Latvian electricity market overview

In December 2024, the average electricity price in the Latvian bidding area increased to EUR 90,54 per megawatt hour (EUR/MWh), which is 2% more than in November, while compared to December 2023, the price is 2% higher.

Highlights in December :

• In December, the total volume of electricity injected into the Latvian grid reached 370,2 gigawatt-hours (GWh), which is 7% more than in November and 38% less than a year ago. Meanwhile, the volume of electricity received from the grid for consumption amounted to 645 GWh, which is 5% more than in November and 2% less than a year ago;
• In December, both electricity generation and consumption increased in all Baltic states. However, the growth in generation was significantly higher — 15% compared to 6%. Lithuania maintained its position as both the largest electricity producer and consumer, accounting for a substantial portion of the total Baltic electricity balance;
• December in Latvia was windy, with several periods of strong winds, especially along the coast. These weather conditions significantly boosted wind power station output, resulting in the highest ever volume of electricity injected into the grid from wind stations — 38 GWh, which is 25% more than in November and 57% more than in December 2023;
• The volume of electricity received for consumption in the Latvian grid was covered by the electricity injected into the grid by 57,36%, while the remaining required amount of electricity — 275 GWh — was imported from neighboring countries;
• In December, electricity prices in all three Baltic States increased slightly - by 2,04% to EUR 90,54/MWh in Latvia, by 2,11% to EUR 84,29/MWh in Estonia and by 1,22% to EUR 89,72/MWh in Lithuania;
• In the Baltic interconnected trading areas, the price of electricity decreased - in Sweden's Zone 4 by 17,5% to 60,20 EUR/MWh, in Poland by 9,05% to 109,62 EUR/MWh and in Finland by 14,36% to 38,81 EUR/MWh;
• On 25 December, the EstLink 2 electricity link between Finland and Estonia was shut down due to a damage, resulting in only 358 MW of the total transmission capacity of 1016 MW being available (Estlink 1). According to information published by the Finnish system operator, the repairs of the damage to EstLink 2 are scheduled to be completed by 1 August 2025;
• Despite the unplanned outage, the Latvian power system is stable and reliable, with sufficient generating capacity and interconnection capacity to cover Latvian consumption, but in the long term the failure of EstLink 2 may affect the power exchange price in all Baltic countries;
• Compared to the previous month, the volume of electricity imported to the Baltic States decreased by 4,2% overall. Electricity imports decreased by 12,6% from Finland and by 7,6% from Poland, while they increased by 9,5% from Sweden;
• In 2024, a total of 5 019 538 GOs were issued in the Latvian Domain for GOs, which is 6% less than in 2023.

Raw data can be downloaded here.

Electricity production and consumption balance in Latvia*

* Here and in the following review, the electricity produced is the electricity injected into the grid and the electricity consumed is the electricity received from the grid for consumption.

** Fossil energy source – fossil gas; renewable energy sources – hydro, solar, wind, biogas and biomass.

Balance of the electricity production and consumption in the Baltic States

Interconnection load and electricity prices

Price comparison between neighbouring bidding areas

Load of the Baltic States interconnections

Electricity import to the Baltic States  [5]

GUARANTEES OF ORIGIN (GOs)

Statistics of the activity in the Latvia Domain for GOs

BALANCING MARKET IN THE BALTIC STATES

Imbalance prices in the Baltic States

Highest and lowest bid prices

Total activated energy

Activated mFRR SA (scheduled activations).

Activated mFRR DA (direct activations).

Average 15 minutes standard bid size

In case of any doubts, questions or inaccuracies, please contact us at [email protected]. 

The information contained in the Market Overview is provided for informational and educational purposes only. Nothing contained in the Market Overview is to be construed or used as a basis for investment or as a basis for any claims against AST. 

Abbreviations and designations used:

LV - Latvia trade area, LT - Lithuania trade area, EE - Estonia trade area, PL - Poland trade area, FI - Finland trade area, SE4 - Sweden's fourth trade area, AT - Austrian trade area, BE - Belgium trade area, DE-LU - German- Luxembourg trade area, FR - France trade area, NL - the Netherlands trade area, DK1 and DK2 - Danish 1. and 2. trade area.

Load = monthly total commercial flow in kWh / monthly total net transfer capacity in kWh ("Net Transfer Capacity" NTC).

The ENTSO-E Transparency Platform is a central collection and publication of electricity generation, transportation and consumption data and information for the pan-European market.

Guarantee of Origin (GO) is an electronic document, that proves the origin of the generated electricity. GOs are uniquely identifiable, transferable, and therefore tradable and used (by cancellation) to provide information of supplied energy to the end-consumer. One GO = 1 MWh generated and injected into the grid that has an expiration of 12 months after the end of the production period.

* Here and in the following review, the electricity produced is the electricity injected into the grid and the electricity consumed is the electricity received from the grid for consumption.

** Fossil energy source – fossil gas; renewable energy sources – hydro, solar, wind, biogas and biomass.

[1] In Latvia there are 10 distribution system operators – for more information visit https://www.sprk.gov.lv/content/pakalpojumu-sniedzeji-1

[2] Here as electricity imports are not commercial transactions, but electricity that has physically entered the network from other countries.

[3] Here as electricity exports are not commercial transactions, but electricity physically transferred from the network to other countries.

[4] According to the (ENTSO-E) definition, which does not include electrical self consumption.

[5] Here as electricity imports are commercial transactions.