The India-Bangladesh Friendship Pipeline (IBFP) that carries diesel to the neighbouring country is facing a slow pace due to the political turmoil that was created following protests and Sheikh Hasina’s resignation. Mint quoted unnamed people aware of the development to assert that the the proposal to extend the 131-KM pipeline beyond Parbatipur in Bangladesh has been paused by the Government of India.
One of the unnamed sources told Mint, “Since the project has been operating well and has been largely successful, there was a consideration as to why not further extend it to cater to more places in the neighbouring country. Now, after the political situation somewhat destabilized, India would like to wait for the situation to stabilize for any further consideration and talks. No specific timeline can be given.”
The pipeline was inaugurated in March 2023 by the Prime Minister of India, Narendra Modi, and former Prime Minister of Bangladesh, Sheikh Hasina. It runs from Siliguri in West Bengal to an oil depot in Parbatipur in district Dinajpur of Bangladesh.
The capacity of IBFP is one million metric tonnes per annum (MMTPA) of high-speed diesel (HSD). It currently serves seven districts in northern Bangladesh. The pipeline was built at an approximate cost of Rs 377 crores out of which Bangladesh paid Rs 285 crore using grant assistance by India.
Another unnamed source quoted by Mint said that there was a proposal to send high sulphur fuel oil which is used in the maritime industry and furnace oil to Bangladesh and heating homes, businesses and industrial units.
Notably, diesel is used to power Bangladesh’s textile industry which contributes extensively to the neighbouring country’s economy.
Apart from the India-Bangladesh Friendship Pipeline, petroleum products are also being delivered to Bangladesh via rail from Numaligarh Refinery in Assam.
In a media query external affairs ministry, the spokesperson of the ministry said that the development projects in Bangladesh were affected due to the law and order situation in the country.
The current situation of the pipeline, however, remains unaffected as assured by Numaligarh Refinery Ltd’s (NRL) chairman Ranjit Rath. He said, “Rather, we are scaling up operations in northern Bangladesh from our Siliguri terminal and northeastern Bangladesh from terminals developed near Silchar.” Notably, Rath also holds the position of chairman and managing director of state-run Oil India Ltd. It is the largest shareholder in NRL.
In future, NRL wants to expand the capacity from 3 MMTPA to 9 MMTPA. The company is working on several projects including the Paradip Numaligarh crude oil pipeline and crude oil import terminal at Paradip along with a second-generation bio-refinery at Numaligarh in Assam.
Political turmoil in Bangladesh
On 5th August 2024, Sheikh Hasina resigned from her position as Prime Minister of Bangladesh amidst escalating protests and political unrest. After her resignation, the Bangladesh Army took control on the same date and an interim government was put in place under the leadership of Muhammad Yunus. Amidst this turmoil, there have been disturbing reports of targeted attacks on Hindus, with homes and temples being vandalised, further heightening tensions in the country. India, on several occasions, has raised concerns over the attacks on Hindu minorities in Bangladesh.