Inquiry Regarding the Decline in Estonian Industrial Production (No. 658)
Session: 15th Riigikogu, 4th session, plenary session
Date: 2024-12-02 18:47
Participating Politicians:
Total Speeches: 22
Membership: 15
Agenda Duration: 43m
AI Summaries: 22/22 Speeches (100.0%)
Analysis: Structured Analysis
Politicians Speaking Time
Politicians
Analysis
Summary
The agenda item focused on the topic of the decline in Estonian industrial production and the opinions and package of measures associated with it, which could help industry further. Questions were raised by members of the Riigikogu – Lauri Laats, Aleksandr Tšaplõgin, Aleksei Jevgrafov, Anastassia Kovalenko-Kõlvarti, and Vadim Belobrovtsevi – concerning the industrial production decline on October 16th, and within this mobile discussion, a broad debate was raised in the context of the economy and the energy sector. The presentations included descriptions of the situation, the impact of national economic policy on production, as well as the possibilities and limitations of cooperation between the government and the private sector.
The second major topic was the role of energy policy in maintaining the competitiveness of the economy and a comparison of different countries' experiences with neighboring countries (Finland, Sweden, Lithuania, Latvia), and plans for Estonia's future export strategy and increasing investment capacity. The need to reduce bureaucracy, increase added value, and develop a collaborative environment between political parties and entrepreneurs was emphasized. Infrastructure development (roads, railways, Via Baltica, Rail Baltica) and the link between security and the economy were also discussed, which cyclically raises discussions about energy prices and production competition. Overall, the aim and tone of the discussion show that short- and long-term solutions and the state's ability to guide the economy must be achieved through concrete actions and cooperation, not just rhetoric.
Decisions Made 1
No decision was made regarding the inheritance; the discussion continued, focusing on the competitiveness of the economy and industry, as well as solutions for the energy market. No specific legal or financial decisions were announced.
Most Active Speaker
The most active speaker was Lauri Laats (id 5VNfkRwGZMI). Position: other (not clearly defined partisan/conceptual position). He made remarks primarily containing critical and questioning content, focusing on the impacts of energy prices and the importance of further economic development and solutions.
Esimees Lauri Hussar
AI Summary
The Riigikogu is discussing today as the fourth item on the agenda the parliamentary inquiry submitted on October 16 by Laatsi, Tšaplõgini, Jevgrafovi, Kovalenko-Kõlvarti and Belobrovtsevi concerning the decline of Estonia's industrial production.
Lauri Laats
Profiling Eesti Keskerakonna fraktsioonAI Summary
Lauri Laats emphasizes that Estonia's industrial production has been falling for the tenth consecutive quarter, and the state must steer the economy at the right time, intervene, and provide assistance to businesses — especially by easing electricity prices —, because the current government focuses on tax increases and has not found solutions.
Esimees Lauri Hussar
AI Summary
The Speaker thanks and asks that the Minister of Economic Affairs and Industry Erkki Keldo answer the inquiry at the Riigikogu's rostrum.
Majandus- ja tööstusminister Erkki Keldo
AI Summary
Economy and Industry Minister Erkki Keldo said that Estonia's processing industry is troubled by the impact of the war in Ukraine and energy prices, and he introduced the Economic Competitiveness Action Plan planned for 2025, whose core is promoting export capacity and the creation of higher added value, reducing the reporting burden, supporting investments and the Defense Fund, and establishing a Center for Applied Research, so that the state would create a stable and competitive business environment.
Aseesimees Toomas Kivimägi
AI Summary
The vice-chairman thanks the audience and invites questions from the hall, asking Vladimir Arhipov to take the floor.
Vladimir Arhipov
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
They ask why energy prices aren't competitive and why a broad bailout for municipal road construction isn't being brought back into use right now, as it was during COVID or during the Great Depression in the United States.
Majandus- ja tööstusminister Erkki Keldo
AI Summary
Economy and Industry Minister Erkki Keldo said that Estonia must, in order to ensure the competitiveness of energy prices, consider differentiating the final price for large consumers and be competitive with its neighbors against the backdrop of cheap Scandinavian electricity; at the same time we will continue public investments in infrastructure such as Via Baltica and Rail Baltica and increase defense investments so that Estonia is increasingly better connected with its Western allies.
Aseesimees Toomas Kivimägi
AI Summary
The deputy chairman Toomas Kivimägi invited Lauri Laatsi onto the stage.
