
Lithuania
Country Profile
(.pdf file - 506 kB)
1. Overview
2. Policy and Incentives
3. Wind
4. Biomass
5. Solar
6. Geothermal
7. Hydroelectric
8. Links
9. References
10. Country Contacts
Disclaimer: This information has been prepared for the European Bank for Reconstruction and Development (EBRD) by Black & Veatch (B&V) and is based on information not within the control of EBRD or B&V. References for information contained in this report are listed at the end of this document; readers should consult these references for original source material. Neither EBRD nor B&V has made an analysis, verified, or rendered an independent judgment of the validity of the information provided by others. EBRD and B&V do not guarantee the accuracy thereof. Use of this information contained shall constitute a waiver and release of B&V and the European Bank for Reconstruction and Development from and against all claims and liability, including but not limited to liability for special, incidental, indirect or consequential damages, in connection with such use.
1. Overview of Electricity Supply
Electricity generation is predominantly nuclear in Lithuania, with the balance made up from thermal, natural gas and fuel oil, CHP plants used for district heating. As Lithuania is predominantly flat-lands there are not considerable hydroelectric resources, however, this resource is utilized to about half of its potential of 1,600 MWe.
Lithuania has the highest dependence on nuclear power in its electricity supply of any country in the world, supplied by a single nuclear plant, Ignalina. However, the first of two reactors should be decommissioned in 2005 and the second in 2009. The decommissioning of the nuclear power plant Lithuania will present an opportunity for renewable energy use. One of the strategic objectives in the Energy Strategy, 2002 is to strive for a share of renewable energy resources of up to 12 percent in the total primary energy balance by 2010.
There are also plans in place to expand hydroelectric generation and traditional thermal generation. The transmission grid in Lithuania has deteriorated considerably since the fall of the Former Soviet Union, with estimated repairs in the range of $330 million. However, there are plans to begin the process of modernization and expansion of the existing grid.
Privatization of the Lithuanian Energy Company has proceeded gradually in a stepped manner over the course of the 1990’s. In August of 1999 guidelines for restructuring the Lithuanian energy company were accepted by the government by which 51 percent of the company’s generating capacity and distribution would be sold. Bids were accepted in September of 2000, however, it is still unclear when the system will be fully privatized. In January of 2001 the Lithuanian Parliament passed a law on restructuring with a new plan to split the Lithuanian Energy Company into 5 separate companies. Under this plan the generation, transmission, and distribution assets will be separate entities. The first step was to set up the company as a corporation and set it operating on a commercial basis. Secondly, the CHP operations were separated from the company whereby several municipalities were formed. The nuclear assets were then separated from the non-nuclear assets. The next step will be a move towards competition with several small players in the market.
Lithuania Country Summary Table
|
Demographical Information |
|
|
Population, millions (2003) |
3.5 |
|
Land area, thousand Ha (2002) |
6,530 |
|
Macroeconomic Information (2003) |
|
|
GDP, billion US$ |
18.4 |
|
Real GDP growth rate, percent |
9.69 |
|
Foreign direct investment (net), million US$ |
142 |
|
Electricity sector |
|
|
Electricity tariff, US¢/kWh (2002) |
7.9 |
|
Collection rate, percent (2002) |
90 |
|
Load utilization factor, percent (2000) |
NA |
|
Renewable Target (2010) |
12% |
|
Electricity disposition, billion kWh (2003) |
|
|
Generation |
18.64 |
|
Consumption |
9.11 |
|
Exports |
12.37 |
|
Imports |
4.14 |
|
Generation capacity, million kWh (2003) |
|
|
Nuclear |
3.0 |
|
Thermal |
2.7 |
|
Hydro |
0.1 |
|
Other renewables |
0.0 |
|
|
5.8 |
|
Sources: European Bank for Reconstruction and Development, U.S. Energy Information Administration, Food and Agriculture Organization of the United Nations. |


