Lithuania to Focus on Wind Power to Reach 23% Renewable Energy Target

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Researched by Industrial Info Resources (Sugar Land, Texas)--To achieve the target of having 23% of the country's energy coming from renewable sources by 2020, Lithuania is focusing on developing windfarms. The country, which is a relatively late entrant into the wind sector, has a total wind power generating capacity of 91 megawatts (MW). According to the European Wind Energy Association (Brussels, Belgium), by 2020 Lithuania's total wind power generating capacity is likely to reach 1,100 MW. To reach this target, new wind power generating capacity of 85 MW is expected to come online every year. By 2020, the contribution of wind power to the national energy mix is expected to increase from the current 2% to 13%.

Wind power is emerging as a popular choice of renewable energy in Lithuania. Experts have observed that the focus on wind power projects is being spurred by government-backed initiatives to develop alternative energy projects and a strategy to reduce reliance on Russian energy supplies. Today, Lithuania is a net importer of energy for heating and electricity. Until late last year, the country was not only self-sufficient, but also was exporting electricity to neighboring Baltic countries. However, on December 31, 2009, as part of the agreement to gain accession to the European Union (EU), Lithuania phased out the second reactor at the Ignalina nuclear power plant.

Built in 1983, the Ignalina nuclear power station consisted of two Russian-engineered Reactor Bolshoy Moshchnosty Kanalny units. The nuclear power plant was built with the same technology used in the failed Chernobyl nuclear power station. The first reactor was decommissioned in 2004. When operational, the nuclear power station accounted for nearly 70% of Lithuania's power generation. The shutdown has increased Lithuania's dependence on Russia for energy supplies. Lithuania is constructing the $9 billion Visiginas nuclear power station at the same site, with assistance from Latvia, Poland and Slovenia. The nuclear power plant, which will have a capacity of 3,000 MW to 3,200 MW, is expected to be commissioned from 2015 through 2018. Presently, Lithuania imports power generated from oil shales in Estonia, Belarus and Russia.

Sources have indicated that Lithuania's national electric grid has very little connectivity with other grids in central and northern Europe. The E.U.'s objective of functioning as an integrated internal market will not be possible unless Estonia, Lithuania and Latvia achieve full integration with grids in the region. The Lithuanian grid was part of the former Soviet Union and continues to depend considerably on Russian oil and gas imports. However, there has been some development on this front. Two interconnections linking the country with Poland and Sweden are being developed. These interconnections are expected to increase the supply of power, reduce dependency on Russia, and open markets for Lithuania's wind power.

The 340-kilometer SwedLit interconnection will link Klaipeda in Lithuania with either Hemsjo or Nybro in Sweden. The landing point in Sweden is expected to be finalized shortly. Feasibility studies have been completed jointly by Svenska Kraftnat (Sundbyberg, Sweden) and Leitvos Energija AB (Vilnius, Lithuania). The total investment is expected to be between 516 million euros ($673 million) to 738 million euros ($963 million). The project is expected to begin operations by 2016. The 154-kilometer LitPol interconnect will have a capacity of 1,000 MW. The 237 million euro ($309 million), 400-kilovolt double circuit, alternate current link is likely to begin commercial operations between 2012 and 2015.

In a related development, the governments of Estonia, Lithuania and Latvia signed agreements with the United Nations Development Program - Global Environmental Facility to identify hurdles in the full-scale commercial development of wind power plants. The program has identified the potential of these Baltic countries to be on par with top wind power generating nations such as Denmark and Germany.

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