Russia's Gazprom is managing the ambitious $10.5-billion project, which will see Russian gas pumped directly to Western Europe through a pipeline across the floor of the Baltic Sea but which has raised concerns from countries across Eastern Europe.
Addressing the country's parliament about foreign policy objectives, Urmas Paet said: "We should ask ourselves whether we want an offshoot from the gas pipeline to be laid in Estonia. How much are we prepared to pay for that? Or would we be better off investing in modernizing our gas storage in Latvia? These are questions that need a thorough expert analysis."
Paet said all major infrastructure projects in Europe should be pursued with account of the interests of all European Union members, and criticized the NEGP constructors for their failure to coordinate it with the Baltic countries in advance.
Gazprom boss Alexei Miller said in March that countries around the Baltic Sea could construct pipeline branches to tap the gas, and that the Russian gas monopolist was prepared to listen to offers. Sweden has since said it is not interested in constructing an offshoot.
Paet's remarks reflect alarm at the project voiced by some Eastern European countries. Ukraine and Poland have opposed NEGP, which will effectively remove the need for lucrative transit contracts using current pipelines. The Baltic states, EU members since May 2004, have repeatedly voiced concerns about possible environment hazards.
"Estonia is stressing the need to look into the environmental impact [of the project] and wants to take part in the studies," Paet said.
Russia has dismissed the concerns, saying the Blue Stream pipeline across the floor of the Black Sea had been functioning without any leaks in a potentially more hazardous sulfuric environment.
The NEGP is being built by Gazprom and Germany's BASF AG and E.ON AG under a joint venture in which Gazprom holds a 51% stake and the German companies 24.5% each.
The project is important for Russia as the pipeline will pump gas from the giant Shtokman gas condensate deposit in the Barents Sea and possibly from other gas deposits in the north, making them attractive for investment. The first leg of the pipeline is set to come on-stream in 2010.
