Sunday

24th Mar 2019

Lithuania to see energy independence as liquid gas terminal arrives

  • The LNG vessel Independence arriving in Lithuania. (Photo: LRPK\Robertas Dačkus)

A floating liquified natural gas (LNG) terminal arrived at the Lithuanian city Klaipeda on Monday (27 October) where it was greeted by locals as the guarantor of the Baltic region's energy supply.

The vessel, called The Independence, is expected to reduce the Baltic states' dependence on Russian gas.

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“This is a strategic geopolitical project that may decide the future of the whole region. Lithuania will become an energy-security guarantor for the whole Baltic region”, Lithuania's president Dalia Grybauskaite said according to media reports.

"From now on, nobody will dictate us the price for gas - or buy our political will," she said.

More than a third of Lithuania's energy comes from natural gas. It and its Baltic neighbours have been completely dependent on Russia for their gas supply, due to historical and geographical reasons.

While natural gas is transported via pipelines, liquefied natural gas, or LNG, can be transported by sea. But a country needs a terminal to import LNG.

Lithuania ordered the vessel in 2011, but the Ukrainian crisis, which has seen a bellicose Moscow seek to extend its sphere of influence, means it is arriving at a timely point.

According to the Lithuanian president's press service, “the Klaipeda LNG terminal can serve and fulfill about 90 percent of the gas supply needs of Lithuania, Latvia, and Estonia”.

The terminal should be operational before the end of 2014. Lithuanian gas company Litgas has signed a five-year agreement with Norwegian Statoil to import 540 million cubic metres of gas annually from 2015.

The Independence is 294 metres long, 46 metres wide and 26 metres deep.

In a recent 'stress test' on the resilience of the European gas system, the European Commission concluded that with the LNG terminal in Klaipeda, the impact of a cut in the supply of Russian gas should be limited.

“Once the Klaipeda LNG terminal enters into operation the supply for the protected customers [all households] would be ensured in the three Baltic States in all scenarios.”

EU-wide energy consumption at 1990s level

The downward trend of domestic energy consumption in the European Union has continued in 2013, and is now back at the same level of 1990, according to Eurostat.

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