Economy Minister : Estonian energy sector needs 100 billion

Toomas Hõbemägi

Estonian energy sector is facing a life an death battle and needs to invest around 100 billion kroons in the next 10 to 15 years.

Speaking at the energy conference from Vision to Action, Estonian Minister of Economic Affairs Juhan Parts said while until now the state has been behind most of the investments in the energy sector, it is now time for the private capital to start playing a bigger role.

“The changes that are facing this field are enormous,” said Parts speaking of the energy development plan that the Ministry of Economic Affairs drafted this summer.

“The electricity sector needs to invest 50 billion kroons
Among others, the price of oil shale energy is going to double in 2013 which means that all businesses are facing changes,” said Parts.

A key issue in the energy development plan is nuclear energy. According to Parts, Estonia will draft legislation to regulate nuclear energy by 2012 and determine whether Estonia needs to invest in its nuclear power plant or not. According to Einari Kisel, Ministry’s deputy general secretary in energy matters, Estonia could theoretically start producing nuclear energy not before 2023.

Among others, Parts proposed to set up an Energy Agency in Estonia that would be responsible for implementing development plans and manage investments. “The agency will not put firewood in your fireplace, but act like a thinktank,” said Parts.