Estonia: Overall Summary

Updated: 05.12.2017

Author: Gert Siniloo

In Estonia, electricity from renewable sources is mainly promoted through a premium tariff. To encourage the use of renewable energy sources for heating, investment supports are made available for the construction of CHP plants, as well as for private consumers. In transport, the use of renewable energies is currently mainly encouraged through a measure to support biomethane use and build biomethane fuelling stations. Anew measure regarding the support for biomethane producers has been announced. .

Access of electricity from renewable energy sources to the electricity grid is granted based on the principle of non-discrimination. The grid operator is obliged to develop the grid to guarantee grid services for all electricity producers and to be able to connect further electricity plants to the grid. The connection of a heat generation plant to the grid is auction based and follows the principle of non-discrimination.

Additionally, there are a number of investment support schemes available to promote the development, installation and use of RES installations. General measures of subsidies for the period 2014-2020 have been published, however, certain subsidy conditions are being currently developed. The total amount of financial support distributed to renewable energy and energy efficiency related projects during period 2014-2020 will be over € 490 million.

Legislation regarding RES support schemes has been under major revision in Estonia for the past several years. According to draft legislation, the current premium tariff will be abolished and an auction-based system to promote RES development will be introduced. Another change would include renewable energy trading with other EU member states that are not on track in achieving their RES 2020 targets. The relevant legislation is being discussed in Parliament.

More about support schemes More about grid issues More about policies

Further information

  • Majandus- ja Kommunikatsiooniministeerium (MKM) – Ministry of Economic Affairs and Communications
  • Siim Meeliste
  • +372 625 63 42
  • MKM website
  • info(at)
  • Keskkonnainvesteeringute Keskus (KIK) – Environmental Investment Centre
  • + 372 627 4125
  • KIK website