India has unconditionally agreed to join a proposed $4 billion pipeline project to carry gas from Iran, through Pakistan, to India, Prime Minister Shaukat Aziz said on Tuesday. Indian Petroleum Minister Mani Shankar Aiyar would hold talks with Pakistan in Islamabad, he said, but did not elaborate. "We asked them to join the Iran-Pakistan-India gas pipeline unconditionally," Shaukat told reporters. "And 10 days ago India accepted our proposal ... It will be a pipeline for peace."
There was no immediate comment from India, where Tuesday is a public holiday.
Analysts have said the planned pipeline, which could be completed by 2011, would help in improving relations between the nuclear-armed neighbours.
The prime minister told Reuters on Tuesday that Pakistan, which hopes to earn million of dollars in transit fees from the project, has guaranteed India "safe supplies" of the natural gas.
The security of the pipeline and an unhindered supply of gas are India's main concerns.
Aiyar told parliament earlier this month that India would impose tough conditions on Iran, which had the world's second biggest proven gas reserves after Russia at the end of 2003, for guaranteed supplies of natural gas.
India has also said previously that it would only agree to the pipeline being built if economic ties with Pakistan improved.
Indian officials have also said the project should be accompanied by other initiatives from Pakistan, such as allowing India transit rights for movement of goods to the Central Asia and lifting a ban on imports of Indian goods, such as diesel.
But Islamabad said there should be no strings attached to the pipeline project, which itself will be a major booster in improving relations between both the countries.
Shaukat said that Pakistan was also considering pipeline projects to bring gas supplies from Turkmenistan and Qatar.
"But it is too early to say which of the three pipelines will materialise first," he said.