Biz Buzz

They are calling it pipeline diplomacy. The forthcoming Musharraf visit has triggeredoff what is called energy diplomacy between two warring neighbours in the region and it has also revived the great Asian pipeline dream.
As a result, a host of multinationals arecurrently in negotiation with both Islamabad and New Delhi for their dream project.
Besides, India is under pressure from Iran for the Pakistan and Turkmenistan pipelines.PMO insiders claim India has agreed to the project and that the Prime Minister hasoverruled objections from the MEA, MoD and even his National Security Advisor BrajeshMishra.
But this news is unlike earlier reports. Having lost out on the Pakistanpipeline project, Reliance is currently exploring options for a separate pipeline from SouthPars, Iran's southern offshore, to Gujarat in collaboration with Iran Oil and BritishPetroleum, which has already commissioned a $10 million feasiblity study.
The Iran-Pakistan-India pipeline will be constructed by a consortium which will have BHP, Totalfina, an Iranian oil company and Crescent Petroleum of Pakistan.
A cash-starvedIslamabad (whose forex reserves are down to $900 million) has already agreed to the Indianoffer of $600 million transit royalty every year for the pipeline, both for the pipeline fromIran and the one from Turkmenistan.
As a result, there are chances that Gen Musharraf andVajpayee will make a formal announcement of the same during the former's State visit.

The case of Petroleum Secretary P Shankar's transfer is becoming murkier by the day.Last week during an evaluation meet, Minister Ram Naik discovered that Shankar (who isshifting to Chennai to assume the mantle of Tamil Nadu Governor) had written a detailednote that the government -- keeping in mind the hydrocarbon disinvestment programme --must get a successor who can stay for at least four years. This, claim insiders, hascaused tremendous confusion, ostensibly because the two hot contenders for the post --Power Secretary A.K. Basu and Telecom Secretary Shyamal Ghosh -- do not have more than twoyears in service.

The news has, nevertheless, pleased Ram Vilas Paswan who is extremely reluctant to release Ghosh. Basu, last heard, was checking out from Bengali bureaucrats about life inthe Marxist-ruled Eastern Indian State where the Chief Secretary's slot will be up forgrabs in a few months time. Meanwhile, confusion reigns in Naik's office over Shankar'ssuccessor.

If Hindustan Lever Limited (HLL) can have success with Modern Foods, why should otherFMCG giants like Britannia and Nestle SA be left behind? Not really. Recently, the twogiants approached the relatively, low-profile Delhi Milk Scheme (which has a significantshare in the Delhi milk market) for marketing their milk-based productsfrom DMS outlets. But, last heard, the move had boomeranged because Agriculture Ministerand Samata Party leader Nitish Kumar has put a spanner in the works, asking DMS officials to avoid anysuch agreements (lest NDA again draws flak). But what would the flak be for? Selling offthe desi doodhwala?

Has the Enron crisis caused permanent tension in the minds of the Power Ministry (readPower Minister Suresh Prabhu)? Otherwise, why did Prabhu call a presentation from asmany as eight public relations agencies last month? And the most crucial part of thesoon-to-be-given-assignment? A weekly newsletter which will list all achievements (!) ofthe Ministry and updates on the power situation in all the States and Union Territories. But what the agencies did not realise is that Prabhu wants the State Power Ministries toalso contribute towards this new PR budget, a move which has surprised many. After all,there are very few Indian States which would love to list their achievements in the powersector. Last heard, the agencies were still waiting with bated breath.