Energy Minister Zygimantas Vaiciunas has hailed the first green energy action a “breakthough” for Lithuania as the winner asked no government support.
“It is a breakthrough for Lithuania’s renewable energy, since it is the first time that investments are made into wind farms without state support,” the minister said in a press release.
“Lithuania has evidently managed to create a particularly attractive environment for energy-related investments,” he said. “It means lower dependency on electricity import, more jobs, and higher income for the state”.
The National Energy Regulatory Council (VERT) announced Windfarm Akmene One as the winner of the country’s first technology-neutral auction on January 16.
The foreign-owned company plans to build an 18-turbine wind farm with a total capacity of 90-101 megawatts (MW) in the northern district of Akmene.
The winner will be allocated the entire annual production quota of 0.3 terawatt-hours (TWh) that has been auctioned, but will receive no premium on top of the market price, which means that it will develop its project without state support.
The Energy Ministry expects that it will not be the only new power farm developed without state support.
“Currently, the overall capacity of authorizations to develop electricity production using Renewable Energy Systems (RES) issued to investors reaches 290 MW,” it said in the press release. “These new RES power plants that could start operating in 2023 would generate over 1 TWh of electricity, which would satisfy up to one-tenth of electricity demand in Lithuania.” (LRT/Business World Magazine)