The pakistani minister for petroleum and natural resources has reportedly said that a long-awaited gas pipeline project between Iran and Pakistan will complete by 2018.
According to Shahid Khaqan Abbasi, speaking at a media briefing about the government’s performance during the last three years, told reporters that the major project will finally come to an end. He did not, however, give further details about it.
The minister also noted that the Turkmenistan–Afghanistan–Pakistan–India Pipeline (TAPI) project will be completed by January 2020. This is while back in March, Iran’s President Hassan Rouhani told reporters in Islamabad that the pipeline had already been completed on the Iranian side. While Iran has completed its part of the gas pipeline project with a total investment of above $2 billion of investment, Pakistan has fallen behind the target to take delivery of gas, initially scheduled for 2014.
The joint project was launched in 2010 and aims to construct 1,800 kilometers (over 1,100 miles) of pipeline from Iran to Pakistan. Iran plans to deliver 21.5 mcm/d of gas to Pakistan through the project. Trade between Pakistan and Iran fell to $432 million in 2010-11 from $1.32 billion in 2008-09, according to the Trade Development Authority of Pakistan. Energy-starved Pakistan suffers about 12 hours of power cuts per day and is keen to import Iranian oil, gas, iron and steel.
The energy crisis in Pakistan has worsened in recent years over 4,000 megawatts of electricity shortfall. The nation of 190 million people can only supply about two-thirds of its gas needs. Iran in turn is interested in Pakistani textiles, surgical goods, sports goods and agricultural products.