Construction, Energy, Energy Market, EU – Baltic States, Gas, Lithuania

International Internet Magazine. Baltic States news & analytics Tuesday, 23.04.2024, 12:09

Energmin expects lower price of gas pipeline with Poland for Lithuania

BC, Vilnius, 26.09.2016.Print version
Lithuania's government decided on Monday to postpone the completion date of the Gas Interconnector Poland-Lithuania (GIPL) gas pipeline until the end of 2021. Energy Minister Rokas Masiulis has told that, with Poland revising the route of the pipeline, the project will be delayed but become cheaper. In his words, the Lithuanian compensation to Poland should be reduced to the extent the Polish costs decline, reports LETA/BNS.

Energy Minister Rokas Masiulis has told that, with Poland revising the route of the pipeline, the project will be delayed but become cheaper. In his words, the Lithuanian compensation to Poland should be reduced to the extent the Polish costs decline, reports LETA/BNS.


"We have heard from the Polish side that there would be financial saving, therefore, Lithuania will also save," Masiulis told after the government's meeting.


Asked about Poland's intentions to keep the bulk of the saved costs to itself, the minister said: "I have not heard this."


In Masiulis' opinion, Poland's decision to revise the gas pipeline route will not cause major problems.


After Poland said in early September it would change the route, Amber Grid, the Lithuanian gas transmission company, asked the government to push the project completion date to the end of 2021.


Poland then said that, due to environmental requirements, it cannot build the pipeline to the Rembelszczyzna compressor station, as planned, and will instead build it to the Holowczyce station, which is near the border with Belarus and is closer to Lithuania.


According to unofficial information available to the decision may pull down the construction costs in Poland by up to 30%, therefore, the two neighboring states are currently negotiating the scheme of splitting the extra money.

 






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