Renewable energy covered 40 percent of consumption in the second quarter

In the second quarter, Estonian power plants produced 722 gigawatt-hours of renewable energy – one percent more than during the same period in the last year. Electricity produced from renewable sources comprised 61 percent of Estonian electricity production in the second quarter of the year, and 40 percent of consumption. The percentages for Q2 of last year were 40 percent and 37 percent, respectively.

In the comparison of sources of renewable energy, solar power had the highest proportion in the second quarter, comprising 46 percent of renewable energy production. The amount of electricity produced via solar panels and distributed to the network was 332 gigawatt-hours from April to June, marking a year-on-year increase of 56 percent. The total capacity of solar panels connected to the grid was 610 megawatts as of the end of the half-year. In June, 526 megawatt-hours of electricity produced via solar panels were distributed to the network during the peak hour.

Electricity generated from biomass, biogas and waste made up 36 percent of renewable energy output in Q2. 261 gigawatt-hours of electricity were produced from these fuel sources from April to June, with 356 gigawatt-hours produced last year, meaning that production was 26 percent lower in the current year.

Wind energy made up 17 percent of the total production of renewable energy in Q2. 123 gigawatt-hours of electricity were produced thanks to wind power, compared to 156 gigawatt-hours in the previous year.

Six gigawatt-hours of electricity were produced via hydropower in the second quarter of the year while eight gigawatt-hours were produced from the same sources in the last year.

Producers received a total of 21.3 million euros in subsidies for renewable energy from April to June this year, which is 18 percent less than in the same period last year.

Subsidies in the amount of 11.6 million euros were paid for electricity produced via solar power and distributed to the network in the second quarter, meaning that the production of solar power covered by subsidies increased by 10 percent compared to the last year. In the second quarter, 53 percent of the total wind energy output was subsidised, amounting to 3.6 million euros of subsidies paid.

In the first half-year, payments have been made to the extent of 35 percent of the maximum limit amount of 600 gigawatt-hours of wind energy to be subsidised in the year. The maximum limit is not expected to be met this year. Currently, 60 percent of the wind power capacity connected to the grid is receiving subsidies.

6.1 million euros of subsidies were paid for electricity produced from biomass and waste, while 0.05 million euros of subsidies were paid for hydropower. 0.7 million euros of subsidies for efficient cogeneration were paid in Q2 of the current year.

The renewable energy and efficient cogeneration subsidies are financed by power consumers through the renewable energy charge based on applicable legislation. Elering received 21 million euros via the charge in Q2 and spent 22 million euros on renewable energy and efficient cogeneration subsidies.

As of 1 July, Elering reduced the renewable energy charge. Consumers pay 1.13 cents per kilowatt-hour (without VAT) for the electricity consumed.

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.fin.ee/riigihanked-riigiabi-osalused-kinnisvara/riigiabi