AST, Elering, Litgrid and PSE, the electricity transmission system operators (TSOs) of the Baltic countries and Poland, signed the grant agreement with the European Climate, Infrastructure and Environment Executive Agency (CINEA) for EUR 170 million of EU support which will help to finance the planned investments under the project Phase 2 part II of the Baltic Synchronization. 

The grant agreements assume the financial contributions of the following amounts: Polish PSE – EUR 75 million, Latvian AST - EUR 37 million, Lithuanian Litgrid - EUR 31 million, and Estonian Elering – EUR 27 million. Funds will be spent on enhancing power lines and substations, implementation of battery energy storage systems, as well as boosting IT control systems and power automatics. The total amount of funding from CEF  synchronization Phase 2 part II eligible costs is EUR 230 million, where 75% will be co-funded from CEF.

The European TSOs community is consequently implementing the synchronization process of three Baltic States’ electricity systems with the Continental European Synchronous Area. They are currently operating together with the Russia-controlled IPS/UPS system. Additional infrastructure will not only allow for a smooth synchronization process but also enable new market opportunities and strengthen the regional energy security.

CEF is the key EU funding instrument, established to promote growth, jobs, and competitiveness through targeted infrastructure investment at the European level. It supports the development of high-performing, sustainable, and efficiently interconnected trans-European energy networks.