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Learning English - Words in the News
04 August, 2006 - Published 16:53 GMT
The proposed IPI gas pipeline
A gas pipeline
A gas pipeline

Officials from India, Pakistan and Iran are meeting in Delhi to discuss proposals to build a gas pipeline linking the three countries. This report from John Sudworth:

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The proposed pipeline from Iran, would be a huge boost for energy starved India, which currently produces only half of the natural gas it needs. The country's energy demands are expected to double within the next fifteen years.

The pipeline would also bring financial benefit to Pakistan, which it would cross on route from Iran, earning the Pakistani government millions of dollars in transit fees.

The United States is opposed to the project because of the financial and strategic benefits it would give to Iran but India and Pakistan are pressing ahead with the talks. The last meeting between the three nations in May this year failed to reach agreement on the price of the gas. India wants to pay a fixed amount per unit delivered to its border. But Iran wants the cost to be linked to fluctuating international energy prices, saying the price being offered by India and Pakistan is half of what it's looking for.

If these issues can be resolved work could begin on the new pipeline by the end of next year.

John Sudworth, BBC, India

Listen to the words

a huge boost for energy starved India
a big improvement for India, a country which doesn’t have enough energy

transit fees
money paid for moving something, in this case for moving gas through Pakistan

financial and strategic benefits
advantages, both in terms of money and of other things which are seen to be in Iran’s national interest

a fixed amount per unit delivered
a set quantity of money linked to how much of something is sold, in this case to how much gas, usually measured in cubic feet or metres

fluctuating international energy prices
prices of things like oil, gas and electricity, which go up and down on international markets

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