The Saare-Liivi offshore wind farm is one of the largest renewable energy projects in Estonia and has a potential to significantly strengthen the country’s energy security. The development received additional support for the design and related studies from the European Commission’s Connecting Europe Facility.
In order to implement projects promoting the production and transmission of renewable electricity between countries, the Connecting Europe Facility (CEF) has been developed at the European Union level, one of the sub-programmes of which is CB RES (Cross-Border Renewable Energy). To apply for funding support, a project must be based on renewable energy production and there has to be an agreement between two or more Member States.
The Saare-Liivi offshore wind farm project was selected for the CB RES list, after which it is possible to apply for support from the CEF for the implementation of the project. According to Liisa Ruuder, Development Manager of Utilitas Wind’s offshore wind farms, the company received a grant of 10 million euros from the 2023 round. The grant can be used for the design of the offshore wind farm and the necessary studies, as well as for the development of the Power-2-X solution. “The European Commission has assessed that our joint project has a positive socio-economic impact that exceeds the benefits of only one country,” said Ruuder.
Utilitas Wind’s cooperation partner is Luxembourg, a small central European country that imports more than 70% of the electricity it uses. “The cooperation is based on statistical trade – while we receive the necessary support from the Interconnection Facility for the development of the Saare-Liivi offshore wind farm, it will allow Luxembourg to receive annual renewable energy statistics for its country upon the completion of the offshore wind farm,” said Ruuder.
Previously, Luxembourg has purchased renewable energy statistics from Estonia in 2018, 2019 and 2020, and the Estonian state has directed the proceeds from sales to the development of renewable energy production, thanks to which the renewable energy fee for consumers was decreased.
The European Commission has emphasized that renewable energy must be produced where there are the best conditions for it. While Luxembourg receives only the statistics on renewable electricity produced from the Saare-Liivi offshore wind farm, the entire electricity production of the Saare-Liivi offshore wind farm is transferred to the Estonian electricity transmission network and consumed locally.
The construction of an offshore wind farm will create jobs both during and after construction, increase renewable energy production and open the door to additional industrial investments. “The project thus contributes to the achievement of Estonian, Luxembourg and pan-European renewable energy goals,” said Ruuder.
In the first stage of the Saare-Liivi offshore wind farm, a farm with a capacity of up to 1200 MW will be built, which will produce up to 5 TWh of electricity per year.