The pipeline connects Inkoo in Finland and Paldiski in Estonia.
A major underwater gas pipeline in Europe has been damaged, raising concerns about energy infrastructure. Known as the Balticconnector, it links Finland with Estonia and goes under the Baltic Sea. Finland said the pipeline was shut down after a sudden drop in pressure, adding that the damage was deliberate and probably caused by "external activity", as per a BBC report. A telecoms cable was also damaged. Finland's Prime Minister said on Tuesday that the source of the leak had been found and was being investigated by both countries.
What is the Balticonnector?
It is a pipeline that connects Inkoo in Finland and Paldiski in Estonia. Its undersea section stretches 77 kilometres across the Gulf of Finland.
News agency Reuters said that the pipeline is jointly operated by Estonian electricity and gas system operator Elering and Finnish gas transmission system operator Gasgrid. Both parties own a 50 per cent stake.
It can transport up to 7.2 million cubic metres of gas per day, in either direction, Reuters further said.
The shutdown and impact on gas supply
Both the countries have arranged for the fuel from alternative sources, which would also be able to cover demand over the winter.
Estonia's gas supply company Elering said shortage was not foreseen in the Baltic region even if the pipeline were to remain inoperable throughout the winter, as supplies were still available from storage in Latvia and from Lithuania's LNG import terminal.
In addition, Finland has a smaller Hamina LNG terminal which can supply up to 6 GWh/day into the Finnish gas grid.
Why the Balticonnector is crucial?
The pipeline is Finland's only direct link to the wider European Union's gas network since the country stopped importing pipeline gas from Russia last year in the wake of Moscow's invasion of Ukraine.
The prospect that the damage could be deliberate has pushed up European gas prices.
The BBC said that prices in the UK jumped as much as 13.5 per cent on Tuesday to 124 pence per therm (a measurement of gas) - having traded as low as 88 pence on Friday.
Natural gas accounts for about five per cent of Finland's energy consumption.