Proposed India-Pakistan Gas Pipeline Could be Ready Within a Year

The propose pipeline between India and Pakistan which India wants to use to supply natural gas to its neighbour may be ready within a year, The Hindu newspaper reports.

The pipeline, which would start from western Indian state of Gujarat, would be built by state owned Gail India.

Gail India will source LNG from international suppliers, which will then be regasified at the LNG terminal at Dahej in Gujarat, for supply to Pakistan, according to The Hindu.

“The pipeline may be completed in 12 months,” official sources told the newspaper on Thursday.

In this year’s central budget, India granted basic customs duty exemption of 5 per cent on regasified LNG for supply to Pakistan.

The proposed project will utilise GAIL’s existing Dadri-Bawana-Nangal pipeline network, which now extends to Jalandhar.

“This may be extended to Lahore via Amritsar by laying a 110-km pipeline of 24-inch diametre,” the sources told The Hindu.

Pakistan has been facing severe gas shortage due to increasing demand for electricity from households as well as industrial consumers. To fill the gap, the South Asian nation is trying to source gas from various sources. It is negotiating with Qatar for supply of  LNG however final price for the fuel is still an issue. Islamabad has also floated tender for LNG supply and according to reports in local media, 12 companies have put in their bids to supply the fuel.