More than EUR 50 million will be saved once quotas are lifted for combined heat and power plants and Lithuania Power Plant in Elektrenai. Quotas will be abolished when interconnections LitPol Link and NordBalt become operational.
"Electricity generation quotas were needed until now, but they were a burden on consumers. When interconnections with Poland and Sweden are launched, we will be able to cancel quotas and save consumers' money. Thus, investment into interconnections, a portion of which was covered by consumers, is now beginning to bring them benefit," said Energy Minister Rokas Masiulis.
Lithuania cannot rely only on imported electricity, even though new electricity links will increase supply security. Therefore, a share of the saved funds will be allocated to energy company Lietuvos Energijos Gamyba, which manages Lithuania Power Plant, to cover expenditure based on the natural gas capacity model. The new model will replace the existing additional security component. Based on the new model, consumers will have to pay a fixed fee, depending on the capacity of the gas system installed.
It is estimated that expenditure of Lietuvos Energijos Gamyba based on the natural gas capacity model will be lower than what will be saved after cancelling electricity generation quotas. Moreover, the company's input in financing gas capacity model will facilitate the burden of other gas consumers and they should start paying less. Heat consumers in Vilnius and other cities should feel the benefit as heat providers' expenditure on gas should decrease.
The exact figures and amount to be saved will be announced after consultations with the National Commission for Energy Control and Prices (VKEKK), with which the Ministry of Energy is cooperating closely.
