The Hindu Business Line : Iran-India gas pipeline

The combined total of $90 billion for the two LNG deals (India's and China's) and the possibility of not being able to access American or European liquefaction technologies should provide a major incentive to Iran, India and China to develop their own technology as a collaborative effort.

Aside from the LNG deal with Iran, there are active discussions afoot on a planned $4-billion pipeline from Iran to India through Pakistan. India is also planning a pipeline from Myanmar to India through Bangladesh. Pipelines to transport natural gas across countries and over a variety of tracts are capital intensive are not very kind to the environment. Moreover, the local governments will have to arrange special security for such installations, even though moving gas through pipeline will be much less expensive in the long run.Shipping or surface transportation of LNG under certain circumstances could be an attractive alternative to running pipelines across countries.

India has been successful in striking large quantities of natural gas within its boundaries, mostly in the Krishna-Godavari basin. Present plans call for laying pipelines across the country, often cutting through forests and mountainous regions.

The alternative in terms of surface transportation of LNG deserves serious consideration. It is, therefore, important to have the technology available and not allow oneself to be held hostage to the strategic and business considerations of foreign governments and companies.

Giri Girishankar

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