First Reading of the Draft Act on the 2025 State Supplementary Budget (733 SE)

Session: 15th Riigikogu, 6th Session, Plenary Sitting

Date: 2025-10-13 18:25

Total Speeches: 43

Membership: 15

Agenda Duration: 16m

AI Summaries: 43/43 Speeches (100.0%)

Analysis: Structured Analysis

Politicians Speaking Time

Politicians

Analysis

Summary

The Riigikogu deliberated the first reading of Draft Act 733, the supplementary budget bill for the state for 2025, initiated by the Government of the Republic. The draft bill was introduced by Minister of Finance Jürgen Ligi, who noted that this is already the second supplementary budget this year, with diverse objectives. The budget reduces expenditures by 19.9 million euros and investments by 12 million euros, while simultaneously increasing budget-neutral financing transactions by 72.3 million euros. The main focus remained on national defense: the budget of the Ministry of Defense is increased by 39 million euros (for procurements and aid to Ukraine). Within the framework of comprehensive national defense, the share capital of Elering, which falls under the jurisdiction of the Ministry of Climate, is increased by 45 million euros, of which 35 million is directed towards protecting energy infrastructure (transformers) against hybrid threats. Several projects are postponed because they cannot be implemented this year, including activities related to the transition to Estonian-language education (6.5 million euros). During the question round, MPs Aivar Kokk, Rain Epler, and Peeter Ernits were primarily interested in the transparency of innovation loans distributed via SmartCap, the justification for increasing Elering's share capital, and the ministers' tendency to overestimate their capacity to spend money. Minister Ligi explained that the funds' decisions are project-based and autonomously controlled, and strengthening Elering's capital is necessary for attracting foreign capital. Annely Akkermann, Chairman of the Finance Committee, presented the committee's deliberation, where it was decided by consensus to propose concluding the first reading.

Decisions Made 2
Collective Decision

The first reading of Bill 733 (Draft Act on the State Supplementary Budget for 2025) was concluded.

Collective Decision

The deadline for submitting amendments was set for October 27 at 5:15 PM.

Esimees Lauri Hussar
18:25:16
AI Summary

Chairman Lauri Hussar announced the commencement of today's second agenda item: the first reading of Draft Act 733 on the 2025 Supplementary Budget, initiated by the Government of the Republic, and invited Minister of Finance Jürgen Ligi to the rostrum to introduce the draft.

Esimees Lauri Hussar
18:25:16
AI Summary

Chairman Lauri Hussar opened the second item on today's agenda—the first reading of Draft Law 733 on the state's 2025 supplementary budget, initiated by the Government of the Republic—and invited Minister of Finance Jürgen Ligi to the podium to introduce the bill.

Rahandusminister Jürgen Ligi
18:25:35
AI Summary

Finance Minister Jürgen Ligi is providing an overview of this year's second supplementary budget, which focuses on reallocating expenditures and investments and increasing financing transactions. He emphasized the continued dominance of national defense, which receives an additional 39 million euros in funding, the protection of critical energy infrastructure (transformers) against hybrid threats with 45 million euros, and the postponement of several projects, including activities for the transition to Estonian-language education, until subsequent years.

Rahandusminister Jürgen Ligi
18:25:35
AI Summary

Finance Minister Jürgen Ligi presented the second supplementary budget for this year, which is centered on strengthening national defense by increasing the Ministry of Defense's budget and allocating 45 million euros via Elering to safeguard energy infrastructure against hybrid threats. Simultaneously, overall expenditures and investments are decreasing due to the refinement of project timelines, leading to the postponement of activities such as the transition to Estonian-language education and certain cybersecurity measures, while the budget also increases budget-neutral financing transactions earmarked for innovation loans.

Esimees Lauri Hussar
18:29:00
AI Summary

Chairman Lauri Hussar thanked the respected Minister, announcing that there were questions, and then invited Aivar Kok to the podium.

