The Hindu : Jamali raises gas pipeline issue

Online edition of India's National Newspaper
Wednesday, Jan 07, 2004

International

International - India & World

Jamali raises gas pipeline issue

By B. Muralidhar Reddy

ISLAMABAD Jan. 6. The Pakistan Prime Minister, Mir Zafarullah Khan Jamali, said here today that he had urged the Prime Minister, Atal Bihari Vajpayee, to consider seriously Indian participation in the proposed Iran gas pipeline project through the land route of Pakistan.

At a news conference at the conclusion of the SAARC summit, Mr. Jamali said he raised the issue with Mr. Vajpayee when he met him on the sidelines of the summit on Sunday. He told Mr. Vajpayee that the extension of the pipeline to India was in the interest of New Delhi.

The multi-billion dollar project has been pending for several years in view of Indian reservations on safety and security of the pipeline through the Pakistani territory given the history of hostilities between the two sides. There has been little progress on the proposal despite several assurances from the Pakistani side guaranteeing safety of the pipeline.

Experts from Pakistan and Iran met days before the SAARC summit and decided to go ahead with the project irrespective of the Indian position. Observers believe that the pipeline would not be economically viable if it was not extended to India. Pakistan would gain tremendously in economic terms if the pipeline became a reality. It could earn an estimated $700 million annually through royalties.

Mr. Jamali said he told the Prime Minister that Pakistan was almost self-sufficient in gas but India was deficient and the project would benefit it more. The "ball is now in the court" of the Indian Prime Minister.

Asked about the fears of smaller member-states that the strong Indian economy would swallow them, Mr. Jamali said that no one could swallow anyone. All countries want to improve business. Describing the summit as historic, he said landmark decisions had been taken delineating a road map for South Asian progress.

Mr. Jamali said politics could not be divorced from economics and the imperatives of geo-economics could no longer be ignored. He said the creation of a climate of peace and stability, resolution of differences and disputes and simultaneous building of economic energies could transform the lives of the peoples of South Asia. He said all the leaders had reaffirmed their pledge to promote good neighbourly relations, mutual understanding and confidence-building among member-states. He referred to various decisions reached, including the signing of SAFTA, additional protocol on Suppression of Terrorism, signing of the Social Charter and said these would have a far-reaching impact.

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