The development of the energy sector this year has been very rapid, and significant changes are taking place both in Latvia and in the Baltic States, said the chairman of the board of Latvenergo, Mārtiņš Čakste, to the LETA agency.
“It has become customary that in recent years the characteristic of each year begins with the words: ‘the energy sector is developing faster than before.’ And this year is no exception, as the pace set by the industry is indeed impressive, and significant changes are taking place in the energy sector both in Latvia and in the Baltics,” noted Čakste.
The head of Latvenergo pointed out that this year marks the 60th anniversary of the operation of the Plavinas Hydropower Plant, as well as 10 years since the commissioning of the second unit of the TEC-2. In turn, in 2025, the portfolio of Latvenergo will include the first new solar and wind power plants with the first produced kilowatt-hours (kWh) of electricity.
“Thus, it can be stated that Latvenergo not only has the most diversified electricity generation portfolio in the Baltic States, covering hydro, solar, wind energy, and natural gas, but also a portfolio that is fundamentally unattainable for any other producer in our region,” stated Čakste.
He emphasized that with the projects initiated this year, Latvenergo is moving towards having a portfolio of new generating capacities of 1000 megawatts (MW) by 2026. This will include three operational wind farms — Laflora Energy in Latvia, Akmene and Telšiai in Lithuania, the construction of Pienava Wind will continue, and the Aizpute Solar project will be added to the existing solar power plants.
Čakste noted that the group's investments have significantly increased in recent years, with the majority directed towards new projects, allowing the company with a diversified production portfolio to become a leader in the Baltic region.
As Čakste pointed out, one can talk about the digitalization of energy, how energy contributes to the emergence of new products in the financial sector, such as green bonds, and conversely, how investor demand stimulates the development of energy. In addition, renewable resources and microgeneration are impacting the transport sector, and the use of agricultural land is expanding simultaneously for both food and electricity production.
The head of Latvenergo noted that the group is not limited to just electricity production and trading but is taking a step towards the next generation of the industry, assessing the opportunities of energy in the field of digitalization. The existing data network, communication towers, specialists, and potential entry into the digital business at Latvenergo are prerequisites for forming a completely new, modern concept of an energy company.
It was previously reported that the turnover of the Latvenergo group for the first nine months of last year amounted to 1.305 billion euros, and the profit was 261.298 million euros. The turnover of the parent company of the group for the first nine months of last year reached 825.655 million euros, with a profit of 257.8 million euros.
Latvenergo is engaged in the production and trading of electricity and heat energy, as well as trading in natural gas and providing electricity distribution services. Latvenergo bonds are listed on the Nasdaq Riga exchange.
