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US reminds India of reservations on gas pipeline
NEW DELHI: The United States has reminded India about its concerns over Iran, as New Delhi prepares for talks on a $4 billion pipeline to bring Iranian gas to South Asia, Indian Oil Minister Mani Shankar Aiyar said on Thursday. Aiyar said that New Delhi had "noted" Washington's concerns and hoped that the US would resolve its concerns over Iran by the time India negotiated a deal with Tehran.

Washington's ambassador to New Delhi David Mulford conveyed US concerns to him about a month ago, he said. "I think the United States is well aware of our energy security requirements," said Aiyar. He said, "So long as we are sensitive to each other I don't think it will be an insurmountable obstacle either to their concerns or our being able to take the measures required for our security."

He added, "We hope they can resolve their issues with Iran by the time we can resolve contractual issues." Aiyar had said on Wednesday that he planned to hold talks with his Pakistani counterpart on the gas pipeline that would help meet India's huge energy demand.

India barely produces half the gas it needs and imports 70 percent of its crude oil requirements. Pakistan, which has been quite keen on the project, will earn millions of dollars in transit fees from the "peace pipeline."

Indian officials said that US Ambassador David Mulford had conveyed Washington's reservations about the energy deal during the meeting two weeks ago. The paper claimed that although Mulford said he appreciated New Delhi's interest in the pipeline, "He felt it was his duty to highlight US concerns about Iran." He had said that Washington was facing serious difficulties with Iran on its nuclear weapons programme, with no immediate solution in sight to ending the impasse. Washington's concerns were likely to be raised again when US Secretary of State Condoleezza Rice visits India on March 16, added the paper.
Posted by: Steve White 2005-03-11
http://www.rantburg.com/poparticle.php?ID=58584