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Harmony Link – Rising Project Costs Call Its Implementation Into Question

ENERGYHarmony Link - Rising Project Costs Call Its Implementation Into Question

Poland and Lithuania need an additional power connection to increase energy supplies via a bridge connecting our two countries, and also connecting mainland Europe to the socalled ‘Energy Island’ of the Baltic States, Lithuania, Latvia and Estonia. This solution was meant to be Harmony Link – which would connect Klaipėda and Wladyslawowo via a seabed cable so our markets could effectively cooperate. However, tension in supply chains, the pandemic crisis and subsequent geopolitical threats have pushed prices up, making the costs of Harmony Link in its maritime version very high. There’s a risk that the project in its current form is untenable because it will be hard to secure funding.

“We already know that new energy connections are not an indispensable condition for synchronization of the Baltic countries with Europe,” Wojciech Jakóbik, editor-in-chief of BiznesAlert, told, “We need a real connection that allows for unrestricted energy supply, for instance in the event that Russia ceases to supply energy to the Baltic states. At this moment, we are seeking financing for hundreds of mega-projects worth billions of zlotys. Therefore, a revision of the Harmony Link program is being considered. Polskie Sieci Elektroenergetyczne from Poland and LitGrid from Lithuania are considering replacing the maritime cable Harmony Link with a land-based solution. This is not an ideal solution, as it will require several steps – for example, with land acquisition and consultations, etc. But cost is a determining factor in this case,” Jakóbik assesses.

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