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Gazprom’s subsidiary company demands the Narva dam to be given at their disposal

Gazprom’s subsidiary company demands the Narva dam to be given at their disposal based on the Tartu Peace Treaty. Narva’s electric power stations work also depend on this dam.

The company called Territorialnaja Generirujuštšaja Kompanija Nr 1 (TGK) filed a suit against Republic of Estonia as the owner of the ground the Kulgu dam in Narva is built on.

In the suit, TGK is demanding the government decree of 2006 (according to which the ground the Kulgu dam is built on was leased to Narva Power station) to be declared void.

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Kulgu dam divides Estonian-Russian boarder and the Estonian half is attached to the formerly-mentioned ground. Russian half of the dam is held by TGK, which produces electricity in a hydroelectric power station on Narva River. The water table in Narva reservoir depends on that dam, which itself depends on Narva’s Power station.

TGK is demanding a lease contract and the right to build buildings from the Estonian government. This would give the use of the Estonian part of the to them. The suit is also based on article in the Tartu Peace Treaty of 1920, according to which Estonia grants precedence for Russia “for producing electricity by using waterfalls of Narva River, also, other conditions are determined in separate agreements.”

According to TGK, it was in the 1940s that that particular point in the Treaty was first fulfilled, the time when the Narva Reservoir was built, and in connection with that the dyke and the water discharge dam was built in 1956. TGK claims that according to the Peace Treaty the Russian Federation is the one who should operate the facilities not the Republic of Estonia.

Eva Vanamb, the Estonian representation for Economics and Communication Ministries in the administrative court session on Friday recollected for Asko Pohla and Martin Männik that on June 17, 1940 the USSR forced invaded Estonia and that is why we can’t talk about fulfilling the Peace Treaty on the 1940s.

Neither the Ministry of Economics nor the company itself is giving any answers to why the Gazprom’s subsidiary company needs control over the Estonian part of the dam. Viktoria Pavlova, TGK’s PR manager of international projects, said, after familiarizing herself with questions by Postimees, that the company decided not to comment on the dispute before the verdict.

Manager of Narva’s Power Station Ilmar Petersen also didn’t want to speculate about TGK’s motives. However, he did allude that instead of a conspiracy we should look out for business reasons. “ If the company would have wanted to leave the Power station out of the pocket then they could have done it with their own half of the dam,” explained Petersen.

TGKs attorney at law Asko Pohla said that TGK needs clarity about who the dam belongs to. “So we could see once and for all whether the company can hold the balance of the dam or not,” said Pohla.

TGKs predecessor, Leningrads District Power-management (receiver of the Order of October Revolution), «Lenenergo», wished to gain the possession of the facilities under dispute already in 1982.

At that time, the Power station asked Narva’s assemblymen council’s executive committee to assign the grounds under dispute to be used by the Power station. That petition wasn’t granted.

No verdict was reached in the Tallinn’s administrative court on Friday, and the next session is scheduled for spring.

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ADD YOUR COMMENT
Sirley Salk, please explain to me: Ilmar Peterson is quoted : " If the company would have wanted to leave the power station out of pocket, they could have done it... "
What pocket ? What is meant by out of pocket ?
Please explain this to me. Thank you.
~John Rim [10.02.2009, 22:49]
There are three power stations in the vicinity of Narva. One is on the river.

Correspondent, are you referring to one, two or three power stations ?
Please reply.
~John Rim [10.02.2009, 22:38]
Hmmmmm.. I think any potential removal of the dam means that the Narva power station becomes disfunctional! Whoops
~Correspondent [10.02.2009, 16:01]
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