Lithuania enters into negotiations with the Baltic States on the boycott of Astravas: proposes new methodology, has plan B | Deal

The new methodology and other ways to boycott Astrava’s electricity were discussed at a meeting of the Electricity System Synchronization Commission on Tuesday.

“The provisions with which the Lithuanian side intends to give back to its colleagues in Latvia and Estonia and offer coordinated tripartite solutions were discussed,” Prime Minister Ingrida Šimonyt conference told the press conference.

Energy Minister Dainius Kreivys announced that Latvians and Estonians would be offered a new methodology for trading electricity with third countries.

“Its main principle is that the electricity to be traded on the Baltic markets is accessible only through the Latvia-Estonian cross-sections, via the Latvia-Estonia lines,” the minister said.

“You don’t trade in the physical flow that travels through Lithuania,” he said of what the new methodology defines.

Lithuanian officials have calculated that the current way the Baltic countries trade electricity creates opportunities for Astrava’s electricity to enter the market, although all three states have pledged to boycott it.

To test such a presumption, officials have also conducted an analysis of electricity flows, which shows that when Latvia imports energy from Russia, some of it comes to its country from Belarus via Lithuania.

Latvia, meanwhile, says the surge in Russian electricity imports is not due to the Astrava power plant, but to weather conditions, so requests for renegotiation of a new business method may not be appropriate for Riga. .

According to D. Kreivis, Lithuania has a plan B for such a case.

“Lithuania reserves the right to introduce (…) legal and technical measures that allow the implementation of the anti-astral law,” said the politician.

“We have option A, which we will target, and option B, what would happen if that is not achieved,” he added.

The energy minister stated that on Tuesday he asked the European Commission to convene a meeting of responsible officials from the Baltic states as soon as possible to discuss the new methodology proposed by Lithuania.

He said he expected an agreement to be reached by the end of June.

“The Baltic countries are strong when they stick together,” said D. Kreivys.

The current methodology for electricity trading with third countries is now applied in Latvia and Estonia, although it has been approved by the three Baltic energy ministries. It provides for the Baltic States’ trade with third countries to take place through the Latvia-Russia connection.

The methodology does not apply in Lithuania, as it was not allowed by the local state energy market regulator last year, arguing that this does not guarantee a boycott of Astrava’s electricity.

Part of the western electricity flow was replaced by electricity from the Belarusian nuclear power plant.

D. Kreivys said that the entry of Astrava’s electricity into the Baltic market destroys its efforts to develop its energy system and hampers the synchronization of electricity grids with Western Europe.

I. Šimonytė spoke similarly.

“We see a risk for the synchronization project, because that desynchronization has already taken place, it can be said. Part of the western electricity flow was replaced by electricity from the Belarusian nuclear power plant,” the prime minister said.

“This does not benefit Lithuania or the European Union,” he said.

The first reactor at the Astrava nuclear power plant has been in operation since November last year. Lithuania seeks to boycott Astrava’s electricity to reduce payback for the power plant.