According to the Ten-year Development Plan of the Latvian Electricity System developed by AST, in the next decade, the Latvian transmission system operator Augstsprieguma tīkls AS (AST) will continue to work on strengthening the security of the electricity supply and transmission system by introducing digital solutions to prepare the transmission network for synchronization with continental European networks, as well as on the development of preconditions for the entry of large-scale renewable electricity into the network, thus implementing the Latvian and European strategy to achieve a climate-neutral, resilient and innovative energy system. The plan to invest 401 million euros in the development of the network over the next ten years has been approved by the Public Utilities Commission (PUC).

“In the coming years, we will work actively to implement digital solutions to improve and modernise network management processes, thus increasing the security of supply. We are ready to contribute to the green transformation of the energy system and to the preparation of the transmission network for the integration of large-scale renewable energy sources into the network. A new challenge will be to introduce the frequency control capability, which will use new technologies, that have not been used in the Baltics before, including high-capacity batteries and synchronous compensators,” says Arnis Daugulis, member of the AST Board.

In total, it is planned to invest almost 401 million euros over 10 years, most of which is intended to strengthen the security of the system – synchronization with the European networks. The synchronization of the Baltic States with the European electricity transmission networks is not only a strategic goal of Latvia, but also of Europe, which is confirmed by the granted co-financing from European Union funds in the amount of 75%. In the coming years, in addition to the preparatory work carried out, it is necessary to install three synchronous compensators, which will ensure the maintenance of frequency and inertia. Also, in the coming years, AST plans to modernize the electricity commercial accounting, the balance management system, the electrical network model management system, as well as the dispatching system and emergency automation, thus ensuring faster and better data exchange and system management. It is planned to implement these projects before the start of the synchronization process.

In the period until 2031, it is planned to invest 20 to 25 million euros annually in the reconstruction of 330kV and 110kV substations, lines, and distribution points, thus ensuring stable operation of the transmission system and an uninterrupted power supply in the demanded amount to the connected users. In each project, AST evaluates not only the normative service life of infrastructure objects, but also their actual wear and tear, verifies the topicality of each project from the point of view of the infrastructure customer to prevent construction of objects, whose load would not be provided to the required extent, because the priority of AST is a high-quality and secure electricity transmission service at the lowest possible tariffs. In general, financial investments are planned in such a way as to prevent the long-term obsolescence of transmission equipment and so that no equipment reaches its critical age.

The analysis of the processes that affect or could affect its implementation are also included in the approved 10-year development plan, such as the need to install energy storage batteries to ensure reserves and restore the frequency, the development of the Rail Baltica project and the construction or reconstruction of the related infrastructure, the Estonian-Latvian offshore wind park project, the granting of European co-financing, the Covid-19 pandemic and related restrictions, the possibility to implement a massive amount of new connections and the current increase in construction costs.

In accordance with the Electricity Market Law, PUC determines the information to be included in the 10-year transmission system development plan, sets up the procedure for submitting it, approves it and monitors its implementation. The full Development Plan for 2022-2031 is available here.