Cooperative Agreement Signed to Develop the Lithuanian Energy Sector Transformation Study  


2022 11 01


In Denver, Colorado (USA), the Lithuanian Energy Agency has signed an agreement on cooperation with the U.S. Department of Energy’s National Renewable Energy Laboratory (NREL) in conducting research in the field of renewable energy development.
On October 31, 2022, the Lithuanian Energy Agency, and NREL have signed an agreement on cooperation in conducting research in the field of renewable energy development. The agreement was signed under the implementation of the Memorandum of Understanding between the Ministry of Energy of the Republic of Lithuania and the Department of Energy of the United States of America concerning Collaboration in Support of Lithuania’s Energy Security and its Pathway to Climate-Neutral Energy Sector by 2050, signed on July 7, 2022.
As envisaged in the Memorandum, the Lithuanian Energy Agency, together with  NREL, in the next few years will jointly conduct a comprehensive study of the Lithuanian energy sector and will prepare a study that will suggest how Lithuania could become completely self-sufficient in electricity generation as soon as possible.
According to the results of the study, a transformation model of the Lithuanian energy sector and possible scenarios will be developed, providing the most economically efficient and advanced ways to achieve a goal that in Lithuania 100% consumed electricity is produced from renewable energy sources.

“In order to move towards 100% renewable energy and to decarbonise our industry, we will need to more than triple the amount of renewable energy generation in Lithuania. This is a big challenge for a country that today still imports two-thirds of its electricity,” said Energy Minister Dainius Kreivys at the signing ceremony. 

“We hope that together with NREL scientists we will be well prepared to achieve this goal, and that the study will allow us to maintain a secure, stable electricity grid during this period of enormous transformation. I also hope that NREL will benefit from the opportunity to learn from the deployment of renewables in the nationwide grid and their impact on grid performance.”  

“NREL is excited for this first-of-its-kind collaboration with the Lithuanian Energy Agency,” said NREL Director Martin Keller. “This study will leverage the full breadth of the lab’s expertise to understand the pathways, innovations, and impacts related to achieving a 100% clean energy future for Lithuania.”

"Cooperation with the US research laboratory, which has a lot of experience in the field of renewable energy research, will not only help to strengthen mutual relations, but will also significantly contribute to the promotion of the internationality of the Lithuanian Energy Agency and the strengthening of analytical abilities and scientific competences, thus creating opportunities for the formation of evidence-based state policy in the energy sector in Lithuania, " said Virgilijus Poderys, director of the Lithuanian Energy Agency.
The planned cooperative study will encompass the development of electricity generation sources and their integration, the electrification of transport, industry and other sectors, the impact of the electricity exchange model, and the use of hydrogen and green gas, and other aspects.
During the preparation of the study, the data of the entire Lithuanian energy system will be collected, prepared, and modeled, and it is planned to involve the Lithuanian energy sector companies, researchers and socio-economic partners in the collection of data and preparation of the study.

The signed cooperation agreement also implements the goal of the Government's Program to develop the transatlantic energy dialogue and to strengthen project cooperation with the US analytical centers in the field of energy security.

The study will form the basis for the preparation of the third National Energy Independence Strategy after 2030. It is expected to be adopted in early 2024. 

A similar model for the transition of the energy sector from fossil fuels to 100% renewable energy has been developed for the City of Los Angeles by a laboratory under the US Department of Energy and has already been put into practice. 

Lithuania plans to have 9 GW of installed renewable energy capacity by 2030. More than 90% of energy demand in 2030 will come from renewable energy sources.