29 Mar 2024
Tuesday 25 October 2016 - 11:01
Story Code : 236321

Russia would have to spearhead project to help create Iran's mega canal

An Iranian speaking to Sputnik says that if Tehran's ambitious 'trans-Iranian' canal, running from the Caspian Sea to the Persian Gulf, is to move forward, it will need Russia's initiative to help get it off the ground.

Earlier this year, Russian and Iranian media reported that serious discussions were taking place onthe construction ofa trans-Iranian canal, running fromthe Caspian Sea tothe Persian Gulf. The idea fora 7,200 km land- and sea-based rail, road and water route, dubbed the International North-South Transport Corridor, has since met withthe interest ofRussian, Iranian and Azerbaijani officials. The project, which would rival the Suez Canal inits scope, became a key topic ata summit attended bythe three countries' leaders inAugust.

Plans fora Russian-Iranian project fora trans-Iranian canal are not new, first emerging inthe late 19th century, when Russian engineers created blueprints fora navigable channel that would offer Russia a shorter path tothe Indian Ocean, bypassing the Turkish Straits and Egypt's Suez Canal. But the idea remained onpaper, and put onhold bywars, political crises and revolutions inboth countries.

Today, withRussian-Iranian political, economic and military cooperation amongtheir highest levels ever, the project's time may have come, withMoscow, Tehran and other Caspian nations showing interest increating a major maritime transport artery which would not only increase opportunities fortrade, butpossibly even strengthen the maritime defenses ofRussia and Iran againstcommon threats. Nevertheless, inspite ofthe obvious potential benefits, the project isn't cheap, either inpolitical capital or inactual cash; in2012, Iranian ex-energy minister Majid Namjoo calculated that the canal, stretching between765-1,400 km, would cost about $7 billion; other estimates put a $6-10 billion price tag onthe project.

Accordingly, Mahmoud Shoori, the director ofIran's Eurasian Strategic Council research center, told Sputnik Persian that it's too early toclassify the project as 'strategically crucial'.

"Discussions aboutthe project toconnect the Caspian Sea tothe Persian Gulf have been held formany years," Shoori recalled. "Frankly speaking, this is just discussion; factually, the project has stayed only an idea and has not even been begun tobe implemented."

The reason forthis, the expert noted, is that "the project is too colossal, multifaceted, and complicated inpractical terms, especially fromthe financial perspective. Therefore, even making a prediction aboutits future is very difficult; Iran simply does not have the ability toimplement such a project [by itself]." At the same time, Shoori stressed that "if we were toimagine that this project was implemented, it would significantly alter Iran's relations withall its northern neighbors withthe Central Asian countries and withRussia. After all, the Caspian Sea would thus be linked tointernational waters an alternative trade and transport artery would appear, which would create conditions forthe growth ofglobal trade inthe region."

For now, the analyst noted that "we have tobe realistic, and toconsider the growth intrade relations betweenIran and Russia and the countries ofCentral Asia viaother transportation hubs throughrail and land corridors."

Outstanding issues overthe Caspian Sea's legal status are another challenge tothe project moving forward, according toShoori. "A solution tothis issue may serve asan important driver fora Trans-Caspian Canal." Ultimately, the analyst suggested that if the project moves forward, it will require the creation ofan international consortium including the nations ofthe Caspian and Persian Gulf. "Russia, ofcourse, plays a role ofparamount importance inthis project. Therefore, a decision onthe legal status ofthe Caspian Sea inits final form will be crucial tostarting such a large international project," Shoori concluded.

By Sputnik
https://theiranproject.com/vdcgx39xqak9ww4.5jra.html
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