Lithuania. UAB LT Energija

The loan has been provided to finance the 264-megawatt (MW) wind farm in the Pagėgiai region in Lithuania. The transaction is eligible under the NIB’s Clean Energy Transition Framework Operation approved by the InvestEU Investment Committee.

The project consists of 40 wind turbines, as well as the associated civil and electrical infrastructure. The wind farm is expected to commence commercial operations in the third quarter of 2026.

All the generated electricity will be purchased by AB Achema, the largest producer of fertilisers in the Baltics, to replace the use of natural gas with hydrogen in the production of ammonia.

Currently, Achema’s two ammonia production units represent around 80% of the company’s total CO₂ emissions. By substituting part of the natural gas consumption with renewable electricity, the company expects to significantly cut the emissions in this hard-to-abate sector.

The project is being developed by UAB Renerga, the Achema Group-owned renewable energy company. The Borrower, LT Energija UAB, is an SPV established to develop and operate the project.

Productivity:

The 264 MW wind farm will significantly increase energy generation capacity in Lithuania, which currently imports the majority of its power consumption. The estimated P90 yield of 602 GWh (average wind yield assessment P90 for 10 years) represents approximately 15% of Lithuania’s total power production.

As the wind farm is dedicated to supplying power to Achema’s hydrogen production, it is unlikely to increase volatility in the power system in the long run.

Achema’s current production processes rely on natural gas. By using hydrogen, Achema can significantly reduce its reliance on natural gas imports. As Achema is the largest consumer of natural gas in the Baltic countries, this investment will have a broader impact on the region.

Achema’s plan to replace natural gas with the industrial-scale production of green hydrogen will require the use of more advanced technologies and systems. This could spur innovation and development in the member countries’ renewable energy sector.

Environment:

Wind power is one of the most sustainable ways of producing electricity. Assuming the produced renewable electricity replaces electrical energy produced with an average carbon footprint in the European Union, the avoided greenhouse gas emissions associated with the project will amount to 202,000 tonnes of CO₂ annually (P90).

Estimated impacts in relation to the investments:

• Added wind energy generation (P90): 602 GWh/a
• Added wind energy generation capacity: 264 MW
• Capex: EUR 413 million

The initial EIA has been carried out, and the project has received approvals from the Environmental Protection Agency (EPA) and the National Health authority.

Noise level assessments concluded that the operation of the wind farms would be within the required norms.

Further monitoring regarding flickering and the effects on birds and bats will be conducted, and additional protective measures may be taken after these assessments.