Electricity Grid of Lithuania

Lithuanian Renewable Energy Sources
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The 2002 Law on Energy stipulates also that the efficient use of renewable energy resources is to be promoted by the state and under the jurisdiction of the Ministry of Economy.
The State is to promote the use of renewable energy resources through the provision of soft loans, subsidies and preferential taxes, etc. The National Control Commission for Prices and Energy establishes the purchasing prices of electricity generated from different renewable energy sources. Currently, the highest guaranteed tariff has been established for wind energy. The primary parties to benefit from these guaranteed tariffs are generators which use renewable energy resources for electricity production. These generators should have access to the electricity network and must be paid according to the guaranteed (supported) tariffs, to ensure long-term security.
The Ministry of Economy will determine the order and conditions of connection to the electricity network.
One of the aims of the 2002 National Energy Strategy is to increase utilization of domestic energy resources and the use renewable energy sources by following EU guidelines to reduce the volume of fuel import as well as to create new jobs and to improve environmental standards. Specific measures to achieve this goal include:
- drawing up and updating programs for the consumption of indigenous energy resources
- encouragement of the extensive use of indigenous energy sources by organizational, economic and financial measures, support to enterprises and increased production and installation of equipment intended for the processing and use of the above-mentioned resources
- implementation of projects for the use of wind, water and solar energy as well as for the consumption of other renewable and waste energy resources. The state will back the implementation of these projects and provide conditions for EU structural and other support funds to be used for achieving the above goals
- provision of conditions for developing the production of biofuels. The existing legislation promoting production and use of the biofuels will be amended and revised on a regular basis
- efforts directed to increasing share of renewables in the primary energy balance by 2010 to 12 percent and ensuring that the share is close to meeting the requirements of EU directives
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3. Wind
Lithuania has good wind resource in some areas of the country, primarily the western coastal region. Wind speeds are 5 –5.5 m/s at 10 m height in the coast zone. In the middle of Lithuania, wind speeds are 3.5 or 4 m/s. The Baltic Sea impact dictates the difference in wind regimes on the coastal line and in the inland regions. Wind resources suitable for power utilization are available more than on 10% of the territory in the western region of the country.
There is also potential for offshore wind power development in the region, however there are no current plans for offshore wind power in Lithuania.
The most promising sites are Palanga, Klaipeda, Kurshskay Spit and the western region of inland territory.
There is currently 56 MW of wind capacity installed in Lithuania. By 2010, 170 MW of wind turbines will be installed in Lithuania. These wind parks will save 3500 tons of heavy fuel oil per year and, consequently, 11000 tons of CO2, 140 tons of SO2, 12 tons of NOx , 3 tons of solid particles would be avoided. Import cost saving is estimated to be 0.32 million USD.

