minister of Turkmenistan Mr. Baymurat Hojamuhammedov on 21 July, 2015 wherein the progress of TAPI natural gas pipeline project was one of the important agenda points.

India remains committed to play its rightful role with responsibility in implementing the over 1800 kms gas pipeline which is expected to deliver natural gas to the tune of approx. 38 MMSCMD at India’s western border, thereby enhancing the nation’s energy security.

Shri Pradhan is accompanied by a high-level delegation including senior officials of MoPNG and MEA besides CMD, GAIL and MD, OVL.
 
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Ministry of Petroleum & Natural Gas
06-August, 2015 19:39 IST
Petroleum Minister Shri Dharmendra Pradhan welcomes the Turkmen decision which gives fresh impetus to start the construction of Turkmen segment of the pipeline in December 2015.

Minister of State (I/C) for Petroleum & Natural Gas, Shri Dharmendra Pradhan led the Indian delegation to the 22nd Steering Committee meeting of TAPI Natural Gas pipeline project in Ashgabat on August 6, 2015.

During the meeting it was agreed that the four countries involved in the project, i.e. Turkmenistan, Afghanistan, Pakistan, India will own the project and take steps for early implementation of the project. Turkmenistan proposed that its state-owned company TurkmenGaz would lead the Consortium for TAPI project with majority investment. All sides endorsed the Turkmen proposal. It was agreed that all sides would make investment in the project subject to techno-commercial viability, shareholders agreement and investment agreement.

It may be noted that during the recent visit of Hon’ble Prime Minister to Turkmenistan during 10-11 July 2015 TAPI project was discussed at length and Hon’ble Prime Minister stressed upon early implementation of the gas pipeline project.

On the margins of the TAPI meeting Shri Pradhan met Deputy Prime Minister in charge of Oil and Gas of Turkmenistan Mr. Baymurad Hojamuhammedov. They reiterated the resolve of the leadership of the two countries to take concrete steps to materialize the TAPI project at an early date. Shri Pradhan welcomed the Turkmen decision which gives fresh impetus to start the construction of Turkmen segment of the pipeline in December 2015.

Shri Pradhan held a bilateral meeting with Minister of Petroleum of Pakistan Mr. Shahid Khaqan Abbasi. The two sides agreed that TAPI gas pipeline would contribute towards energy security and economic prosperity of both the countries. They agreed to work towards early implementation of the project.

Shri Pradhan held a bilateral meeting with Afghan Minister of Mines & Petroleum Mr. Daoudshah Saba. Besides the issue of TAPI, the two Ministers also discussed about other possible bilateral energy related projects.

Shri Pradhan was accompanied by Ambassador of India, senior officials from MEA, MoPNG, CMD,GAIL, MD, OVL and Director (Pipeline), IOC.

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The Minister of State for Petroleum and Natural Gas (Independent Charge), Shri Dharmendra Pradhan attending the TAPI natural gas pipeline Ministerial meeting, at Ashgabat, Turkmenistan on August 06, 2015.
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The Minister of State for Petroleum and Natural Gas (Independent Charge), Shri Dharmendra Pradhan meeting the Deputy Prime Minister for Oil and Gas of Turkmenistan, Mr. Baymyrat Hojamuhammedov, for early implementation of TAPI pipeline project, at Ashgabat, Turkmenistan on August 06, 2015.
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A delegation of Turkmenistan led by the Chairman, State Agency of Turkmenistan, Mr. Yagshigeldy Kakayev meeting the Secretary, Ministry of Petroleum and Natural Gas, Shri K.D. Tripathi, in New Delhi on October 09, 2015.
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TAPI-design-project-signed.jpg

http://www.khaama.com/afghanistan-signs-mou-to-inaugurate-engineering-design-of-tapi-pipeline-02950

A Memorandum of Understanding was signed in the presence of President Mohammad Ashraf Ghani for the inauguration of the engineering design of TAPI gas pipeline project.

The MoU was signed by acting chief of Afghan Gas Company and Chief Executive of IFL Mr. Stephen.

The acting minister of mines and petroleum Ghezal Habibyar said the design project will be implemented in two phases with a total cost of $4.7 million.

She said the first phase will include MoUs, design, environmental and social studies, mine clearance, route survey, and expropriation (confiscation) of land for the pipeline.

Habibyar further added that the second phase will include the proper implementation of the project which will take around three years.

According to Habibyar, the gas pipeline will have a length of 1,735 km and will have a capacity of 33 billion cubic meters for the transfer of gas per year.

She also added that the gas pipeline will start from Turkmenistan and will pass through Herat, Helmand, Nimroz, and Spin Boldak to Pakistan.

The project will produce a revenue of around $400 million to the Afghan government annually besides the project will pave the way for the other infrastructure projects including railway, electricity, industrial parks, and fiber optics, she said.
 
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Pakistan and Afghan regions need to be more stable if the pipeline is even be made.
 
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