Finland regions

floating LNG terminal in Estonia needs Finland and Latvia | Economy

Timo Tatar, Undersecretary for Energy at the Ministry of Economic Affairs and Communications, told ETV news program “Aktuaalne kaamera” (AK) on Tuesday that the state should: “Find out which other countries are ready to get involved in the project and clarify what options are still on the table.

“In fact, for Finland to be ready to join the Estonian project, they too have to look at their options, just like Latvia. Then it will be decided that we will really focus on a project and that we will help implement will become viable. This is what the government entrusted to us today,” Tatar added.

Reform MP and chair of the Riigikogu Economic Affairs Committee, Kristen Michal, agreed that the three countries should stop buying Russian natural gas, albeit at cheaper prices than LNG, all at the same time.

Michal told AK that: “Naturally, from an economic point of view, it makes sense to do this with a wider region, which means the three Baltic states plus Finland.”

Tuesday’s cabinet meeting made it clear that a regional terminal was timely, AK reported.

As ERR News reports, this could take the form of a floating terminal, i.e. a specially equipped vessel, as it already operates off the coast of Lithuania, and which would have a capacity of 30 TWh of LNG per year – sufficient for the annual needs of Estonia, Finland and Latvia combined.

Timo Tarter noted that Estonia’s consumption would be the lowest component of this, at 5 TWh per year, or about five LNG ship refuelings (the LNG ship would be filled from the arriving ships and then connected to the mainland through a pipeline).

The three states are likely to discuss plans in the near future, including how the project could be implemented, who would contribute what and how much, etc., Timo Tatar added.

The original deadline set by the Ministry of the Economy was this fall.

Following Russia’s invasion of Ukraine, the state is keen to get out of a situation where natural gas is still purchased from the state-owned Gazprom, although Russian natural gas and oil continue to be being transported to the EU at present. The United States has blocked Russian oil imports and does not import natural gas.

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