Wind Resources in Lithuania
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In Lithuania a significant efforts have been aimed at developing biomass (wood, chips, wood waste, straw, biogas). The total capacity of installed wood-chip-fuelled boilers in Lithuania has reached over 250 MW. No major obstacles can be seen for the extension of wood fuel usage.
Forests cover 1,978 thousand hectares or 30.3 percent of total land area of Lithuania. The gross annual increment constitutes approximately 11.6 million m3 of wood. Recently the logging volumes in the country’s forests have settled and correspond to 5 million m3 a year including 700 ths. m3 of firewood. The worthless firewood, waste wood of woodworking industry and felling residues can be used as a fuel.
Wood fuel was used in Lithuania for space heating of individual houses burning it in stoves with small efficiency. It continued till the middle of 1990s. In 1994 waste wood and specially prepared wood chips were started to burn in the district heating boilers with higher capacity (> 1 MW). Every year new combustion wood boilers or re-powered existing boilers are commissioned.
The use of straw fuel in Lithuania began in 1996. The total installed capacity of straw-fired boilers makes up about 5 MW. Approximately 7,500 t of straw is burned annually in these boilers, equivalent to 2.5 ktoe of primary energy.
The yield of straw constitutes about 3.5-4.0 million t every year. Not all straw is collected. A part of it is used as a fodder or bedding matter, part is used in gardening and part is left in the fields or lost. It can be assumed that about 10-12 percent of total amount of straw or 400 thousand tonnes could be used as a fuel. Such amount of straw corresponds to 134 ktoe.
Biogas is produced in two wastewater treatment plants, Kaunas and Utena cities, in a distillery “Serna” in Panevezys city, and in a demonstration biogas plant of the agricultural company “Vicia” in the Kaunas region. The total volume of biodigesters is equal to 26,000 m3. The amount of biogas produced and utilized for power production makes up 4 million m3 per year and is equivalent to 2.4 ktoe of primary energy.
It has been estimated that the technical potential of biogas production is equal to 530 million m3 per year. It corresponds to 290 thousand toe of energy. The largest part of biogas resources consists of manure of domestic animals and poultry (94.3 percent). Wastewater of the largest cities of the country is at the second place (4.2 percent), while the organic wastes of food processing industry occupy the third one (1.5 percent).
Lithuania Biomass Resource Data
|
|
|
|
|
Percent of total land area covered by |
|
|
|
Forests |
11% |
|
|
Shrublands, savanna, and grasslands |
0% |
|
|
Cropland and crop/natural vegetation mosaic |
87% |
|
|
Urban and built-up areas |
0% |
|
|
Sparse or barren vegetation; snow and ice |
0% |
|
|
Wetlands and water bodies |
2% |
|
|
Primary crop production, tonne |
(avg. 1999-2001, tonne) |
(tonne /1000 Ha) |
|
Total primary crops (rank among COO) |
20,525,473 (12) |
3,168 (5) |
|
Top 10 primary crops |
|
|
|
Mixed Grasses, Legumes |
12,683,333 |
1,957 |
|
Potatoes |
1,599,867 |
247 |
|
Vegetables and Roots, Fodder |
1,457,567 |
225 |
|
Wheat |
969,500 |
150 |
|
Barley |
883,733 |
136 |
|
Sugar Beets |
880,267 |
136 |
|
Grasses (misc), Forage & Silage |
685,000 |
106 |
|
Rye |
277,433 |
43 |
|
Maize for Forage & Silage |
205,667 |
32 |
|
Cabbages |
122,600 |
19 |
|
Animal units, number |
(number) |
(number / 1000 Ha) |
|
Cattle |
910,300 |
140 |
|
Poultry |
6,560,000 |
1,012 |
|
Pigs |
1,047,550 |
162 |
|
Equivalent animal units |
1,394,920 |
215 |
|
Annual roundwood production |
(1996-98, 000 m3) |
(m3 / Ha) |
|
Total |
5189 |
800.8 |
|
Fuel |
1183 |
182.6 |
|
Industrial |
4006 |
618.2 |
|
Wood-based panels |
245 |
37.8 |
|
|
(1996-98, 000 metric tons) |
(metric tons / Ha) |
|
Paper and paperboard |
42 |
6.5 |
|
Recovered paper |
33 |
5.1 |

General view of RE project distribution by counties and fuel type

Biomass plants - (67 projects, 251MW)
. Solar
Lithuania is situated between latitudes 54° and 56° North. Annual average radiation is approximately 1000 kWh/m2. The country's territory covers an area of 65200 km2. The area receives approximately 65400 TWh of solar energy annually.
The use of solar energy is poorly developed in Lithuania. There are no incentives or projects in the field. Recently solar energy has been utilized for hot water supply, space heating of premises and drying of agricultural production. Small amounts of solar cells and autonomous electricity sources are produced as well. Preliminary estimations show that passive solar system could save about 15-20 percent of energy demand for space heating of buildings.
On the whole the climatic conditions are not favorable for using solar energy, and therefore the solar energy resource potential is small. It is characterized by the data presented in tables below for two points – Kaunas and Shilute. The first one is located in a central part of the country, and the second is located in the western part near Baltic coast.
Monthly and annual total solar radiation incident on horizontal surface, MJ/m2
|
|
|
|
|
Jan |
62 |
51 |
|
Feb |
122 |
107 |
|
Mar |
283 |
261 |
|
Apr |
401 |
363 |
|
May |
568 |
543 |
|
Jun |
626 |
617 |
|
Jul |
579 |