CURRENT STATUS AND PROSPECTS OF RES USE FOR ENERGY PRODUCTION IN LITHUANIA

CURRENT STATUS AND PROSPECTS OF RES USE FOR ENERGY PRODUCTION IN LITHUANIA Vladislovas Katinas Renewable Energy Unit Lithuanian Energy Institute Current Status and Progress of RES Use Gross inland consumption of primary and RES in Lithuania

Current Status and Progress of RES Use Table 1. Gross inland consumption of primary and RES in Lithuania Year 2001 2002 2003 2004 2005 2006 Gross inland consumption, ktoe 8222.1 8783.2 9164.7 9284 8737.6 8600 RES, ktoe 682.4 701.8 706.9 738 758.7 790.8 Share of RES, per cent 8.3 8.0 7.7 7.9 8.7 9.1 Natural gas 26.1% 2001 Renewable 8.3% Natural gas 28.5% 2006 Renewable 9.1% Nuclear 33.2% Nuclear 26.2% Oil and oil products 31.3% Total: 8.22 Mtoe Coal and other solid fuel 1.1% Oil and oil products 31.3% Total: 8.60 Mtoe Coal and other solid fuel 4.9% Structure of gross inland consumption in Lithuania Sources of RE Used for Energy Production

Trends for RES Use in Lithuania Firewood and wood waste 92.1% Agriculture waste 0.2% Biogas 0.3% Small HPP 0.6% Large HPP 3.7% Wind 0.2% Bioethanol 0.9% Geothermal 0.2% Biodiesel 1.8% RES used for production breakdown by kinds in 2006 Current Status and Prospects of RES Use Renewable production breakdown by source and feasible production using total potential RES for future utilization in 2025

Current Status and Prospects of RES Use Table 1. Current status prospects of RES use and gross inland consumption of primary in Lithuania Sort of RE sources Gross consumption Thous. t of oil equivalent (ktoe) Prospects of utilization Thous.t. of oil equivalent 2001 2002 2003 2004 2005 2006 2010 2025 Firewood and wood waste 654.4 659.3 672.3 694.7 708.7 728.6 817 842.8 Agriculture waste (straw) 2.9 3.8 3.9 2.7 1.7 43 308.7 Bioethanol (used to mix with gasoline) - - - 0.1 0.8 7.4 20.5 71 Biodiesel (methyl-ester) - - - 0.7 2.8 14.0 35.2 122.4 Biogas 1.5 1.8 1.6 1.8 2.0 12 24.1 Landfill gas - - - - - - 8.6 Wind - - - 0.1 0.2 1.2 23.9 73.1 Geothermal - 9.5 3.0 2.9 2.9 1.7 9.5 68.8 Small HPP 3.5 3.1 3.5 5.3 5.9 4.8 11.5 43 Large HPP 24.5 27.3 24.5 30.9 32.9 29.4 28 86 Solar * 112 Municipal waste - - - - - - 68.8 Total RES 682.4 703.6 708.9 740.2 758.7 790.8 1000.6 1829.2 Gross inland consumption of primary 8222.1 8783.2 9164.7 9284.0 8737.6 8600 9200 9400 * There are only pilot equipments HPP is Hydro Power Plant Renewable Energy Policy in Lithuania Role of Governmental institution Parliament - National Energy Strategy; - Law on. Government - National Energy Efficiency Programme 2006-2010; - Programme on promotion of Biofuel Production and Use in 2004-2010; - Procedure for Promotion of Generation and Purchase of RES Electricity Coordination 1. Ministry of Economy. 2. Ministry of Environment. 3. Ministry of Agriculture. 4. Municipalities.

Energy Legislation Structure for RES National Energy Strategy. Lithuanian Seimas. No X-1046 of 18 January 2007 Targets: - RES must be 20% in the primary balance by 2025; - Efforts will be made to increase the share of RES in primary balance by 1.5% each year until 2012; - To increase the share of biofuels (for transport) up to 20% by 2025. Legislations base: - Law on Energy; - Law on Electricity; - Law on Biofuel, Biofuels for Transport and Bio-oils; - Law on Heat and - Others. Governmental acts: - National Energy Efficiency Programme 2006-2010. Governmental resolution No.443 of 11 May 2006. - Programme for the Promotion of the Production and Use Biofuels in 2004-2010. Governmental resolution No.1056 of 26 August 2004. - Promotional rules for generate and purchase of the electricity produced by RES and waste sources of. Governmental resolution No.1474 of 13 January 2004. Targets for RES Use by 2025 0,25 0,2 20 20% 20% Per cent 0,15 0,1 10 0,05 9.2% 12% 3.6% 7% 10% 1.6% 5.75% 0 2006 2010 2025 2006 2010 2025 2006 2010 2025 RES gross inland consumption RES electricity production Biofuel gross consumption

Promotion of Renewable Energy Electricity - State target plus Purchasing quotas; - Feed in tariffs: Wind 6.37 cteuro/kwh. Small hydro (N<10MW) 5.79 cteuro/kwh. Bio 5.79 cteuro/kwh. Without quota for wind turbine capacity less as 250 kw. Solar/other to be set by public utilities commission individually. 40% discount for wind turbines connection to the grid. Since 2021 Green certificates system is planned. Biofuels for transport: - tax exemptions and deductions; - blending requirements. There are: - grants and loans; - tax exemptions and deductions. Status of Implementation of the RES Technologies Implementation of the RES technologies for production. There are installed such capacities for Solid biomass fuel: Heat production Electricity production 440 MW; 16 MW Hydro : Small HPP (N<10 MW) Kauno HPP 27 MW; 105 MW Wind : Total end 2005 was 6.4 MW Installation in 2006 reached 47.9 MW Total end 2006 was 54.3 MW

Conclusions Primary resources of Lithuania consist mainly of imported organic and nuclear fuel. For this reason Lithuania faces the problem of the power utilization structure change with the main emphasis on local and RE sources. In Lithuania the main installations for heat production from RES are based on biomass (wood, chips, wood waste, straw, biogas). At present the total capacity of installed woodchip-fuelled boilers reached above 440 MW and installation of wind turbines reached 54.3 MW. No serious obstacles can be seen for the extension of wood fuel use. Until now, hydro was the main source. In the future the use of wind and biomass in CHP for power production will increase. The minimum share of biofuels has to be 5.75 and 20% from total consumption of transport fuels in the 2010 and 2025 years correspondingly. In Lithuania the biofuels are blended with oil products. Other RE sources as well as biogas, geothermal, solar and other ones are used only in pilot plants.