Energy, Gas, Latvia, Legislation, Lithuania

International Internet Magazine. Baltic States news & analytics Thursday, 28.03.2024, 15:48

Latvijas Gaze blocks trial gas shipment from Lithuania to Latvia

BC, Riga, 15.03.2016.Print version
Although Latvia's parliament approved in February natural gas market liberalization rules, Latvia's gas trade monopolist Latvijas Gaze has not given the green light for Lithuania's gas trade company Litgas to sell a trial gas shipment to the neighboring country, reports LETA/BNS.

"We reached a deal with a buyer and the buyer then went to Latvijas Gaze and asked it if that amount of gas could be transported. They (Latvijas Gaze) had 30 days to say whether or not they allowed it, which is in itself a lengthy period of time," Vytautas Cekanavicius, acting CEO of Litgas, told BNS on Monday evening.

 

"They (Latvijas Gaze) argued that even though the trade rules in Latvia had been changed, allowing others to trade, an old agreement between Latvijas Gaze and the government gave them an exclusive right to trade until April 2017," he said.

 

According to Cekanavicius, Latvijas Gaze is asking for clarification from Latvia's authorities regarding the amended rules, which run counter to the agreement.

 

He expects that this process will not take much time.

 

Litgas was to sell gas on the Lithuanian-Latvian border and the buyer was then to transport it on Latvia's territory.

 

After Latvia's parliament passed in mid-February amendments to a law, providing for the liberalization of the gas market and splitting of Latvijas Gaze, it was planned that the first shipment of gas from Lithuania would be sent to the neighboring country within a month.

 

Lithuanian Energy Minister Rokas Masiulis then said that he expected that the amended rules would make it possible for Latvian companies to immediately start purchasing gas from Lithuania.

 






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