Lithuania will drop the price Russia pays for transiting gas to the Kaliningrad enclave, the Baltic state's energy regulator announced on November 25.

The move comes as Vilnius is locked in talks with state-controlled Gazprom over a new gas supply deal. Reports suggest the negotiations are slow going, with both sides feeling they have leverage. Since Lithuania wrestled control of it's pipelines away from the Russian gas giant in 2013, it has sought to use their vital role in keeping Kaliningrad supplied to put pressure on Moscow.

EU regulators recently told the National Commission for Energy Control and Prices that it has been charging Gazprom too much, reports Leta. That was reflected in new tariffs presented by the Lithuanian regulator for the transmission services of state company Amber Grid.

Gazprom is charged as its gas enters and exits Lithuania. Starting in January, it will pay €32.32 per MWh per day on entry - a fall of nearly 35%. The exit price will rise 8.9% to €41.2. The small transmission fee it also pays remains unchanged at €0.07. 

 The charges at the exit point to Latvia saw similar changes, except the exit price will be dropped 23.3% to €38.05. Gas transit via Lithuania to Kaliningrad fell 1.8% y/y in the first six months of 2015 to 11mn MWh.

Amber Grid and Gazprom have already completed talks over gas transit to the Russian exclave from 2016, unnamed sources told BNS. The agreement is expected to be signed by respective government institutions in mid-December, the news wire claims.