Lithuanian Grid Operator to Boost Infrastructure Investment to $4.3 Billion by 2035

Lithuania's energy distribution operator, Energijos skirstymo operatorius (ESO), intends to significantly ramp up its infrastructure investments, aiming for over 4 billion euros by 2035. This represents a 2.5-fold increase from the 1.7 billion euros planned for 2021-2030, according to Ingrida Ragaišienė, chancellor of the Ministry of Finance.

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Regarding investments – if 1.7 billion euros were planned in the 2021–2030 plans, then in the 2026–2035 plans, ESO has set aside 4.3 billion euros to invest in infrastructure.

The move comes in the wake of a severe storm that recently left over 200,000 ESO customers without electricity. Lawmakers have raised concerns about the grid's vulnerability, prompting ESO to prioritize expanding its underground cable network to better withstand future extreme weather events. While ESO plans to cable 2,000 kilometers of its network in the near future, the energy minister has suggested tripling this pace, necessitating further funding.

ESO's CEO, Renaldas Radvila, acknowledged the complexity and resource demands of burying power lines but stressed the importance of continuing the process. He indicated that after the current 2,000-kilometer program concludes and the storm's aftermath is addressed, there will be an opportunity to reassess and potentially accelerate the cabling efforts. Previously, Radvila estimated that tripling the cabling speed would require an additional 0.5 billion euros, potentially impacting electricity tariffs and the country's competitiveness.

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Investments are planned, and about 2,000 kilometers of cabling are already planned out of 6,000... we estimate that cabling is planned at maximum capacity for today.

Following the storm's devastation, which caused widespread power outages, resulted in one fatality, and injured four people, the Lithuanian government declared a nationwide state of emergency. The Ministry of Agriculture proposed this measure, which was approved on Wednesday. To aid in restoring power, several Polish energy distribution brigades are set to join the efforts, with ESO aiming to restore electricity to all customers by Saturday.

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Regarding... cabling, I think we should continue and carry out further after this 2,000 (kilometer cabling program) ends... we are not saying we should stop, we just need to assess, I believe that after the storm (consequences) are removed, we will have an opportunity.