Estonia Floats Idea of Taxing Ships in Baltic to Pay for Cable Patrols

Sailors on board an Estonian naval ship—part of stepped-up NATO patrols to combat sabotage of undersea cables—in the Baltic Sea on Jan. 9, 2025. AP Photo/Hendrik Osula

Estonian Defense Minister Hanno Pevkur has suggested levying a fee on ships using the Baltic Sea to cover the cost of patrolling the area and protecting undersea cables, after a series of incidents of suspected sabotage.

Pevkur compared the charge to an airport landing fee and said it would be “basically an insurance fee to damaging the cables.”

At least one ship has damaged power and communications cables in the Baltic with its anchors, in acts of suspected sabotage.

On Jan. 14, NATO Secretary-General Mark Rutte said eight members of the alliance would be launching a patrol mission called “Baltic Sentry.”

“It will involve a range of assets, including frigates and maritime patrol aircraft, among others, and will enhance our vigilance in the Baltic,” he said.

Rutte said a small fleet of naval drones would also be deployed “to provide enhanced surveillance and deterrence.”

NATO has given no indication of the financial cost of the extra patrolling.

But Pevkur told Reuters, “Let’s say that when you go to the airport you have the landing fee, you have the airport fee and this is paid in the ticket.”

‘Basically an Insurance Fee’

“So in one moment maybe we will see that when you are passing through the Danish straits there will be a cost for the companies to pay this because this is basically an insurance fee to damaging the cables,” Pevkur said.

He did not explain how the fee would be enforced. Vessels traveling to and from Russia use international shipping lanes, and the 1857 Copenhagen Treaty—which remains in force—states that no ship is to be stopped while traveling through the straits between Denmark and Sweden.

On Jan. 26, the Swedish authorities seized a ship, the Vezhen, which is suspected of causing damage to a cable running between Latvia and Sweden.

According to Marine Traffic, the Vezhen, a bulk carrier built in 2022 and currently sailing under the flag of Malta, was escorted by a coast guard vessel on Jan. 26 to Swedish waters, where it later anchored.

The incident came a month after a Russian-owned ship, the Eagle S, flying the flag of the Cook Islands, was stopped by the Finnish Border Guard after it was suspected of cutting an undersea cable, Estlink-2, which supplies power to Estonia.

The following day, the Estonian navy was drafted to protect the Estlink-1 cable, and the European Union’s foreign policy chief, Kaja Kallas, said the Eagle S incident was “the latest in a series of suspected attacks on critical infrastructure.”

Germany, the UK, and 10 other European countries agreed in December 2024 on measures to “disrupt and deter” Russia’s shadow fleet.

Pevkur said investigations into the incidents are ongoing, but he pointed the finger at Russia’s shadow fleet.

“When we see that all those ships are part of the shadow fleet of Russia although having different flags on their tail ... then of course you know we have to connect the dots,” he said.

Pevkur said the Baltic nations in NATO were examining the possibility of installing sensors to detect anchors being dragged across the sea floor, and constructing some form of protection for the cables.

But he said this will come at a cost, and consumers may have to foot the bill, even if a Baltic shipping tax was levied.

Russia Denies Involvement

On Jan. 16, Russian Foreign Ministry spokeswoman Maria Zakharova denied NATO claims of Moscow-backed sabotage.

“The real purpose of all this is to limit Russian oil exports by any means necessary ... and to create the preconditions for the introduction of arbitrary restrictions on international shipping in the Baltic Sea,” she said.

Estonia is one of three Baltic republics that were part of the Soviet Union until its collapse in 1991.

On Jan. 27, Estonian Prime Minister Kristen Michal said his country would match neighboring Lithuania’s pledge to meet U.S. President Donald Trump’s request for NATO countries to devote 5 percent of GDP to defense spending.

Michal told the Financial Times: “Our key security partner, under its new president, has sent a clear message: NATO defense spending must increase. We know our opponent, and I fully agree. Our goal should be 5 percent.”

Estonian Defense Minister Hanno Pevkur arrives at the Northern Group ministers of defense meeting in Palanga, Lithuania, on May 23, 2024. Ints Kalnins/Reuters

He said he accepts that there would have to be “public sector cuts” to fund the extra defense spending, but he did not go into detail.

On Jan. 22, Kallas said, “Russia poses an existential threat to our security today, tomorrow, and for as long as we underinvest in our defense.”

Kallas, a former prime minister of Estonia, added: “People say I’m a ‘Russia hawk.’ I think I’m simply realistic about Russia.”

Reuters contributed to this report.