Aivar Kokk
Aivar Kokk
Profiling Isamaa fraktsioon
18:29:02
AI Summary

Aivar Kokk demanded an explanation from the Minister of Finance regarding the allocation of 17.8 million euros to the joint-stock company SmartCap and its subsequent distribution through the Venture Fund, expressing strong suspicion that the government lacks oversight regarding which entrepreneurs are actually receiving this large sum, and demanding the disclosure of the actual recipients.

Aivar Kokk
Aivar Kokk
Profiling Isamaa fraktsioon
18:29:02
AI Summary

Aivar Kokk has sharply criticized the allocation of 17.8 million euros to AS SmartCap, voicing suspicions that government members are unaware of which specific entrepreneurs are actually receiving this money via the investment fund. He is demanding concrete explanations from the Minister of Finance concerning the destination and recipients of the funds.

Rahandusminister Jürgen Ligi
18:30:02
AI Summary

Finance Minister Jürgen Ligi explains that the decisions of the innovation loan funds are project-based and are made relatively autonomously, without needing to be escalated to the government level, but confirms that accountability and targeted oversight are always ensured.

Rahandusminister Jürgen Ligi
18:30:02
AI Summary

Finance Minister Jürgen Ligi explained that project-based decisions regarding innovation loans are made by the funds relatively autonomously, in accordance with established policy guidelines, which is why they do not need to be discussed at the government level. However, he confirmed that accountability is always guaranteed and the targeted use of the funds remains under control.

Esimees Lauri Hussar
18:30:41
AI Summary

Chairman Lauri Hussar called Rain Epler to the podium to begin his presentation.

Rain Epler
Rain Epler
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmed
18:30:43
AI Summary

Rain Epler raises the question regarding the expediency of increasing Elering's share capital, which is justified by enhancing the resilience of critical infrastructure and preparing the hydrogen infrastructure. He demands clarification as to why conventional solutions, such as network fees, are not being utilized, and what will happen if the anticipated European funding for the hydrogen project fails to materialize.

Rain Epler
Rain Epler
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmed
18:30:43
AI Summary

Rain Epler is questioning the justification for increasing Elering's share capital, asking why the resilience of critical infrastructure isn't handled via network tariffs, and what will happen to the funds earmarked for hydrogen transit infrastructure investments if the expected co-financing from the European Union fails to materialize.

Rahandusminister Jürgen Ligi
18:31:46
AI Summary

Finance Minister Jürgen Ligi confirmed the existence of the decision concerning hydrogen infrastructure and focused on financing the infrastructure's resilience, explaining that costs resulting from national policy choices—such as the concrete protection of transformers—should be covered by strengthening equity capital, rather than solely through network fees, since this is not a directly profit-generating objective.

Rahandusminister Jürgen Ligi
18:31:46
AI Summary

Finance Minister Jürgen Ligi confirmed the existence of a decision regarding European-level hydrogen infrastructure, but stressed that guaranteeing the reliability of the infrastructure is a choice of national policy that is not profit-driven, and that it should be financed primarily through strengthening equity capital, as the largest expenditure is related to the concrete protection of the transformers.

Esimees Lauri Hussar
18:32:46
AI Summary

Chairman Lauri Hussar and Peeter Ernits were called to the rostrum to take the floor.

Peeter Ernits
Peeter Ernits
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmed
18:32:48
AI Summary

Peeter Ernits considers the transition to Estonian-language education critically important, but sharply criticizes the 6.5 million euro error in its financing, which now necessitates postponing the process. He questions how such a massive correction could have arisen, especially since it stands in stark contrast to previous adjustments that amounted to only one euro.

Peeter Ernits
Peeter Ernits
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmed
18:32:48
AI Summary

Peeter Ernits considered the transition to Estonian-language instruction extremely important, but he expressed sharp criticism regarding the 6.5 million euro correction, which indicates that the funding for this vital project has been "botched," and consequently, the corresponding expenditures must be postponed. He emphasized that this is no longer a small mistake, but a colossal error.

