aA
The Jonava-based fertilizer producer Achema's business prospects were not taken into account when the Klaipeda-based LNG terminal's maintenance model was changed, an adviser to the Lithuanian president says.
Presidential adviser has doubts over LNG terminal's maintenance model
© DELFI (E.Skardžiaus nuotr.)

According to Jaroslav Neverovic, an energy expert and the presidential adviser leading the environment and infrastructure group, the LNG terminal's long-term strategy is based on a assumption that circumstances will not change and Achema will continue consuming as much gas as it does now. But if circumstances change, he says, the existing terminal costs covered by Achema will have to be paid for by other consumers.

"The key issue that's probably not been discussed properly is the issue of the biggest gas consumer in Lithuania, Achema," Neverovic told the Ziniu Radijas news radio on Tuesday.

In his words, the terminal's operator Klaipedos Nafta's (Klaipeda Oil) borrowing of 134 million euros from the Nordic Investment Bank and the redistribution of the terminal's maintenance costs are based on an assumption that micro- and macroeconomic conditions for businesses will be sufficiently good until 2044.

"But what if that strategy and circumstances changed? Then 50 percent of those costs would have to be paid by all consumers as that volume of gas that comes to Lithuania for consumption and the one who pays for it will disappear," Neverovic said.

"Those questions need to be answered. Whether that model is sustainable, whether it’s right and whether better alternatives exist," he added.

The NIB's 25-year loan will allow reducing the LNG terminal's maintenance costs as of Jan 1 and significantly reduce gas for consumers.

It was previously reported that the LNG terminal fee will go down by around 40 percent for all consumers in the country, or by around 27 million euros from around 62 to 36 million euros. Achema, which has imported around half of all LNG imported via the terminal this year, has paid around 20 million euros a year for the terminal's maintenance.

Achema, part of the Achema Group which owned a 10-percent stake in Klaipedos Nafta, has turned to courts over fairly all decisions related to the LNG terminal's maintenance. The group's major shareholder Lyda Lubiene said in July that Klaipedos Nafta's key shareholder, the Energy Ministry, was threatening to increase the terminal fee, which might lead to Achema's bankruptcy.

BNS
It is prohibited to copy and republish the text of this publication without a written permission from UAB „BNS“.
|Populiariausi straipsniai ir video

Tax revenue 15 percent short of target in March

The Lithuanian central government's tax revenue fell around 15 percent short of the target in March,...

Avia Solutions Group bought Bluebird Nordic

On the 24th of January 2020, Avia Solutions Group signed an agreement with BB Holding EHF for the...

GetJet Airlines set to lay off 370 employees

Lithuania's wet-lease and charter services provider GetJet Airlines has given lay-off notices to 370...

Avalanche of ideas developed in 'Hack the Crisis' hackathon

One of the most important tasks for hackathon organizers was to identify the most pressing issues,...

Lithuania and some other EU countries ask for Mobility Package postponement

Lithuania and "like-minded" EU member states are urging the bloc's bodies to postpone the...

Top news

"Take my kids": children from social risk families, elderly suffer from quarantine

Children from social risk families and elderly people have become even more vulnerable during the...

696 confirmed COVID-19 cases in Lithuania

On Friday, 3rd April, there were 696 confirmed novel coronavirus cases in Lithuania.

Tax revenue 15 percent short of target in March

The Lithuanian central government's tax revenue fell around 15 percent short of the target in March,...

Two flights from Minsk to Vilnius to take place on upcoming weekend

Two flights from Minsk to Vilnius will take place under exceptional conditions over the upcoming...

Disinformers take advantage of COVID-19 crisis

“Pharmaceutical industry denies the fact that vitamin C kills coronavirus ”, “Lithuania has...

|Maža didelių žinių kaina