LNG terminal has to be built at one of the large ports of Latvia - Stevedoring Companies' Association

RIGA - Latvia's liquefied natural gas (LNG) terminal should be built at one of the large ports of the country - Ventspils, Riga or Liepaja, because all three ports have the basic necessary infrastructure, according to the Association of Latvian Stevedoring Companies.

In addition, the organization believes that it is necessary to take into account the priorities of the Green Deal and the current circumstances, when gas consumption has significantly decreased. A modern LNG terminal must be able to not only import gas, but also to export Latvia's renewable energy resources.

The Stevedoring Companies Association's council chairman Aris Ozolins points out that "there must be coherent long-term gas consumption forecasts of up to 15 years, we also have to take into account long-term goals of the European Union regarding diversification of energy resources that are binding on Latvia, as well as LNG terminals built by neighboring countries, which already have very large capacities".

Janis Irbe, head of the Latvian Renewable Energy Federation, also claims that "during the next few years, infrastructure will be needed for export of green energy produced in Latvia."

According to the Stevedoring Companies' Association, Riga and Ventspils ports would be the best location for construction of an LNG terminal.

The association is confused as to why the proposed construction of an LNG terminal in Skulte has been granted the status of national interest.

The Stevedoring Companies' Association also urges the government to make public a report on external risks posed by the LNG terminal project, prepared by Pricewaterhouse Coopers.

The association emphasizes out that the port industry is interested in the best and most viable LNG project, the project should be implemented through international and transparent procurement procedure and according to the strategic interests of the country.

As reported, at the end of September 2022, the Saeima passed in the final reading a bill proposed by the government and the Economics Ministry that will grant the status of national interest to an LNG terminal Latvia is planning to building in Skulte, its pipelines with the natural gas system and related buildings.

Skulte LNG Terminal, the company developing an LNG terminal near the Latvian port of Skulte, has found a strategic investor for the project and submitted to the government a proposal on advisable cooperation forms.

The final decision on further development of Skulte LNG terminal project might be made in February after the proposals submitted by the project developer Skulte LNG Terminal have been assessed, said Climate and Energy Minister Raimonds Cudars (New Unity).

He said that the situation in the natural gas market is changing dynamically and availability of gas transportation networks is changing.

Skulte LNG Terminal was registered in 2016. According to information on the company's website, Skulte LNG Terminal belongs to Arnfinn Unum and Peteris Ragauss. In May 2022, Latvian fuel retailer Virsi-A announced an acquisition of a 20 percent in Skulte LNG Terminal.