India, Pakistan, Afghanistan and Turkmenistan have agreed to form a company for execution of the proposed pipeline project. They are expected to give it shape to by September this year. The project is known as TAPI pipeline.
“The strategic TAPI pipeline project, which will transport gas from Turkmenistan to Afghanistan, Pakistan and India, has gathered momentum with the Petroleum and Energy Ministers of the four nations agreeing to form a company by end-September . Asian Development Bank (ADB) has been appointed as legal-technical consultant, and it will soon identify a company which will drive the project. The company will be from a neutral country,’’ top sources in the Petroleum Ministry told The Hindu .
A decision on this issue was taken at the meeting Petroleum and Natural Gas Minister, Veerappa Moily, had with Rashid Meredov, Deputy Prime Minister and Foreign Minister of Turkmenistan, during his visit to Ashgabat late last week.
Mr. Moily was in Ashgabat to participate in the meeting of the Steering Committee on the TAPI gas pipeline project.
Following the meeting of the Steering Committee, a protocol was signed in which the parties fixed the decision on the need to prepare founding documents and the registration of the TAPI Ltd. India has already approved setting up of a special purpose vehicle to build the TAPI gas pipeline as the multinational firms did not come forward to build the project.
The Dubai-based SPV, TAPI Ltd., will scout for consortium leader who will build and operate the project.