Tiiu Müürsepp Director of Tartu Consumer Advice and Information Centre, Riga, 20.08.2010

 Environmental influence of energy industry is biggest in the industry sector  Europe Union climate policy: Emitted greenhouse gases diminish competitivity  Europe Union energy police: focus on liberalisation of energy markets and use of energy sources with slender environmental impact  94% of electricity is produced from oil-shale  Eesti Energia have to purchace quota ca 1 mln ton for 2010, price of quota ca 15 €/t  In the situation when emitted CO2 amounts are not covered with corresponding number of quota have the company pay forfeit 100 €/t in years 2008-2012 Electricity and heat for our homes 2009/2010 Eesti Energia overview

Source: www.energia.ee  So is our electricity system mainly “0ne direction”, for transportation of electricity from North-East to the other parts of Estonia  This eliminates electricity production working in principles of distributed generation, less till 2020  Estonian Electricity Market Act defines renowable energy sources as ◦ water, ◦ wind, ◦ sun, ◦ waves, ◦ tides ◦ geothermal energy, ◦ gas from landfils, ◦ gas from waste water treatment, ◦ biogas and

Eesti Energia produces currently electricity from wind, water and biomass Source: www.energia.ee /en /power/renewable Eesti Energia plans to produce electricity from multiple energy sources in oder to reduce the emission on greenhouse gases Source: www.energia.ee/en/power/renewable  In the production of wind energy the remarkable sprung was in 2005, afterwards is the production grown but slowlier  The production of hydro plants was stabiler and slowlier  Although the importance of renewable electricity is relative small, it is grown from year to year and constituted 1,5% in 2008, 5,1% in 2010  In 2009, an application round of the measure "Extended use of sources for the generation of energy" financed from the Europe Regional Development Fund ERDF was held.  In the framework of that round, 150 million kroons worth of grants were awarded for the reconstruction of boiler houses and district heating networks and the construction of combined generation plants  The application round was open to local governments, non-profit associations, businesses and foundations.  Applications accepts Environmental Investment Centre  Directive 2001/77/EC on the promotion of electricity produced from renewable energy source in the internal electricity market ---goal for Estonia 5,1% in 2010  Directive 2003/30/EC on the promotion of the use of biofuels or other renewable fuels for transport  Goals for member states, biofuel 5,75% from sold transport fuels  Directive 2009/28/EC 23.04.2009 on the promotion of the use of energy from renewable sources  Goal for Estonia 25% renewable energy in 2020  International research company GfK has provided in last two years research about environmental issues  67% Estonians in 2009 and 71% in 2010 aren’t ready to pay more for renewable energy, said PRB  Youth and especially students are the most agreed group to pay more for renewable energy  Consumers are affraid that opening of electricity market will not offer energy with lower price but in opposite, as the Skandinavian experience showed. High price is a serious problem for Scandinavian consumer.  1.03.2010 price rised 3% - added was excise and network payment rised 1,5%  1.06.2010 - added was renewable energy payment 12,64senti/kWh = 0,81 euro/kWh  Renewable energy payment is payment appointed from state for financing energy produce from renewable energy sources and for combined energy production Wind energy in Estonia. There was 142 MW wind energy installed in Estonia in the end of 2009 Source for this slide and next 6 slides www.tuuleenergia.ee/about/statistika  Last year (2009) were installed:  39MW Aulepa Wind Farm (Eesti Energia AS),  9MW Vanaküla Wind Farm and  16MW Tooma Wind Farm (Nelja Energia OÜ)

 in total the wind energy capacity in Estonia increased by 64MW in 2009 Wind energy in Estonia

There was 142 MW wind energy installed in Estonia in the end of 2009. The wind energy capacity in Estonia increased by 64MW in 2009 Windparks in developing

379,38 MW wind energy will be developed in 2010-2013,

92,9 MW in 2010 126,98 MW in 2011 98,5 MW in 2012 61 MW in 2013 Wind energy projects 2010-2013

Wind parks developers and planned wind energy in MW Offshore windparks Plans 2014 ..... Hiiumaa 700 Nelja Energia OÜ

Liivi laht 1000 Eesti Energia AS

Neugrund 100- Neugrund OÜ 200 2010 2011 2012 2013 Stasey OÜ 1,98

Skinest Energia OÜ 13,5 Tuuleenergia AS 18 Türisalu Tuulepark OÜ 0 0 0 21

Est- OÜ 62 0 0 0 Nelja Energia OÜ 30,9 32 8 0 Raunistal AS 0 0 40 40 Eesti Energia AS 75 37 Environmental influence evaluations Public discussions Negotiations with local municipalities  More environment friendly – less carbon dioxide emission  Produces energy as heat as well electricity,  CHP are built near their consumer, this allows electricity losses to be reduced and heat prices to be lowered  Smaler CHP are built in regions where the combined energy production is economically feasible and can ensure the local power supply with the lowest possible environmental impact.  Tartu 25MW on biomass and turf working CHP station started up in January 2009  Väo 25MW on biomass and turf working CHP station started up also in January 2009  Application: to built the Tallinn CHP station (litter and wood) 2x40MW  2009:Väo CHP 23 MW, Tartu CHP 23 MW  Aulepa WP 39 MW  2012: Pärnu CHP 22 MW, Ahtme CHP 22 MW  Narva WP 50 MW + WP 70 MW  2016: 500 MW windparks, Iru waste CHP 15 MW, Narva 10% biomass 43 MW  All needed energy could be produced from biomass, if to take to use 0,4 mln ha unused agricultural land and to grow there willow  1/3 energy could be produced from unused wood.  Turf and cane could be sources for 10% energy

 Source : Estonian Land University  The price of energy produced by solar panels is 5 times higher than wind energy price  The price is not competition capable  Water resource in Estonia is small ( without Narva river)  Linnamäe and Keila-Joa hydroelectricity plants  Only 2-5% from energy production  It’s possible to cover 70% from energy consumption in Estonia in 2020 with renewable energy

 Source: Possibilities to produce electricity from renowable energy source, Leo Rummel, Tallinn Technical University  Big renewable energy  Oil shale dominates sources in energy produce  Small and infuenced electricity market

 Source : ww.mkm.ee/public/ENMAK.pdf  Renewable energy:  17,5% in 2006 25% in 2020  CHP in electricity brutoconsum  10,2% in 2007 20% in 2020  Fuels on base renewable energy sources:  0,06% in 2007 10% in 2020

 Source: www.mkm.ee  Renewable energy production is in Estonia on good level but there are some potentitals to develop forward  Supports for produce of renewable energy in Estonia are good Tiiu Müürsepp Tartu Tarbijanõustamis- ja Infokeskus Tartu Consumer Advice and Information Centre [email protected]