08/21/2025 | Press release | Distributed by Public on 08/22/2025 01:14
Today, the government established a national designated spatial plan for a defence industrial park, through which defence industrial parks will be created in Ermistu, Pärnu County, as well as in Põhja-Kiviõli, Ida-Viru County. The state is investing over 50 million euros in the base infrastructure of the defence industrial parks.
"I am pleased that in just over a year we have managed to carry out the special planning procedure at an accelerated pace, including conducting the required research and the strategic environmental assessment. In addition, we have developed compensation measures to promote local life," commented Minister of Defence Hanno Pevkur on the government decision. According to the Minister of Defence, the design and construction activities can now begin.
"Various companies have expressed strong interest in the park, and hopefully we will be able to reach the first agreements in the near future. The negotiations held so far give reason to believe that the total investments by private companies could reach 300-400 million euros and that hundreds of jobs will be created," said Minister of Defence, Hanno Pevkur.
Indrek Sirp, Special Advisor for Defence Industry Development of the Ministry of Defence, added that the first production at the defence industrial park is expected to begin by the end of next year, and that all companies should reach full operational capacity by 2027. "Given the strong interest in the defence industrial park from various companies, we are ready to develop both the Ermistu and Põhja-Kiviõli areas," said Sirp.
To mitigate and compensate for the environmental impacts in Ermistu, a compensation plan was developed in cooperation with the Ministry of Climate and the Environmental Board. The plan will be implemented by the Ministry of Climate in cooperation with the Ministry of Defence.
Concerning the establishment of the Ermistu defence industrial park in Pärnu County, the Ministry of Defence has previously decided to support the proposals of the local government and organisations to improve the region's roads and the Tõstamaa public shelter with nearly three million euros.
Among the pre-selected areas, the ones in Piirsalu, Lääne County, and in Aidu, Ida-Viru County, were also deemed suitable. These will remain as reserve areas for now, and if there is a need to expand the defence industrial park areas, development can proceed there as well.