DUBAI: Officials from India, Iran and Pakistan have begun trilateral official level talks on the 2,100-kilometre Iran-India gas pipeline. Iran's Deputy Oil Minister Hadi Nejad-Hosseinian said: "The project framework and the price of gas" were the main areas of discussion. Secretary-level discussions on "technical" issues will continue on Wednesday.

Mr. Nejad-Hosseinian said: "In case of an agreement, a memorandum will be written and submitted to Oil Ministers of these countries." Last week, Petroleum Secretary M. S. Srinivasan, who leads the Indian delegation, said gas prices would be one of the key areas of discussions in Teheran. "The gas price issue has never come up so far into the focus of talks. We have sounded out the idea with Pakistan and it will be the key issue of discussion."

He also stated that the three delegations would try and prepare a "project structure." An attempt would be made to finalise a draft framework agreement for the trilateral ministerial meeting planned in April.

Cost of pipeline

It is estimated that the tri-nation pipeline would cost around seven billion dollars. India has plans to get 60 million cubic metres of gas initially and raise consumption to 90 million cubic metres in the next few years. Pakistan has an estimated initial demand of 30 million cubic metres, which could double by 2013. Meanwhile, Minister of State for Petroleum and Natural Gas Dinsha Patel informed Rajya Sabha that India, Iran and Pakistan were discussing three possible routes for the pipeline, all of which pass through Pakistan's Baluchistan province.

Route configuration

"As regards the route of the Indo-Iran pipeline, three alternatives, namely, northern, central and southern routes are being discussed."

"Each route configuration will be studied in detail with respect to its merits and demerits during the preparation of the detailed project report." The Minister observed that the proposed pipeline "would have to cross Baluchistan in any logical option." However, there would be adequate safeguards in the project structure to ensure safe and secure gas supplies. India, Iran and Pakistan have earlier held bilateral discussions on the project under the framework of two separate Joint Working Groups.

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