Rahandusminister Jürgen Ligi
18:33:28
AI Summary

Finance Minister Jürgen Ligi defended the supplementary budget, calling it sound, but explained that the resulting surplus (6.5 million) is a chronic problem. He noted that this stems from ministers consistently overestimating their capacity to spend funds and execute projects, which necessitates more precise planning.

Rahandusminister Jürgen Ligi
18:33:28
AI Summary

Finance Minister Jürgen Ligi defended the submitted supplementary budget, calling it good, but admitted that the 6.5 million euro surplus stems from the ministers' chronic tendency to overestimate their capacity to implement projects and spend money. This overestimation is precisely what leads to budget tensions and surpluses, which officials constantly attempt to combat through more precise planning.

Esimees Lauri Hussar
18:34:23
AI Summary

Chairman Lauri Hussar gave the floor to Aivar Koka.

Aivar Kokk
Aivar Kokk
Profiling Isamaa fraktsioon
18:34:25
AI Summary

Aivar Kokk voices his disappointment regarding the minister's failure to provide adequate answers and demands clarification concerning the budget's largest allocation—50 million euros—earmarked for shares in the defense industry fund. He specifically requests detailed information on the fund's total volume, the percentage of Estonian participation, and its scope of operations.

Aivar Kokk
Aivar Kokk
Profiling Isamaa fraktsioon
18:34:25
AI Summary

Aivar Kokk is questioning the minister in detail regarding the 50 million euro investment into the defense industry fund, demanding clarification on the fund's total volume, the percentage of Estonian participation, and the fund's actual operations, as this constitutes the largest single line item in the budget.

Rahandusminister Jürgen Ligi
18:34:57
AI Summary

Finance Minister Jürgen Ligi voiced his displeasure over the assessments concerning his knowledge, clarifying that although he deals with large figures in the Ministry of Defence budget and doesn't have the detailed reports readily available, they are in existence and accessible upon request. Nevertheless, he recommended directing requests for more detailed comments to the Minister of Defence, as he personally does not wish to engage with the subject in depth any further.

Rahandusminister Jürgen Ligi
18:34:57
AI Summary

Finance Minister Jürgen Ligi criticized the questioner for judging his knowledge, admitted that he was not fully versed in all the details of the Ministry of Defense budget because he tends to deal with the big numbers, and recommended turning to the Minister of Defense for detailed reports and smooth commentary, since he himself was not going to exert any further effort.

Esimees Lauri Hussar
18:35:51
AI Summary

Chairman Lauri Hussar invited the next speaker, Tarmo Tamm, to the podium, requesting that he begin his address.

Tarmo Tamm
Tarmo Tamm
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmed
18:35:56
AI Summary

Tarmo Tamm noted that he had no questions to ask.

Tarmo Tamm
Tarmo Tamm
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmed
18:35:56
AI Summary

Tarmo Tamm provided an extremely brief and specific answer, confining himself only to the negative phrase, "I don't have any."

Esimees Lauri Hussar
18:36:00
AI Summary

Chairman Lauri Hussar confirmed that the situation was clear, announced that they were moving forward, and then gave the floor to the next speaker, Peeter Ernits.

Peeter Ernits
Peeter Ernits
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmed
18:36:02
AI Summary

Peeter Ernits asks the minister to clarify whether the ministers' tendency to systematically overestimate their capabilities and the promises they have made – a tendency also highlighted by the 6.5 million euro issue – is a general syndrome affecting the current Estonian government.

Peeter Ernits
Peeter Ernits
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmed
18:36:02
AI Summary

Peeter Ernits references the minister's previous claim regarding ministers overestimating their own capabilities (in relation to 6.5 million euros) and asks outright if this is, in fact, a general syndrome affecting the current Estonian government, where ministers consistently overestimate both their abilities and their promises.

Rahandusminister Jürgen Ligi
18:36:31
AI Summary

Finance Minister Jürgen Ligi clarifies that while this is not a general rule, budgetary competition often leads governments to overestimate their capacity to implement their programs during the planning phase, noting that this issue has plagued all previous administrations.

