Estonia’s 2035 energy plan in front of the Parliament

The government has submitted the National Energy and Climate Plan (ENMAK 2035) to the local Parliament, the Riigikogu for debate. Its three main goals are energy security, national competitiveness and a market-led shift to a clean-energy economy.

The plan prioritises a diverse generation mix so the grid stays reliable at every moment. It calls for optimal rollout of local wind and solar plus storage, backed by sufficient dispatchable capacity. The plan states, that most of their existing controllable plants are old and uncompetitive, yet they must stay online until new ones are built. The plan emphasises, that grid upgrades and stronger physical and cyber protection of critical infrastructure are equally vital. Among others, Estonia wants household and industrial power prices below the average of Denmark, Latvia, Lithuania, Poland, Sweden and Finland by 2035.

In electricity production, there will be a gradual phasing-out of operating subsidies according to the draft plan. For the construction of longer-life projects, such as offshore wind farms, a nuclear power plant or pumped-storage hydro, long-term financing solutions with a term of at least 30 years are planned.

In the gas sector the target is set to increase the share of renewable gas to one-third of gas consumption by 2035. In the district heating sector, the objective is set to reduce differences in regional limit prices through the renewal of district heating systems and to gradually introduce new energy-efficient technologies, such as heat pumps and heat storage. In the transport sector, in accordance with the European Union’s obligation, the target is set that by 2035 at least 26 per cent of final consumption will consist of clean energy. ENMAK 2035 is scheduled to be approved by the Riigikogu in December.