The Economics of Iran-Pakistan-India Natural Gas Pipeline

This paper examines the economics of the landed price of natural gas in India through the Iran-Pakistan-India pipeline in comparison with the existing agreements for the import of liquefied natural gas. It reviews the natural gas demand and supply scenario in India, and assesses the efficacy of the pipeline in the context of energy security. The paper analyses the economics of natural gas supply from IPI pipeline in terms of cost of power generation and the cost of delivered power to consumers. It also briefly discusses the process of negotiations for the IPI pipeline