Energy, Energy Market, Estonia, EU – Baltic States, Funds, Latvia, Lithuania
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Friday, 19.04.2024, 10:32
Baltics to officially request 430 mln euros in EU funding for power grid synchronization
The project's total value stands at 1.5 bln euros. The Baltic states will
ask 432.5 mln euros for the first stage and hope the EU will finance 75% of the
total project.
Lithuania's Litgrid, Latvia's AST and Estonia's Elering have to submit the joint application for 432 mln euros in
funding under the Connecting Europe Facility (CEF) for the first stage of the
project by October 11, 2018.
According to Lithuanian Energy Minister Zygimantas Vaiciunas, this
is the first application for the project's funding. The first stage will
involve bolstering internal networks, and the second stage will involve the
submarine cable, and then other technical solutions will follow.
The total synchronization project might cost up to 1.5 bln euros,
Vaiciunas said. He also did not discount the possibility that part of the
needed funding might remain for the EU's 2020-2027 budget.
On September 6, 2018, the Lithuania, Latvian and Estonian regulatory
authorities agreed that the total investment into the project's first stage
will stand at 432.55 mln euros, including 167.045 mln euros for Lithuania,
around 77 mln euros for Latvia and around 187 mln euros for Estonia. Litgrid, AST and Elering will
cover the investment upon receipt of EU support.
Based on the agreed scenario, the existing interconnection between
Lithuania and Poland, a new submarine cable, and synchronous compensations
installed at hydropower plants in the Baltic states will be used for the
synchronization of the Baltic power grids with continental Europe.
The Baltic states, Poland and the European Commission signed the
political agreement on the synchronization project in late June, and the
project is scheduled to be finished by 2025.
The Baltic grids are still part of the post-Soviet BRELL ring, which also
includes Russia and Belarus, and remain dependent on the control center in
Moscow and the Russian electricity system.