Between 2023 and 2026, more than EUR 36 million was invested in modernising and developing the electricity grid across Latvia. These investments have improved the reliability and quality of electricity supply, increased the availability of grid connection capacity, and supported the development of microgeneration and electromobility.
One of the project’s most significant achievements is the modernisation of electricity supply infrastructure in Latvia’s regions. New power lines have been constructed, existing lines reconstructed and transformer substations upgraded in Valdemārpils, Ape, Roja, Ādaži, Lapmežciems, Kalnciems, Jaunmārupe, Mālpils, Baldone and Ropaži.
In total, 123 kilometres of new medium-voltage underground cables have been installed, or existing medium-voltage overhead power lines have been replaced with underground cables. A second transformer has also been installed at the Valdemārpils substation, increasing electricity supply capacity in Roja and the surrounding area.
The efficiency of the electricity distribution system has also been significantly improved. Across Latvia, 1,515 distribution transformers have been replaced. These were outdated units responsible for some of the highest technical electricity losses.
Since the beginning of the project, the improvements have reduced technical losses in the electricity grid by more than 4.42 GWh in total. In the coming years, annual reductions of up to 8 GWh are projected, which will also help reduce costs included in electricity distribution tariffs.
In addition, 751 distribution transformer substations across Latvia have been equipped with solar panels, enabling solar energy to offset the costs associated with technical losses in distribution transformers.
“Funding from the EU Recovery and Resilience Facility has enabled us to significantly accelerate the development of the electricity grid, achieving results that in several areas have even exceeded our original targets. These achievements have been made possible by investment, successfully implemented procurement procedures, and the high level of professionalism, perseverance and dedication of our colleagues at Sadales tīkls.
At the same time, this project forms part of a broader effort to ensure that Latvia’s electricity distribution grid can support the development of new technologies and decentralised electricity generation. The completion of this project lays the foundation for the next stages of grid development,” said Vīgants Radziņš, Chairman of the Management Board of Sadales tīkls.
To promote the development of electromobility and microgeneration in Latvia’s regions, investments were made in more than 2,800 connection points during the project.
This included the construction or reconstruction of infrastructure at 250 sites to enable connections for public electric vehicle charging facilities, with provision for 740 connection points.
To support distributed electricity generation and improve the operation of existing connections, grid upgrades were also carried out for more than 2,000 microgeneration connection points.
The project also included the development of a portal for electricity market data exchange and services, improving data management and digitalisation processes. The portal will make services easier to access, facilitate more efficient information exchange and strengthen cooperation between electricity market participants.
Investments were also made to improve the energy efficiency of buildings owned by Sadales tīkls. Energy efficiency measures were implemented in six company buildings, while heating systems were modernised at nine sites.
As a result, the buildings’ heating energy consumption has decreased by more than one-third, with savings reaching as much as 43% at individual sites.
About the Recovery and Resilience Facility
The Recovery and Resilience Facility (RRF) is a budgetary programme centrally managed by the European Commission, established in addition to the EU’s multiannual budget for the 2021–2027 programming period.
By 2026, EUR 1.97 billion from the Recovery and Resilience Facility had been invested in Latvia’s economy through reforms and investments across six priority areas:
In addition, Sadales tīkls invested more than EUR 65 million from the Recovery and Resilience Facility’s REPowerEU funding. These investments were also directed towards strengthening the reliability and quality of the electricity grid and ensuring the availability of connection capacity for customers.
The REPowerEU-funded project was implemented between 2024 and 2026.