Baltic States – CIS, Energy, EU – Baltic States, Gas, Latvia, Lithuania, Transport

Latvian PM Laimdota Straujuma and Algirdas Butkevicius. Klaipeda, 27.10.2014. Photo: flickr.com

"The regional LNG terminal in Klaipeda opens up opportunities for Latvia and Estonia and all Baltic countries, to make use of alternative sources of gas supply, to obtain competitive prices, to integrate into the internal European Union market and to reinforce our common energy security. Moreover, the influence of this facility in the negotiations on reduced gas prices for Lithuanian consumers is already felt even before the start of its operation," he said.

"Being late was not an option, although we had to solve a number of puzzles in the course of construction. I am proud to say that Lithuania has managed to build this terminal, the first of its kind in Europe, at a record speed of 1.5 years. This was a very complicated project, carried out in the vicinity of a UNESCO-protected area, in line with environmental regulations. It demanded novel technical solutions and a high level of expertise," the head of the Lithuanian Government said.

On this occasion, Butkevicius has also received a letter of congratulations from US Secretary of State John Kerry, who says that regional coordination on energy policy and the realisation of such critical projects are now more important than ever to ensure energy future for Europe.

"Our longstanding friendship with Lithuania is grounded in our shared support for democracy, human rights and free markets. The opening of the Klaipeda LNG terminal represents a historic milestone in the Baltic States' energy security. We commend Lithuania's strong and sustained leadership and strategic vision to bring this and other critical energy diversification projects to fruition," reads the US Secretary of State's letter.

The terminal will be the key instrument in ensuring diversification of the supply of energy resources as well as a real source of alternative supply of natural gas. It will consist of three major parts: a floating storage with a re-gasification unit, a jetty for mooring, and a high pressure gas pipeline connected to the main pipeline.

Lithuania's President Dalia Grybauskaite stressed that the Baltic region's energy independence now will depend on how Lithuania, Latvia and Estonia manage to link up their pipelines and implement political reforms in the energy sector.

According to the president, the liquefied natural gas (LNG) storage vessel Independence whose capacity stands at 160,000 cubic metres will be able to supply gas not only to Lithuania but to Latvia and Estonia as well. Therefore, she says, in order to achieve full energy independence in the region, all the energy link projects of the three countries must be completed as soon as possible. Grybauskaite also urged Latvia to implement the European Union's Third Energy Package as quickly as possible and said that Vilnius is ready to help Riga by providing all necessary expert assistance.

The president of Lithuania said that the storage vessel Independence and the LNG terminal in Klaipeda already now provide leverage when negotiating on gas price, while in two or three years Klaipeda might also receive cheap shale gas from the United States and other countries.