Installation of electricity storage facilities (200 MW)

Report:
Year registered: 2020
Type:
Energy
Status:Completed
3SI countries proposing the project:

Lithuania

Participating 3SI countries:

Partner countries:

* not part of the 3Seas Initiative
Main objectives:
  • To ensure the energy needs of the Lithuanian state, its population and business;
  • To ensure reliable, stable and consumer-friendly operation of the Lithuanian electricity system before and after synchronization with the continental European networks. Accumulators can contribute to maintaining the required level of inertia (synthetic inertia function) and to providing very fast (<1s) power regulation reserves. These are the essential functions required for the Baltic Power Plant to work in synchronous mode with the KET.
Short description:

The aim of the project is to install energy storage facilities with optimal technical parameters, providing system and balancing services in the Lithuanian electricity system. The expected benefits of the measure are:

  • to strengthen Lithuania's energy security and ensure energy independence. Energy storage facilities operating in Lithuania will provide a primary reserve service, which is currently provided by the IPS / UPS electricity system;
  • to create opportunities for earlier implementation of the desynchronization of the Lithuanian electricity system from the IPS / UPS electricity system. Energy storage facilities operating from 2021 will provide voltage control and synthetic inertia services 1 year before the construction of synchronous compensators (the first will be operational at the end of 2022);
  • to contribute to the integration of electricity production from renewable energy sources into the electricity system. Energy storage facilities will provide synthetic inertia in response to the rate of change of frequency, power grid congestion management services that will be necessary to integrate 100% RES power generation. Such services are not currently available;
  • to contribute to the achievement of climate change objectives, as generation equipment using conventional energy sources would not be needed to balance the transmission system. Energy storage installations should use climate-neutral technologies to achieve 0 g / kWh CO2 emissions during operation.
Calendar of implementation:
  • currently
    Completed
Budget:

On 14th of May the European Commission has received an official National Plan for Economic Recovery and Resilience (Recovery and Resilience Facility - RRF) from the Republic of Lithuania. The RRF approved by the Government of the Republic of Lithuania provides for the measure “Installation of Electricity Storage Facilities (200 MW)” (hereinafter - the Project). It is planned that the Project investments will reach 104.915 million. EUR without VAT. The Plan currently provides for 100 million eur from the European Commission's RRF budget (which will be circulated through Lithuania’s state budget), the Energy Cells company will cover the other part of the funds.

If Project investments will be higher than 104.915 million. EUR without VAT (for example, after Electricity Storage Facilities Procurement) or RRF budget will be confirmed less than 100 million eur, then Energy Cells company will need to apply for a loan to financial institutions, i.e. EIB or 3SIIF.

105M100%
secured
Financing sources:
National funding
3SIIF
Other sources
EIB

The project is part of the Economic Recovery DNA Plan.