Lithuania electricity prices drop due to increased wind power

Electricity prices in Lithuania saw a significant decrease during the second half of a recent week, dropping to between 6 and 9 euros over the weekend. According to Litgrid, increased wind power generation in the Baltic and Nordic regions was the primary driver, leading to a 16 percent reduction in the weekly average electricity price in Lithuania.

During the period of September 14–20, average wholesale prices on the Nord Pool exchange reached 96 euros in the Latvian price zone and 70 euros in Estonia. Lithuania's electricity demand decreased by 3 percent to 251 GWh, with domestic power plants meeting 81 percent of the country's needs.

Renewable energy sources played a major role in the energy mix. Wind power accounted for 54 percent of Lithuania's domestic production, while solar energy contributed 24 percent. Imports increased by 54 percent to 87 GWh, sourced primarily from Sweden and Latvia.

Experts note that Lithuania's strategic investments in renewables have reduced its direct correlation between electricity prices and gas prices compared to pre-2022 levels. However, regional electricity prices remain susceptible to European gas reserves and rising CO2 emission costs.