Latvian power distribution system operator Sadales tīkls JSC has signed a contract with the Ministry of Economics for the provision of EUR 41.9 million of financing from the European Union Recovery Fund, as confirmed by Sadales tīkls representatives.
This financing is intended to be used to fund the modernisation of the power distribution system in order to improve power supply quality and security, as well as increase power output to allow integration of renewable energy resources, as well as ensure development of the information system’s control and automated management solutions.
Minister of Economics Ilze Indriksone said modernisation of Latvia’s power network through integration of renewable energy resources, as well the increase of its security and flexibility, will receive additional investments from the Recovery Fund. As part of this funding, Sadales tīkls will have the opportunity to expand power output to residential areas, create connections reserved for e-vehicle recharge stations and solar panel platforms.
Sadales tīkls board chairman Sandis Jansons says the support from the Recovery Fund is priceless in the context of the plans for the enhancement of the overall power supply system.
«Support from external funds is very important, especially in this difficult time, both in terms of socioeconomic and geopolitical conditions.
It helps proactively improve and adapt the distribution infrastructure in accordance with energy development trends without having an impact on clients,»
he said.
Multiple project activities are planned to be carried out by 2026 using this funding. For example, it is planned to construct or reconstruct medium voltage power lines along 75 km, increasing available power output to help develop businesses. Projects are planned in Ape, Lapmežciems, Ropaži, Mālpils, Roja, Valdemārpils, Jaunmārupe, Ādaži, Kalnciems and Baldone.
It is also planned to replace 840 transformers, reducing their maintenance costs and improving network security and power supply quality.
It is also planned to install solar panels on at leas 70 transformers in order to co-generate necessary electricity, reduce technological consumption or loss. This is meant to reduce power procurement costs.
The fund’s support is also intended to be used to develop a smart power records IT system, as well as create a portal for market-related data exchange and storage platform. It is also planned to add improvements to the energy efficiency of Sadales tīkls buildings.
Part of the planned activities are already underway.
The total outlined funding for the programme developed by the Ministry of Economics is EUR 80 million. This money will be invested into systems managed by Sadales tīkla and Augstsprieguma tīkls to assist with integration of renewable energy resources and their use in power networks, increase the security of the power network, ensure flexibility, as well as create a more expansive infrastructure to allow connections with e-vehicle recharge points.
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