The Minister was given a detailed presentation by 'Interstate Gas Company' Managing Director Hasan Nawab on the IPI issues. He was informed that Pakistan had engaged India, through its High Commission in New Delhi, to come and rejoin the IPI to enhance its commercial and economic viability, besides making it a multi-nation project for mutual benefit of all parties.
He was also informed that Iran was already for working on the same lines through its diplomatic channel to woo New Delhi to become party to the project again.
Earlier, India was on board for IPI and its senior officials had attended a number of meetings at different levels till 2007. Then it fell prey to US pressure after getting an offer of alternative nuclear source of energy. The basic purpose of US pressure on India to stay away from IPI was to isolate Iran and deprive it of a long-term source of revenue from gas export.
Thereby, without making any formal announcement, Indian government sidelined itself from IPI unilaterally. However, Iran and Pakistan have been continuously wooing it for remaining on board for the project for the last one year. Hasan apprised Asif that as an alternative to India's participation, Iran and Pakistan were working on a plan to start practical work on the project as early as possible. However, the two countries have an understanding that they would welcome India's entry in the project at any stage in the future.
Director-General, Oil, G A Sabri, briefed the Minister on oil pricing mechanism, and Ogra's role in reviewing the prices on fortnightly basis. He informed the Minister that the refineries have been asked to give their recommendations to the Ministry for change in the oil pricing system. He said the government was picking up subsidy amount of roughly Rs 15 billion every month to offset the impact of all-time high oil prices in the international prices. The Minister will be given presentation on downstream and upstream oil industry on Wednesday.