Turkmenistan-India gas pipeline talks revive as Taliban fall

Vikash Yadav vikash1 at ssc.upenn.edu
Mon Feb 4 20:01:54 PST 2002


I don't think this idea sounds feasible at all. The reason that an overland pipeline to India won't be built is quite simple: Pakistan. It does not matter who is in charge in Afghanistan or what the US wants. There is just no way that India is going to allow itself to become dependent upon an energy source that runs through the territory of its mortal enemy.

And there is even less reason why Pakistan wants to see India's economy meet its growing energy needs. Pakistan could earn much needed transit fees, but I doubt even hard cash would be sufficient incentive to help its rival succeed. I am also dubious of the notion that the new regime in Afghanistan will remain friendly for very long with Pakistan (Isn't Hamid Karzai a graduate of Indian colleges?).

For some time there have been discussions about building either an overland (~$3 billion) or deep underwater (~$30 billion) pipeline from the Persian Gulf to Bombay. But it has yet to materialize. The geo-strategic situation makes it impossible for India (or any other country) to pour money into a pipeline that can easily be destroyed by Pakistan during a war.

Foreign firms tend to believe that Pakistan will not destroy a pipeline owned by multinational corporations if/when there is another war between India & Pakistan. Even if the government of Pakistan does not shut off the pipeline in a war, anyone with a rifle or axe can stop an overland pipeline if they really want to. And there are probably a whole lot of people in Pakistan who would not need to wait for the outbreak of war as an excuse to cut off energy supplies to India. As long as hostilities remain a fact of life on the sub-continent India will have to rely on getting gas and oil from tankers.

Vikash Yadav Philadelphia, PA

-----Original Message----- From: owner-lbo-talk at lists.panix.com [mailto:owner-lbo-talk at lists.panix.com]On Behalf Of Ulhas Joglekar Sent: Monday, February 04, 2002 08:51 PM To: lbo-talk Subject: Turkmenistan-India gas pipeline talks revive as Taliban fall

[...] A consortium comprising Japanese and US firms was working on a project that would link Turkmenistan's gas fields with India through neighbouring Afghanistan and Pakistan.

But nothing came of it because of instability in Afghanistan under the Taliban militia.

The emergence of a new government in Afghanistan that is friendly with its neighbours has heightened prospects of building gas pipelines in South Asia, one of the world's largest energy markets in the future.

[...]



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