Promotion in Lithuania

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Updated: 19.12.2018

Author: Jurga Tallat-Kelpšaitė

Summary of support schemes

• Sliding feed-in premium. In Lithuania, electricity from renewable sources is mainly promoted through a sliding feed-in premium. Tariff rates for RES plants with a generating capacity of up to 10 kW are set by the National Commission for Energy Control and Prices. RES plants with the installed capacity exceeding 10 kW acquire the guaranteed tariff rate by participating in tenders. This scheme is closed for new RES plants. However, a new support scheme for renewable technologies is planned to be introduced from 2019 - technology neutral tenders in combination with a fixed feed-in premium.

• Tenders. According to the Law on Energy from Renewable Sources, the operators of RES plants with a total installed capacity above 10 kW may acquire guaranteed tariffs (sliding feed-in premium) by taking part in tenders. Every 6 months the National Commission for Energy Control and Prices reassesses tariff levels for these RES plants for the subsequent tenders. However, no tenders are currently being organised, since the support caps until 2020, set out in the Law on Energy from Renewable Sources, have already been reached in 2015-2016. A new support scheme for renewable technologies is planned to be introduced from 2019 - technology neutral tenders in combination with a fixed feed-in premium. First auction under the new scheme is expected in July 2019.

• Climate Change Special Programme. The Climate Change Special Programme supports projects aiming to reduce greenhouse gas emissions. All technologies used for renewable electricity generation are eligible for this scheme. This fund provides support in the form of loans and subsidies.

• Net-Metering. Eligible for net-metering are solar, wind and biomass power installations operated by natural persons, including farmers whose annual income from agricultural activities accounts for less than 50% of all income received (≤ 10 kW), and legal persons, including farmers whose annual income from agricultural activities accounts for more than 50% of the received income (≤ 100 kW).

• Exemption from Excise Duty. In Lithuania, electricity from renewable sources is exempt from Excise Duty.

Technologies

Basically, all technologies used for the generation of electricity from renewable sources are eligible for at least one support scheme.

Statutory provisions

• Law on Energy from Renewable Sources (Atsinaujinančių išteklių energetikos įstatymas)

• Law on Financial Instruments for Climate Change Management (Klimato kaitos valdymo finansinių instrumentų įstatymas)

• Law on Excise Taxes (Akcizų įstatymas)

• Resolution No. O3E-171/2018 (Nutarimas “Dėl elektros energijos, pagamintos naudojant atsinaujinančius energijos išteklius, tarifų nustatymo 2018 metų II pusmečiui” - Resolution on the Tariffs for Electricity Produced from Renewable Energy Sources for the second half of 2018)

• Resolution No. 827/2012 (Atsinaujinančių energijos išteklių naudojimo energijai gaminti skatinimo tvarkos aprašas – Description of the Procedure for the Support of Renewable Energy Sources for the Use of Energy Production)

• Resolution No. O3-229 (Elektros energijos gamybos iš atsinaujinančių išteklių skatinimo kvotų paskirstymo aukcionų nuostatai - Rules for tenders allocating financial support for electricity generation from renewable sources)

• Resolution No. 916/2012 (Viešuosius interesus atitinkančių paslaugų elektros energetikos sektoriuje teikimo tvarkos aprašas – Rules for the Provision of Services of Public Interest in the Electricity Sector)

• Order No. D1-275/2010 (Klimato kaitos specialiosios programos lėšų naudojimo tvarkos aprašas -Guidelines for the Use of the Funds of the Climate Change Special Programme)