OREANDA-NEWS. April 21, 2014. At his meeting with Jyrki Katainen, Prime Minister of Finland, Prime Minister Taavi Roivas stressed the need to reach a quick agreement regarding Balticconnector and the LNG terminals, in order to finish the long-drawn-out process.

Decreasing energy dependence is a priority for the Estonian Government, Roivas said, and cooperation between the two countries is a great opportunity to change the way our gas markets are functioning today. In this regard, the Estonian Government sees the completion of Balticconnector, the gas pipeline connecting the gas grids of Finland and Estonia, as most important.

"This is not just a matter of security; it is also a matter of increased choice, supply guarantees and better prices for the customer," Roivas said.

"We have the launches of Estlink 1 and Estlink 2 as a real success story in this field," he added, referring to the connection of the energy grids of the two countries as a good example of cooperation. According to Roivas, Estlink 2 has been instrumental in harmonising the energy market prices of Estonia and Finland.

"Ever since Estlink 2 was launched, the price of energy has been on the same level in the two countries, as it was for 94% of hours in March, which has meant better tariffs for the Estonian consumer," Roivas said.

Today, the LNG terminal and Balticconnector projects have reached the most active stage to date. A letter of intent was signed in February and talks are underway between developers at present, with the aim of getting the projects ready for the financing programme of EU, which is opening in May. The Prime Ministers expressed hope that the European Commission may reach a financing decision as early as June.

The situation in Ukraine was another subject at the meeting. The Prime Ministers pointed out that tensions are continually high in eastern Ukraine, and all activity by the Russian Federation directed against Ukraine's territorial integrity is unacceptable.

"Every step Putin's regime takes towards escalating the situation is also a step towards economic sanctions from the EU," Prime Minister Roivas said. Ukraine was also discussed at the meeting with Sauli Niinisto, President of Finland.

In discussing the mutual relations of our two countries, Roivas said that what is happening in Ukraine right now is a good reminder for us about how important close, similar-minded friends are in international relations – like Finland has been for Estonia.

"The relationships between Finland and Estonia continue to be strong – our economies are interwoven, and we have good cooperation on regional, EU and global levels," he said, citing the development of cross-border e-services and defence cooperation as examples.

Finland continues to be the most important economic partner for Estonia. In 2013, Finland was foremost in imports and second in exports in Estonia's foreign trade relations. Trading between the two countries grew by 5.2%. There was growth in both exports and imports.