VILNIUS - Lithuania's electric utility Lietuvos Energija and Sweden's electric company Svenska Kraftnat on Nov. 5 accepted the findings of the first part of a feasibility study which shows that an interconnection between the two countries' power grids is both possible and economically feasible.
"During the first stage an initial evaluation of feasibility was performed 's a market analysis, the analysis of economic conditions for the project, the initial evaluation of investment needs into the upgrade and reinforcement of existing power grids," said Lietuvos Energija General Director Rymantas Juozaitis.
The second stage of the study will involve a more comprehensive technical evaluation and a more in-depth analysis of technical and environmental issues with regard to the first stage results. It will also cover an evaluation into the connection of wind farms to the Lithuanian-Swedish link, and financing options of the project. This report is to be completed by January 14, 2008.
The cable is expected to go into operation by 2015 at the earliest, three years late according to Lithuania's energy strategy. Svenska Kraftnat executive Sture Larsson has said that the technical part of the project could be completed within a couple of years, though more time is needed for legal harmonization.
Juozaitis has put the cost of the power link at 550 million euros. The project involves the laying of a 350 kilometer long 700 - 1,000 megawatt underwater electric cable across the Baltic sea floor.
This project falls under the three Baltic states' larger plan to integrate their energy supplies and transmission systems into those of Western Europe, and to reduce energy reliance on Russia.
Lithuanian President Valdas Adamkus has said that the three Baltic states must find ways to reduce their dependence on Russia as a supplier of energy, as Moscow tends to use its energy resources as a political weapon.
Commenting on the planned construction of a new nuclear power plant in Lithuania, Adamkus admitted that it is difficult to reach an agreement with all interested parties. "Because until now we had no clear plan or clear agreement stipulating, for instance, the operation of this nuclear plant, the size of the share controlled by each state, the form of management and one essential factor 's how much of the generated electricity will go to the Baltic states and how much will go to Poland," he said.
The undersea electric cable Estlink, connecting the Finnish and Estonian power grids and with a capacity of 350 megawatts, was completed and started carrying electricity in December 2006; it is the first power link connecting the Baltics with Western Europe.
