current status of energy policy on development of didtributed generation in lithuania

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CURRENT STATUS OF ENERGY POLICY ON DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA LITHUANIAN NATIONAL SEMINAR Role of DER in the EU and current status Role of DER in the EU and current status in the Baltic States in the Baltic States VACLOVAS MISKINIS VACLOVAS MISKINIS VILNIUS, MARCH 6, 2007

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LITHUANIAN NATIONAL SEMINAR Role of DER in the EU and current status in the Baltic States. CURRENT STATUS OF ENERGY POLICY ON DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA. VACLOVAS MISKINIS VILNIUS, MARCH 6, 200 7. Presentation plan. Introduction; - PowerPoint PPT Presentation

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Page 1: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

CURRENT STATUS OF ENERGY POLICY ON DEVELOPMENT OF DIDTRIBUTED

GENERATION IN LITHUANIA

LITHUANIAN NATIONAL SEMINAR Role of DER in the EU and current status in the Baltic Role of DER in the EU and current status in the Baltic

StatesStates

VACLOVAS MISKINISVACLOVAS MISKINIS

VILNIUS, MARCH 6, 2007

Page 2: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Presentation plan

Introduction;

Policy documents and promotion of RES;

Actual development of electricity generation;

Possibilities to comply with country’s obligations;

Policy documents and promotion of distributed generation

Current status of DG in Lithuania and expected changes.

Page 3: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Energy Policy documents (1)

Law on Energy:

One of the principal objectives of the state regulation in the energy sector is promotion of indigenous and renewable energy resources

Law on electricity, Article 9:

The state will encourage the producers to generate electricity from renewable energy sources by imposing the public service obligation.

Page 4: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Energy Policy documents (2)

National Energy Strategy (approved by Seimas 10 October 2002):

The State will support the implementation of projects for the use of wind, water, solar and other renewable energy resources and provide conditions for the EU structural and other support funds to be used for achieving these goals.

Page 5: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Energy Policy documents (3)

National Energy Strategy (approved by Seimas 18 January 2007):

Strategic objectives of the NES

To increase rapidly contribution of renewable and indigenous energy resources;

To increase the share of renewable energy resources in the national balance of primary energy at least up to 20% by 2025;

Page 6: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Energy Policy documents (4)

National Energy Strategy (approved by Seimas 18 January 2007):

Development of the power sector

Lithuania will implement its commitments to the EU on the use of renewable energy resources for electricity generation… the share of renewable energy resources in the gross electricity generation balance will account for over 7% in 2010, and in 2025 their input should increase to 10%.

Page 7: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Energy Policy documents (5)

National Energy Strategy (approved by Seimas 18 January 2007):

Development of indigenous and renewable energy

To implement the programme for the construction of wind power plants with the total capacity of 200 MW and to draft a new long-term programme for usage of wind energy in Lithuania.

Page 8: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Procedure for promotion of electricity from RES

2006 2007 2008 2009

Wind power plants, GWh 112 140 196 278

Hydro power plants, GWh 115 126 132 134

Biomass power plants, GWh 21 60 120 180

Waste energy power plants, GWh 1.2 2 2.8 3.6

Solar and geothermal PP, GWh 0.2 1.2 3 6

Total electricity from RES and waste energy

579 659 784 932

Page 9: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

National policy instruments for support of RES-ENational policy instruments for support of RES-E

From 2002 feed-in tariffs have been applied for the purchasing of RES-E;

Wind, biomass, solar and hydro power plants are supported:

Feed-in tafiff, EUR ct/kWh Hydro power plants (<10 MW) 5,79 Wind power plants 6,37 Biomass power plants 5,79

These tariffs will be maintained until 31 December 2020;

40% discount for the connection to the network of RES-E generators;

Exemption from the pollution charge for bio-fuel PP.

Page 10: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Presentation plan

Introduction;

Policy documents and promotion of RES;

Actual development of electricity generation;

Possibilities to comply with country’s obligations;

Policy documents and promotion of distributed generation

Current status of DG in Lithuania and expected changes.

Page 11: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Changes of electricity production in Lithuania (1)

0

5

10

15

20

25

30

1983 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005

TWh

Industrial PP Hydro PP CHP Lithuanian TPP Ignalina NPP Kruonis HPSPP

Page 12: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Changes of electricity production in Lithuania (2)

0

2

4

6

8

10

12

14

16

18

20

2000 2001 2002 2003 2004 2005 2006

TW

h

Wind power plants

Hydro power plants

Other CHP

Kaunas CHP

Vilnius CHP

Lithuanian TPP

Ignalina NPP

Page 13: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Electricity production and consumption

0

2

4

6

8

10

12

14

16

18

20

2000 2001 2002 2003 2004 2005 2006

TW

h

Hydro PP

Other thermal PP

Lithuanian TPP

Ignalina NPP

Gross consumption

Page 14: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Production of green electricity

0

100

200

300

400

500

600

700

2000 2001 2002 2003 2004 2005 2006 2007

GW

h

Biomass PP

Wind PP

Small HPP

Kaunas HPP

Page 15: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Contribution of green electricity

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5

5.0

2000 2001 2002 2003 2004 2005 2006 2007

Index of production (2000=100) Share of RES-E in gross electricity consumption

3.4%3.0% 3.2%

2.8%

3.6%3.9%

3.6%

4.8%

1.31.7

Page 16: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Presentation plan

Introduction;

Policy documents and promotion of RES;

Actual development of electricity generation;

Possibilities to comply with country’s obligations;

Policy documents and promotion of distributed generation

Current status of DG in Lithuania and expected changes.

