Iran has extended the deadline for its gas pipeline project with Pakistan by 180 days to September 2024. Iran has warned its neighbor that it will petition the Paris-based International Arbitration and demand an $18 billion penalty from Pakistan if the case goes to arbitration.
Tehran has volunteered to send its legal and technical teams to Pakistan to collaborate on a win-win approach before the 180-day deadline expires. The technical teams will aim to ensure that the project is completed and arbitration is avoided, local media reported today.
The team from Iran will travel to Pakistan in the second week of February 2024. Both parties would devise a viable strategy for bringing the project back to life. The Iranian team would include professionals in international relations, legislation, legal structure, and engineering.
Iran previously requested Pakistan in its second notice in November-December 2022 to build a segment of the Iran-Pakistan Gasline project on its territory by February-March 2024 or face a $18 billion fine. Before that, Tehran notified Islamabad in February 2019 that it would seek arbitration for failing to install the pipeline within the timeframe specified in the pipeline project.
Pakistan has maintained its stance that it is unable to work on the project due to US sanctions on Iran, a position to which Tehran has never subscribed, claiming that the US restrictions are unjustified.
If Pakistan uses local pkr for settlement of invoices than we can avoid international sanctions.
We need cheaper gas more than ever to bring down cost of production. Alas no strong government to make big decisions.
Energy Crisis is killing us. Gas from Iran will be utilized for peaceful purposes. Indians purchased petrol from Iran for it’s requirements. It is time we must present our case to US for gas pipeline. Irrespective of the fact whatever court ruling come from international court, we must purchase gas from Iran.
How the Americans will be convinced that this gas pipeline is our life line, that is million dollar question. It is the duty of those who are at present in power/ shortly in power.
The important thing is that our economy is in total mess. IMF saved us from default and that was possible only with US blessings.
We need to immediately start the work on the pipe line before the election becoz the political ppl will never allow due to multiple interests & pressures. Pakistan defence forces must take this project in hand & the NLC + FWO to start work Now. We will never be able to proceed without this mode. Pakistan’s industry will immediately come in with a fresh start & we will be able to payback in half the time Inn Shaa Allah. The joint chief of staff must come into action & takeover this sleeping project to ensure prosperity in the country. Jobs will open in multiple ways. The only best job done by Mr Zardari before he left….he wanted to ensure the ppl who come at the top are stuck & cannot deliver on this account. Iran & Pakistan will both benefit as was done in case projects started by President Ayu Khan than…..
If government (current or future) decides to implement the agreement, then it will be obvious that Pakistan is free from any pressure from any International Power.
Under the current circumstances when TAPI line is not possible only option is IPI. If China, India & others can buy oil & gas from Russia, Iran & Venezuela which are under SANCTIONS why can’t we go for Iran gas?
This pipeline is vital for Pakistan. We have already doubled its cost delaying it for so many years. US should have no say on this! I remember on onecinternational forum, their representative declined any US involvement.
So, Pakistan should start it ASAP.