Russia's full-scale invasion of Ukraine has prompted economic sanctions as well as talk of terminating business in Russia, but the import of raw materials from Russia to Estonia is still in the process of winding down. According to involved parties, however, things are heading in that direction, with companies taking full advantage of contracts concluded prior to the invasion until then.
The Ministry of Economic Affairs and Communications has refused a sanctions exception for a company that wanted Russian and Belarusian bitumen suppliers given continued access to Estonia.
Energy prices might grow even higher than during the recent heating period this coming fall and winter. Prime Minister Kaja Kallas considers it more sensible to limit support to those who really need it instead of compensating everyone which she says Estonia cannot afford.
Construction is already underway on the new LNG terminal near Paldiski, and the mooring quay is slated to be completed by the end of August already. Alexela confirmed that LNG reception capacity will be established in early November. It still remains unclear, however, whether private investors Alexela and Infortar or the Finnish state will be the ones to rent the necessary floating storage and regasification unit (FSRU).
The Estonian state is to keep around a fifth of Estonia's annual natural gas needs in the form of a reserve, as part of efforts to decouple from dependency on Russian supply in the wake of the Ukraine war.