US Considers Sanctions Against Pakistan for Iran Pipeline

[Sher Malang]

STATE DEPARTMENT — The United States says Pakistan may face economic sanctions over a gas pipeline project with Iran. The $7 billion project is meant to help reduce Pakistan's crushing energy deficit.

After nearly 20 years, there is considerable progress on the Iran-to-Pakistan "peace pipeline," with Iranian contractors starting work on Pakistani sections of the project, having finished nearly 900 kilometers of pipeline in Iran.

That is of concern to the United States, which is backing international sanctions against Iranian energy exports because of its nuclear program.

Iranian President Mahmoud Ahmadinejad says the gas pipeline has nothing to do with the nuclear program.

"Foreign elements who are against the progress of Pakistan and Iran have found the excuse of our nuclear program. The gas pipeline has no connection whatsoever with the nuclear case," he said. "With natural gas you cannot make atomic bombs."

Pakistani President Asif Ali Zardari says the pipeline is about economic survival. "We've got to be economically sound, and therefore this pipeline is a life pipeline as far as Pakistan is concerned," he added.

American University professor Akbar Ahmed says Pakistani energy demands outweigh U.S. opposition.

"It's in the interests of the Pakistani government to have access to energy and Iran is promising that through this gas pipeline," Ahmed said. "At the same time the United States is doing everything to block this."

"We have serious concerns if this project actually goes forward that the Iran Sanctions Act would be triggered. We’ve been straight-up with the Pakistanis about these concerns," said State Department spokeswoman Victoria Nuland.

Other countries have gotten waivers from the Iran sanctions. Pakistan thinks this pipeline should get a waiver too.

"I don't see why we cannot engage with the world and make sure that the world understands our point of view, and Pakistan also gets a waiver for this project," Zardari explained.

The Obama administration says there is no comparison.

"In the case of Japan, they’ve been making a steady decline, as have other countries that we have waived sanctions on. This pipeline project - if, as I said - if it actually goes forward - we’ve seen that promise many times - would take Pakistan in the wrong direction," Nuland stated.

Professor Ahmed says Tehran hopes that the U.S.-led sanctions will push Pakistan into a closer alliance with Iran.

"I don't think the United States should be pushing Pakistan to the point that it's at the brink," Ahmed said. "It's already at the brink in terms of the law-and-order breakdown in Pakistan, in terms of the economic crisis, in terms of really the sense of crisis that now envelopes Pakistan and the awareness in Pakistan that America is at the root cause of most of its problems."

U.S. Secretary of State John Kerry had hoped to go to Islamabad after his surprise trip to Kabul last week - and the pipeline issue was expected to come up. But U.S. officials decided against the trip - given the political uncertainty in Pakistan ahead of upcoming elections.

Source: US Considers Sanctions Against Pakistan for Iran Pipeline

 

[Pandora]

Been hearing about sanctions for about a year now. Construction has already started so there is no turning back now.

 

[ShahidT]

We oppose the pipeline to bring energy from Canada to the US. see how stupid that sounds? America belongs 10 thousand miles away on other side of earth, they should stop poking their nose where they have no business nor invitation.

 

[RazorMC]

Bull Excrement !!

As if the US will not impose sanctions anyways. If it's not the pipeline then something else will come up for them to start foaming at the mouth.

 

[Mirage2000]

America is hardly providing any equivalent alternative for our energy needs and instead threatening us with sanctions its this arrogance that many of Pakistanis complain and is the reason US is hated here.

But it hardly matters for their government or policy makers their ambassador suggests one thing and they do completely opposite and yet expect us Pakistanis to be friendly?

 

[Argus Panoptes]

America is hardly providing any equivalent alternative for our energy needs and instead threatening us with sanctions its this arrogance that many of Pakistanis complain and is the reason US is hated here.

But it hardly matters for their government or policy makers their ambassador suggests one thing and they do completely opposite and yet expect us Pakistanis to be friendly?

I think that both sides realize clearly that there are no friendly feelings on wither side any longer. However, both sides still have interests that coincide in some areas, but clash in others. The IP pipeline is one area where the national interests clearly clash, and both sides will be doing whatever they can to protect them.

 

[The_magnificent]

I do not think it will affact pakistan very much. Only little it may affact. Pakistan is already shifting toward China for its defence and technological needs. it will make things go little early. thats it. I think pakistan should follow Iran model.

 

[Amaa'n]

Don't forget Sanction will not be imposed on the country but the organization dealing with the project. Thats why ADB, Chinese Bank and other companies refused to fund the project because than they will have to face sanctions.

On the other hand this is nothing but pressure tactics. I believe that we should carry on with the project, and I am sure US will understand too once we donot give into the pressure

 

[muse]

STATE DEPARTMENT —"I don't think the United States should be pushing Pakistan to the point that it's at the brink," Ahmed said. "It's already at the brink in terms of the law-and-order breakdown in Pakistan, in terms of the economic crisis, in terms of really the sense of crisis that now envelopes Pakistan and the awareness in Pakistan that America is at the root cause of most of its problems."
Source: US Considers Sanctions Against Pakistan for Iran Pipeline

Perhaps the intention is to push Pakistan into a corner, the US may be confident that Pakistan can be made to buckle, others argue that US needs Pakistan to stabilize Afghanistan and facilitate the evacuation of US/NATO from Afghanistan and therefore it will ot apply sanctions - though it seems to me that generally the US will retreat and allow the UK to represent her interests in countries in which US credibility has taken a beating. So, are the English favorably disposed towards this pipeline?, No, not at all, the English have a very long hand painful history with the Iranian oil industry, in fact the present US led sanctions are a replay of the sanctions the UK imposed on the Iranian which led to a collapse of the Iranian oil industry , the downfall of Mossadeq and the CIA led effort to restore the Shah to the throne.

So with much pressure, can Pakistan withstand? How will it respond? There is a final contract signing ceremony on the 15th of this month, what message will be sent if this is for whatever reason, delayed?

 

[RazorMC]

^^ If the GoP is sincerely planning to go ahead with this project, then no delays are to be expected. But I believe that the US pressure will eventually become too much for Pakistan's civilian and military administration. Then we can expect unexpected decisions, all for the sake of national interests (aka America-really-is-the-superpower-but-we-thought-we-could-handle-it).