Rahandusminister Jürgen Ligi
18:36:31
AI Summary

Finance Minister Jürgen Ligi dismissed the assertion that he had laid out a general rule, clarifying instead that this is a frequent phenomenon. He explained that budget-driven competition often leads to an overestimation of the capacity to execute programs when planning errors occur, stressing that this tendency has been evident under all governments.

Esimees Lauri Hussar
18:37:08
AI Summary

Chairman Lauri Hussar gave the floor to Rain Epler as the next speaker.

Rain Epler
Rain Epler
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmed
18:37:09
AI Summary

Rain Epler raised two issues: first, how the resilience of the electricity infrastructure to weather conditions differs from its resilience to potential attacks, and second, he questioned the necessity of the government support being provided to Elering, citing the company's report which indicated that their cash and equivalents grew from 65 million to 95 million, suggesting a sufficient financial standing.

Rain Epler
Rain Epler
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmed
18:37:09
AI Summary

Rain Epler posed two questions: first, how Elering evaluates the durability of its infrastructure against both severe weather and potential attacks, and second, why the state enterprise needs government backing when its cash reserves have grown significantly over the last year, reaching 95 million euros—a figure that supports the widely held view that Elering is flush with cash.

Rahandusminister Jürgen Ligi
18:38:01
AI Summary

Finance Minister Jürgen Ligi stressed that he would not delve into technical details while introducing the supplementary budget, but explained that Elering's capital structure must be strong enough to allow for the favorable and smooth raising of external capital for the implementation of projects, even if the company itself has funds.

Rahandusminister Jürgen Ligi
18:38:01
AI Summary

Finance Minister Jürgen Ligi skipped the engineering specifics when introducing the supplementary budget, choosing instead to stress the crucial importance of Elering’s capital structure. This structure, he noted, must be robust enough to guarantee the cost-effective and smooth attraction of the external capital required for the projects.

Esimees Lauri Hussar
18:38:28
AI Summary

Chairman Lauri Hussar concluded the round of questions with the minister, thanked him, and subsequently asked Annely Akkermann, the Chair of the Finance Committee, to present the discussion held in the committee from the Riigikogu rostrum.

Esimees Lauri Hussar
18:38:28
AI Summary

Chairman Lauri Hussar thanked the minister and concluded the questioning, subsequently giving the floor at the Riigikogu rostrum to Annely Akkermann, Chair of the Finance Committee, to present the discussion that had taken place in the committee.

Annely Akkermann
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioon
18:38:50
AI Summary

Annely Akkermann provided an overview of the Finance Committee meeting, where the preparation of draft bill 733 concerning the 2025 supplementary budget for its first reading was discussed. She highlighted questions regarding the 45 million euros allocated to Elering and the reallocation of funds designated for the Ministry of the Interior's vehicle procurement. The Committee decided consensually to include the draft bill on the plenary session agenda, and the majority of members voted in favor of concluding the first reading (8 in favor, 1 against), while simultaneously setting the deadline for amendments at ten working days.

Annely Akkermann
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioon
18:38:50
AI Summary

Annely Akkermann provides an overview of the Finance Committee's session held on October 1st, during which Draft Bill 733 concerning the 2025 supplementary budget was discussed. The discussion centered on the issues of increasing Elering's share capital and the reallocation of funds designated for the Ministry of the Interior's vehicle procurement. The Committee proposed adding the draft bill to the plenary session agenda, concluding the first reading (with the vote being 8 in favor and 1 against), and setting the deadline for proposed amendments at ten working days.

Esimees Lauri Hussar
18:42:06
AI Summary

Chairman Lauri Hussar announced that, since no questions or requests to speak were submitted following the presentation, the first reading of Bill 733 has been concluded upon the proposal of the lead committee, and the deadline for submitting amendments has been set for 17:15 on October 27th of this year.

Esimees Lauri Hussar
18:42:06
AI Summary

Chairman Lauri Hussar announced that following brief deliberations, during which no requests to speak were submitted, the first reading of Bill 733 was concluded upon the proposal of the lead committee, and the deadline for submitting amendments was set for 5:15 PM on October 27th of this year.