Renewable energy covered one-third of consumption in the second quarter

In the second quarter, Estonian power plants produced 602 gigawatt-hours of renewable energy – 23 percent more than during the same period in the last year. Electricity produced from renewable sources comprised nearly a half of Estonian electricity production in the second quarter of the year, and nearly one-third of consumption.

The proportion of renewable energy compared to the total consumption of electricity was 28.9 percent in Q2 of 2021 while the indicator stood at 24.7 percent in the same period in 2020.

The statistics of renewable energy production in the second quarter were affected by the slightly reduced production of wind energy while the production of electricity from biomass and waste as well as solar power increased. Wind energy made up 23 percent of the total production of renewable energy in Q2. The 141 gigawatt-hours of wind energy produced is a 13 percent decrease compared to the previous year.

Producers received a total of 23 million euros in subsidies for renewable energy from April to June this year, which is seven percent less than in the same period last year. In Q2, 78 percent of wind energy output was subsidised, amounting to six million euros. In the second quarter of the year, payments were therefore made to the extent of 43 percent of the maximum limit amount of 600 gigawatt-hours of wind energy to be subsidised, and Elering is not expecting the maximum limit to be met this year.

Electricity produced from biomass, biogas and waste made up 54 percent of the production of renewable energy in the last three months. A total of 325 gigawatt-hours of electricity was generated from these types of fuel from April to June and nearly ten million euros were paid in subsidies, which is a decline compared to the same period in the last year.

Nine gigawatt-hours of electricity were produced by hydropower in the second quarter of the year similarly to the beginning of the year, and 197,152 euros were spent on subsidies.

The number of owners of solar panels receiving subsidies is still constantly growing. The volume of electricity generated thanks to solar panels and distributed to the network in Q2 this year is 126.5 gigawatt-hours, and more than 6.5 million euros were paid in subsidies for electricity produced and distributed to the network thanks to solar power. Thanks to the addition of new solar panels and extremely sunny summer months, this indicator has essentially increased threefold year-over-year. Only 50 gigawatt-hours of electricity were generated from solar power in the second quarter of last year. Therefore, 21 percent of the renewable energy production of Estonia in Q2 this year was received from solar power.

Efficient cogeneration subsidies were paid in the amount of slightly more than 800,000 euros in Q2 this year, which is ten percent more than in the same period last year. 25 gigawatt-hours of electricity were produced in the efficient cogeneration mode.

The renewable energy and efficient co-generation subsidies are financed by power consumers through the renewable energy charge based on applicable legislation. Elering collected a total of 48.8 million euros of this charge in the first quarter and paid 48.1 million euros of subsidies. Detailed information concerning the renewable energy subsidy amounts is available in the Register of State Aid and De Minimis Aid administered by the Ministry of Finance (https://www.rahandusministeerium.ee/et/riigiabi).