Gas Interconnector Between Finland and Estonia Ends Energy Isolation - Global Trade Magazine
  November 1st, 2016 | Written by

Gas Interconnector Between Finland and Estonia Ends Energy Isolation

Sharelines

  • $204 million investment in the Balticconnector—the first gas pipeline connecting Finland and Estonia.
  • Balticconnector pipeline will unite the Eastern Baltic Sea region with the rest of the EU energy market.
  • Estonian PM: Regional cooperation allows for change from entirely closed to one of the most open energy markets in EU.

A first gas interconnector between Finland and Estonia will end the long lasting gas isolation of Finland and help boost the security of supply.

European Commission President Jean-Claude Juncker, the Prime Minister of Estonia Taavi Rõivas and the Prime Minister of Finland Juha Sipilä witnessed the signing of a $204 million investment in the Balticconnector—the first gas pipeline connecting Finland and Estonia. This gas interconnector will end the energy isolation of Finland which is largely dependent on a single supplier. When the gas starts flowing by 2020, this project will unite the Eastern Baltic Sea region with the rest of the EU energy market.

The investment, said Juncker, “is the result of close cooperation and a proof of true European solidarity. We are doing more than linking gas systems of two countries. We are bringing people and members states in the region closer together by building a pipeline that unites European countries. As part of the Energy Union, we are building missing energy links, uniting markets, improving security of supply, and ending the energy isolation of member states.”

“Regional cooperation and EU’s contribution allows for a change from entirely closed to one of the most diversified and open regional energy markets in the union with further prospects in upcoming years,” said Rõivas.

“Balticconnector is an important milestone in helping to complete EU wide energy market and improving the security of supply in Baltic Sea region,” Sipilä added.

As part of the EU’s Energy Union strategy, the EU is committed to building missing energy infrastructure links and ensuring that every member state has access to at least three different sources of gas. Integrating the Baltic Sea region with the rest of the EU is a priority for the commission.

The Balticconnector pipeline will consist of three sections: 14 miles Finnish onshore, 50 miles offshore, and 31 miles Estonian onshore. It enables the transport of 7.2 million cubic meters of gas per day with flows running in both directions. Alongside the Gas Interconnector Poland–Lithuania (GIPL), it will contribute to increasing energy security and solidarity in the region. When completed, the Balticconnector and the gas pipeline between Poland and Lithuania, will allow Finland and the Baltic States to diversify their gas sources and routes, safeguarding them against possible supply disruptions in the future.

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