News

VILNIUS, Mar 16, BNS - European Union (EU) foreign ministers in an assembly held in Brussels approved the European Commission's (EC) proposal to allocate 175 million euros (LTL 604 million) towards the energy link to connect Sweden with the Baltic States. Lithuanian Foreign Minister Vygaudas Usackas on Monday after the EU General and External Relations Council (GAERC) session communicated this to BNS.

 The GAERC session results foreshadow the results of the European Summit due in the end of the week, said Usackas. "The goal of this meeting was to draw up conclusions for the European Council. (...) We discussed Europe's Economic Stimulus Plan. Discussions on some projects are still ongoing, but the Baltic links are included (in the conclusions for the European Council - BNS) and the sum of 175 million euros has been approved. It will still require a final blessing of the EU leaders this Friday and Saturday," Usackas spoke.

The EC will still have to hold talks with the European Parliament (EP) on where to procure the proposed 5 billion euros for the Economic Stimulus Plan, Usackas stressed, noting that these funds can be taken from this year's budget or borrowed from that of the next year.

Energy projects will receive an injection of some 3.75 billion euros (LTL 13 billion). Lithuania has been rooting for a portion of those funds, namely 175 million euros, to go towards the energy link to connect Sweden with the Baltic States.

The Swedlink project - worth about 1.5 billion litas (EUR 435 million) - will be a joint venture by Lithuania's national investor company Leo LT, Sweden's Svenska Kraftnat as well as energy companies based in Latvia and Estonia.

Sweden's Sweco International conducted the feasibility study on the 350 kilometer-long underwater power link of 700 to 1000 megawatt capacity. The project should be implemented by the year 2016.