India and Bangladesh have taken a major step forward in their energy cooperation by jointly inaugurating the India-Bangladesh Friendship Pipeline on Saturday. The pipeline, which stretches 130 km (125 km inside Bangladesh and 5 km inside India), will transport diesel from Siliguri in West Bengal to Parbatipur in Dinajpur district of Bangladesh.
Prime Minister Narendra Modi and his Bangladeshi counterpart Sheikh Hasina launched the pipeline via video-conferencing, hailing it as a symbol of friendship and connectivity between the two countries. PM Modi said that he was proud of Bangladesh's remarkable progress and delighted that India had been able to contribute to its development journey. He expressed confidence that the pipeline would further accelerate the development of Bangladesh and enhance its energy security.
Sheikh Hasina thanked PM Modi for his support and cooperation in various sectors, including energy. She said that the pipeline would help meet the growing demand for fuel in Bangladesh's northern region and reduce transportation costs and time. She also appreciated India's grant assistance for building the pipeline.
The pipeline project was conceived during PM Modi's visit to Dhaka in June 2015, when a memorandum of understanding was signed between Indian Oil Corporation (IOC) and Bangladesh Petroleum Corporation (BPC). The two leaders had joined the groundbreaking ceremony for the pipeline in September 2018.
The pipeline has been built at an estimated cost of Rs 377 crore, out of which Rs 285 crore has been borne by India under grant assistance. The pipeline has a capacity to transport one million metric tonnes per annum (MMTPA) of diesel, which will be initially supplied to seven districts of northern Bangladesh.
The pipeline is expected to provide several benefits for both countries, such as:
- It is the first cross-border energy pipeline between India and Bangladesh, which will strengthen their bilateral ties and regional integration.
- It will ensure fast-paced delivery of fuel at a minimum cost, saving around $3 per barrel compared to road or rail transport.
- It will reduce dependence on imported fuel for electricity generation in Bangladesh, which faced a severe shortage last year due to high global prices.
- It will reduce environmental pollution caused by tankers and trucks carrying diesel across the border.
- It will create employment opportunities for local people during construction and operation phases.
The inauguration of the pipeline is another milestone in India-Bangladesh relations, which have witnessed significant improvement in recent years. The two countries have resolved long-pending issues such as land boundary agreement, maritime boundary delimitation, water-sharing arrangements, connectivity projects, trade facilitation measures, security cooperation etc.
The two leaders also reviewed other areas of bilateral cooperation during their virtual meeting on Saturday. They agreed to work together on Covid-19 vaccine production and distribution, joint celebration of Mujib Borsho (birth centenary year of Bangabandhu Sheikh Mujibur Rahman), 50 years of diplomatic relations between India and Bangladesh etc.
They also expressed their commitment to uphold peace, stability and prosperity in South Asia and beyond. They reiterated their support for each other's candidature at various UN bodies. They also condemned terrorism in all its forms and manifestations.
The successful launch of the India-Bangladesh Friendship Pipeline demonstrates how two neighbouring countries can work together for mutual benefit and common good. It also shows how India is fulfilling its role as a reliable partner for its neighbours under its 'Neighbourhood First' policy.