Lithuanian energy security level assessment

Abstract

Prior to 2010 Lithuania was a nuclear power energy producing country. More than 75% of the total Lithuanian electricity production consisted of nuclear power energy. Since the beginning of 2010, both units of Ignalina NPP have been shutdown and the Lithuanian energy system became highly dependent on import of electricity and fossil fuels. Lithuania is isolated from the EU energy systems: there are no electricity interconnections with the Continental Europe and the country is dependent on a single external gas supplier. In addition, Lithuania imports more than a half of the total amount of consumed electricity from neighbouring countries, whereas the remaining part is generated by using fossil fuels supplied by a single source [1]. In this context the issue of Lithuanian energy security, relevant up to now, has become even more important and problematic. As electricity production in the Lithuanian power plant increases gas consumption and, consequently, the dependence on it, it is obvious that this factor in its turn decreases the level of energy security. In the end of 2010, the Government of the Republic of Lithuania endorsed the National Energy (Energy Independence) Strategy. In this document some strategic initiatives till 2020 were proposed. One of them is to build a liquefied natural gas (LNG) terminal in Klaipeda. The main desired functions of this terminal are the following: to diversify the supply of natural gas so that the country would not be dependent on a single gas supplier; to provide the emergency natural gas reserve function aiming to independently cover the emergency demand for gas; to gain access to the gas spot markes; to establish the preconditions for forming a primary gas market in Lithuania [1].