The LNG terminal in Lithuania became a stone on a country neck

What decision concerning the LNG future terminal after 2024 would not present the Ministry of Energy to the government, it all the same will not reduce a financial burden for consumers of gas, writes the Lithuanian Lietuvos edition žinios which in the material, in fact, states — the project of the terminal failed and became a very heavy burden for the country, and the authorities simply threw all expenses on shoulders of the ordinary inhabitant. REGNUM news agency information agency "REGNUM" translated the publication of the Lithuanian newspaper into Russian and publishes it today, on April 11, completely:

" according to experts, any decision — to redeem judgment storage of the LNG Klaipeda terminal from Norwegians or to rent it 10 more or 20 years — will not change the obvious fact that the model of construction, operation and financings the terminal in principle will not change.

Lithuania is guided by green power therefore the less natural gas, the more than taxes will be used it is necessary to pay for gas infrastructure to consumers of gas. Experts suspect that officials can "feed" foreign experts with unreal numbers. Gas consumption in the country is reduced therefore the burden of the maintenance of the LNG terminal increases for consumers of gas — for the last three years tax by LNG which the enterprises consuming gas pay, grew almost by 19 million euros — from 70 million euros in 2015 to nearly 89 million euros in 2017. About a quarter of these means is made by trade losses of companies Litgas trading in gas. The biggest tax on LNG pays the largest consumer of gas in Lithuania yonavsky plant of nitric Achema fertilizers.

the President of the Lithuanian institute of the free market Shilenas Zhilvinas says

that to care what to do with the created gas infrastructure, her owner — the state has to. "But the problem is in Lithuania the LNG terminal was chosen that all risk arising because of reduction of consumption of gas, lays down on shoulders of consumers", — were told by Shilenas Zhilvinas. According to him, created by a mistake or the rash model of construction, financings and the maintenance of the LNG terminal causes present sad consequences.

As were written by the Lietuvos edition žinios, ruling circles do not find the solution as at reduction of consumption of gas suitably not to increase expenses for the maintenance of the LNG terminal for the remained industrial enterprises which still use natural gas. Expenses of these enterprises on the maintenance of the LNG Klaipeda terminal guaranteeing power independence, since the beginning of this year increase more than by a quarter. Approximately on tax and at the beginning of 2017 as much grew. According to Shilenas Zhilvinas, there is a stalemate.

"Artificial stimulation of consumption of gas — full absurdity. To refuse gas infrastructure, I consider, also it would be wrong. The truth telling, any decision anyway will affect consumers gas" — were told by him.

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B of the National strategy of power independence presented diet it is claimed that attempts to reduce the cost of the maintenance of infrastructure of transfer and distribution of LNG and natural gas in Lithuania, but this quite declarative statement will be made. Shilenas Zhilvinas says that opportunities to cut down these expenses only theoretically.

"Perhaps also there are theoretical opportunities, will tell so if to throw them on budget. In other words, if it is a question national security, and in Lithuania national safety is financed from budgets, let's assign a burden of gas infrastructure not to consumers, and to budget. But it, in effect, solves nothing because means bring in budget taxpayers", — were told by the expert.

Business agrees that lawfully call the LNG Klaipeda terminal the strategic object guaranteeing strategic possibilities of the state to supply with gas, the electric power and heat. But now consumers of gas pay for this strategic object only. If it is strategic object, costs of its purchase and the contents have to be divided between all, including between those who consumes products, made when using gas, for example, the electric power. Perhaps it is worth inventorying all recipients of advantage and to divide between them costs of the maintenance of the terminal? Shilenas Zhilvinas it does not seem a suitable exit.

"As to consider

, it is all the same necessary to collect the sum necessary for the maintenance of the terminal. And all taxpayers, either consumers of gas, or consumers of the electric power — this partial decision because infrastructure cost from it will not change will pay directly. It also is the main problem", — were told by the interlocutor.

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In the project of power strategy it is claimed that in 2021 it is planned to lay the gas pipeline between Lithuania and Poland that will allow to use the LNG Klaipeda terminal for satisfaction of requirements not only consumers of the countries of Baltics, but also Poland, and the additional income from transit of natural gas reduced for consumers Lithuania I carry the maintenance of infrastructure of natural gas.

