$ 1B gas pipeline project proposed, Plan to link Myanmar with India via Bangladesh

The Ministry of Energy and Mineral Resources has accepted, in principle, a proposal for the construction of a Myanmar-Tripura- West Bengal gas pipeline through Bangladesh, according to the Independent of 19th December.
The ministry forwarded the proposal, submitted by a hitherto unknown Bangladeshi company, to the Prime Minister’s Office (PMO) last month seeking its approval. It is now waiting for green signal from the PMO, it further added.

“It is not a bad proposal; we accepted it in principle and we shall take it up with the Prime Minister,” AKM Mosharraf Hossain State Minister for Energy and Mineral Resources told The Independent of 18th December.

The Minister in a tone of robust optimism said, “Bangladesh can earn Tk. 1,000 crore per year through this project and I think there is no harm in constructing such a pipeline. It is not at all a political issue.”

“Mohona Holding Limited, a Bangladeshi company, recently submitted the one billion-dollar project to the Energy Ministry. The ministry formed a committee to examine the proposal and submit a report. Sources said that the ministry did not as yet have adequate background information about the company and its technical and financial competence to undertake such a huge project covering three countries of the region. The company has not furnished detailed information as to how it would organize funds for the project, stated in the Independent.

If Bangladesh government finally approves the project, a consortium will have to be set up to implement it within Bangladesh territory. In any such consortium Bangladesh Petroleum Corporation Ltd, a subsidiary of Petrobangla, will be a major player. Interestingly, Petrobangla sources did not share the Minister’s optimism and termed the proposal ” immature.”

Myanmar, Tripura and West Bengal State Governments of India have accepted the proposal in principle, to construct a pipeline through Bangladesh territory, the State Minister for Energy said. It could not however be ascertained if the proposal came up for discussion during the just-concluded visit of the Prime Minister of Myanmar, said in the Independent.

The minister said if the Prime Minister’s office Okayed the project then they would go ahead to form a consortium in this regard, it further said.

Sources said that Bangladesh would put forward some terms and conditions to the company. One of the conditions is that Bangladesh will be the sole operator of the pipeline and will be entitled to use it as and when necessary in her own interest including export and import of gas whenever needed, it more added.

Other terms and conditions include provisions requiring the company to construct the pipeline with 30 to 40 inch diameter and to include BPCL as one of the main parties in the consortium, the sources said.

The proposed pipeline will enter Bangladesh border through Brahmanbaria from the Indian territory of Tripura and will cross into West Bengal through Rajshahi border, affirmed in the Independent.

The pipeline may help export gas to India without interference by any IOC, the sources said.

According to the sources, it will cost Tk.900 crore to construct the pipeline in Bangladesh.

Energy Ministry source said USA, Australia and some Indian companies have indicated their willingness to offer fund for construction of the pipeline in Bangladesh.

“We welcome the latest developments in the bilateral relations between Bangladesh and Myanmar during the short but effective visit of Prime Minister General Than Shwe. But it was disappointing to learn that the high level meet failed to make any progress in resolving the long pending repatriation of Rohingya refugees from the refugee camps in Cox’s Bazar. More than 20,000 refugees have been waiting for years with the hope that their government would agree to take them back, but all the attempts in the past failed to achieve any success. Their hopes must have been dashed somewhat since this was the first topmost level visit to Bangladesh by any Yangon dignitary in more than ten years. We earnestly wish the epatriation process would be expedited so that the thousands of Rohingyas could be relieved from their years of miseries in the camps, said the Daily Star of 20th December.