The European Commission today is expected to release the finding of its investigation regarding Lithuania’s liquefied natural gas (LNG) terminal project.
The chief executive officer of Klaipėdos Nafta (Klaipeda Oil), the developer of the project, says that the EU’s executive body has recognised that the LNG terminal project – its regulatory environment, legislation, business model and technological solution – complies with the EU’s fundamental principles.
The Commission’s positive conclusion will clear the way for Klaipėdos Nafta to use a loan of up to 87 million euros from the European Investment Bank (EIB).
The CEO of Klaipėdos Nafta, Rokas Masiulis says that in the Commission’s opinion, the LNG terminal will help increase competition in the gas market and diversify gas supply.
“While analysing the entire project and the environment in which we operate, the European Commission took into account the real situation, which is that Lithuania has one gas supplier – Gazprom. There is absolutely no competition. This supplier has all the tools to influence the market. So, there should be some incentive for introducing competition into the Lithuanian market,” he said.
Masiulis called the European Commission’s approval “the second most important event” for the project, apart from the launch of the terminal.
Klaipėdos Nafta is using its own funds, money paid by gas consumers and borrowed funds to finance the LNG terminal project, which is to be completed by December 2014.
Source: the Lithuania Tribune
Read the press release from the EU Commission: http://europa.eu/rapid/press-release_IP-13-1124_en.htm