News

Dear Mr. President, ministers, commissioners, ladies and gentlemen,

Today’s conference vividly demonstrates that energy has become inseparable part of European diplomacy. I think it is a good development. I commend the Commission acting together with the High Representative for taking the initiative of this high level debate.  We have to look into reality. Europe is an economic giant, but dwarf in terms of energy security. We have to answer to ourselves how the growing energy demand will match with depleting traditional energy resources in Europe, how we are going to deal with the rapid climate change, sky rocketing energy prices and lack of supply options.

The first keywords are unity and solidarity. Most of the problems can be solved only acting together. Ladies and gentlemen, I want to recall that European Community was created as a community of coal and steel in early fifties. Fifty years passed but internal energy market is still a dream. It is time to complete this ambitious goal. We need a real European energy union and we do not have a luxury for any delays.

Solidarity must be an essential element in shaping our single energy policy. We should consider creating a crisis management system dealing specifically with energy crisis. The network of energy correspondents could be a first step in this direction as an instrument of monitoring and early warning.

Recent black outs in Europe demonstrate the strategic importance of energy interconnectivity in the European Union.  Interconnectivity is the main precondition to move from virtual to real and effective common EU energy market. Because of the historical reasons Lithuania and other Baltic states are energy islands in the EU. We need energy bridges: pipelines and power grids. Therefore we attach great importance to the priority interconnection plan, which will be elaborated by the European Commission at the beginning of next year. It is not only a question of commerce but also of security. European political solidarity is also required.

The second keyword – diversification. We have to strive for variety of national energy mix and geographical diversity of energy import. Energy mix is and should remain a national responsibility. I envisage renaissance of nuclear energy in Europe in the coming years. Cautious attitude to this type of energy is rather psychologically motivated. Ghost of Tchernobyl will not disappear so easily. But nuclear energy along with renewables are the only realistic alternatives to the depleting hydrocarbon resources and could be instrumental to cope with the challenges of climate change. Europe, European companies are among the leading in the world in the nuclear energy technologies, which have to be exploited for the benefit of the European energy market and energy security.  Lithuania opts for nuclear energy because it is crucial for our energy security, I would even say, our national security.

Ladies and gentlemen, speaking about Lithuania I would like to remind to the distinguished audience that our dependence on imported gas from the monopoly supplier will increase dramatically because of the closure of Ignalina Nuclear Power Plant by the end of 2009. Recently governments of the Baltic States decided to build a new nuclear power plant in Lithuania. We intend to implement this joint project in the most speedy way in cooperation with other European partners. However, not only Lithuania, but also the Baltic region as a whole will face a serious energy security problem until the new power plant and power grids with Poland and Sweden are constructed.

God has blessed Russia with huge energy resources. Today Russia is dominating in the supply of gas and oil to Europe. Therefore, the picture of the common European external energy policy is not complete without EU-Russia relations which need to be balanced better. Of course, we need Russian oil and gas, but the most important is to create a commonality of values.

Non-discrimination, competition, free transit, access to the energy markets and transparency should be the key principles of the EU-Russia energy cooperation. We welcome the intention to further expand partnership with Russia in energy field. Discussion on post PCA (Partnership and Cooperation Agreement) is a good opportunity to rethink the essential elements in our strategic partnership. The provisions of Energy charter treaty and its transit protocol should be the cornerstone in shaping our relations with Russia. We have to work together convincing our Russian friends to ratify Energy Charter and sign the Transit protocol. European Union should be part of in addressing problems that any member state is facing. Polish concerns of today is the case.

Geographical diversification of energy supply is another side of the same coin. We must be proactive and energetic in developing new supply routes to Europe. We need not only new supply routes, but also new suppliers. It is my feeling that potential of Caspian Sea region and Central Asia is not fully evaluated yet.  Competition for resources of the region is growing and Europe is not an obvious winner here. In this context we should not forget Turkey, which controls the main transit routes to Europe. Turkey is a strategic country for Europe’s energy security. Cooperation with Turkey in the field of energy should be further developed. Lithuania also welcomes the initiative to elaborate the Strategy on Central Asia. We believe that European Neighborhood Policy could open perspectives to integrate our neighbours, first of all Ukraine and South Caucasus states into the European Union single energy market. These are all important elements of Energy policy for Europe launched at the Spring European Council.

Ladies and gentlemen, I will repeat myself underlying the importance of European solidarity. Mutual assistance in case of disruption of supply of vital resources could be one of the core values of Europe. Recently Lithuania faced with disruption of oil supply by pipeline with symbolic name “Friendship”. Mažeikių Oil Refinery was forced to change the usual supply pattern. It imports now oil by tankers and not only from Russian but also from Venezuelan suppliers. We have been explained that it is only a technical disruption and I want to believe that this is not a politically motivated decision. Unfortunately, I must admit that transparency and predictability has not been ensured in this particular case. Undoubtedly, we all are interested to see Russia as a reliable, predictable energy partner. It is also in the interest of Russia itself. The position of the President Barroso and Commissioner Piebalgs has been very supportive and timely. I think that we have to continue addressing this matter with the view to speedy solutions in the framework of the EU-Russia relationship. We are strong when we act together.

Thank you very much