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Eesti Energia signed an agreement (PPA) with the Lithuanian wind energy company E energija, with which it will purchase all the green energy produced by the future wind farm within ten years. In the Baltics, this is the largest such transaction in history.

The new E energija Telšiai 68,9 MW wind farm, which will be launched in 2022, will produce 235 GWh of green electricity per year, which would cover the annual electricity consumption of nearly 80,000 households. This will be the largest wind park in Lithuania in terms of electricity out-put.

In addition to household customers, Eesti Energia will supply wind energy to business customers in order to create better opportunities for companies to make their operations more environmentally friendly.

Previously, such a long-term and large-scale green energy purchase agreement has never been concluded in the Baltics. Eesti Energia's willingness to buy the entire production of the wind farm within 10 years was actually the key factor in financing the park. The largest green energy purchase agreement in the Baltics was made possible thanks to good cooperation with E energija, SEB and GE.

Eesti Energia is the leading developer of renewable energy in the region through its subsidiary Enefit Green, but through cooperation and long-term power purchase agreements with other developers, according to Margus Vals, the member of the company's Management Board, it is possible to make an even greater contribution to Baltic countries in order to become the leading emissions reducer in Europe and at the same time, increase the region’s energy independence.

"As an international energy company, our task in every home market is to strive for smarter customer solutions and cleaner energy production," said Vals. "We want to do this in many ways, which is why we contribute both as a developer of renewable energy and as a buyer of it, in order to offer our customers even more clean energy. We are constantly looking for new ways to grow our green energy portfolio.”

The 68,9 MW wind farm to be built by E-energija is located in the Tryškiai region of western Lithuania and will start operating in 2022. The energy purchase agreement is valid until 2032.

“We, as E energija, are happy to be at the forefront of the renewable energy development and to sign the first significant PPA transaction in the Baltics. By building the first subsidy-free wind farm in the region, we open the door for the transition of the whole Baltic energy system and we thank Eesti Energia for supporting our goals in these turbulent times,“ said Gediminas Uloza, the CEO of E energija.

Member of the Management Board of SEB bankas Vilius Juzikis said that the goal of European Union to develop climate neutral economy by the year 2050 demands a lot of effort and full transition to renewable energy.

„Climate in Lithuania makes wind energy broadly available and a competitive source of energy, which means that it must play a significant role in reaching the joint goals of the European Union and also securing the necessary amount of electricity production for the whole country. Investments to wind energy are important to support energy independence, answer the increasing demand of energy and maintaining competitive energy price for households and companies. We’re currently in the middle of energy transformation and in this process banks can play a significant role by offering suitable financial solutions. That’s the reason why financing companies advancing clean energy is a priority to SEB,” said Juzikis.

Eesti Energia has a long-term experience of operating in Lithuania. Energy sales have been provided there for more than 10 years, and the Group's renewable energy company Enefit Green owns five wind farms there, and specifically, almost half of the company's annual wind electricity production is generated in Lithuania.

“Our international brand Enefit has successfully grown its reputation in Lithuania and the company has an important advantage both in terms of price and the content of the offer. Locally produced electricity is of great value to people and we are happy to be able to offer it," Vals added.

GE and E energija are co-sponsor of the Telšiai onshore wind farm project, with GE supplying 13 of its 5.3MW Cypress wind turbines, its largest onshore wind turbine in the field, and provide a 25-year Full Services Agreement (FSA) to the onshore wind farm.

The company has been operating under the Enefit brand in the Lithuanian business customer market since 2007 and has achieved a strong position as a seller of electricity and gas with a market share of around 8%. The Lithuanian electricity market for household customers will open to consumers on 1st January, 2021, that is eight years later than the Estonian energy market. Eesti Energia started selling electricity to Lithuanian household customers at the beginning of this year.

Eesti Energia's strategic goal is to offer an excellent customer experience with the help of digital solutions and to reach 1 million customers in the Baltic Sea region by 2024.