Professor of the Vilnius technical university of Gediminas Yankauskas Vidmantas doubts such opportunities. "It will be very difficult to compete with Poland because it has more a LNG large terminal. There was the only hope that other two countries of Baltics will agree to recognize the Klaipeda terminal regional, but they are not interested in it", — he argues.

Yankauskas Vidmantas reminded that in 2012 on means of EU research which showed was conducted that the cheapest and reliable option gas pipeline laying from Poland would be to reduce dependence on the Russian gas.

"Now we it anyway will construct

. When we will have a gas pipeline, Latvians and Estonians will be likely even less interested in accession to our terminal because then for Latvia and Estonia reliability of deliveries will even more grow", — were explained by professor.

It considers that you should not lease judgment storage more because at such heavy expenses Lithuania can lose the last consumer of gas. "When the terminal keeps on one large consumer, it is very unreliable", — were told by him.

the Largest consumer of gas in the country plant of nitric fertilizers and the chemical Achema projects covers

almost a quarter of maintenance costs of the LNG terminal, and there was time when its part made a half of a financial burden and even more.

B to 2018 of Achema will pay for infrastructure of LNG of 24 million euros, and this year 86,7 million euros are planned to bring together all. In 2017 the maintenance of the LNG terminal managed Achema Group honor in 20 million euros from collected 88 million euros. In 2013 — 2014 from 30,7 million euros collected by the state for the LNG terminal, the contribution of Achema made 13,1 million euros, or 46,5% of all raised funds.

the LNG Klaipeda terminal, according to Yankauskas Vidmantas, power plants working at gas could rescue

. He noted that if the power system of the countries of Baltics will be connected to a power system Europe only through one LitPol Link line, it will be unreliable therefore it needs to be strengthened. "Additional electrocapacities, and for this purpose most of all are necessary power plants working at gas would approach. When and where to build them, it is necessary to agree with Latvia and Estonia", — were told by him.

Yankauskas predicts

Yankauskas Vidmantas are necessary with it will disagree, and eventually it is necessary to be content with one line. But then, according to professor, it will be necessary to be prepared very seriously for the isolated work — that all three countries of Baltics could work as one reliable region capable at any time to work independently. Yankauskas Vidmantas reminded of the research conducted by the European experts which showed that if the countries of Baltics will connect to Europe one line, instead of 700 megawatts of the general power of the electric power 2 000 megawatts will be necessary for the countries of Baltics

"For this purpose need to construct power plants working at gas. Then our terminal will not be such heavy burden for consumers", — were told by Yankauskas Vidmantas. Kaliningrad Region constructed recently two heating power plants working at gas, and it is ready to work with excessive capacities independently. According to Yankauskas Vidmantas, it is necessary for the countries of Baltics

"If we "were stuck" with this vessel and if additional measures as to use it are created (the gas-distributing station is under construction), it is necessary to think how to use gas "ashore". Especially as gas — ecologically suitable fuel, because of it taxes, connected with environment protection" not strongly would grow, — were told by him.

the President of Confederation of renewable sources of power Lithuania Martinas Nagyavichyus considers that such gas power plants would work only in a waiting mode — i.e. would make the electric power only in case of a rise in prices for it, breakage of the international connections and at requirement of balancing of wind power plants. "Power plants, hard-working in such mode, would not spend such large amount of gas therefore it is not clear, forecasts of growth of consumption of gas from where undertake — the expert noted. — On the other hand, if we start increasing production the electric power at the expense of gas, we will not fulfill the accepted obligations for climate change".

Gas connection with Poland has to guarantee to

reliable delivery natural gas in Baltiysk the region. Therefore, according to Nagyavichyus, gas streams to Lithuania, and not the reverse are projected.

"Especially as Poles in the open declare that estimate this gas pipeline as opportunity to re-export natural gas to our region. It completely contradicts that speak at us. This gas pipeline in principle deprives the LNG Klaipeda terminal of the status of the project guaranteeing power safety. The gas pipeline which will connect Lithuania and Poland will be such project. When the gas pipeline will be laid, will difficult socialize terminal costs. More "coercion", is required — it predicts.

