DM Monitoring
TEHRAN: Pakistan is in diplomatic contact with Iran to address the ongoing dispute over the Pak-Iran gas pipeline, according to government sources.
The discussions come after Iran issued a notice indicating its intention to take the matter to an arbitration court next month. Government insiders revealed that Pakistan is exploring a negotiated solution to the issue through diplomatic channels.
They also emphasized that while Pakistan has a strong case in the potential arbitration, the contents of the notice remain confidential due to treaty obligations.
Officials cautioned against media speculation regarding the potential penalty, warning that such reports could be used against Pakistan. They further noted that Iran has not mentioned any specific financial demands, urging the media to avoid unfounded conjecture that could harm national interests.
Diplomatic efforts to resolve the matter are ongoing.
Earlier, The long-delayed Pak-Iran gas pipeline project is once again under scrutiny at the highest levels, as Iran has raised concerns with the Pakistan government over further delays and issued the country a final notice.
According to sources, Iran has expressed serious concerns to Pakistan over the continued postponement of the project, warning that no additional time will be granted for its completion. They indicate that Iran may escalate the issue by approaching the International Court of Arbitration in September for not building the pipeline under the project during the extended 180-day deadline.
In response to the potential legal action, Pakistan is reportedly considering options to negotiate a resolution with Iran regarding the gas pipeline through talks. Sources suggest that Pakistan intends to take Iran into confidence concerning the project’s delays and future developments to avoid further complications.
The Pakistan-Iran gas pipeline project has faced delays since 2014, with various obstacles hindering its progress. Officials from the Petroleum Division have acknowledged the existence of a revised agreement on the project, but the repeated delays have put Pakistan at risk of legal action by Iran, which could result in heavy financial penalties.
To address the issue, the Petroleum Division is reportedly exploring the matter through discussions, focusing on the legal aspects to find a viable solution. The outcome of these discussions will be crucial in determining the future of the Pak-Iran gas pipeline and avoiding potential international arbitration.
