ABSTRACT

Crippling sanctions imposed on Iran by the Obama administration in response to the Iranian 'intransigence' on the nuclear issue hurt the India–Iran energy ties to a great extent. The November 2013 interim nuclear agreement between Iran and the world powers that relaxed some sanctions on Iran, improved the general atmospherics of the Indo-Iranian energy relations. The Vienna deal may give a new lease of life to pipeline projects involving India and Iran—Turkmenistan-Afghanistan-Pakistan-India pipeline and Iran-Pakistan-India pipeline—enabling companies to invest without the fear of breaching sanctions. The Security Council passed six resolutions on Iran's nuclear programme. The July 2012 round of EU sanctions that banned insurance and reinsurance to tankers carrying Iranian oil, created another quandary for India's import. India's propensity to walk the thin line by balancing its relationship with Iran and the United States contributed to its failure to constructively engage diplomatically with the international community in devising a solution to the Iranian nuclear imbroglio.