EU Rejects Plan for Finland, Estonia LNG Terminals

Posted by Eric Haun
Wednesday, June 18, 2014

Finland and Estonia will have to return to the drawing board with a joint gas terminal project after the European Commission said a proposed two-terminal model would not be eligible for subsidies, the Finnish government said.

Estonia and Finland proposed in February to build two new liquefied natural gas (LNG) terminals on either side of the Gulf of Finland and a pipeline connecting the two countries.

They had agreed to act jointly after competing for more than a year over a project to build an LNG terminal.

"The European Commission did not approve the model proposed to them," Esa Harmala, head of the energy department at Finland's economy ministry said on Wednesday.

Asked whether this meant that the two-terminal model was dead, he said that that was not necessarily the case.

The negotiations will continue over the next few months, the ministry said in a statement.

A single LNG terminal would cost around 500 million euros ($680 million), according to analysts, and would provide an alternative to gas supplies from Russia. A pipeline that would allow Finland and Estonia to share imports would cost some 100 million euros.

The European Union could fund up to 40 percent of a regional terminal provided it serves the interests of more than one country, and there are several Baltic states vying for funds.

Finland and the three Baltic states of Estonia, Latvia and Lithuania consume about 10 billion cubic metres of gas per year, all currently supplied by Russia's Gazprom.

The crisis in Ukraine, which has chilled relations between Russia and Europe, has prompted EU governments to look at ways to reduce their reliance on energy imports from Russia.

The Finnish/Estonia plan, however, was already in the works before the crisis.

($1 = 0.7383 euros)

(Reporting by Sakari Suoninen; Editing by Susan Fenton)

Maritime Reporter July 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Ports

Water Monitoring to Continue at Western Gulf Ports

A water monitoring network that helps keep port traffic moving is the responsibility of the Conrad Blucher Institute (CBI) for Surveying and Science at Texas A&M University-Corpus Christi.

Green Marine, ACPA Partner to Reduce Environmental Footprint

Green Marine and the Association of Canadian Port Authorities (ACPA) have entered into a Memorandum of Understanding with the goal of jointly expanding efforts

SC Ports’ Earnings, Volumes Surpass Plans

July cargo volumes deliver strong start to new fiscal year SC Ports Authority reported 2014 fiscal year-end operating earnings of $14.3 million, 20.7 percent over the organization's financial plan.

LNG

LNG Carriers GasLog Financial Results Q2 2014

GasLog Ltd. and its subsidiaries, an international owner, operator and manager of liquefied natural gas carriers, has reported its financial results for the quarter ended June 30,

GoM Sale Yields $110m in High Bids

As part of President Obama’s all-of-the-above energy strategy to continue to expand safe and responsible domestic energy production, today’s Western Gulf of Mexico Lease Sale 238 attracted $109,

Doosan Delivers a ‘World’s First’ to NASSCO

Doosan Engine has confirmed delivery of the world’s first dual-fuel, low-speed ME-GI engine to the American National Steel and Shipbuilding Company (NASSCO) shipyard in San Diego, USA.

News

Update to Fire Damage to Australian Patrol Boat

Armidale Class Patrol Boat HMAS Bundaberg suffered significant damage due to a fire which occurred on Monday, August 11, 2014 in Brisbane. The boat was undergoing

Water Monitoring to Continue at Western Gulf Ports

A water monitoring network that helps keep port traffic moving is the responsibility of the Conrad Blucher Institute (CBI) for Surveying and Science at Texas A&M University-Corpus Christi.

Green Marine, ACPA Partner to Reduce Environmental Footprint

Green Marine and the Association of Canadian Port Authorities (ACPA) have entered into a Memorandum of Understanding with the goal of jointly expanding efforts

 
 
Maritime Contracts Maritime Standards Naval Architecture Offshore Oil Pipelines Pod Propulsion Port Authority Salvage Shipbuilding / Vessel Construction Winch
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.0980 sec (10 req/sec)