2010 

LT  FR

Speaker of the Seimas, Mrs I. Degutienė, says that energy isolation can be ended only by certain infrastructural projects, gas sector liberalisation, and common EU Gas Purchasing Agency


8 October 2010, press release

 

Mrs Irena Degutienė, Speaker of the Seimas, highlighted a necessity of specific infrastructural projects, gas sector liberalisation, and establishment of a common EU Gas Purchasing Agency speaking in the third Session of the Assembly of Members of the Seimas of the Republic of Lithuania, the Sejm and Senate of the Republic of Poland, and the Verkhovna Rada of Ukraine.

 

“The fact that Lithuania still lacks a real energy market and is essentially dependent on Russian energy resources is one of the most painful parts of the Soviet legacy. We have realized it after the closure of the Ignalina Nuclear Power Plant when Lithuania found itself in a situation importing about half of the power to satisfy national needs. Power is mainly imported from Russia due to the absence of connection to the Western European power grid. Only specific infrastructural projects, primarily power bridge to Sweden and Poland, and certainly the construction of a new regional nuclear power plant could lead us out of this situation. Surely, the development of alternative energy resources should be enhanced”, Mrs Degutienė noted.

 

The Head of Parliament highlighted the importance of doing the “homework” for the new nuclear power plant construction project, i.e. reaching an agreement with the strategic investor and clearly defining technical parameters of the new power plant.

 

“Upon launching preparation, we immediately declared our goal for this project to enhance the energy security of the EU Member States: Estonia, Latvia, Lithuania, and Poland. However, as soon as Lithuania declared its commitment to construct a new nuclear power plant and started consultations with the neighbouring countries, Russia and Belarus also declared plans to construct their nuclear power plants close to the Lithuanian border. Today it is hardly possible to judge whether the Russian and Belarus projects have to be regarded as having a real foundation or simply as geopolitical manoeuvres aimed at halting our energy related plans. However, our neighbouring states are already receiving various appealing offers, notably coming from Russia”, Mrs  Degutienė stated.

 

Speaker of the Seimas noted that now Russia is offering its neighbouring states to buy power from the future Kaliningrad Nuclear Power Plant or to get involved in this project through some other forms of cooperation.

 

“We will respect our neighbours’ choice whatever it may be, but hope that the assessment of the competing projects in Lithuania and Kaliningrad will include not only the actual economic background of Russian proposals, but the entire logics of geopolitical actions. After all, energy is an integral part of politics and geopolitics. Lithuania’s aim is to construct a regional nuclear power plant, thus unique in the entire European Union, with the management based on the European business model. Meanwhile, in Russia, business and politics are closely interconnected and the energy sector is strongly politicized”, the Head of Parliament said.

Speaker of the Seimas raised a question: who could guarantee that one day, if political environment changed, Russia would not apply similar energy pressure on its neighbours and project partners as it had once exerted on Ukraine and Belarus?

 

“In a way, the never ending repair works on the Druzhba pipeline could be considered a form of such geopolitical pressure which is causing problems not only for Lithuania but also for the Polish company PKN Orlen running Mažeikių nafta”, Mrs  Degutienė noted.

 

According to Speaker of the Seimas, the Lithuania-Poland power link is a significant infrastructural project in geopolitical terms.

 

“It is precisely this link that is to ensure Lithuania’s escape from the post-soviet energy space and its connection to the Western European power transmission grid. We would like to extend our gratitude to the neighbouring Poland for its efforts to allow this project to gain momentum”, Speaker of the Seimas highlighted.

 

Mrs Degutienė underscored that Lithuania has launched gas sector reform under the new EU provisions, aiming at strengthening its energy market and limiting the influence of monopolies.

 

“Our aim is to implement the EU proposal on the principle of complete separation, banning the same company’s engagement in production and transportation of energy resources. The implementation of this provision would certainly allow Lithuania a more efficient development of the projects, aimed at energy independence, i.e. the LNG terminal and gas pipeline with Poland. We all understand how hard it is under current circumstances to negotiate with the company under Gazprom on energy projects that may reduce the influence of Gazprom in Lithuania”, Speaker of the Parliament said.

 

Mrs Degutienė stressed the necessity to support each decision on the EU level providing leverage and enhancing the Community’s power of negotiation with the energy suppliers.

 

“Gas sector liberalisation and application of reciprocity principle are measures leading towards this goal. In the development of the common internal EU energy market, based on that principle, the separation principles, applied to the Community companies, should be equally applied to the external companies aiming to invest in the EU energy market. In simple terms, we must seek level playing field for both, the EU and Russia”, Mrs  Degutienė said and presented an example of Ukraine who decided to join the European Energy Community thus making its gas sector more in line with the European regulations.

 

Speaker of the Seimas referred to the idea of a common EU Gas Purchasing Agency as its establishment as another important step towards energy independence.

 

“Another important step would be the one proposed by Mr Jerzy Buzek, President of the European Parliament, and Jacques Delors, the Commission ex-president, in their initiative on the establishment of the common EU Gas Purchasing Agency, that would limit the discriminatory pricing policy pursued by energy suppliers. Let us give serious consideration to this proposal, which is highly significant and has apparent prospects. That would simultaneously add real content to the principle of solidarity in the area of energy, enshrined in the Treaty of Lisbon”, Mrs Degutienė noted.

 

According to the opinion of the Head of Parliament, this new energy strategy has not yet acquired a real footing yet; however, it draws clear energy guidelines for the future.

 

Secretariat of the Speaker of the Seimas

Juozas Ruzgys, Advisor to the Speaker of the Seimas

 

 





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