Monday, January 7

The Iranian Pakistani Gas Deal Criticism

I am absolutely against this mare's nest of a gas pipeline from Iran to India via Pakistan and have written about this way back in 2004. Nothing has changed. But something caught my eye today. The Iranians are signing a deal with Pakistan itself instead of waiting for the Indians to make their minds up. This is pure politics, no economics nor pure energy! I quote:

Criticism In Iran Over Gas Deal With Pakistan

Iran's ambassador to Pakistan has announced that at the end of this month Iran and Pakistan will sign a deal for Iran to supply gas to Pakistan.

The announcement came a day after the visit by Iranian Foreign Minister Menouchehr Mottaki to Pakistan.

The deal has come under criticism in Iran. Parliamentary committee for National Security and Foreign Policy member Mohammad Mohammedi stated that Iran was supplying gas to Pakistan too cheaply; MPs and economists claimed that the deal was against Iran's own long-term interests; the Majlis (Parliamentary) Strategic Research Center stated that Iran's gas reserves for the next decade are sufficient for domestic consumption only; Majlis Energy Affairs Committee head warned that implementing the deal would force Iran to import oil to meet its own energy needs.

Sources: Fars, Iran, January 5, 2008; Aftab-e Yazd, Iran, January 6, 2008; IRNA, Iran, January 6, 2008

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