Energy Policy, Legislative Background, Funds and Programmes
National Energy Program until 2020
The Energy Policy for Latvia is formulated in the National Energy Program (adopted in 1997) until 2020. It gives priority to the rational use of energy resources, the development of renewables, the energy diversification and the restructuring of the sector.
Energy Development Conception for 2007-2013
This is a policy-planning document, which was approved on August 1st , 2006, and defines Latvias state energy policy, objectives and actions for a period of 10 years and indicates the long-term development route. The main activities will be addressed to energy efficiency improvement in district heating systems and buildings and energy production with renewable energy sources. The Conception declares that cogeneration plants and broader use of renewable energy sources will be one of the supported activities, however effective actions have not been taken until beginning of year 2008.[Ministry of Environment]
Guidelines for Energy Sector Development 2007-2016
These guidelines set a number of implementation benchmarks in the field of energy efficiency, such as energy intensity improvement, increase of cogeneration potential, reduction of energy consumption in different sectors, boiler house energy efficiency increase, and many others. [Ministry of Economy]
The Strategy for the Utilization of Renewable Energy Sources 2006-2013
This is a medium-term policy-planning document approved in October 2006, which is proposed to define policy measures, aims and strategies regarding the use of renewable energy sources in Latvia. The main objectives are RES share increase, development and support of innovative RES demonstration projects, etc. [Ministry of Environment]
Latvian Sustainable Development Startegy (2002)
This strategy defines tasks and objectives for ensuring sustainable development in regard to the increase of energy efficiency and the promotion of renewable energy use, develop biofuel production (biodiesel, bioethanol and biogas), using agricultural feedstock (rape and grain) and animal breeding by-products. [Ministry of Environment]
Energy Efficiency Action Plan (2000)
The Latvian Ministry of Economy prepared the State Energy Efficiency Action Plan in 2000 with the goal to identify a set of measures for promoting energy efficiency which would help reduce the primary energy consumption per unit of GDP by 25% until year 2010.
National Program for Production and Use of Bio-fuel in Latvia
The program developed by the Ministry of Agriculture in year 2000 analyses the possibility to produce bio-fuel from rapeseed oil, as well as generation of biogas from industrial and household waste. The program also highlights and analyses the impact of the above measures on the society and environment.
Regional Baltic Wind Energy Program
The program started in 1999 with funding from GEF, UNDP. This is the latest and most extensive official study of the potential of wind energy in Latvia, containing surveys on the situation with wind energy and analysis of wind energy use opportunities from the political, economic, legal, meteorological, energy, environmental and regional aspect.
Legislative background
Energy Law (1998)
Latvia passed an energy law in October 1998 which brings practices into line with those in Western Europe. The law sets up a structural framework of rules and licensing for energy industry regulation and is designed to promote competition, introduce transparent pricing, and develop new energy sources, including renewables.
Amendments to the Energy Law (2001)
Amendments prescribe protective impact on the environment and use of environmentally friendly technologies; provide rules for installation of generation equipment and purchase of electricity produced from renewable resources and in cogeneration plants. The amendments also stipulates that owners of buildings and other facilities have the right to choose the most cost-efficient type of energy supply, yet refusal from centralized district heating or, on the contrary, connecting to the system should not cause disturbances of heat deliveries to other users of the system. [Latvian Laws: Likumi]
Law on Pollution (2001)
The aim of the law is to eliminate or lessen damages for human health or life, property and environment caused by pollution and to eliminate consequences caused by such damage, and in general:
- To eliminate generation of pollution and, if impossible, to reduce emissions into soil, water and air;
- To eliminate or, if impossible, to reduce the use of non-renewable resources and energy;
- To eliminate or, if impossible, to reduce waste generation;
- To identify and register the polluted and potentially polluted sites on the territory of Latvia
Law on Electricity Market (2005)
The law sets and describes the functioning of the electricity sector taking into account the rights of all users to choose freely electricity trader and promotion of renewable energy and cogeneration. It also defines duties and rights of Transmission System Operator (TSO), Distribution System Operator (DSO), electricity trader and gives general conditions for introduction of new capacities, electricity price determination and electricity production with renewable energy sources and in cogeneration cycle. The Law determines also the transitional provisions for several issues - households have the free option to choose the electricity supplier since the 1st July 2007 and the independence of the DOS have to be assured also since 1 July 2007.[Latvian Laws: Likumi]
Regulations on Electricity Generation from Renewable Energy Sources (2007)
The Cabinet of Ministers Regulation No.503 “Regulations on Electricity Generation from Renewable Energy Sources” prescribes the conditions for electricity production using renewable energy sources, including biogas, and defines criteria for RES electricity producers to be eligible to sell their electricity within compulsory procurement with a fixed purchase price (a feed-in tariff system).[Latvian Laws: Likumi]
Regulation on electricity production in cogeneration cycle (2006)
This regulation provides criteria of qualified cogeneration plants that can sell the electricity in the framework of mandatory purchase. The price determinating criteria is based on the capacity and fuel, and describes other relevant issues.[Latvian Laws: Likumi]
Building Energy Performance Law (2008)
The law according to the requirements of EU Directive 2002/91/EC on energy performance of buildings defines the responsibilities of local institutions in the field of energy performance, general requirements for the buildings and certification, rules of inspection (audit) performance, and rights and obligations of energy auditors.
The law has to be followed up by respective regulations that describe and define the process of certificate issuing for eligible energy auditors, the process of energy certificate issuing for buildings, and several other processes that are regulated by state institutions. Discussions of these regulations are in process now and approval is planned for the very nearest future – approximately beginning of year 2009.[Latvian Laws:Likumi]
Biofuel Law (2005)
The law defines responsibilities of governmental institutions (the Cabinet of Ministers and municipalities) to manage biofuel policy, to solve related budgetary issues, and to stimulate fulfillment of the defined aims for biofuel density for the transport needs (at least 5,75% until year 2010). Also, the law defines requirements for biofuel production and quality, customers information, state support in biofuel promotion activities, and other relevant issues.[Latvian Laws: Likumi]
Law on Natural Resources’ Tax (2005, amended in 2008)
The law defines the aim of the tax to stimulate efficient use of resources, and defines taxpayers, their obligations and processes of application, tax rates and taxable products and types of resources, cases of tax exemptions, and other issues. There is a set of regulations of the Cabinet of Ministers that support implementation of the law requirements. [Latvian Laws: Likumi]
Emission trading Directive
Has been transposed in Latvia through the provisions in the Law on pollution. Two national emission allocation plans (NAP) for Latvia have been prepared (2004, 2006).
EU Renewable Energy Directive
has been transposed in Latvia in 2005 trough the provisions in the Energy Law for obligatory purchase of electricity from renewable sources, and the establishment of higher purchase prices for the different type of renewable energy.
Important Contracts between Austria and Latvia concerning energy issues
Memorandum of Understanding Regarding Bilateral Co-operation between the Federal Ministry of Agriculture, Forestry, Environment and Water Management of the Republic of Austria and the Ministry of Environment of the Republic of Latvia for the Reduction of Greenhouse Gas Emissions.
