According to Prime Minister Narendra Modi, the opening of the India-Bangladesh Friendship pipeline to transport High-Speed Diesel from Siliguri in West Bengal to Parbatipur in Bangladesh marks the start of a new chapter in the two nations’ relations. The pipeline was inaugurated on Saturday alongside Bangladeshi Prime Minister Sheikh Hasina.

Since many nations are experiencing a problem in their ability to deliver energy owing to the Russia-Ukraine war, Bangladesh’s prime minister, Sheikh Hasina, stated that the trans-border pipeline will be crucial in maintaining Bangladesh’s energy security. She referred to the pipeline as a turning point in the two nations’ partnership.

The 131.57-kilometre electricity pipeline between Bangladesh and India was officially opened on Saturday by Prime Minister Narendra Modi and Bangladeshi Prime Minister Sheikh Hasina. It is the first cross-border energy pipeline to be constructed, and it cost an estimated ₹ 377 crore. India has given the Bangladesh section of the pipeline a grant assistance of ₹ 285 crores.

The pipeline, according to Prime Minister Modi, has the capacity to deliver one million metric tonnes per year (MMTPA) of high-speed diesel to seven northern districts of Bangladesh. This will have a significant positive impact on local industry and agriculture by supplying a cheap and dependable source of energy. It will also produce less carbon dioxide than the alternative energy delivery methods between the two nations.

India already provides Bangladesh with 1100 MW of power, Prime Minister Modi noted, underscoring the two countries’ expanding energy cooperation. He said that the Maitree Super Thermal Power Plant’s first unit is now operating and that the second unit will follow soon. According to Prime Minister Modi, the two countries oil commerce has surpassed $1 billion.

According to Prime Minister Modi, the pipeline would help Bangladesh’s economy expand even more quickly and serve as an excellent illustration of how closely the two nations are becoming connected. According to the report, Bangladesh would import 2,50,000 tonnes per year in the first three years, 300,000 tonnes per year in the fourth to sixth years, 350,00 tonnes per year in the seventh to tenth years, and 400,000 tonnes per year in the eleventh to fifteenth years.

With $16 billion in exports, it is the fourth-largest market in the world for Indian goods. India’s exports to the country might soon quadruple to $32 billion according to the Comprehensive Economic Partnership Agreement (CEPA) that the two nations are now drafting.