Clarification

ISLAMABAD: This is with reference to the news story, “$10 billion TAPI Gas Pipeline project fails to achieve financial closure,” published in The News International on June 22, 2020.

The contents of the story are strongly denied in unqualified terms. The story has presented an inaccurate representation of facts that has cast the TAPI project and progress on the same in a deliberately adverse manner. Some factual points which have been misinterpreted in the story need to be stated afresh for clarity and comprehension, says a press release on Thursday.

It must be recalled that the TAPI Price Negotiation Committee has already held its first meeting on 18th June, 2020 under the Chairmanship of Secretary, Petroleum. The constitution of this committee has also been approved the Economic Coordination Committee of the Cabinet which had in an earlier decision proposed constitution of a new PNC.

Secondly, all aspects of the project including price and delivery points are lined up next for review and discussion with relevant counterparts. Thirdly, 200 kilometers of the pipeline have already been laid. Fourthly, financial closure of Phase-1 is expected in 2021. Lastly, Phase-1 COD is expected to be completed in 2023.

It is, therefore, irresponsible to say that the project has been derailed. Impressive progress has been witnessed in the growth of the project. It has been gaining further momentum in spite the COVID-19 pandemic. The government of Pakistan is committed to the TAPI Gas Pipeline project and has continued to emphasize its importance to diversifying Pakistan’s Energy Mix and acting as a catalyst in improving regional connectivity and fostering better neighbourly relations and best endeavours are being made to meet the timelines of the project are being met and a number of video conferences, telephone calls and correspondence continue to take place during travel restrictions due to the pandemic.

It is expected that whilst reporting on such a sensitive and strategic subject which involves other nations and is intertwined with Pakistan’s socio-economic, interstate relations, irresponsible reporting is avoided.

Khalid Mustafa adds. The clarification is totally baseless as this scribe had not used the word of derailment of the project. In the clarification, there is no mention of the ‘objectionable’ contents that Petroleum Division has denied. The News presented the 100 percent accurate picture of the project as under the original plan, the financial closure was to be achieved by December 2016 which is now claimed by JS (Development) of Petroleum Division to be achieved in 2021 and project will come on stream in 2023 without knowing the fact that India and Afghanistan are also part of the project as buyer gas countries and unless and until the gas review prices and gas delivery points for every country is finalised, the construction work on project cannot start.

However, The News story included the version of Petroleum Division which says that all aspects of the project including price and gas delivery points are being taken up with relevant counterparts. And 200 kilometers of the pipeline have already been laid in the territory of Turkmenistan. And the financial closure of Phase-1 is expected in 2021 and the project's COD is expected to be completed in 2023.

This scribe also included that due to the COVID-19 situation and constraints of movement, a number of video and phone links continue to take place and are also scheduled to take place between Petroleum Division and TurkmenGas in the coming months. The discussions with ADB and TAPI Company Limited take place to ensure progress on the project are also underway. The News stands by its story.