Identifier
Created
Classification
Origin
04VILNIUS1315
2004-10-22 12:59:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy Vilnius
Cable title:  

LITHUANIAN GOVERNMENT SPLIT ON REACTOR CLOSURE

Tags:  ENRG PREL LH 
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This record is a partial extract of the original cable. The full text of the original cable is not available.
UNCLAS SECTION 01 OF 02 VILNIUS 001315 

SIPDIS

SENSITIVE

STATE FOR EUR/NB (MGERMANO),EUR/ERA AND EB

E.O. 12958: N/A
TAGS: ENRG PREL LH
SUBJECT: LITHUANIAN GOVERNMENT SPLIT ON REACTOR CLOSURE
POSTPONEMENT

-------
SUMMARY
-------

UNCLAS SECTION 01 OF 02 VILNIUS 001315

SIPDIS

SENSITIVE

STATE FOR EUR/NB (MGERMANO),EUR/ERA AND EB

E.O. 12958: N/A
TAGS: ENRG PREL LH
SUBJECT: LITHUANIAN GOVERNMENT SPLIT ON REACTOR CLOSURE
POSTPONEMENT

--------------
SUMMARY
--------------


1. (SBU) Prime Minister Algirdas Brazauskas announced on
October 21 that the GOL would ask the EU permission to
postpone the decommissioning of the first of the two Ignalina
Nuclear Power Plant units. Brazauskas said regional energy
supply security justified the delay. President Valdas
Adamkus, however, spoke strongly against delaying
decommissioning, and said that Lithuania must abide by the
commitments it made to the EU. The President has called a
meeting of the State Defense Council for October 26 to decide
whether the GOL goes forward with the request. End Summary.


2. (U) Prime Minister Algirdas Brazauskas announced October
21 that the GOL had decided to ask the European Union to
allow it to postpone the decommissioning of the first
Ignalina Nuclear Power Plant (INPP) Unit. Under its EU
accession agreement, Lithuania agreed to decommission the
first unit by December 31, 2004, and the second by the end of

2009.


3. (U) Brazauskas said postponement is necessary to ensure
uninterrupted power generation for Lithuanian consumers and
the surrounding region. The GOL is especially concerned that
the delayed opening of a Kaliningrad reactor, expected to
provide backup to Lithuania in the event of blackouts, calls
into question Lithuania's energy security this winter.
Current projections are that the Kaliningrad unit will be
online in November 2005, more than a year behind schedule. A
new thermal power station in Riga, Latvia, will eventually
provide backup to Lithuania's energy system as well, but will
not be on-line before November 2005.


4. (U) Though the Ignalina units are older Chernobyl-designed
RBMK reactors, the USDOE has provided $10 million worth of
security upgrades since 1996, and technical assistance from
European countries and Japan has improved the safety of the
reactor, extending the nuclear power plant's (NPP)
operational capability beyond its natural lifetime. The
GOL's Nuclear Advisory Committee, which includes Western
experts, assured the government last week that a six-month
extension for Unit I would not adversely impact the NPP's
safety. In his announcement October 21, Brazauskas said the
GOL would invite EU experts to meet with their GOL
counterparts to consider arguments in favor of postponement.


5. (SBU) President Adamkus spoke sharply against postponement
October 21, telling the press that delaying the closing is
"out of the question" and would counter Lithuania's
international obligations. Presidential Advisor Nijole
Zambaite told us that the presidential office has been
involved in ongoing discussions on postponement, but the
Government's arguments have yet to convince him. Zambaite
indicated that Adamkus will hear out the Cabinet's arguments
with an open mind at an October 26 State Defense Council
meeting, before taking a final stand.


6. (SBU) Resident EU officials sent mixed messages in
response to the Prime Minister's announcement. Michael
Graham, the Head of the EC Representative Office in
Lithuania, took a hard line on national television, saying
that Lithuania cannot postpone without first renegotiating
its accession treaty commitments with the Commission and
other member states. His office later clarified to us that
Brazauskas's announcement had taken Graham by surprise,
because Lithuania had not raised the subject of potential
postponement during the earlier accession negotiations.
European Commission Transport and Energy Spokesperson Amador
Sanchez Rico, reserving judgment, told the press that the
Commission will review and analyze any GOL request to
postpone.

Comment
--------------


7. (U) The GOL decision comes against backdrop of concerns
over the impact of the plant closing on the local economy
around Ignalina, and over the past six months a few
politicians have called for renegotiation of the reactor
decommissioning. MP and former presidential candidate
Kazimiera Prunskiene and former President Paksas' Liberal
Democratic Party campaigned on this issue during the recent
presidential elections. Prunskiene, who represents the
reactor's district, expressed concern that approximately 68
percent of the 3,592-member reactor workforce may face
unemployment when both units shut down, since their highly
specialized skills are not easily transferable. On the
political (and emotional) side, the recent Yukos crisis has
also inspired renewed discussion of keeping Ignalina open (or
building a new NPP) to reduce Lithuania's energy dependence
on Russian oil and natural gas.
Mull