New Delhi, September 7:

Bangladesh has agreed to reconsider the conditions it has put to allow India to import gas from Myanmar via its territory. According to petroleum ministry sources, the Indian government reiterated to Bangladesh during petroleum minister Mani Shankar Aiyar’s visit to Dhaka on Monday that New Delhi preferred to get gas from Myanmar through Bangladesh and other options would not be so attractive. At the same time, “we have made it clear that India will vigorously pursue other options in the event of Bangladesh not joining the pipeline project as we are not willing to forego the gas from Myanmar”, a ministry source said.

Aiyar had cordial talks with the Bangladesh prime minister, foreign minister, finance minister, energy advisor and the opposition leader to seek endorsement for the pipeline project. On Bangladesh’s condition of first resolving issues related to transit rights and power trade with Bhutan and Nepal and the imbalance in bilateral trade, the minister stressed that these “are being examined at other fora”.

At the same time, the minister was told some of Bangladesh’s concerns and its demand to be recognised as a Least Developed Country (LDC) so that it could be allowed export to India duty free. Bangladesh’s economy being export-led, India’s support is seen as vital for its economic growth. “The minister stressed the importance of the pipeline but said its progress could not be made conditional,” one official said, “Within a month we are hopeful of being able to announce some progress.”

Ahead of his visit, Aiyar was asked by prime minister Manmohan Singh to pursue the project, which has failed to make any progress after the trilateral agreement between India, Myanmar and Bangladesh in January. Gas from Myanmar is seen as vital for meeting India’s energy security. Myanmar is keen to settle the issue of evacuation of gas from two fields in the Arakan region where Indian companies hold 30 per cent stakes.