Construction, Energy, EU – Baltic States, Gas, Latvia, Port, Russia

According to Ventspils port’s estimates, Latvia could earn EUR 25 mln in total from involvement in the project. Lembergs noted, however, that the Foreign Ministry is objecting to Latvia’s participation in Nord Stream 2.

Ventspils has been offered to receive and store the pipes meant for the gas pipeline project and then deliver them to the place where they are supposed to be laid on the seabed. The port’s current freight grounds, however, are too small to store the necessary number of pipes, but the project’s managers are offering to invest EUR 14 mln in new freight grounds which would then be left to the port as a gift.

The decision on Ventspils’ involvement in the project lies with the freeport’s board, but as Lemgbergs said, four of the port’s eight board members have been delegated by ministries, and the Foreign Ministry is against Latvia’s participation in the project. “So, they can be ordered not to support such a project. If the government vetoes the project through the freeport’s board members, I hope that Ventspils, like it was the case in Sweden, will get at least EUR 20 mln in compensation,” the Ventspils mayor said. He cited unofficial reports that the Swedish port of Slite was dissuaded from participation in Nord Stream 2 in exchange for EUR 10-20 mln government compensation.

“The Foreign Ministry does not want Latvia to participate in this project because of Poland’s demands… the Poles have their interests - they do not want Germany to receive gas straight from Russia. They, too, want to be included, and this wish of Poland is understandable and commendable, but why should Latvia pay for this?” Lembergs asked rhetorically, adding that he has a different opinion on the issue.

“Russia is the supplier of gas, but the recipient is Germany - a NATO member, the heart of the European Union. In my view, to not support Nord Stream 2, and in the situation where Latvia can make money, that is, to not support Germany’s energy security, is against the treaties of NATO and the EU,” Lembergs said.

As reported, Russia’s gas giant Gazprom has agreed with partners from Western Europe - British and Dutch Shell group, Austrian OMV and German Uniper and Wintershall - to build a new gas pipeline under the Baltic Sea to Germany that would bypass Ukraine, Poland and the Baltic countries. The new pipeline would double the capacity of the first Nord Stream gas pipeline connecting Russia and Germany. The project should be completed by late 2019.