PM wants early launch of TAPI gas pipeline project

Update: 2015-07-12 22:22 GMT
Prime Minister Narendra Modi on Saturday pitched for early implementation of the $10 billion Turkmenistan-Afghanistan-Pakistan-India (TAPI) gas pipeline project during his talks with Turkmenistan President Gurbanguly Berdymukhammedov as both countries inked seven <g data-gr-id="100">pacts</g> to ramp up engagement in key areas, including defence.  Terming the Turkmenistan-Afghanistan-Pakistan-India project a significant initiative in relationships between the two countries, Modi said he conveyed to Berdymukhammedov that multiple options, including the possibility of land-sea route through Iran, for the pipeline should be explored. The TAPI gas project is an over 1,800-km pipeline with <g data-gr-id="110">design</g> capacity to supply 3.2 billion cubic feet of natural gas per annum from Turkmenistan to Afghanistan, Pakistan and India.

The pipeline is expected to be operational by 2018 and will carry gas from Turkmenistan’s Galkynysh field that holds gas reserves of 16 trillion cubic feet. Modi also emphasised the need for enhancing connectivity, calling it a key aspect of the relationship.  He also proposed that Turkmenistan becomes part of International <g data-gr-id="98">North South</g> Transport Corridor. Noting that the pipeline project could transform regional economic cooperation and bring prosperity along the route, Modi underlined the need to implement it “quickly” besides expressing readiness for India’s long-term investment in the energy sector in <g data-gr-id="99">Turkmanistan</g>.

“I convey our interest in long-term investment in the energy sector in <g data-gr-id="93">Turkmanistan</g>,” the Prime Minister said. Modi arrived here on Friday evening after his three-day visit to Ufa, Russia, where he attended the BRICS and SCO Summits besides holding bilateral talks with leaders of Pakistan, Russia and China.

A joint statement called the TAPI project a “key pillar” of economic engagement between the two countries and said that both the leaders recognised that its implementation would have a transformational impact on trade. It said that they decided to take measures for <g data-gr-id="107">early</g> implementation of this important regional project. The leaders reaffirmed their strong commitment towards <g data-gr-id="105">timely</g> implementation of this strategic project and noted that the selection of its Consortium Leader, to be finalised by September 1 this year, would mark a crucial step.

After talks between the two sides, a total of seven pacts were signed including an agreement on cooperation in the field of defence and another on tourism. The pact on defence would provide a framework for intensifying bilateral defence and security cooperation through exchanges of high and mid-level visits, training and dialogue between the Ministries of Defence and other relevant organisations.

It would also enable capacity-building and technical cooperation, thus imparting a new momentum to the bilateral partnership in the defence sector. The Prime Minister also congratulated Berdymukhammedov on the 20th anniversary of <g data-gr-id="97">policy</g> of Permanent Neutrality, an important one for peace and stability in the wider region.

Underlining the need for greater cooperation in the energy sector, Modi welcomed the decision by ONGC Videsh Ltd (OVL) to open an office in Ashgabat. “We had a very positive discussion on India’s interest in investment in downstream industries, including petrochemicals and fertilisers,” he said adding that the MoU in the fertilizer sector will enable long-term arrangements for supply of fertilisers from here to India.

Laying emphasis on connectivity, he thanked Turkmenistan for support to India joining the Ashgabat Agreement on trade and transit. “If we use the Iran route, Ashgabat is the first capital we would reach in Central Asia.”

“Together with the Kazakhstan-Turkmenistan-Iran rail link, and India’s proposed investment in Chahbahar Port, Iran, these initiatives will strengthen connectivity between our countries,” the Prime Minister said, adding, “As India deepens its relations with Central Asia, Turkmenistan will play a crucial role in it.”

Modi noted that the recently inaugurated three-nation railway line could be a linked corridor of the International <g data-gr-id="104">North South</g> Transport Corridor to streamline <g data-gr-id="108">movement</g> of goods and commodities between India and Turkmenistan and beyond, the joint statement said. In this context, they also called for increasing frequency of flight operations between the two countries, including by offering fifth freedom rights for increased viability.

“The leaders reaffirmed their intention to work together in exploring alternative transport corridors for additional connectivity options between the two countries,” the joint statement said. The two leaders welcomed the Indian proposal to set up a urea production facility in Turkmenistan.

The joint statement said that the two leaders also identified ITC, textile industry, chemical and pharmaceutical industry, construction and agro- processing as potential areas for cooperation. In his statement, Modi said, “India attaches great importance to this relationship.” 

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