Lauri Laats
Profiling Eesti Keskerakonna fraktsioonAI Summary
Lauri Laats criticizes that, although Estonia has an open economy and depends on partners and their demand, the minister has not explained why Latvia and Lithuania cope better under the same external factors, and he asks how cheap electricity can be obtained, given that phasing out the use of oil shale and expanding green energy do not seem to provide that possibility, according to calculations.
Majandus- ja tööstusminister Erkki Keldo
AI Summary
Economy and Industry Minister Erkki Keldo stressed the need for a broad, thorough energy portfolio and close interconnection with neighboring countries, as well as the necessity of renewable energy, short-term and long-term storage, and dispatchable capacities to ensure reliable self-sufficiency; he compared Latvia and Lithuania and highlighted changes in energy prices and Euribor, but noted that the Euribor decline and stabilization of energy prices will bring more money to businesses and consumers next year and hope for a better economic cycle.
Aseesimees Toomas Kivimägi
AI Summary
The vice-chairman, Toomas Kivimägi, turned to Mart Maastik and said, "Please!"
Mart Maastik
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Maastik claims that although the final price of energy is one of the economy's most important indicators, the government continues with offshore wind farm projects and wants to move them to a contractual level, which, in its view, is neither cheap nor green, and the costs associated with the Saaremaa project, including the 330-kV high-voltage line, could amount to as much as 7 billion euros for taxpayers, resulting in a very high final price for consumers and raising questions about Estonia's competitiveness.
Majandus- ja tööstusminister Erkki Keldo
AI Summary
During his presentation, Economy and Industry Minister Erkki Keldo noted that in the future the price of wind energy is forecast to be about 5 cents per kilowatt-hour (approximately 50 euros per megawatt-hour), which could in the long run become cheaper for consumers at the final price if a cap-and-floor model is applied to ensure financial stability, and although the renewable energy charge may rise slightly, the early indications point to next year's charge being reduced by about 20%, and Estonia's need is for a versatile energy portfolio with the possibility of including nuclear energy, in order to achieve a stable price range and ensure competitiveness for entrepreneurs.
Aseesimees Toomas Kivimägi
AI Summary
The vice-chairman thanks, announces that there are no more questions, opens negotiations, and invites Mart Maastik to take the floor.
Mart Maastik
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Mart Maastik said that although the talk sounded nice, the government's actual actions are the opposite, and the cost of offshore wind farms and their multibillion-euro subsidies will probably be borne by taxpayers over the course of decades, and the impact of energy prices on Estonia's competitiveness is not new knowledge, but a long-term problem that requires state intervention, subsidy cuts and assessment of investment risks, taking into account nature and the well-being of the population.
Aseesimees Toomas Kivimägi
AI Summary
Toomas Kivimägi confirms that the speech lasts three minutes.
Mart Maastik
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
The landscape calls for stimulating the economy by nationally regulating Euribor and lending for infrastructure, criticizes the funding of Rail Baltica with CO2 quotas, and the attitude that interferes with state entrepreneurship, but remains hopeful that the Ministry of Economic Affairs will make practical decisions.
Aseesimees Toomas Kivimägi
AI Summary
The vice-chairman Toomas Kivimägi thanks a colleague and asks Lauri Laats.
Lauri Laats
Profiling Eesti Keskerakonna fraktsioonAI Summary
Lauri Laats said that the alcohol excise tax will not be raised for the coming year, and that excise revenue collection is lower than planned, and he noted the economic costs of the green transition, emphasized the preservation of oil shale and domestic resources for energy security, and drew attention to the fact that large investments in the electricity grid and in the reconstruction of the housing stock may raise consumer bills and increase dependence on external technologies, which should be reasonably balanced, and if necessary EU exemptions should be sought.
Aseesimees Toomas Kivimägi
AI Summary
The deputy chairman, Toomas Kivimägi, assures that they still have energy and asks for three more minutes.
Lauri Laats
Profiling Eesti Keskerakonna fraktsioonAI Summary
Lauri Laats urged the government to seek exemptions for the continuation of the oil shale sector under reasonable conditions, to give companies a clear signal that they are needed and to invest in CO2 capture technologies, emphasizing that oil shale is Estonia's wealth and must be used, and to present concrete guidelines and exemptions from the European Union within two weeks, otherwise the sector will perish and the future of the younger generation will suffer.
Aseesimees Toomas Kivimägi
AI Summary
Toomas Kivimägi closed the negotiations, thanked all parties for a balanced and mutually respectful discussion, and announced that the fourth item on the agenda has been completed.