07-05-2009, 04:36 AM
By Asim Yasin & Khalid Mustafa
ISLAMABAD: Prime Minister Yousuf Raza Gilani has decided to seek parliament’s approval for the multi-billion dollar Iran-Pakistan gas pipeline project. He has asked the Ministry of Petroleum and Natural Resources to prepare a feasibility report within two weeks on the viability of bringing the gas pipeline through an underwater sea route.
The decisions were taken during a presentation on energy securitisation by developing and exploiting hydro carbon resources here on Saturday. Adviser on Petroleum Dr Asim Hussain briefed the PM on the status of the IPI project.
According to a senior government official present in the briefing, Dr Asim suggested to the PM to first sensitise the parliamentarians through the relevant standing committees of the Senate and the National Assembly on the IP gas pricing issue, as the gas price had been criticised by various political parties for being on the higher side. It was proposed that the government could get the gas price worked out between the two countries approved by parliament to settle the issue once and for all.
While approving the proposal, Gilani also directed the Ministry of Petroleum to prepare a feasibility report within two weeks for the viability of the IP gas pipeline project through a sea route.
According to sources, the prime minister was informed that the sea route was comparatively more secure and also cost effective as it would not only save $2 billion but also reduce the pipeline stretch by 150 km. The meeting was informed that the option of India joining the project at any later stage remained open. Gilani also directed ensuring top security arrangements for the pipeline.
He directed that the gas pipeline project should be brought in parliament after presenting both the pricing and the route options to the cabinet. He also said that the ministry must maintain transparency at all levels in the implementation of energy-related plans and that all the integrated energy plans should be brought to the cabinet before they were presented in parliament for final approval.
While briefing the meeting about the status of the IPI project, Dr Asim Hussain informed the meeting that the project would boost business activities for local contractors, suppliers and transporters, thus creating a large number of secondary jobs. The project would also bring new opportunities by improving the technical and vocational skills while providing jobs to the local population, particularly in the underdeveloped areas of Balochistan and Sindh.
The adviser also argued that the pipeline would result in reducing the burden on road transport.
While talking to The News, he confirmed that the prime minister had accepted his proposal and directed the ministry to start the required preparation to get the approval of parliament.
Dr Asim stressed that 750 mmcf of gas would be imported per day only for power generation of about 5,000 MW and not for domestic needs. “This will replace the costly fuel used in thermal powerhouse and save over $1 billion for national kitty if the crude oil price stands even at just $70 per barrel.”
Responding to a question, Dr Asim confirmed that two powerful countries — one a Western power and the other an all important brother Islamic country — were putting pressure on Pakistan to ditch the project but he vowed that the national interests would not be compromised no matter what.
The Islamic brotherly country is exerting pressure on Islamabad for the concern that the export of its fuel to Pakistan, which is used in the country’s thermal powerhouses for electricity generation, will stand reduced to a naught.
This country also does not want Pakistan to develop close ties with Iran because of other ‘politico-religious’ differences.
http://thenews.jang.com.pk/top_story_det...p?Id=23098
ISLAMABAD: Prime Minister Yousuf Raza Gilani has decided to seek parliament’s approval for the multi-billion dollar Iran-Pakistan gas pipeline project. He has asked the Ministry of Petroleum and Natural Resources to prepare a feasibility report within two weeks on the viability of bringing the gas pipeline through an underwater sea route.
The decisions were taken during a presentation on energy securitisation by developing and exploiting hydro carbon resources here on Saturday. Adviser on Petroleum Dr Asim Hussain briefed the PM on the status of the IPI project.
According to a senior government official present in the briefing, Dr Asim suggested to the PM to first sensitise the parliamentarians through the relevant standing committees of the Senate and the National Assembly on the IP gas pricing issue, as the gas price had been criticised by various political parties for being on the higher side. It was proposed that the government could get the gas price worked out between the two countries approved by parliament to settle the issue once and for all.
While approving the proposal, Gilani also directed the Ministry of Petroleum to prepare a feasibility report within two weeks for the viability of the IP gas pipeline project through a sea route.
According to sources, the prime minister was informed that the sea route was comparatively more secure and also cost effective as it would not only save $2 billion but also reduce the pipeline stretch by 150 km. The meeting was informed that the option of India joining the project at any later stage remained open. Gilani also directed ensuring top security arrangements for the pipeline.
He directed that the gas pipeline project should be brought in parliament after presenting both the pricing and the route options to the cabinet. He also said that the ministry must maintain transparency at all levels in the implementation of energy-related plans and that all the integrated energy plans should be brought to the cabinet before they were presented in parliament for final approval.
While briefing the meeting about the status of the IPI project, Dr Asim Hussain informed the meeting that the project would boost business activities for local contractors, suppliers and transporters, thus creating a large number of secondary jobs. The project would also bring new opportunities by improving the technical and vocational skills while providing jobs to the local population, particularly in the underdeveloped areas of Balochistan and Sindh.
The adviser also argued that the pipeline would result in reducing the burden on road transport.
While talking to The News, he confirmed that the prime minister had accepted his proposal and directed the ministry to start the required preparation to get the approval of parliament.
Dr Asim stressed that 750 mmcf of gas would be imported per day only for power generation of about 5,000 MW and not for domestic needs. “This will replace the costly fuel used in thermal powerhouse and save over $1 billion for national kitty if the crude oil price stands even at just $70 per barrel.”
Responding to a question, Dr Asim confirmed that two powerful countries — one a Western power and the other an all important brother Islamic country — were putting pressure on Pakistan to ditch the project but he vowed that the national interests would not be compromised no matter what.
The Islamic brotherly country is exerting pressure on Islamabad for the concern that the export of its fuel to Pakistan, which is used in the country’s thermal powerhouses for electricity generation, will stand reduced to a naught.
This country also does not want Pakistan to develop close ties with Iran because of other ‘politico-religious’ differences.
http://thenews.jang.com.pk/top_story_det...p?Id=23098