Estonia's Gas System Development Plan
Paldiski, Tallinn and Sillamäe are the best suitable locations for the construction of the Baltic liquefied natural gas (LNG) terminal, according to Estonian gas distribution grid operator EG Võrguteenus.
In addition, the energy transmission company sees as a must the inclusion of Finland in the project.
“By the end of the year, we should know about the results of the European Commission report, and we all – Lithuania, Latvia, Estonia and Finland – should sit down and negotiate the future developments of this project and other initiatives like the ‘Balticonnector’,” said Sergei Jefimov, CEO of EG Võrguteenus during a conference in Tallinn.
Jefimov also detailed the company’s main plans for the next few years, and among the priorities is the development of the offshore and onshore facilities for ‘Balticonnection’, which onshore pipeline design could be completed by April 2013.
In addition, the Estonian gas distribution grid operator plans to upgrade the Tallinn – Kohtla – Jäve – Narva pipes. Overall, the expected level of investment foreseen by the company is around EUR 200 million.
“Consumption of gas has declined in the last five years due to the development of renewable energy project. However, we expect gas consumption to increase in the near future thanks to the use of this energy source by complementary industries and sectors,” added Jefimov.
The ‘Balticonnector’ and the regional LNG projects in Estonia are aimed at increasing energy security by connecting the Baltics to Finland after 2015
At the moment, EG Võrguteenus is waiting for a commissioned report from Pöyry Management Consulting on the state of the Estonian gas network, its future prospects after liberalization, gas price systems and consumer protection, as well as new services and products. This report will be the basis for the company’s Ten-Year Network Development Plan.
Estonia’s gas transmission network currently has three entry points – one from Latvia and two from Russia – and 36 exit points, and supplies 14 mcm/day. The subsidiary EG Võrguteenus was established in 2006 by Eesti Energia and operates Estonia transmission place for transportation of natural gas.