In October, 2017 announced competition on purchase of services independent experts who had to carry out the analysis of costs and advantage of long-term import of LNG to Lithuania. Purchase worth 165 thousand euros was organized by the operator of the Klaipėdos nafta LNG Klaipeda terminal, contracts were signed with Poyry Management Consulting Ltd in November. As explained Lietuvos žinios the adviser to the Minister of Energy Aurelia Wernizkeite , the independent expert analysis had to answer two main question. "The first — if to consider economic value and value of safety deliveries, whether deliveries are expedient to Lithuania in aspect of safety and economic aspect to contain the LNG terminal after 2024? The second — what economically the most optimum decision guaranteeing access of participants of the Lithuanian gas market to the LNG international markets? " — were told by her.

to Consultants needed to estimate economic, social and financial benefit which will bring the decision to import LNG during the long period, to analyse alternatives of the solution of long-term import of LNG concerning costs and advantage during the different periods and for different solutions of import. The analysis was carried out to two stages, and the total cost of contracts reached 165 thousand euros.

"The estimates executed at the first investigation phase of independent consultants, showed that the LNG terminal brings and will bring after 2024 benefit to Lithuania. In March the second investigation phase during which consultants made the detailed analysis of costs and advantage of rather long-term ensuring safety deliveries LNG", was finished by — the adviser to the minister told.

on April 11 consultants of Pöyry Management Consulting together with representatives of the Ministry of Energy and Klaipėdos nafta will present to

results of independent research and the recommendation of experts.

"This analysis will be publicly submitted to

, taking into account its results specific proposals to the government" will be prepared, — told Vernitskayte.

Nagyavichyus predicts

that foreign experts will try to prove that gas consumption will grow in the country. "It is very interesting to me as they will prove it. I suspect that they will refer to the prerequisites of the Ministry of Energy based on the project of National strategy of power independence. Though it is absolutely not clear, than growth of consumption of gas predicted in strategy" locates, — are told by the expert.

In his opinion, persons, podgotovlyayushchy strategy, consciously manipulate the numbers connected with consumption of gas, and attract them to available infrastructure. " Such impression as if we from the very beginning established that gas is necessary, and then plates already drew", — were told by Nagyavichyus.

If Lithuania really would predict reduction of consumption of gas, according to the expert, it would be necessary to reduce constant costs of gas infrastructure.

"Repayment of a vessel storage will increase these costs" — he told. After 2024 when contracts about vessel storage Independence rent with the Norwegian company Hoegh LNG will end, according to Nagyavichyus, it would be possible to redeem it and to increase costs or to refuse it and to reduce costs. "It would be possible to expose the terminal at auction — if someone wants to redeem it from Norwegians, let take, but without guarantees of the state to cover expenses. It would be in that case possible to check, whether the terminal is necessary to Lithuania. If business counts that it is commercially favorable and on it it will be possible to earn — he will buy it. But if it counts that there will be one losses — wishing will not be. Then we will know that it is not necessary — without any analyses ordered by the state", — were told by Nagyavichyus.

the President of the Lithuanian institute of the free market Shilenas Zhilvinas did not dare to advise

that to do with the LNG terminal after 2024. "Everything is caused by elementary economy. The LNG terminal — part of infrastructure. If someone invests in expensive infrastructure much, someone has to cover costs — differently does not happen. Now expenses are covered by consumers of gas, maybe, all could cover taxpayers. The managing director of the terminal does not bear any risk, even in case gas consumption" is reduced, — were told by him.

If the terminal were built by the local or foreign investor, according to Shilenas Zhilvinas, costs would not be so easily thrown on shoulders of consumers.

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"Present that would be if the private enterprise operated this terminal and would declare that incurs losses therefore would ask consumers to cover them. Probably, noise would be made. As the terminal the state enterprise operates — no noise is present", — argues Shilenas Zhilvinas.

What

a lesson we can take out from these unsuccessful investments? "It is necessary to look at two steps forward. Terminal or nuclear power plant construction — the easiest part of the investment project. The difficult — to achieve that the equipment was economically proved. At us the most difficult part is solved simply: consumers pay for everything. You should not arrive so in the future", — were told by him.

Yankauskas Vidmantas considers that Lithuania precisely does not need to redeem the terminal from Norwegians on the termination of period of validity of contracts. "Again to invest big money and to receive the big ship when, probably, it will not be necessary. For us, consumers, it is very big burden", — are considered by him".