Energy, EU – Baltic States, Investments, Lithuania

"We think that the heating sector is a good market and we want to participate in it. We intend to look at what happens in the next two years before making decisions on further investments," Manfred Schuele said in an interview to the business daily Verslo Zinios published on Tuesday.

"We are doing quite well and we are confident that things will improve. But at the moment, we see no reason to invest further until uncertainties are resolved," he added.

According to the managing director, the regulatory environment in Lithuania is not well-balanced for all market players.

Danpower last April asked the European Commission to look at whether Lietuvos Energija's Kaunas combined heat and power plant project was justified. Independent heat producers and the state energy group have been in dispute for some time now amid fears that new production capacities will force existing producers out of the market. Danpower has also taken the Finance Ministry, Lietuvos Energija's sole shareholder, to court over the group's Vilnius CHP plant project.