Lithuania's natural gas transmission system operator, AB Amber Grid, and Poland's gas transmission system operator, GAZ-SYSTEM S.A., signed a tripartite agreement with the European Union's (EU) Innovation Network Executive Agency (INEA) on the financial assistance of the EU to the project Preparatory Works for the Poland-Lithuania Gas Interconnection up to building permission(s) obtainment. Under this agreement, the project was granted financial assistance of the EU of EUR 10.6 million under the Connecting Europe Facility (CEF), AB Amber Grid said in a statement.
© Reuters/Scanpix

The preparatory works of the project were granted the maximum intensity of the EU financial assistance for studies - 50 percent. Of the total amount, AB Amber Grid was granted EUR 2.5 million, and GAZ-SYSTEM S.A. was granted EUR 8.1 million. Total estimated value of the spatial planning and engineering design works of the Poland-Lithuania Gas Interconnection (GIPL) Project amounts to EUR 21.2 million.

The GIPL Project aims at the integration of the Baltic States gas markets into a single gas market of the European Union, at the diversification of gas supply sources and at the enhancement of the security of gas supplies. The GIPL Project is implemented in cooperation with the Polish gas transmission system operator, GAZ-SYSTEM S.A.

Preparatory works for the implementation of the GIPL Project were started back in 2009. The year 2011 saw the preparation of the GIPL Business Environment Analysis and the year 2013 marked the preparation of the Feasibility Study of the GIPL Project. The GIPL Project's Environmental Impact Assessment Procedures in the Lithuanian territory began back in 2013 and are scheduled for completion in 2015.

On 5 November 2014, the GIPL Project was granted by the Government of the Republic of Lithuania the status of a project of national economic significance.

The prospective gas transmission pipeline (diameter 700 mm) will connect gas compressor stations of the two countries: the Lithuanian Gas Compressor Station of Jauniunai and the Polish one of Rembelszczyzna. Total length of the prospective gas pipeline is 534 km, of which about 177 km fall within the territory of Lithuania.

Estimated value of the GIPL Project: EUR 558 million, of which in the territory of Poland EUR 422 million and in the territory of Lithuania EUR 136 million. Launch into operation of the GIPL is scheduled for 2020.

The GIPL Project was included in the European Network of Transmission System Operators for Gas (ENTSOG) Ten-Year Network Development Plan (TYNDP) 2013-2022, the Baltic (BEMIP) Region's Gas Regional Investment Plan 2014-2023 and the National Key Electricity and Gas Transmission Projects Implementation Plan as approved by the Resolution of the Government of the Republic of Lithuania.

Leave a comment
or for anonymous commenting click here
By posting, you agree to terms
Read comments Read comments

Chances for Lithuania to get more funding for N-plant closure increasing – expert

A proposal for the European Parliament to approve the allocation of 780 million euros for the...

European Parliament's rapporteur proposes EUR 780 mln for Lithuanian N-plant closure

The European Parliament is recommended to approve 780 million euros in funding for the Ignalina...

Energmin calls deal on synchronization scenario 'decision of the decade'

Lithuania, Latvia and Estonia have reached a long sought-after agreement that opens the way for the...

Technical scenario for Baltic grid synchronization approved in Brussels (Updated)

The project for the synchronization of the Baltic power grids with the Continental European system...

Danpower agrees to put off amicable deal's implementation

German energy company Danpower has agreed to postpone the implementation of the State of Lithuania's...