EC Funds Balticconnector, Declines Gasum’s LNG Application

The European Commission said that proposal by Finland’s Gasum and Estonia’s Alexela for a liquefied natural gas import terminal in the Gulf of Finland is not eligible for funding under Projects of Common Interest (PCI).

“Gasum will continue planning the construction of an import terminal in Southern Finland to be able to ensure and diversify our customers’ access to LNG in this region and in shipping, industry and heavy-duty road transport alike. Once completed, the terminal would further strengthen the supply security of natural gas,” Johanna Lamminen, Gasum CEO, reacted in a note published on Wednesday. 

In this sense, negotiations on the LNG terminal will continue over the summer. 

On the other hand, the gas pipeline between the two countries can be ‘considered for the maximum amount of EU grants in the application round for PCIs,’ reads a press release published by the Finnish Government. 

According to Finnish authorities, the companies Gasum and Estonian gas distribution company EG Võrguteenu aimed at beginning construction works in 2019. 

The gas pipeline, known as Balticconnector, requires advancement of other gas infrastructures projects in the Baltic countries before it can be connected to the European gas network.