Ukraine crisis unlikely to affect TAPI gas pipeline project

15 Apr, 2014

The ongoing Ukrainian crisis is unlikely to affect the proposed Turkmenistan-Afghanistan-Pakistan-India (TAPI) gas pipeline project. "Russia is unlikely to intervene in the TAPI gas pipeline project due to many reasons including involvement of India in the project with whom Russia has strong economic ties and continued lawlessness in Afghanistan," an official of the Petroleum Ministry associated with the Iran-Pakistan (IP) and TAPI gas pipeline projects told Business Recorder here on Monday.
It may be mentioned here that following the Ukrainian crisis, Russia has threatened European nations of cutting gas supplies because of their continued political support to Ukraine over Crimea region The official said that Russia may oppose the involvement of USA-based companies, which are also interested in laying 1735 kilometer long TAPI gas pipeline which will bring 3.25 Billion Cubic Feet per Day (BCFD) of gas for a 30-year period and is likely to become operational by August, 2017. Pakistan and India would get 1.325 BCFD of gas, while the remaining 500 Million Cubic Feet per Day (MMCFD) will be supplied to Afghanistan.
The pipeline will run from the Turkmenistan gas fields to Afghanistan. It will start from the Daulatabad gas fields and run into Afghanistan alongside the highway running from Heart to Kandahar and then via Quetta and Multan to Pakistan. The final destination of the pipeline will be Fazilka near the India-Pakistan border. Recently, two leading US-based oil/gas companies; ExxonMobil and Chevron, have shown interest in becoming the lead financer of TAPI, which would cost $8 to $9 billion.
At a recent meeting of the Regional Technical Groups on "Regional Infrastructure" regarding Confidence Building Measures (RI-CBM) held in Ashgabat, Turkmenistan, the TAPI project was extensively discussed. During the meeting, India was of the view that TAPI project should be fast tracked as the progress on it has so far been very modest. It was pointed out that a consortium to implement the project should have been in place by September last year, but that has not happened. It was suggested that a timeline and milestone-based system of project monitoring be put in place to ensure that the pace of implementation is being expedited.
The meeting was held with the objective to consolidate international, regional and national efforts for development of new and reconstruction of existing infrastructure to facilitate economic stability and integration in the heart of Asian region. Both Pakistan and India remained active participant in the process as both have special interest in the construction of TAPI project. Turkmenistan is the richest country in natural gas availability in Central Asia and located in Pakistan's neighbourhood. The TAPI project is not only vital for Pakistan's energy security, but it is also important for India.

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