Baltic States may turn eastwards for more electricity

Suffering from rapidly rising energy prices, Estonia, Latvia and Lithuania are discussing importing more electricity from Belarus and Russia.

Due to safety concerns at the the Astravyets power plant in Belarus, Lithuania suspended electricity imports last year. As a sign of solidarity, Estonia and Latvia did the same, and as a result, the share of Belarusian and Russian electricity in the Baltics went down by 20%.

However, the three countries are now thinking about a return to former quotas and increasing electricity imports from Belarus and Russia, the Estonian News Agency has reported, citing soaring electricity prices.

In Estonia, the price of electricity is 49% higher than a year ago, a report published Tuesday by the Bank of Estonia stated. The negative impacts are obvious: rising inflation and the rising cost of services and goods. At worst, companies may have to cut production or even pause it.

But increasing imports would not necessarily alleviate the problem. In an interview with the Estonian News Agency, the country’s Deputy Secretary for Energy and Mineral Resources, Timo Tatar, noted cold weather, low renewable energy production, high fossil fuel prices and the price of CO2 as other reasons for soaring energy prices.

(Pekka Vänttinen | EURACTIV.com)