WASHINGTON: The Iran gas pipeline project remains the best option for Pakistan, Minister for Petroleum and Natural Resources Khaqan Abbasi said on Tuesday.

Earlier in the day, Mr Abbasi and Energy Minister Khawaja Mohammed Asif inaugurated a two-day seminar in Washington, highlighting business opportunities in the clean energy sector in Pakistan.

“We are running against time to meet energy deficit. We want energy sources that are both renewable and affordable,” Mr Asif said in the conference.

“The Iran gas line project is the best option for Pakistan,” said Mr Abbasi while speaking to the Pakistani media after the first session. “But as long US sanctions are there, we cannot buy gas from Iran.”

Also read: Move for lifting Iran sanctions welcomed

The minister noted that relations between the United States and Iran were improving rapidly after the two signed a nuclear deal earlier this year. “This is good news for us. We hope that sanctions will be removed soon,” he said.

Mr Abbasi rejected a perception that Pakistan would be forced to pay penalty if it did not buy gas from Iran now.

“Not our fault. We made several attempts in the last 18 months to complete the project on our side. But no investor, no builder came forward,” he said. “Once the sanctions are lifted, we will work on this project. A pipeline is always more reliable than other options.”

Mr Asif said he was not in a position to say how much money had been invested in Pakistan in the last two years but the United States and Pakistan were working together to encourage investment.

He said the government was also making legislation to discourage theft and distribution losses, which were bigger than theft.

Mr Asif acknowledged that it would be difficult to bring down the large circular debt as long as the losses persist.

Larry Sampler, the acting head of the US International Aid Agency, said that the current Pakistani government was more interested in “trade than aid” and that’s why USAID was hosting this conference.

He said that with US assistance, Pakistan would be able to add from 3000 to 4000 MW to its national grid by 2019 but the country faced a deficit of almost 6000 MW. “So opportunity is there for investment,” said Mr Sampler.

The United States, he said, was investing in improving the transmission and distribution system and was also providing technical knowledge to policy makers.

“We want the story to have a happy ending, that’s why we are focusing on clean renewable energy,” he said. “This is central to Pakistan’s future.”

Published in Dawn, December 2nd, 2015