The re-nationalization of VST is part of the dismantling process of LEO LT.

VILNIUS — Lithuania’s electricity distribution companies, RST and VST, will be merged after shareholders in the RST network approved the move yesterday.

The merger could save the country over 25 million litai annually (€7.25 million), the energy minister Arvydas Sekmokas said. He told Baltic Reports journalists earlier that the split of the energy distribution companies had contributed to many of the ills of the country’s system.

The merging of the companies marks the completion of one of the minister’s goals — that VST should be re-nationalized.

RST said an independent consultant would carry out the amalgamation of the two companies, which should be completed by July 1.

VST was previously part of the NDX Energija company, which was owned by VP Grupė until late in 2009, when the government regained control of LEO LT, the company set up to organize the country’s energy future. LEO LT was partly owned by NDX Energija.

The re-nationalization of VST is part of the dismantling process of LEO LT, which was ruled to be unconstitutionally founded last year.

The company was supposed to oversee the energy cable to Sweden and the country’s new nuclear power plant.

LEO LT owns 71.35 percent of RST and 98.2 percent of VST.