Enefit Green acquires Liivi offshore wind farm project

Enefit Green acquires Liivi offshore wind farm project

Enefit Green has acquired the Liivi offshore wind farm project from Eesti Energia and will continue development work to start large-scale renewable electricity production before 2030.

According to Aavo Kärmas, Chairman of the Management Board of Enefit Green, offshore wind energy development will play a significant role in the expansion of renewable energy production in the upcoming years. ‘Estonia aims to generate a significantly higher amount of renewable electricity by 2030, and offshore wind energy is expected to be a critical component in achieving this goal. Therefore, it is crucial to sustain the pace of development work. The Liivi offshore wind farm is among the most progressive projects in the Baltic States, and the development project is geared towards commencing production before 2030,’ Kärmas explained.

He believes that offshore wind has immense potential in Estonia’s energy system. ‘There is a growing need for environmentally produced and affordable electricity, as many of the current technologies are being replaced by electricity-based solutions. Electricity production is more stable in an offshore wind farm, and only 50 wind turbines can provide half of the electricity currently consumed in Estonia,’ he added.

Liivi Offshore OÜ, formerly owned by Eesti Energia, was purchased by Enefit Green for a sum of nearly 6.2 million euros.

By order of 5 January, the Estonian Government authorised the Minister of Finance to decide on the separation of the Liivi offshore wind farm from Eesti Energia via division. In February, the Minister of Finance approved the division plan of Eesti Energia AS and approved the Articles of Association of Liivi Offshore OÜ. In March, the Minister of Finance granted permission for the transfer of Liivi Offshore OÜ to Enefit Green, followed by the preparation of the transaction and an audit of the terms.

The offshore wind farm in the Gulf of Riga is planned to have a capacity of one gigawatt and is expected to produce around 4 TWh per year. The area of development is situated between the coasts of Kihnu and Häädemeeste. At present, the surveys required to evaluate the wind farm's environmental impact and the preliminary technical analysis of the project are being conducted. Estonian state has initiated spatial planning for the construction of a wind farm grid connection. In 2021, Eesti Energia signed a cooperation agreement with Ørsted, the world’s leading offshore wind developer, to build an offshore wind farm.

The Liivi offshore wind farm is the second offshore wind project in Enefit Green’s portfolio. The company is also developing a 1.1 gigawatt offshore wind farm in the north of Hiiumaa, which is scheduled to start production after 2030.

Enefit Green Liivi offshore wind farm project

Enefit Green is one of the leading renewable energy producers in the Baltic Sea region. The company is listed on Nasdaq Tallinn and has nearly 60,000 investors. Enefit Green owns wind farms in Estonia and Lithuania, cogeneration plants in Estonia and Latvia, solar parks in Estonia and Poland, a pellet plant in Latvia and a hydroelectric power plant in Estonia. The company has six wind farms and four solar parks under construction in Lithuania, Estonia, Poland and Finland with a total capacity of 596 MW.