Numaligarh Refinery switches petroleum exports to 131.5-km pipeline
Prime Minister Narendra Modi and Prime Minister of Bangladesh Sheikh Hasina have jointly inaugurated the Rs.377 crore India-Bangladesh Friendship Pipeline (IBFP) on 18 Mar 2023.
IBFP is the first cross border energy pipeline between India and Bangladesh with a capacity to transport 1 million metric ton per annum (MMTPA) of High-Speed Diesel (HSD) to Bangladesh.
The pipeline will start a new chapter in India-Bangladesh relations, Modi said at the inauguration.
“The pipeline will aid faster development of Bangladesh and will be an excellent example of increasing connectivity between the two countries,” said the Prime Minister from New Delhi.
The Indian Government has provided Rs.285 crore cost of the Bangladesh section of the pipeline under grant assistance.
“The friendship pipeline is a milestone achievement in cooperation for the development between the two friendly countries,” said Hasina.
“When many countries across the world are on the verge of a fuel crisis due to the Russia-Ukraine war at that time this pipeline will play a vital role in ensuring the fuel security of our people,” Hasina said.
Bangladesh imports 1,160MW of power from India.
“Some more regional and bilateral initiatives in the power sector are under implementation. Our cooperation to this end will be deep-rooted in the days to come,” Hasina said.
Numaligarh Refinery Limited (NRL) will now switch supply through the 131.5-km pipeline from the current arrangement of supplying petroleum products to Bangladesh since 2015 through a 512-km rail route from Assam.
The pipeline will run from NRL’s Siliguri-based marketing terminal to the Parbatipur depot of Bangladesh Petroleum Corporation (BPC) under a 15-year deal with option for further extension.
According to Dhaka media reports, the deal will see India exporting 200,000 tonnes of oil annually in the first three years, 300,000 tonnes per annum in the next three years, 500,000 tonnes annually in the next four years and 1 million tonnes annually afterwards.
The operationalisation of the Friendship Pipeline will enhance ongoing energy cooperation between the two countries and will further growth in Bangladesh, particularly in the agriculture sector.
The foundation stone for the construction of this pipeline was laid by both Prime Ministers in September 2018.
Bangladesh is India’s top-most development partner and its largest trade partner in the region, the Prime Minister’s Office said.
Cooperation in the power and energy sector has become one of the hallmarks of India-Bangladesh relations.
Enhanced connectivity with Bangladesh will further strengthen people to people linkages between two sides, said PMO. fiinews.com
