Latvia recorded 54 MW of put in photo voltaic capability on the finish of final 12 months, based on Worldwide Renewable Vitality Company (IRENA) statistics. That is “depressing” in comparison with the nation’s Baltic siblings, one power knowledgeable tells pv journal. But when Latvia lands the proper utility-scale alternatives, photo voltaic may very well be one in every of its renewable power stars.
Reinis Aboltins informed pv journal that Latvia is lagging behind its Baltic neighbors on virtually all renewable power fronts, particularly photo voltaic, and described the scenario as “depressing”. In response to IRENA, Latvia solely recorded 54 MW of put in PV capability on the finish of 2023, which is a sliver of Estonia’s photo voltaic positive aspects (535 MW) and Lithuania’s (568 MW).
However Aboltins, a seasoned power knowledgeable residing within the nation’s capital, Riga, stated that photo voltaic – alongside wind – may very well be a “king” of the nation’s power market. In response to a European Parliament briefing doc of Latvia, there may be “untapped” potential for photo voltaic to energy “large-capacity” electrical energy technology within the Member State.
Aboltins stated growing investor confidence, which is already taking place, is the important thing to attaining this success.
“Probably the most most vital factor is LCOE (levelized value of electrical energy) and for photo voltaic PV and for onshore wind it has dropped so low that they’ve been completely aggressive as compared with such standard applied sciences as pure gasoline,” he stated. Aboltins estimated the nation’s PV LCOE is €35/MWh ($38.06/MWh).
He stated the renewable power make-up of the nation – which derives one-third of its power from renewables – “may very well be higher”. In 2021 Latvia’s largest electrical energy producers had been gasoline mixed warmth and energy vegetation in Riga adopted by the hydropower vegetation on the Daugava River, based on a analysis paper. The authors of the paper later described the deployment of wind and photo voltaic initiatives as “very low” up till 2022.
Latvia has fallen behind within the photo voltaic renewable race on account of historic and “controversial” incentives and help schemes, Aboltins stated. These have left an enduring impression on the sector. “There are actual folks, actual names and actual firms, actual authorized entities behind these processes, and likewise actual legislators and decision-makers and politicians, whose names have been related to these vested pursuits,” Aboltins stated.
He stated this is not helped as there are presently no help schemes for renewable power initiatives within the nation.
However the former power marketing consultant believes that Latvian buyers and companies just lately have turned their consideration to photo voltaic power “on a mass scale, industrial scale” because of the nation’s urge for food for cheaper power costs. These alternatives are amplified by the Latvian authorities’s renewable power targets, set out in “Latvia’s Nationwide Vitality and Local weather Plan 2021-2030”. A few of these objectives embrace slashing greenhouse gasoline emissions by 65% by 2030 and sourcing half of its power from renewables by the top of the last decade.
In Might, Latvian renewable power developer PurpleGreen Vitality P introduced its plans to construct a 400 MW solar energy plant in Balvi, within the northern Latgale area close to the Russian border. The information follows Danish power firm European Vitality asserting it was presently growing a 155 MW solar energy plant in Brocēni, situated within the Saldus area within the nation’s west.
Thorvald Spanggaard, Government Vice President of European Vitality, stated the scarcity of native power manufacturing – particularly renewable power – signifies that the Latvian power market holds among the highest costs within the area. Spanggaard stated that European Vitality is presently contemplating energy buy agreements for the 155 MW solar energy plant, however on the whole, Latvia wanted “extra expertise” structuring PPAs and energy buying and selling danger hedging as it’s presently not “that superior.”
“Latvian energy market laws are present process some restructuring contemplating the anticipated energy system synchronization with continental Europe,” he stated. “Additionally, regulatory restructuring is required on account of unexpectedly excessive demand for brand spanking new renewable power technology initiatives grid connection.”
Aboltins stated there are some main photo voltaic PV initiatives within the pipeline for Latvia, and if all goes based on plan, the nation ought to have over 200 MW put in capability by 2025. However this hinges on whether or not the initiatives are finalized. “We’ll see what number of of these initiatives get linked to the grid, however I consider there’s going to be fairly vital curiosity and rising curiosity within the coming years,” he stated.
“There’s going to be this shiny future forward of us. It is a pity that it isn’t right here already, however fairly clearly, the Baltic States may very well be web constructive slightly than damaging.”
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