Baltic, Business, Energy, Energy Market, Good for Business, Lithuania

The construction of the plant was partially financed by the European Union, which means that it will be supervised by the National Commission for Energy Control and Prices (VKEKK) which will guarantee the lowest possible heat price.

The new boiler house of company Pramones Energija, part of E Energija group, was erected in the industrial zone on the outskirts of Vilnius. It consists of two boiler plants, 8 megawatt (MW) capacity each, and a heat exchanger (economiser) boosting the aggregate capacity by additional 3.2 MW to the total of 19.2 MW. In the winter the facility will produce approximately 5 percent of heat energy needed for the city. It will provide heat to Naujininkai and Kirtimai districts. The total investment in the project stands at EUR 7 million, of which EUR 1.7 million was allocated from the European Union Structural and Cohesion Funds.

Gediminas Uloza, Director of Pramones Energija, said the price of heat generated by the facility will be established by VKEKK. Therefore, it is hoped the facility's launch will mark a turning point in heat prices as it happened in Kaunas last year. If the situation in the market remains similar to the previous heating season, then Vilnius' residents should save around EUR 800,000.