Earlier this month, a critical section of the Turkmenistan–Afghanistan–Pakistan–India (TAPI) pipeline was inaugurated on the border between Turkmenistan and Afghanistan, marking a significant milestone in one of South Asia’s most ambitious energy projects.
Key Highlights of the TAPI Pipeline
- The TAPI pipeline aims to reshape the energy landscape in Central and South Asia by transporting natural gas from Turkmenistan to Pakistan and India via Afghanistan.
- On September 11, 2025, the inauguration ceremony was held for a 150-kilometer segment connecting Serhetabat (Turkmenistan) to Herat (Afghanistan).
- Afghanistan announced that work on the next segments of the $10 billion pipeline project would begin soon.
- Gas allocation: Pakistan and India will each receive 42% of the gas, while Afghanistan gets 16%, along with transit fees of approximately $500 million annually.
- Construction on the Turkmen side started in 2015, but work in Afghanistan has been repeatedly delayed due to security and political challenges.
- India’s participation has faced scrutiny due to relations with Pakistan and its existing access to liquefied natural gas (LNG) markets.
About the TAPI Pipeline
- Length & Route: The pipeline stretches over 1,700 kilometers, from the Galkynysh gas field in Turkmenistan to Fazilka, India, passing through Afghanistan and Pakistan.
- Turkmenistan Segment: Ashgabat is financing the 150-kilometer Turkmenistan-Afghanistan section, from Serhetabat to Herat.
- Capacity: Once operational, the TAPI pipeline will deliver up to 33 billion cubic meters of gas per year to Pakistan and India.
- Nickname: Often referred to as the “Peace Pipeline” for its potential to foster regional cooperation.
Route Details Of TAPI Gas Pipeline
- Turkmenistan: Galkynysh gas field O (starting point).
- Afghanistan: Herat → Kandahar.
- Pakistan: Balochistan province.
- India: Fazilka, Punjab (endpoint).
Financing the TAPI Pipeline
- The Asian Development Bank (ADB) is the main financier and transaction adviser.
- Turkmenistan secured a $700 million loan from the Islamic Development Bank in 2016.
- Afghanistan, Pakistan, and India made an initial combined investment of $200 million.
Background of the TAPI Gas Pipeline
- Conceptualized in the early 1990s, with a formal inter-governmental agreement signed in 2010.
- The Gas Pipeline Framework Agreement was signed in December 2010, followed by a bilateral gas sale agreement in May 2013.
- Initial construction began in 2018 but faced repeated halts due to security concerns in Afghanistan.
Strategic Significance Of Turkmenistan–Afghanistan–Pakistan–India (TAPI) pipeline
Turkmenistan
- The TAPI pipeline allows Turkmenistan’s Galkynysh gas field, the world’s second-largest, to access South Asian markets.
- Turkmengaz, the state energy company, holds 85% of the project, while Afghanistan, Pakistan, and India hold 5% each.
- Expected economic benefits include increased exports and revenue from gas supply.
Afghanistan
- The project is expected to generate 12,000 jobs and provide gas at lower costs compared to LNG.
- Strengthens Afghanistan’s role in regional energy cooperation.
- Provides a critical source of revenue through transit fees.
India
- Enhances energy security and reduces dependence on other sources.
- Establishes Turkmenistan as a key energy partner and strengthens Central Asian connectivity.
- Aligns with India’s broader strategy to boost regional energy cooperation.
Pakistan
- Provides energy security and economic benefits through transit fees and job creation.
- Encourages investment in renewable energy and infrastructure along the pipeline route.
Challenges and Delays
- Security risks in Afghanistan remain the main obstacle, including the presence of militant groups along the Afghan-Pakistan border.
- Taliban assurances of security, land acquisition, and monitoring have not fully resolved ground-level risks.
- Political tensions between India and Pakistan could affect long-term commitments and smooth operation.
- Funding constraints persist, with private investors expected to contribute alongside partial ADB support.
- The pipeline’s completion is highly dependent on regional stability and sustained cooperation among the four countries.
Conclusion
The TAPI pipeline represents a transformative initiative for energy cooperation in South and Central Asia. While progress continues with the recent inauguration in September 2025, security, geopolitical tensions, and funding challenges remain critical hurdles. If successfully completed, the TAPI pipeline will not only enhance energy security for India and Pakistan but also promote regional peace, economic growth, and connectivity.
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