Baltic States – CIS, Energy, EU – Baltic States, Forum, Lithuania

Distinguished Participants and Guests of the Baltic Development Forum Summit,

I welcome all of you who have gathered in Vilnius. Your numerous presence here shows that we are bound together not only by the Baltic Sea, but also by common concerns, common challenges and surely by joint success! A meeting of such a high level provides a venue not only for highlighting and discussing problems, but also for making the necessary decisions that cannot be put off much longer.

Energy, the sea, innovation, and competitiveness – these are the key words that best describe the peculiarities and challenges of the Baltic Sea region and define directions for close cooperation. When I say "cooperation", I mean joint work by governments, businesses and public-private partnerships.

The three Baltic States are isolated in the field of energy. The creation of a Baltic energy market is crucial for ending this isolation. We have already started the process by opening our energy market to competition and investment. We have also received EU support for strategic infrastructure projects. Lithuania's first power exchange was launched on 1 January 2010. We are preparing to build electricity bridges to Poland and Sweden, and we plan to construct a new nuclear power plant.

As there is no functioning natural gas market in Lithuania, gas prices exceed those in Germany by 38 percent. We are taking steps to change the situation. They include the EU 3rd Energy Package, new gas pipeline to connect Lithuania with Poland, and liquefied gas terminal in Klaipėda. In addition to resolute steps in conventional energy sectors, we must also accelerate the development of alternative energy sources.

The Baltic Sea is our pride and part of our identity. At the same time, it is a sea that is most vulnerable and sensitive. Its fragile ecosystem is seriously threatened by very intensive economic activity. I would urge all the countries in the region to pool not only their political efforts, but also material resources together to preserve the Baltic Sea, starting with neutralizing the explosives and ammunition dumped in the war years and ending with protecting rare species of flora and fauna. These issues were discussed at a special meeting in Helsinki this past February. I am convinced that by continuing this initiative, by exploiting the region's full potential for research and development and by attracting businesses, we can and must become a center to spread useful information and experience across Europe and around the world on saving the seas.

The European Union has approved the Strategy for the Baltic Sea Region. It is a very important and necessary step which demonstrates the region's huge potential. It is also a commitment to embark on a modern path of development, based on the newest technologies and innovations.

It is symbolic that for the first time the Baltic Development Forum Summit coincides with the Baltic Sea States Summit, both meeting in one city. I firmly believe that this will help us to understand each other even better and that it will reinforce our shared aspiration for making the Baltic Sea Region stronger as it emerges as the most prosperous, closely coordinated and competitive region in the European Union, where everyone feels safe and secure and where many business initiatives come together.

I wish you fruitful discussions and the best of success in your work!

Dalia Grybauskaitė, President of the Republic of Lithuania