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Lithuania transports record volume of gas to the Baltic States

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LNG Industry,

In 2019, Lithuania transported the highest ever recorded volume of gas to the Baltic States.

By making targeted investments into the Lithuanian gas infrastructure and its interconnection with neighbouring countries, the gas transmission to the Baltic States increased 2.6-fold in 2019, reaching almost 6 TWh of gas. According to the Lithuanian gas transmission system operator Amber Grid, during this period, the flow of gas to Latvia and Estonia accounted for 20% of the total amount of introduced gas intended for consumers in Lithuania and the other Baltic States.

According to Nemunas Biknius, the acting CEO of Amber Grid, the amount of the gas transmitted to Latvia has increased 10-fold over the several recent years. The result achieved in 2019 is the highest ever recorded level of gas transportation to Latvia.

As far as the competitiveness of LNG in the market is concerned, the gas transportation via Klaipeda LNG terminal also reached its record level. Last year, gas imports via the LNG terminal accounted for 65% (19.6 TWh) of the total amount of gas transported to the EU via Lithuania. In 2018, this indicator accounted for only 35%.

Lithuania’s gas consumption increased by 1.2 TWh or 5% over 2019, and the total amount of gas consumed in Lithuania amounted to 23.5 TWh. Last year, a total of 30 TWh of natural gas was transported to Lithuania, except for gas transportation to Kaliningrad. This figure is 20% higher to compared to 2018 levels, when a total of 25 TWh of natural gas was transported to Lithuania.

In 2019, gas transportation to Kaliningrad via Lithuania amounted to 26 TWh, i.e. 6.6% less than in 2018, when the amount of natural gas transported to Kaliningrad via Lithuania reached 27.8 TWh. The decrease was due to a warmer-than-usual winter and the testing of Kaliningrad LNG terminal performed at the beginning of the year.

Gas is also supplied to Lithuania, via the Klaipeda terminal, from Russia, via Belarus and Latvia. During the cold period, gas is usually supplied from Latvia’s Incukalns underground storage facility. In the future, after the construction of the gas pipe interconnection between Poland and Lithuania is concluded at the end of 2021, one more alternative source of gas supply will be developed, which will assure the supply of gas from Western Europe and other sources via Poland to Lithuania, other Baltic States and Finland.

“Lithuania’s well-developed gas infrastructure, i.e. Klaipeda LNG Terminal and a developed and properly maintained gas transmission system, has proved to be effective. Timely investments allowed Lithuanian market participants as well as participants of other states of the Baltic market to make use of very favourable gas prices. The interaction between the low prices and the well-used infrastructure evidences that the market operates and that Lithuania has become a crossroad of the regional gas market,” says Biknius.

According to Biknius, Lithuania’s role in the common regional gas market will continue to grow in significance, especially at the end of 2021 after the construction of the gas interconnection with Poland is accomplished.

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