Plan for Estonian, Finnish LNG gas terminals hits bump

Estonia and Finland have suffered a minor setback in their plans for proposed paired liquified gas terminals in both nations, linked by a pipeline.

Officials from both countries said that the European Commission raised some flags after companies involved in the project and its promoters presented their plan for the terminal project to a member of the European Commission in Tallinn on Wednesday. But neither country said they were ready to abandon the paired model.

“The plan is not sufficient yet,” Timo Tatar, director for energy projects at the Ministry of Economic Affairs and Communications, told ERR News.

“The companies involved in the project need to work further to create more synergies between them,” he said, referring to the structure of the ownership and the operation of the terminals.

“The companies are now negotiating between them to find those synergies, and then they will submit an amended proposal for the terminal project.”

A thumbs-up for the project is needed by the Commission for the plan, which would increase the energy diversification of the two nations, as it will rely heavily on EU subsidies. The estimates for the cost of the project is in the hundreds of millions of euros, perhaps around 1 billion after the cost of the pipeline is added in.

Read more from ERR News

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