New cold season, another reason for 'IP' completion

EghtesadOnline: As the cold season is coming in Pakistan, severe gas crisis is expected across the country to force the government to take concrete steps for completion of Iran-Pakistan (IP) gas pipeline project after long delay.

News ID: ۷۷۱۰۷۹

07 November 2016

Officials have said that there will be more shortage of gas for the consumers than last year, especially in the Punjab province which is the most populated province of Pakistan, IRNA reported.

Experts in Pakistan believe that Iran-Pakistan (IP) gas pipeline is the most viable and economical project for Pakistan as compared to other energy projects.

Managing Director of Pakistan’s Inter State Gas Systems (ISGS) Mobin Saulat has recently told IRNA that China has expressed interest to finance the un-built portion of Iran-Pakistan gas pipeline project Gwadar to the Iranian border.

Earlier Pakistan foreign ministry Spokesman Nafees Zakaria had also said Pakistan and Iran are in contact with each other to take forward the Pakistan-Iran gas pipeline.

China Petroleum Pipeline Bureau (CPPB) – currently engaged with the $1.4 billion Gwadar-Nawabshah LNG terminal and pipeline project has shown willingness to work on the remaining portion of the gas pipeline from Gwadar to the Iranian border to implement the Iran-Pakistan gas pipeline project.

From the Iranian side, everything is ready to transfer the natural gas from Iran to Pakistan. Iran has also announced it is ready to increase electricity exports to Pakistan up to 3000 megawatts. Iran is already exporting almost 100 megawatts of electricity to Pakistan.

Now, in the post-sanctions era, it is the turn for the Pakistani side to take serious steps to catch the opportunity from Iran.

Although deadline for the completion of the IP expired on December 31, 2014, so far Iran has not asked Pakistan for the penalties as mentioned in the gas pipeline agreement.

Pakistan government has always promised its people that it is serious in solving the gas shortage problem in Pakistan. Pakistani gas consumers, in spite of paying expensive bills for gas, are facing severe gas shortages in winter. In many areas in the country, including many parts of Islamabad, people face empty gas pipes in the cold season.

Media and people are repeatedly demanding the government to solve the issue at the earliest.

If the government is serious enough to solve the gas crisis, then everything is available on the ground. More hesitation from Pakistani side cannot be acceptable for the people of Pakistan.

Energy shortage is an all-season problem for Pakistan which needs serious efforts on part of the government. Pakistan’s two gas companies are unable to meet the demand, especially of domestic consumers.

The government has tried to solve the problem through expensive liquefied natural gas (LNG), imports from some Arab countries but of no avail and the gas shortfall remained significant.

The gas shortage is so serious that many people even in Islamabad the capital city have to collect wood to prepare food and keep houses warm in winter.

People in prosperous areas of Pakistan are forced to cook after midnight because this is the only time when gas pressure is sufficient to run their stoves.

Pakistan industry on the other hand also needs energy to help the economy of Pakistan.

So it is high time for Pakistan to complete the IP project as early as possible to end the energy woes of the people.