The third interconnection is important for the future of the whole Baltic region that ensures a better electricity supply security and more effective functioning of the electricity market in the Baltic countries and also between the Baltic countries, Nordic countries and other EU countries.
Construction of the electric power transmission line carries an important significance for Estonia and the other Baltic States – having a power transmission line is a technical prerequisite allowing the desynchronization of the Baltics from Russia’s electrical grid and their connection to the synchronous grid of Continental Europe.
The new 330kV overhead power line removes a bottleneck at the Estonia-Latvia border, increasing transmission power by up to 600 MW. In addition, the new overhead power line creates opportunities for connecting additional electricity producers to the power transmission grid in West-Estonia.
In 2015, the European Commission decided to finance the construction of the Estonia-Latvia electric power transmission line with 112 million euros. The sum covers 65% of the project’s planned 172 million total cost. Elering will cover the self-financed part of the cost with the profits from transmission capacity sold at an auction. Therefore, the construction of the line does not affect transmission services tariffs. The connection comprises of Harku-Lihula-Sindi and Kilingi-Nõmme–Riga lines, and according to the plan, it is to be completed in 2020.
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