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WSHPDR_2013_Final_Report-updated_version

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4.2.7 Lithuania<br />

European Small Hydropower Association, Stream Map<br />

SHP installed<br />

capacity<br />

29 MW<br />

Key facts<br />

SHP potential<br />

40 MW<br />

Population 3,525,761<br />

Area 65,300 km 2<br />

Climate Transitional, between maritime and<br />

continental; wet, moderate winters and<br />

summers<br />

Topography Lowland, many scattered small lakes,<br />

fertile soil<br />

Rain<br />

pattern<br />

Electricity sector overview<br />

Lithuania’s electricity market changed markedly in 2010.<br />

As a condition of entry into the European Union,<br />

Lithuania agreed in 1999 to close existing units of the<br />

Ignalina Nuclear Power Plant due to its lack of<br />

containment building and the high risk it had. As a<br />

result, Lithuania lost its largest and cheapest producer<br />

of electricity, making the country an electricity importer<br />

(56 per cent), when it was previously an exporter.<br />

Hydropower produces about 10 per cent of electricity<br />

needs with thermal plants supplying almost 30 per cent<br />

(figure 1).<br />

Other<br />

Wind<br />

Hydropow er<br />

Thermal<br />

Import<br />

Mean annual precipitation varies from<br />

550 to 850 mm. The area with the most<br />

rainfall is located in the west. 2<br />

3.12%<br />

3.59%<br />

9.43%<br />

28.29%<br />

55.57%<br />

0% 10% 20% 30% 40% 50% 60%<br />

Figure 1 Electricity generation in Lithuania<br />

Source: Lithuanian Electricity Association 3<br />

The EU Third Package directives were implemented,<br />

promoting competition in the energy sector by<br />

separating production, transmission and distribution. A<br />

free electricity market was formed on 1 January 2010. 4<br />

Small hydropower sector overview and potential<br />

In 2010, Lithuania had 87 small hydropower plants and a<br />

total installed capacity of 29 MW (generating 93 GWh<br />

per year). By 2020, the aim is to have 110 plants with a<br />

total installed capacity of 40 MW (generating 120 GWh)<br />

(figure 2).<br />

0 10 20 30 40 50<br />

Figure 2 Small hydropower capacities in Lithuania<br />

Renewable energy policy<br />

After long debates for more than two years, a law on<br />

renewable energy has been introduced in Lithuania. For<br />

different power generation technologies, the 2020<br />

targets in terms of installed capacity are proposed. For<br />

the hydro sector, it is 141 MW (starting with 129 MW in<br />

2005). This contribution coincides with that given in the<br />

National Renewable Energy Action Plan (NREAP) but<br />

hydropower proponents wanted to see a bigger figure<br />

(up to 250 MW). However, environmental groups<br />

prevented this increase.<br />

Legislation on small hydropower<br />

Small hydro is regulated by the Ministry of Economy,<br />

Ministry of Environment and the Ministry of Agriculture.<br />

Despite the existence of a power granting scheme, there<br />

is, up till now, no specific hydropower legislation in<br />

Lithuania. There are introductions for simplifications of<br />

administrative procedures for renewable energy sources<br />

technologies up to 350 kW, however hydropower of any<br />

size is excluded from this simplification. An exception is<br />

made for hydro technology without dam.<br />

The support system is regulated by a recently<br />

promulgated law on renewable energy. A feed-in tariff<br />

(FIT) is guaranteed for 12 years commencing from 2011<br />

onwards (current FIT is 5.8 euro cents/kWh). For new<br />

plants, a quota obligation system with FIT is in force and<br />

auctions will be organized to ensure the least FIT value<br />

proposed by a proponent. Very small capacity plants<br />

(

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