Page 17: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Directive 2001/77/EC on promotion of RES-E

On 23 September 2003 Directive was amended by Act concerning the conditions of accession … and the adjustments to the Treaties on which the European Union is founded:

The percentage contribution of RES-E in 1999-2000 for the Czech Republic, Estonia, Latvia, Lithuania,… and in 2010 are based on the national production of RES-E divided by gross national electricity consumption … based on 2000 data.

Page 18: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Contribution of green electricity

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

2000 2001 2002 2003 2004 2005 2006 2007

Index of production (2000=100)

Share of RES-E in gross electricity consumption

Share of RES-E in gross electricity consumption (2000)

Page 19: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Growth rates of electricity consumption

0

2

4

6

8

10

12

14

2000 2001 2002 2003 2004 2005 2006

TW

h

Final consumption Gross consumption

6.8%4.3%

6.4% 1.0% -2.2% 1.8%

4.0% 4.3% 6.8%6.6% 4.3%

4.2%

Page 20: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Structure of gross electricity consumption

0

10

20

30

40

50

60

70

80

90

100

Estonia Czech Republic Latvia Lithuania EU-15 Lithuania-2005

Final consumption Distribution losses Pumped Storage

Refineries Other needs of energy sector

69.2 78.5 79.6 63.3 84.3 67.5

Page 21: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Forecast of electricity demand growth

0

2

4

6

8

10

12

14

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

TW

h

RES-E Final consumption Gross consumption

13.0

0.91

Page 22: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Contribution of green electricity

0

100

200

300

400

500

600

700

800

900

1000

2005 2006 2007 2008 2009 2010

GW

h

Biomass PP

Wind PP

Small HPP

Kaunas HPP

Objective

Page 23: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Presentation plan

Introduction;

Policy documents and promotion of RES;

Actual development of electricity generation;

Possibilities to comply with country’s obligations;

Policy documents and promotion of distributed generation;

Current status of DG in Lithuania and expected changes.

Page 24: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Energy Policy documents (6)

National Energy Strategy (approved by Seimas 18 January 2007):

Development of the power sector

To use at maximum extent possibilities and positive features of development of distributed energy generation

Increase of strategic reliability of energy supply

To develop distributed electricity generation

Page 25: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Energy Policy documents (7)

National Energy Strategy (approved by Seimas 18 January 2007):

Strategic objectives of the NES

To increase the share of electricity generated by combined heat and power plants during the heating period in the national balance of electricity generation up to 35% in 2025;

Page 26: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Energy Policy documents (7)

National Energy Strategy (approved by Seimas 18 January 2007):

Development of the district heating sector

To fully implement the provisions of Directive 2004/8/EC of the European Parliament and of the Council on the promotion of cogeneration based on a useful heat demand in the internal energy market.

Page 27: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Presentation plan

Introduction;

Policy documents and promotion of RES;

Actual development of electricity generation;

Possibilities to comply with country’s obligations;

Policy documents and promotion of distributed generation

Current status of DG in Lithuania and expected changes.

Page 28: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Electricity generation by DG power plants

2004 2005

Small hydro power plants, GWh 61.5 66.1

Wind power plants, GWh 1.2 1.8

Small CHP, GWh 529 587

Gross consumption, GWh 12079 11818

Share of DG, % of gross consumption 4.4 5.0

Share of DG, % of gross production 2.7 4.0

Page 29: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Share of distributed generation in the EU countries

0

5

10

15

20

25

30

35

40

DE

R s

hare

in

to

tal e

lectr

icit

y c

ap

ac

ity (

%)

RES CHP DG total

Page 30: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Actual and expected new changes (1)

Installed capacity of 36 wind power plants is 55.35 MW, the winner of last tender is known and the programme of 200 MW will be implemented;

Modernization of boiler with thermal capacity of 60 MW at Vilnius CHP for use of biomass and peat for annual production of about 76 GWh of green electricity and 330 GWh of heat;

Page 31: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Electricity production by wind power plants in 2006

0

1000

2000

3000

4000

5000

6000

7000

8000

I II III IV V VI VII VIII IX X XI XII

MW

h

Page 32: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Electricity production by power plants using bio-fuel in 2006

0

1000

2000

3000

4000

5000

6000

7000

8000

I II III IV V VI VII VIII IX X XI XII

MW

h

Page 33: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

Actual and expected new changes (2)

Modernization of district heating sector, including construction of comparatively small CHP and usage of bio-fuel (preliminary programme is prepared by LDHA);

Modernization of boiler houses by construction of CHP in branches of industry with high share of heat demand for technological processes (to be prepared in near future);

Ongoing activities directed to usage of municipal waste for heat and electricity generation, etc.

Page 34: CURRENT STATUS OF ENERGY POLICY ON  DEVELOPMENT OF DIDTRIBUTED GENERATION IN LITHUANIA

THANK YOU !