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Renewable energy in the Lithuanian heating sector

Author

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  • Konstantinaviciute, Inga
  • Bobinaite, Viktorija
  • Tarvydas, Dalius
  • Gatautis, Ramunas

Abstract

The paper analyses the role of renewable energy sources (RES) in the Lithuanian heating sector and the existing support measures. RES consumption has been continuously growing in Lithuania. During the period of 2000–2009, RES used for heat production in the district heating sector increased more than 4 times. Wood and wood products have been the most widely used RES for heat production (RES-H). The lower prices were one of the main reasons which motivated district heating companies to switch fuel to biomass. At the same time subsidies, soft loans, EU Structural Funds for 2007–2013 and some fiscal measures, which are currently available for RES-H promotion, also have some impact on the increase of RES consumption. However, seeking to achieve a 23% national RES target, additional support measures are essential. A qualitative analysis based on the selected set of criteria and consultation with stakeholders showed that energy policy package for RES promotion in the Lithuanian heating sector could encompass the following measures: tax relieves (differentiated VAT and personal income tax breaks), subsidies, soft loans, standardization, support for research, development and demonstration. These measures are market-oriented and meet cost efficiency and low transaction costs criteria.

Suggested Citation

  • Konstantinaviciute, Inga & Bobinaite, Viktorija & Tarvydas, Dalius & Gatautis, Ramunas, 2013. "Renewable energy in the Lithuanian heating sector," Energy Policy, Elsevier, vol. 59(C), pages 32-43.
    • Handle: RePEc:eee:enepol:v:59:y:2013:i:c:p:32-43
    DOI: 10.1016/j.enpol.2013.04.016
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    References listed on IDEAS

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    1. Bürger, Veit & Klinski, Stefan & Lehr, Ulrike & Leprich, Uwe & Nast, Michael & Ragwitz, Mario, 2008. "Policies to support renewable energies in the heat market," Energy Policy, Elsevier, vol. 36(8), pages 3140-3149, August.
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    Cited by:

    1. Jonynas, Rolandas & Puida, Egidijus & Poškas, Robertas & Paukštaitis, Linas & Jouhara, Hussam & Gudzinskas, Juozas & Miliauskas, Gintautas & Lukoševičius, Valdas, 2020. "Renewables for district heating: The case of Lithuania," Energy, Elsevier, vol. 211(C).
    2. Vaclovas Miskinis & Arvydas Galinis & Inga Konstantinaviciute & Vidas Lekavicius & Eimantas Neniskis, 2019. "Comparative Analysis of the Energy Sector Development Trends and Forecast of Final Energy Demand in the Baltic States," Sustainability, MDPI, vol. 11(2), pages 1-27, January.
    3. Gaigalis, Vygandas & Skema, Romualdas, 2016. "A review on solid biofuel usage in Lithuania after the decommission of Ignalina NPP and compliance with the EU policy," Renewable and Sustainable Energy Reviews, Elsevier, vol. 54(C), pages 974-988.
    4. Romagnoli, Francesco & Barisa, Aiga & Dzene, Ilze & Blumberga, Andra & Blumberga, Dagnija, 2014. "Implementation of different policy strategies promoting the use of wood fuel in the Latvian district heating system: Impact evaluation through a system dynamic model," Energy, Elsevier, vol. 76(C), pages 210-222.
    5. Møller Sneum, Daniel & Sandberg, Eli & Koduvere, Hardi & Olsen, Ole Jess & Blumberga, Dagnija, 2018. "Policy incentives for flexible district heating in the Baltic countries," Utilities Policy, Elsevier, vol. 51(C), pages 61-72.
    6. Gaigalis, Vygandas & Skema, Romualdas & Marcinauskas, Kazys & Korsakiene, Irena, 2016. "A review on Heat Pumps implementation in Lithuania in compliance with the National Energy Strategy and EU policy," Renewable and Sustainable Energy Reviews, Elsevier, vol. 53(C), pages 841-858.

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