THE GAS INTERCONNECTION POLAND–LITHUANIA (GIPL)

Goals of the Project:

  • integrate the isolated gas markets of the Baltic countries into a single EU gas market,
  • diversify gas supply sources and routes,
  • security and reliability of gas supplies,
  • provide access of the Baltic countries to the global liquefied natural gas (LNG) market,
  • create preconditions for a competitive regional gas market.

The Project is implemented by:

  • AB Amber Grid,
  • The Polish Gas Transmission System Operator GAZ-SYSTEM S.A.

The Project milestones

  1. Business Case Analysis (prepared in 2011),
  2. Feasibility Study (prepared in 2013),
  3. The project was included in the list of the EU Projects of Common Interest (2013, 2015),
  4. Enviromental Impact Assessment (2013–2015),
  5. Non-Binding phase of the Open Season procedure (2015),
  6. Engineering design (2015-2017),
  7. Construction (2017–2019).

Progress of the project

On 20 January 2015, the Environmental Protection Agency under the Ministry of the Environment of the Republic of Lithuania issued Letter No (15.9) -A4-477 approving the Environmental Impact Assessment (EIA) Programme of the Gas Interconnection Poland - Lithuania (GIPL) construction part in the territory the Republic of Lithuania.
The GIPL-LT EIA procedures, that were started back in the second half of 2013, were continued in 2014 and were completed in 2015. On  April 2016 was launched a tender through negotiated procedure on carrying out the construction works of the Gas Interconnection Poland-Lithuania (GIPL) in the territory of the Republic of Lithuania and the procurement of the pipes necessary for the gas transmission pipeline’s construction.

Route of the Gas Transmission Pipeline

The EU assistance

The preparation of the Business Case Analysis and Feasibility Study of the GIPL was granted by the European Commission Trans-European Energy Networks (TEN-E) Programme.

The EU financial contribution covered 50% of the Business Case Analysis and Feasibility Study’s preparation costs. The remaining part of the costs was equally covered by the own funds of AB Amber Grid and GAZ-SYSTEM S.A.

The preparation of the GIPL EIA Report (the title of the Action is From environmental impact assessment documents of the Gas Interconnection  Poland – Lithuania to decision on environmental protection No 2013-G224 /13-ENER/13/TEN-E-SI2.679450EU) was granted by the EU  financial assistance under the European Commission's Trans-European Energy Networks (TEN-E) Programme. The EU financial support that was granted covers 50% of the EIA Report preparation-related costs. The remaining part will be funded by AB Amber Grid and GAZ-SYSTEM SA themselves.

On 29 October 2014, the Connecting Europe Facility (CEF) Energy Coordinating Committee endorsed the European Commission's List of actions selected for receiving financial assistance of the EU. The aforesaid List provides for the granting to the GIPL's spatial planning and engineering design works in the Lithuanian and Polish territories a total amount of EUR 10.6 million and to the construction works in the territories of Lithuania and Poland  a total amount of EUR 295.4 million. The grant beneficiaries are GAZ-SYSTEM S.A. and AB Amber Grid.

On 13 May 2015 AB Amber Grid and 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).

On 15 October 2015 AB Amber Grid and GAZ-SYSTEM S.A. signed a tripartite agreement with the EU Innovation Network Executive Agency (INEA) on the financial assistance of the EU to the Project “Construction of Gas Interconnection Poland-Lithuania (GIPL) including supporting infrastructure”. Under this Agreement, the Project was granted financial assistance of the EU of EUR 295.4 million under the Connecting Europe Facility (CEF). From the whole amount of financing, up to EUR 55 million was allocated to AB Amber Grid.

The Project is a part of the following plans:

  • The European Network of Transmission System Operators (ENTSO-G) Ten-year Development Plan announced in 2015.
  • The Baltic Regional Transmission System Operators Gas Regional Investment Plan for 2014–2023.
  • The National Key Electricity and Gas Transmission Projects Implementation Plan as approved by the Resolution of the Government of the Republic of Lithuania.

 

 

 

 

 

 

 

ENHANCEMENT OF LATVIA-LITHUANIA GAS INTERCONNECTION (PART OF THE PROJECT IN LITHUANIAN TERRITORY)

Goals of the Project:

  • enhance the capacity of the gas systems  interconnection Latvia-Lithuania,
  • ensure security of gas supplies,
  • create conditions for a better integration  of the gas markets of the Baltic States,
  • ensure security and reliability of operating gas system.

The Project is implemented by:

  • Latvijas Gāze AS,
  • AB Amber Grid.

Description of the Project

This Project aims at enhancing the capacity of the gas systems interconnection Latvia-Lithuania, ensuring safe and reliable natural gas supply, and achieving a more effective use of the infrastructure and better integration of the gas markets of the Baltic States.

The implementation of the Project will also contribute to creating better conditions for the use of the Latvian Inčukalns Underground Ggas Storage for Lithuania’s and, in future, for Poland’s gas market participants. The integration of the Baltic gas markets into a single European Union gas market, this interconnection will become an important route linking Europe and the Eastern Baltic region’’s markets.

The Project scope and deadlines will depend on the implementation of the investment projects aimed at diversification ofgas supply in the region.

The Project of Latvia-Lithuania- Interconnection will be carried out in the territory of  Lithuania and Latvia. The implemented Project is expected to result in enhanced capacity of Kiemėnai Gas Metering Station (GMS) in the territory of Lithuania, and in construction of the missing section of the gas transmission pipeline in the territory of Latvia. In the territory of Latvia the Project will be carried out by Latvia’s gas transmission system operator Latvijas Gāze AS.  

After the implementation of the Project, the bi-directional capacity between Latvia and Lithuania will be increased up to 124.8 GWh (12 MCM) per day.

Investment necessary for the Project’s partin the territory of Lithuania amounts to EUR 2.9 million.

It is expected to completed the project by 2020.

Route of the Gas Transmission Pipeline

The Project is a part of the following plans:

  • The European Network of Transmission System Operators (ENTSO-G) Ten-year Development Plan announced in 2015.
  • The Baltic Regional Transmission System Operators Gas Regional Investment Plan for 2014–2023.
  • The National Key Electricity and Gas Transmission Projects Implementation Plan as approved by the Resolution of the Government of the Republic of Lithuania.
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