Baltic States – CIS, Energy, EU – Baltic States, Legislation, Lithuania

"I would like to emphasise that in order to alter BRELL agreement terms a country must not cause damages to other countries. Listing possible losses due to the change of agreement terms is only an interpretation so far. At the moment we are not considering compensations as concerns alteration of agreement terms," the head of Government told the national radio Tuesday morning.

In 2001 five countries – Belarus, Russia, Estonia, Latvia and Lithuania (BRELL) – signed an Agreement on Parallel Operation of the Power Systems. The countries formed a BRELL loop and committed that their high voltage power transmission networks will operate synchronously as a single system.

Meanwhile, the integration of the Baltic States in the energy market of the West, i.e. power connections with Poland and Sweden, is nearing completion. In recent days there have been media reports that Russia and Belarus might demand to compensate damages for alleged alteration of BRELL agreement terms.

According to Butkevicius, after the system begins operating synchronously with the network of continental Europe, the existing power lines between Lithuania and Russia or Belarus will not be dismantled. Only the technological management of the connections with Russia and Belarus will change. This means that power connections will continue to be used and electricity trade will continue. However, there will no longer be complete inter-dependency.

The prime minister said it will be a long-lasting process. BRELL system is operating as there is no other choice. Negotiations between the EU and Russia with Belarus will take place when the synchronisation project will undergo implementation – something that is being discussed now while expert studies are ongoing.

The head of Government also emphasised that the shift of the system from one synchronous zone to another is a complex large-scale project, encompassing many legal, engineering, technological and procedural issues.

"I cannot say when it will be implemented. It is planned for 2024. I do not think negotiations on the matter will be among companies, but instead between the EU and Russia with Belarus," Butkevicius said.