The proportion of solar power in renewable energy is steadily increasing

In 2022, Estonian power plants produced 2,569 gigawatt-hours of renewable energy – one percent less than in 2021. Renewable energy made up 34 percent of Estonian electricity production in the previous year and covered 28 percent of total consumption.

The amount of renewable energy receiving subsidies decreased by five percent in the last year, reaching a total of 1,623 gigawatt-hours. In total, renewable energy and efficient cogeneration subsidies were paid in 2022 in the volume of 90 million euros and renewable energy charges from which subsidies are funded amounted to 89 million euros.

Solar power saw the biggest growth for yet another year as the amount of the produced electricity grew by more than a half – from 305 gigawatt-hours to 506 gigawatt-hours. The subsidy amounts increased in the same volume as 26 million euros were paid in subsidy for electricity produced via solar power in 2022.

As of the end of the year, there are more than 14,000 installations of production equipment for solar power with a production capacity of 506 megawatts, of which production capacities in the volume of 418 megawatts have been registered in the subsidy plan.

Biomass, biogas and waste contributed to 54 percent of the production of renewable energy last year. 1,378 gigawatt-hours of electricity were produced from these sources and subsidised in a total amount of 37 million euros.

Wind power contributed to 26 percent of the total production of renewable energy in 2022. A total of 664 gigawatt-hours of electricity was generated from wind. Due to less favourable wind conditions, the production of wind power decreased compared to the previous year, and as a whole decreased by nine percent over the year. The maximum limit established for subsidised wind power – 600 gigawatt-hours per calendar year – was not met. The subsidised generation was 438 gigawatt-hours of electricity, for which 24 million euros of subsidies were paid.

Efficient cogeneration subsidies were paid in a volume of 10 percent less in 2022 compared to the previous year – 2.8 million euros for 88 gigawatt-hours.

The production of hydropower amounted to 22 gigawatt-hours in the last year, while the production in 2021 amounted to 25 gigawatt-hours. A total of 305,000 thousand euros of renewable energy subsidy was paid for generation in the last year.

In the previous year, the Government of the Republic approved the results of the underbidding contest for the production of electricity from renewable sources. As a result of the contest, 540 gigawatt-hours of electricity per year will be added to the power grid. The winners of the underbidding contest must commence production by 1 January 2026 at the latest.