Why is Iran insisting on a gas price revision every three years?
Every long-term gas contract has a price revision clause, and they are all for three years. We are a gas producing country, yet we buy gas from Turkmenistan and that contract has a three-year price revision clause. Russia and Ukraine have a long term gas contract, and till the price revision clause was introduced in the contract there were continuous problems with the delivery of gas. The price revision clause is simply a mechanism to study the market realities after a specified period. It is to the benefit of the buyer and the seller. It also helps maintain the sanctity of a contract which is for as long as 25 years. Are we likely to see a final deal on the pipeline in August? The deal will happen as soon as everyone understands the market. If all three countries — Iran, Pakistan and India — start accepting the market reality, we can have the deal tomorrow itself. But till that happens, it could take some time. How important is this deal for Iran? Not just this deal, any mega projec
