Three members of the Lithuanian Wind Power Association – E energija, General Electric and Eesti Energia – have joined forces for the purpose of creating a wind park project in Telšiai. They are planning to build 13 of the tallest and most powerful wind turbines in Lithuania, where the tower together with the wing will reach a hight of 220 metres, with a power capacity of 5.3 MW.
According to the companies involved in the project, General Electric and E energija group will together control the 68.9 MW E energija Telšiai wind park project. The two companies will participate in creating the project’s financing structure, as well as supplying the most efficient Cypress wind turbines and providing maintenance of the wind park for 25 years. Eesti Energia (Enefit) has made a commitment to purchase the electricity generated by the park under the first 10-year PPA (Power Purchase Agreement) in the region. As a result, this wind park will produce the largest amount of electricity in Lithuania.
“The wind park project is already under construction in Telšiai District. It once again demonstrates the experience of the E energija group in successfully initiating and developing a complex renewable energy project, by working with leading global companies and financial institutions and by exploiting the local opportunities available in North-Eastern Europe. This project is an important step for the Baltic market, as it is the first major wind park project to be developed without a state subsidy. This was made possible by using the latest innovative technologies and by agreeing on a joint investment with the global energy market leader General Electric,” said Gediminas Uloza, General Manager of E energija Group.
According to Peter Wells, Executive Director of GE Renewable Energy Europe, the Telšiai wind park in Lithuania shows the Baltic States have the ambition to find innovative wind technology solutions and are contributing to the transition to sustainable and efficient renewable energy sources in the country’s overall energy system. The project demonstrates General Electric’s unique ability to work on creating a value chain of wind power projects throughout the world, by combining the latest technologies and financing opportunities.
The financing for the park will be provided jointly by GE Energy Financial Services and E energija Group, as well as with loans from GESF Credit and SEB Bank. This project financing structure was made possible via the region’s first long-term 10-year PPA contract, under which the electricity generated by the park will be purchased by the Estonian state-owned Eesti Energia, which operates on behalf of Enefit in the international market.
According to Hando Sutter, General Manager of the Enefit Group, this is the historic, largest wind park PPA transaction in the region, not only for the Enefit Group but for the entire Baltic Region.
Construction work on the wind park began in June this year, while the installation of the first turbines will begin in the spring of 2021. It is expected that the wind park will commence commercial operations at the end of 2021.
E energija, together with GE Energy Financial Services (a company owned by the General Electric) as a minority shareholder, owns the shares of GREEN CHARGE and controls the wind park project company L-VĖJAS. It is the first investment of this kind by a global energy giant to be implemented in Lithuania.
Ignitis grupė, a group of energy companies, has also announced that it will be constructing a new wind park. The new wind power plant project will be developed in Mažeikiai District, where it is planned that 15 wind power plants will be installed with a total capacity of about 63 MW. The completion of the project is scheduled for the end of 2022, with an investment of over EUR 80 million.
Currently, there are 23 wind parks operating in Lithuania, with a combined capacity of 480 MW. Together with the individual wind parks, power plants have been built that generate a total output of 533 MW. Last year, these plants produced more than 1.4 TWh of electricity.