Annual plan 2013-14: Govt will not scrap Iran gas pipeline project

Published: June 13, 2013

Officially announces commitment to project; expects first flow of gas by end of 2014. PHOTO: FILE

ISLAMABAD: Despite pressure from the United States, the government has officially announced in its Annual Plan 2013-14 that it will implement the Iran-Pakistan gas pipeline project, targeting the first flow of gas in December 2014.

According to the energy strategy unveiled by the Pakistan Muslim League-Nawaz government in the Annual Plan 2013-14 released on Wednesday, the project’s cost has been reduced to $1.25 billion against earlier estimates of $1.5 billion.

Under the IP gas pipeline project, Pakistan will import 750 mmcfd of gas to generate 4,000 Megawatts of power to overcome the crippling power crisis.

According to the plan, the government plans to appoint a third party inspection agency for the IP project in June-July 2013. It has also planned to procure equipment and material to begin construction in the financial year 2013-14. The government has also targeted to complete the construction of Pakistan’s portion of the pipeline in the new fiscal year, at which time the first gas flows are expected to begin.

At the same time, Prime Minister Nawaz Sharif’s government is also planning on committing to the Turkmenistan-Afghanistan-Pakistan-India (TAPI) gas pipeline project. Under this project, about 3.2 billion cubic feet per day of gas will flow through the 1,680 kilometre-long pipeline. The estimated cost of the pipeline is about $7.6 billion.

During the fiscal year 2012-13, which will end by the end of this month, the expected local production of oil was 74,000 barrels per day against a target of 69,000 barrels per day, exceeding the target by 5,000 barrels per day.

However, gas production fell short of the target, as the domestic gas production was expected to be 4,200 mmcfd against the 4,791 mmcfd target.

A total of only 83 wells (30 exploratory and 53 appraisal/development wells) were expected to be drilled against a target of 100 wells.

Published in The Express Tribune, June 13th, 2013.

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Reader Comments (14)

  • ArXhaD
    Jun 13, 2013 - 9:38AM

    We wish……………targeting the first flow of gas in December 2014.
    This is another SICK trick of the RULERS like protesting against Drones…… Keeping in view the Pakistan position in Americ’s eyes……….. this project is anothe KALAABAGH DAM. For such projects Nation has to be a NATION and Leader has to be a LEADER.


  • waseem sarwar
    Jun 13, 2013 - 9:42AM



  • J
    Jun 13, 2013 - 10:33AM

    @ArXhad…. Fully agreed…..


  • Mohammad Ali Siddiqui
    Jun 13, 2013 - 11:05AM

    It is necessary that the new incoming government should honour all the commitments made on behalf of Government of Pakistan by the previous government.

    Please go ahead, as we have acute shortage of Gas in Pakistan.


  • Mohammad Ali Siddiqui
    Jun 13, 2013 - 11:06AM

    It is necessary that the new incoming government should honour all the commitments made on behalf of Government of Pakistan by the previous government.

    Please go ahead, as we have acute shortage of Gas in Pakistan.Recommend

  • Sonya
    Jun 13, 2013 - 11:54AM

    Good news for the people of Pakistan – bad news for the friends of Pakistan i.e., US, Saudi Arabia


  • Malik Liaquat Hussain
    Jun 13, 2013 - 1:59PM

    Not friends masters of our rulers.


  • Umar
    Jun 13, 2013 - 2:38PM

    Well done Nawaz Sharif. He has shown that he will not compromise on national interest or serve as a proxy for his Saudi friends. The IP gas pipeline is in our national interest and is needed to alleviate the energy crisis.


  • unbelievable
    Jun 13, 2013 - 5:40PM

    @Mohammad Ali Siddiqui

    Please go ahead, as we have acute
    shortage of Gas in Pakistan.

    The World is drowning in Natural Gas – your power plants are sitting idle because you don’t have the money to purchase gas – pipeline isn’t going to solve that problem.


  • Pakistan
    Jun 13, 2013 - 7:00PM

    @Umar This is no commitment shown by Nawaz !! Under such opposition from NATION on stopping IP gas pipeline project, he is merely diverting and deluding the situation for the moment! He has shown his real intentions while surfacing Turkmenistan,Afghanistan Pakistan India gas pipeline project, All American tattoo nations(excluding India which is otherwise American favorite against Pakistan) !! THis is what he wants to replace IP pipeline Project!!


  • ali
    Jun 13, 2013 - 8:08PM

    some good news from Nawaz shrif


  • Prof. Shahid Mobeen
    Jun 13, 2013 - 8:58PM

    strange that we have to buy our own gas from Iran!


  • Joy
    Jun 13, 2013 - 9:16PM

    What will do, kerry is going to come to pakistan for talks??


  • S.R.H. Hashmi
    Jun 14, 2013 - 1:05AM

    Apart from gas, Iran has also offered electricity and that offer should be availed as well.

    Turkmenistan gas will also be welcome when it comes, if it comes.

    At the same time, exploration for gas and other minerals should be speeded up. There could be plenty in Balochistan, Sindh and Khyber-Pakhtunkhwa, but it is not doing us much good, lying deep under the earth. Work on these projects could generate economic activity which, in turn, could help reduce militancy, by giving people something useful, and remunerative, to do.


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