Problems with the “Danish” part of Baltic Pipe resulting in increase costs and delays
22:01
Energinet estimates that the delay in the construction of the Baltic Pipe gas pipeline will increase the project’s costs by approximately EUR 80 million. For the time being, the company is waiting for the decision of the environmental commission, which ordered it to temporarily suspend the works.
“The revocation of the environmental permit for Baltic Pipe means that construction of part of the project is progressing while other parts are waiting for a new permit. The cost of the pipeline connecting Norway, Denmark, and Poland will increase as construction in some parts will have to be postponed until 2022,” reads the latest announcement from Danish system operator Energinet, which is responsible for the “Danish” part of the Baltic Pipe pipeline.
At the beginning of June, the Danish Environmental and Food Appeals Board revoked the environmental decision previously issued by the Danish Environmental Protection Agency regarding the construction of Baltic Pipe onshore in Denmark and sent it back for review. As a result, construction activities have been temporarily halted until the environmental decision is reinstated Construction of the pipeline is restricted to certain areas of the 210-km onshore line running through Denmark.
“Construction in the western part of Funen and in the southeastern part of Jutland between the Little Belt and Egtved Strait has been halted. We expect to be able to resume work on these two parts next spring, a very costly delay for a project of this size,” commented Energinet’s international relations director Torben Brabo, as quoted in the release.
