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Published 28 Jan, 2012 01:12am

Iran-Pakistan pipeline

EVEN as concerns about Iran's nuclear programme have led to tougher sanctions by the United States and the European Union, Pakistan seems determined to continue with the Iran-Pakistan gas pipeline. For this country there are two separate issues at hand. One is the question of Iran building nuclear weapons. As a signatory to the Nuclear Non-Proliferation Treaty, Iran must not be enriching uranium to levels required for weapons and should remain under inspection. As such, one hopes Tehran is dec-laring the full scope of its nuclear activities to the International Atomic Energy Agency and is only, as it claims, using nuclear material for energy and other peaceful purposes. Also, from the perspective of geopolitical priorities, the presence of another nuclear-armed neighbour is not in Pakistan's interests, regardless of the current nature of the relationship with Iran.

At the same time, Pakistan's energy emergency has now become a matter of both prosperity and security. The country needs to pursue any practical and affordable sources of energy it can acquire, especially those that can begin delivering sooner than others. Along with LNG imports, gas from Iran is one such option and execution could be completed in two years if started in earnest today. The Tapi pipeline is beset with challenges, not the least of which is the security situation in Afghanistan. Given Pakistan's limited options, it is hard to argue that the Iran project should not be pursued, despite America's discouragement and its contention that there are quicker ways that Pakistan could explore to resolve its energy problem.

According to the Foreign Office, the pipeline would not violate United Nations sanctions. And regulations are still being finalised to implement the latest US sanctions which will make it harder for foreign financial institutions that transact with certain Iranian banks to conduct business in America. If sanctions are indeed applied, an exception should be granted for the pipeline on the grounds that Pakistan's gas and power needs pose urgent economic, political and security risks. Nor should Coalition Support Funds or funding from international lending agencies be held back as a form of pressure. Iran can be asked for assurances that proceeds from the pipeline will in no way contribute to the development of nuclear weapons. Meanwhile, Pakistan will still have to do the tough work of improving efficiency in power and gas delivery, creating a sustainable pricing structure, developing indigenous resources and taking other steps to set its own house in order. The Iran-Pakistan pipeline should be pursued but it will not be a silver bullet.

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