Afghanistan to Give Up Share of TAPI Gas

Afghanistan has withdrawn from purchasing its share of gas under the TAPI project, and the surplus will now be shared by Pakistan and India, The Express tribune has reported. As a result of this move, Pakistan and India are expected to pay another $450 million in transit fee to Afghanistan.

Under the original plans, Pakistan was to receive 1.365 billion cubic feet of gas per day (bcfd) from the TAPI pipeline; India 1.365 bcfd and Afghanistan 0.5 bcfd.

“Kabul has now conveyed that it does not require gas at present, and the participants of the TAPI gas pipeline project have reached an understanding that Pakistan and India will share the gas forsaken by Kabul,” sources told the newspaper. However, Kabul may approach Turkmenistan in the future if it needs gas.

Pakistan, Afghanistan and India have already agreed on a transit fee of 49.5 cents per million British Thermal units (mmbtu), to be paid to Kabul.

The TAPI gas pipeline project aims to export up to 33 billion cubic metres (bcm) of natural gas per year through a proposed 1,800 kilometre (km) pipeline from Turkmenistan, which will pass through war ravaged Afghanistan and into Pakistan and India.