Government Preparing Gas Network Purchase ({{commentsTotal}})

Eesti Energia sees its competitive edge in the fact that it can offer electricity as well as gas to customers.
Eesti Energia sees its competitive edge in the fact that it can offer electricity as well as gas to customers. Source: (ERR)

The Estonian government has given the Minister of Economy, Urve Palo, a green light to purchase a majority share of AS Võrguteenus Valdus, which owns the nation's gas transmission network.

Prime Minister Taavi Rõivas said at a press conference Thursday that the move would boost energy security in Estonia.

The company is valued at around 60 to 70 million euros, with Fortum Heat and Gas OY owning a little over 51 percent, with Gazprompank (37 percent) and Itera Latvija (10 percent) also among the major shareholders.

The company would most likely be merged with Elering, the state-owned operator of electric power system network.